[/caption]I trade both stocks and forex. Currently, I have 2 separate trading accounts with different brokers. I use MFGlobal for stocks and CityIndex for forex. Both are Contract for Difference (CFD) brokers.
It has come to a point to decide whether I should merge the accounts into one and fully utilise the capital. There are advantage and disadvantage with 2 separate trading accounts.
Advantage: Simple Accounting
Having separate accounts will aid accounting of profits and losses for stocks and forex. This includes the leverage, financing charges, data charges, commission charges etc. The more important advantage is that I will be very clear how much capital I have to make my trades, and not oversize my positions. Having a common account means I have to closely track my positions and make more calculations to determine the capital available for use. Read more...[caption id="attachment_4804" align="alignright" width="150" caption="Photo by Mrs Logic"][/caption]I trade both stocks and forex. Currently, I have 2 separate trading accounts with different brokers. I use MFGlobal for stocks and CityIndex for forex. Both are Contract for Difference (CFD) brokers.
It has come to a point to decide whether I should merge the accounts into one and fully utilise the capital. There are advantage and disadvantage with 2 separate trading accounts.
Advantage: Simple Accounting
Having separate accounts will aid accounting of profits and losses for stocks and forex. This includes the leverage, financing charges, data charges, commission charges etc. The more important advantage is that I will be very clear how much capital I have to make my trades, and not oversize my positions. Having a common account means I have to closely track my positions and make more calculations to determine the capital available for use. Read more...
[/caption]I trade both stocks and forex. Currently, I have 2 separate trading accounts with different brokers. I use MFGlobal for stocks and CityIndex for forex. Both are Contract for Difference (CFD) brokers.
It has come to a point to decide whether I should merge the accounts into one and fully utilise the capital. There are advantage and disadvantage with 2 separate trading accounts.
Advantage: Simple Accounting
Having separate accounts will aid accounting of profits and losses for stocks and forex. This includes the leverage, financing charges, data charges, commission charges etc. The more important advantage is that I will be very clear how much capital I have to make my trades, and not oversize my positions. Having a common account means I have to closely track my positions and make more calculations to determine the capital available for use. Read more...
