Guides · Easy money, trading and scams: the truth
Copy trading: is copying other traders a good idea?
In short: Copying a trader who did brilliantly last year guarantees nothing: the top of the rankings is often whoever took the most risk and got lucky. You also copy their losses, fees and leverage.
The ranking trap
Among thousands of traders, some will inevitably have excellent results by chance over a year. Those are the ones promoted, just before they fall back.
What to check
A long history (several years), the worst drawdown, the leverage used, fees. A high return with a -60% drawdown at some point is a warning sign.
An alternative
An ETF is, in a way, a "copy" of the whole market, without depending on one person.