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Intermediate · 11 min · strategy

Copy trading due diligence: do not look only at returns

The main copy-trading risk is not only loss. It is not knowing leverage, drawdown and survivorship bias behind returns.

fxcn editorial 2026-06-04
## Do not look only at the curve
Returns can be inflated by short-term leverage, polished history or hidden losing accounts.

## 6 questions
1. What is max drawdown.
2. What is largest position size.
3. Is it long-term live history.
4. Can losing accounts be hidden.
5. What are copy delay and slippage.
6. Is your liquidation level different.

## Practical advice
Start with minimum funds and record real slippage, concentration and withdrawals.