The PREMIERE Mini account is designed for those new to online currency trading and those with limited investment capital. There is a smaller deposit required to open a PREMIERE Mini account and trading sizes are 1/10 the size of a regular account. The smaller trade size greatly reduces the risk associated with currency trading. Although the PREMIERE Mini account provides as much leverage* as a regular account, clients have the opportunity to take smaller size positions, taking on less total risk. The PREMIERE Mini is intended to introduce traders to the excitement of currency trading while minimizing risk.

*Leverage Disclosure: Without proper risk management, a high degree of leverage can lead to large losses as well as gains.



In our experience, traders with accounts under $5,000 are more successful trading a Mini account. Trading currencies during times of heavy market volatility can be very risky if you are overexposed. Many traders have too small an account balance to last out even a small market movement against them or to make trading mistakes. Because of the reduced margin requirement associated with the Mini account, traders are less likely to experience early margin calls. The approximate pip value on a regular PREMIERE account is $10 per pip. Therefore, if you were leveraging $1,000 to hold a $100,000 (one lot) Euro position (assuming a $2000 account), the market would only have to move 100 points, 1 percent, to generate a margin call. This can happen in one day. On the Mini however, the margin requirement is only $100 per lot. So a trader with $200 that opens a 1-lot Euro position can withstand a market swing of 150 pips - 50 percent greater than what he/she would have on the regular PREMIERE account.



The Mini account can be a useful asset in assisting traders to cultivate a disciplined trading strategy without focusing on P/L. When trading larger volumes on the standard account, traders with smaller account balances tend to watch their equity fluctuate and base trading decisions on emotional reactions to these fluctuations. For example, traders tend to resist closing-out trades at a loss, using the rationale that the market will turn around. Traders also tend to immediately take their profits when the market is moving in their direction, rather than maximizing their gains by letting their profits run.

For example, a 20-pip profit on a 100,000 Euro trade is $200. For a $5,000 account, this is equivalent to 4 percent of the account equity, compelling the average trader to take their profit, though the trade has a 100-pip profit potential. On the reverse side, no one wants to realize a $200 loss, so traders tend to hold a losing position until the loss is too much to bear. On the Mini account, this same example would translate to $20, which takes all the emotion out of the P/L, since $20 is insignificant to most traders. A Mini account allows traders to focus on the proper chart points, trade signals, and really learn currency trading without paying attention to their $P/L. In the long run, this will lead to more profits and less losses. Until clients are completely comfortable trading currencies on a highly leveraged basis, trading smaller amounts on The PREMIERE Mini is highly recommended.

The hypothetical examples made above are in no way, meant to imply, assume or guarantee that any client of PremiereTrade™ AI will attain or even profit in the FOREX Market. These are hypothetical examples only.