Offshore Company for Forex Trading

[Corno]

I am trading Forex privately with decent success and thought about offering other traders to copy my trades for a monthly fee (copy trading). As far as I know, I don't need a license for this in most countries (the platform/broker that facilitates this does). For various reasons, I would like to establish a company for this project instead of handling it as a sole proprietor.

I am living in Germany and probably won't leave soon for family reasons. My thoughts are that such a company could easily be run with legitimate nexus in a low-tax country like UAE, but I'd like to hear your opinions.

My idea is to rent an office and hire a manager to make it all look legit for the tax man in Germany. Then I would offer my private trades to the public for copy trading, the company would copy my personal trades for the business trading account, and customers would copy the trades from there. The manager would handle customer service. All I'd do would be trading my personal funds like I do now, and an initial investment into the company to provide trading capital. The rest would be completely hands-off for me.

The profit would then be invested via the company and not paid out to me.

Any thoughts?

 

[boomy]

You are totally right, setup a company say in Cyprus if you need it to look just a little legit or in the Seychelles or Belize if you don't care about the image of the company.

Alternative, setup the company in the UK as an LTD if you want things look straight and simple.

There is no license required nor is it required to hide your activity in any other way. You can easily open an EMI like transferwise for this company.

 

[Silvio]

Why not doing it via ZuluTrade? This way they will take care of everything for you, the copying of the trades etc.
Or you want to charge more by doing it privately.

 

[Corno]

maxmmm said:
Why not doing it via ZuluTrade? This way they will take care of everything for you, the copying of the trades etc.
Or you want to charge more by doing it privately.
Click to expand...

The company will offer the copytrading service publicly. I just wanted to check whether the setup was legal if the company copied my personal trades or if this would still be interpreted as me running the business, hence making the company pay taxes in my country of residence.

But I think it should be fine.