Undoubtedly, Trading has become the preferred financial activity for many, especially in Latin America where its total volumes have increased by 10.28% only in the second quarter of 2022 (taking as a reference the data obtained from the previous quarter of the same year).
Statistics that make LATAM a new benchmark in the field, highlighting its level of professionalism and expertise in the sector and the large number of subscribers that indicate how much the Trading market has matured and expanded exponentially in the region.
In turn, we have that the number of traders from this region who have registered on the IX Social platform rises over 81.43%, taking into account the data published by INFINOX, which is an important global online trading platform that provides help to beginners and experts in the world of trading, who seek to optimize their strategies and obtain great benefits from anywhere and at any time.
Even the trading director of this platform, Ulas Akincila, corroborates this by commenting: “We are seeing an increasing professionalization of the sector, particularly with respect to introductory brokers (IBs) who are actively recruiting and educating a new generation of traders to take advantage of opportunities across a range of instruments, from currencies (FIAT), commodities, stocks and recently, cryptocurrencies.”
“Although the second quarter of this year did not offer the same opportunities as the previous quarter – most notable for the unprecedented and sustained valuations of Latin American stocks and currencies – trading volumes in the region continued to grow. This suggests that the market is maturing and that traders are more comfortable adjusting their positions based on economic reality.”
Now, if we delve a little deeper into the statistics we can see that in the last quarter it was recorded that the number of women (globally) who have registered on the page has increased by 9.89% as well as the number of people under 35 who have registered has increased by 11.64%, both with respect to the second quarter of 2011, which for Ulas Akincila means that:
“Both demographic groups are well represented in Latin America, where trading is often seen as a way to supplement a day job, or to protect yourself (both financially and professionally) for the future.”
But what is the reason for all this evolution and growth of traders in the Latin American market?
According to Ulas, an important part of this change in mentality and action has been caused by “Copy trading” or “Social trading” which aims for novice or less experienced investors to copy the investments made by other investors already experts and higher level.
Its main function is to be a solution for those users who want to be traders and invest, trade and increase their capital but who do not have the time and the necessary experience to become experts, so Copy Trading gives them the opportunity to replicate some or all of the investments of those investors who attract their attention for their success, technique, strategy and great results.
Another function that makes “Copy trading” one of the most used methods today is that this function on the IX Social platform allows you to comment, like, exchange knowledge, share your operations, make friendly trading, observations and even create community groups or subcommunities for educational use where knowledge and information are shared to improve the experience of users of all levels.
What Ulas calls: “A new type of trading, based on collaboration and exchange, rather than competition. The result is the creation of value for all parties, both for the experts and for those who decide to follow them. This is the essence of what we call ‘new commerce’, it is about collaborating and sharing, rather than competing.”
But does this method have no risks? Yes, of course. It should be emphasized that to apply this method we must connect a small part of the funds with the investment account with which we will carry out the copy trading, funds which could be affected or benefited depending on the results of the transactions or movements that are made, but don’t worry, you can disconnect said account and continue individually when you wish, without any inconvenience.
Without a doubt, Copy Trading has been a great help and the main reason why an increase in accounts of 118.63% was registered on the IX Social platform (compared to the second quarter of the previous year) which we can divide into:
Dominican Republic 7.54%
In turn, Ulas comments that another important factor why the presence of Trading in LATAM has been promoted and increased is due to the introduction and use of cryptocurrencies on the platform which has been present since the beginning of 2022 bringing great benefits for its users, such as:
1- The volatility of cryptocurrencies makes this a very attractive and exciting market.
2- The flexibility of its schedule: You can operate with cryptocurrencies 24-7 since there is no centralized management of them.
3- Allows a large exposure with leverage
4- Provides the possibility to go short or long:
Short: Thinking that the stock market is going to fall, generating money if it falls, losing if it goes up.
Long: Thinking that the stock market is going to go up, generating money if it goes up, losing if it falls.
5- Allows paying the full value of the asset in advance
So in the case of IX Social, in March 2022 it was decided to incorporate crypto CFDs which resulted in traders being able to apply and follow their own strategies through 43 cryptocurrencies, including the best-known and used ones such as Bitcoin (BTC/USD), Ethereum (ETH/USD), altcoins such as Cardano (ADA/USD), and meme coins such as Dogecoin (DOG/USD).