FOREX investment proposal is a formal notice, tender, overture or proffer made by a trader who intends to trade on forex in the forex market. Forex investment proposal is direct in its address to a broker. It summons the actions of a broker concerning the trader who issues it. A forex investment proposal can also be seen as a written document sent to a prospective broker in order to obtain specific trade or transactions. Proposals may be solicited or unsolicited.
TYPES OF FOREX INVESTMENT PROPOSAL
This Solicited proposals, mean that the broker has already made up his/her mind to make a transaction. Only the selection of a trader remains to be done. An unsolicited proposal is most of the time a sales presentation in another form—but the proposal is specifically aimed at a well-defined and limited activity. Forex investment proposal must be distinguished from estimates.
Forex investments operate wholly on the basis of proposal. In other cases a proposal is sometimes required and most times is not.
ELEMENTS OF THE BUSINESS PROPOSAL
In most forex markets, proposals have a well-defined format specific to it. All forex investment proposals have at least two distinct pieces: a cover letter and the proposal document itself. In addition, sometimes, one or more appendices may be provided with charts, graphs, photographs, maps, and so on. Brief proposals, also sometimes known as "letter proposals," align the first two pieces to a single submission of a maximum of six to eight pages. The cover letter serves as a transmittal proposal. Many traders also use the cover letter to give the essence of the proposal in much abbreviated form, highlight the traders’ qualifications, name the price, and ask for the order. These are all designed to make the proposal stand out and attract the attention of potential investors
STRUCTURES OF A TYPICAL FX INVESTMENT PROPOSAL
Table of Contents.
Statement of the plan of investment
Schedule and Benchmarks.
Cost Proposal, Payment Schedules, and Legal Matters.
SUCCESSFUL FOREX INVESTMENT PROPOSALS
Successful forex investment proposals are meant to be “Responsive”. This means that the trader has done a thorough work on his proposal not neglecting his RFP. Responsiveness is ultimately much more important, all else equal, than the visual appreciation of the presentation or even the flow of its writing. A beautiful and well articulated proposal that misses or ignores key elements of the broker’s project will lose to a dull proposal that is otherwise responsive.
The content of this article reflects the author’s opinion and does not necessarily reflect the official position of LiteForex. The material published on this page is provided for informational purposes only and should not be considered as the provision of investment advice for the purposes of Directive 2004/39/EC.