Short answer: To check a forex manager's track record, first confirm their registration with the regulator (in the US, NFA BASIC for commodity trading advisors and commodity pool operators), then compare the returns they show you with an independent, broker-linked record, and ask whether those returns are net of all fees. Look at the largest drawdowns and how long the record runs, not only the total gain; a third-party "verified" label does not show that the manager is registered or that results will continue.
This guide is educational and is not financial advice. ForexFunds.com does not verify, recommend or rank any manager. See our disclaimer.
The short answer: a 5-step check
- Confirm registration with the regulator where the manager does business.
- Get the manager's written performance record and read it.
- Ask whether returns are net of all fees.
- Read the risk, not only the return: drawdowns and record length.
- Check any third-party tracker and understand what its "verified" label covers.
Our other articles go deeper on individual parts of a record: what a forex manager's track record should include (a metric-by-metric inventory), forex managed account track records at a glance, the trouble with forex track records and whether the track record is the only thing that matters. This page is the checklist that ties them together.
Step 1: Confirm registration
United States. A commodity trading advisor (CTA) is an individual or organization that, for compensation or profit, advises others on buying or selling futures, commodity options, retail off-exchange forex contracts or swaps. A commodity pool operator (CPO) operates a pool that combines money from a number of people to trade those instruments and solicits funds for it. Depending on its activity, a firm must register unless it qualifies for an exemption or exclusion, and registration is handled by the National Futures Association (NFA) [S1]. NFA's BASIC is a free tool for researching the background of derivatives industry professionals [S2]. Search the firm name and each individual you deal with. For more on the role, see what a forex trading advisor (manager) is.
NFA also suggests searching FINRA's BrokerCheck for securities licences [S2]. For US securities brokers and advisers, FINRA BrokerCheck (brokercheck.finra.org) [S3] lets you search by name.
United Kingdom. The FCA's Financial Services Register is a public record of firms, individuals and other bodies that are, or have been, authorised by the FCA or the PRA [S4]. Some firms appear as appointed representatives, which carry out activities on behalf of a principal firm; the FCA suggests checking with the principal what activities the representative is permitted to carry out [S4].
Australia. ASIC's Professional Registers search lets you find a person or organisation registered or licensed with ASIC to provide a service; ASIC advises checking what they are licensed to do, such as provide advice or offer investments. Its financial advisers register shows where an adviser has worked and the products they can advise on [S5].
Elsewhere, use the official register of the regulator in the manager's jurisdiction, and make sure the name, address and registration number match the entity that will hold your agreement.
Step 2: Get the manager's written performance record
Ask the manager for a written record of past performance. Check whether it names the trading program, says when the manager and the program began trading, shows monthly returns and drawdowns, and states how current the figures are. If any of these is missing, ask why.
Step 3: Ask whether returns are net of all fees
Ask the manager whether the returns shown are net of all fees and expenses, including management and performance fees. When you compare a headline number with any other record, make sure both are calculated the same way.
Step 4: Read the risk, not only the return
A total gain says nothing about the path. Look at the largest drawdowns (how deep the losses went and how long recovery took) and at how many years the record covers; a short record has been through fewer market conditions. We do not suggest a "good" drawdown or Sharpe ratio threshold. For the measures themselves, see drawdowns explained, the Sharpe ratio and standard deviation.
Step 5: Check third-party trackers, and what "verified" means
Some third-party trackers label accounts as "verified". Read the tracker's own help pages to see exactly what its label checks. A broker-connection check does not tell you whether the manager is registered with a regulator, whether the account holds client money, or what will happen next, so use it alongside Steps 1 to 4.
Hypothetical, simulated and backtested results
Ask whether any results shown are hypothetical, simulated or backtested rather than from real client accounts. Such results are not a record of actual trading and should be compared only with other actual results.
A due-diligence checklist
| Check | Where to look |
|---|---|
| Look the manager up on the NFA BASIC register [S2], and for US securities brokers or advisers, FINRA BrokerCheck [S3]. | NFA BASIC, BrokerCheck; outside the US, the FCA or ASIC registers [S4][S5] |
| Program, start dates and track-record length are stated | Manager's written performance record |
| Monthly returns and drawdowns are shown | Manager's written performance record |
| Returns are stated net of all fees | Ask the manager |
| Any hypothetical or simulated results are clearly labelled | Marketing material |
| Third-party record's "verified" label understood | Tracker's own help pages |
Common questions
How do I verify a forex trader's track record?
Confirm registration first, then match the manager's monthly returns and drawdowns against an independent, broker-linked record, and ask whether returns are net of all fees. Follow the five steps above.
How do I check if a forex manager is registered with the NFA?
Search the firm and individual names in NFA BASIC, a free tool for researching derivatives industry professionals [S2].
Is a Myfxbook verified track record trustworthy?
Read Myfxbook's own help pages for what its verification checks. A broker-linked history is not a registration check, so still complete Step 1.
What should a forex track record include?
It should show the program, when trading began, monthly returns, drawdowns and how current the figures are. See our full inventory.
What is the difference between hypothetical and actual performance?
Hypothetical results come from a model or backtest, not real accounts, so they are not a record of actual trading.
Are forex account managers regulated in the US?
Advising others for compensation on retail off-exchange forex is part of the CTA definition, and registration is required unless an exemption or exclusion applies [S1].
Sources
Access dates below are the dates each page was fetched.
- [S1] NFA, Who Has to Register (accessed 24 Oct 2026)
- [S2] NFA, BASIC (accessed 24 Oct 2026)
- [S3] FINRA, BrokerCheck: loaded (HTTP 200, 2026-10-24); content not read
- [S4] FCA, Financial Services Register (page last updated 13 Feb 2026; accessed 24 Oct 2026)
- [S5] ASIC, Search ASIC registers (accessed 24 Oct 2026)
- [S6] Myfxbook Help, Verification: not read (403 on 2026-10-24)