IBTimes: What is your professional background?
Danny Lake: At 4XP I am the Director of Strategic Partnerships and Business Development, ensuring that 4XP relays their message to all traders. I have a MA in Political Science from Harvard, as well as a BSc in Economics from London Business School.
IBTimes: How did 4XP get started?
Danny Lake: 4XP began as a relatively small foreign exchange brokerage. Since the beginning, the focus of the company was customer satisfaction. We strive to assure that all clients receive the support they deserve. Our 24 hour Dealing Room is always there to assist clients with technical support, providing clients with information regarding their accounts and market conditions. Putting our clients first is what fueled the company's growth and success over the past few years.
IBTimes: I saw on 4xp.com that you offer also Binary Options. Can you say on which products (Forex, Commodities, etc.)? And can you also explain briefly how it works?
Danny Lake: We provide spot and forward rates on currencies, CFDs, futures, commodities and shares. You can also short a stock that appears to be on a downward trend. There is also the ability to trade on Binary Options (put/call) on all instruments discussed above. Each option has an expiration of 30 minutes, but you can exit the option at any time prior to expiration.
IBTimes: Are the clients of 4XP more interested in currency trading or are they trading more Commodities and Equities?
Danny Lake: This question is more complex than it appears. Each client has a different desire in his trading experience. While some clients trade exclusively with currencies, others only trade on futures and commodities. Others enjoy researching companies and trading with shares. Meanwhile, there are some who diversify their portfolios, and have a mixed investment strategy in many forms of trading symbols. We also allow trading through expert advisors. Each EA has its own algorithm, which could be currency oriented or be programmed to focus on futures, commodities and shares.
IBTimes: Can you tell us more about your Live Trading Room?
Danny Lake: The Live Trading Room is in the final stage of development and is one of our proudest features that give our clients the ability to trade at the top level. Our idea of introducing this feature was to allow traders the ability to see how professional traders trade. Additionally, you have the ability to view the monitor of the trader and ask questions via live chat. To top this all off you can see the charts, analysis, indicators and strategies that professional traders use to make those ever so important investment decisions. The projected launch date is for early 2011
IBTimes: 4XP runs 3 different kinds of Managed accounts: Low Risk, Classic and Aggressive. Can you tell us which type is ideal for which kind of investor?
Danny Lake: In many ways, the name of the fund is self-explanatory. Low Risk funds attempt to maximize the clients' profits by using relatively low risk trading techniques. This means trading in smaller volumes in proportion to each client's equity and not exceeding low margin levels. Comparatively, Aggressive Fund accounts are for more risk-savvy clients, who are willing to take larger risks, in an effort to record higher profits in a shorter period of time. Despite being considered aggressive, fund managers maintain a thorough process of risk management, in order to assure that the client reaches his profitability goals. Finally, Classic Fund accounts are between low risk and aggressive fund accounts. This type of account is intended for clients who have a relatively higher equity level, yet still are wary of market risks, and are not time pressed to obtain their desired results.
IBTimes: Today the German financial Minister Wolfgang Schäuble said that he hopes that the rescue of Ireland will calm the markets. But in fact the Euro Dollar pair lost today again 150 Pips. What do you think about the Euro debt crisis? Is there still hope?
Danny Lake: According to the largest banks in Europe (Deutsche Bank), it appears that the Euro may be on the decline once again. Their analysts have indicated their forecasts that EURUSD will dip back down to the 1.2000 level in the coming months. Unstable market conditions have led to chaos for the Euro zone economy, and bond yields continue to rise as the governments of struggling countries, such as Ireland, Spain, and Portugal attempt to raise money to cover their debts. However, this is creating a downward spiral, since they will soon enough encounter similar issues of paying off debt to new debt investors, who are buying bonds at much higher rates than in the past. The next few months will be difficult for these countries to overcome. That is why Bloomberg analysts believe the Euro will continue to depreciate in the near future.
IBTimes: If you think about the future, where do you see 4XP by the end of 2013?
Danny Lake: 4XP is growing at a fast pace. It is the company's intention to open several new branches across the world in order to provide our clients with a tangible office in their region that is there for their needs. Also, we intend to continually integrate advanced education into 4XP which will help enhance trading techniques that traders can implement on an everyday basis. Ultimately this will bring 4XP and its clients much closer together.
4XP also intends to increase the quantity of trading products to traders of all types, upholding our position as a market leader. We are certain that our emphasis on customer service is appreciated by our clients, and that it will enable the company to continue this growth and expand its presence in the foreign exchange market.