ZuluTrade

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ZuluTrade
Private
IndustryFinancial services
FoundedVirginia, United States, 2007
FoundersLeon Yohai, Kosta Eleftheriou
HeadquartersAthens, Greece
Area served
Worldwide
Key people
George Ilias(CEO)
ProductsSocial trading platform
ParentFormax Group
WebsiteOfficial Website

ZuluTrade is a fintech company that operates an online and mobile social and copy trading platform . The platform allows users to mimic trades on the forex markets made by often more experienced traders.[1][2][3][4] ZuluTrade has around one million users and an executed trading volume of over $800 billion.[5]

History[edit]

ZuluTrade was founded in 2007 by Leon Yohai[6] and Kosta Eleftheriou.[7] The company was founded in Yohai's living room in the U.S. state of Virginia.[6] Eleftheriou left the company in 2008.[7] Yohai traded on the FXCM prior to founding ZuluTrade. He created a software connected to FXCM's API that allowed him to copy trading strategies in his realm of interest. The concept was then put into beta in 2008.[6] By 2009, the company had over 4,500 "expert" trader (or "signal provider") portfolios whose trading strategies could be copied by the platform's user base.[8] In 2011, ZuluTrade was listed among The Daily Telegraph's "Start-Up 100" in the category of "Finance, Payments and Ecommerce."[9] The company also unveiled several new features including the ability to follow other followers (rather than just signal providers)[10] and the requirement for signal providers to be profitable in order to receive payment.[11] In November 2012, ZuluTrade redesigned their website and added more new features including ZuluGuard.[12] By the end of 2013, the company had around 120 employees, 40 of whom were designated for customer support.[6]

In September 2014, Zulutrade expanded in Japan through the acquisition of a regulated investment advisor, Market Crew Investment Advisor Co., Ltd., and launched its collaboration with local FX retail brokers. The first Japanese broker was Arena FX Co., Ltd.[13] In March 2015, ZuluTrade Group announced that the platform was awarded an EU Portfolio Management License from the European Union. The designation made the company a licensed portfolio management company in the EU.[14]

In 2017, ZuluTrade was acquired by Formax Group who also purchased Dayo, the company holding the patents used by ZuluTrade.[15] It began to transition into more of a fintech company with research and development in cryptocurrency, stocks, and trading performance. The acquisition also allowed it to expand in Asia where it was already licensed in Japan.[16]

Service[edit]

The ZuluTrade service is a social and copy trading online platform that allows users to mimic the investing strategies of trading "experts" in forex markets.[1][2] The user base is typically split into two categories: signal providers and followers. Signal providers are generally traders that have developed a strategy willing to share and can be copied by their followers.[6][17] Followers can also mimic strategies of the portfolios created by other followers.[10] Signal provider compensation fees are based on the success and popularity of their trading strategies.[18]

The platform also has several features, including ZuluGuard, that automatically unfollows a signal provider if their trading strategies change. Lock Trade allows users to verify the execution of a trade after the signal has been received. The website also features several social network-like features including comments and forums.[12] The platform also has a feature called ZuluScript which allows users to create scripts that designate specific parameters as criteria for trading robots (known as "Expert Advisors") to automatically start making trades.[19] Additionally, ZuluTrade operates a binary option social trading platform.[5]

ZuluTrade provides rankings of investor performance and allow investors to immediately observe and copy other trader's portfolios.[20] This is provided by simulator which shows overall profit, alerts user if a margin call occurred and even allows user to download a spreadsheet of all the simulated trades.[21]

References[edit]

  1. ^ a b Robinson, David (27 September 2014). "Return of the daytrader: can you earn a living by copying other investors?". The Daily Telegraph. Retrieved 11 November 2015.
  2. ^ a b Hamilton, Walter (28 November 2009). "Americans rushing to invest overseas". Los Angeles Times. Retrieved 11 November 2015.
  3. ^ Passy, Charles (2 March 2011). "You Snooze, You Lose". The Wall Street Journal. Retrieved 11 November 2015.
  4. ^ "Social Trading Platform ZuluTrade Becomes Regulated in the EU". Business Wire. 3 June 2015. Retrieved 11 November 2015.
  5. ^ a b "ZuluTrade Rolls out to Binary Market". HighBeam Research. 9 December 2014. Retrieved 11 November 2015.
  6. ^ a b c d e Saks McLeod, Andrew (27 December 2013). "Executive Interview: ZuluTrade CEO Leon Yohai Discusses The Modernization Of Social Trading". Finance Magnates. Retrieved 11 November 2015.
  7. ^ a b "Kosta Eleftheriou". www.crunchbase.com. CrunchBase. Retrieved 11 November 2015.
  8. ^ "ZuluTrade.com Revolutionizes Autotrading of Foreign Currencies Online". HighBeam Research. 19 November 2009. Retrieved 11 November 2015.
  9. ^ Yiannopoulos, Milo; Rosenberg, David (5 April 2011). "Start-Up 100: the final list by category". The Daily Telegraph. Retrieved 11 November 2015.
  10. ^ a b Greenberg, Michael (31 March 2011). "Zulutrade launches a 'follow a successful follower' capability". Finance Magnates. Retrieved 11 November 2015.
  11. ^ Patterson, Sara (21 November 2011). "Zulutrade Announces New Compensation Plan". DailyForex. Retrieved 11 November 2015.
  12. ^ a b Finberg, Ron (29 November 2012). "ZuluTrade Gets a Makeover". Finance Magnates. Retrieved 11 November 2015.
  13. ^ Mizrahi, Avi (9 September 2014). "Exclusive: ZuluTrade Acquires Japanese Subsidiary and Partners with Arena FX". Finance Magnates. Retrieved 9 February 2016.
  14. ^ Finberg, Ron (3 June 2015). "ZuluTrade Gains EU Portfolio Management License in the EU". Finance Magnates. Retrieved 11 November 2015.
  15. ^ "Exclusive: Price paid by Formax for ZuluTrade: $12.4 million". LeapRate. 9 February 2018.
  16. ^ "Democratisation of Asset Management Makes Successful Trading Accessible to All". Raconteur. 5 December 2017.
  17. ^ Lemon, Adam (28 October 2015). "Who Makes Money with Zulutrade". DailyForex. Retrieved 11 November 2015.
  18. ^ Greenberg, Michael (18 November 2011). "ZuluTrade will pay signal providers only for profitable months, charged by NFA". Finance Magnates. Retrieved 11 November 2015.
  19. ^ Hatzakis, Steven (12 February 2014). "ZuluTrade's New Web-Based Platform Lets Traders Run Trading Robots via Zuluscripts". Finance Magnates. Retrieved 11 November 2015.
  20. ^ Baghestanian, Sascha; Gortner, Paul J.; Weele, Van Der; J, Joel (2015-02-02). "Peer Effects and Risk Sharing in Experimental Asset Markets". Rochester, NY: Social Science Research Network. SSRN 2504541.
  21. ^ Viljoen, Ray (2015-10-28). "ZuluTrade Review". BestSocialTrading.com. Retrieved 2016-12-11.

External links[edit]