If Oanda didn't take advantage of the fact that their clients account receive interest on deposits, here is one theory which I think that explain why they have better results.
In generally speaking, what a newbie(unprofitable "trader") want?
BIG leverage.
And... what maximum leverage did Oanda offered ?
50:1
What does a big (real)leverage mean for someone who is trading?
High exposure and inability to manage the risk properly.
What does this mean?
They are losing money because of an poor trading plan.
Bottom line: newbie who don't have enough experience(lose money overall), want big leverage and... Oanda don't fit in this category, in fact Oanda promoted low leverage.
Newbie didn't liked Oanda because they didn't offered high leverage (see fxpro or other "honest brokers" who offered 400:1 or so... )
This created a incompatibility between inexperienced traders and Oanda.
While on the other hand, traders who are better at this business and who understand how leverage influence their trading, liked Oanda more... .
So, it was something like a... "natural leverage selection".
PS: For those who don't know, a "proper trader" rarely exceed a real leverage of 15:1 (of course there are exceptions). But, no need for the blow minding 400:1 which some bucket shops offer.
regards.
In generally speaking, what a newbie(unprofitable "trader") want?
BIG leverage.
And... what maximum leverage did Oanda offered ?
50:1
What does a big (real)leverage mean for someone who is trading?
High exposure and inability to manage the risk properly.
What does this mean?
They are losing money because of an poor trading plan.
Bottom line: newbie who don't have enough experience(lose money overall), want big leverage and... Oanda don't fit in this category, in fact Oanda promoted low leverage.
Newbie didn't liked Oanda because they didn't offered high leverage (see fxpro or other "honest brokers" who offered 400:1 or so... )
This created a incompatibility between inexperienced traders and Oanda.
While on the other hand, traders who are better at this business and who understand how leverage influence their trading, liked Oanda more... .
So, it was something like a... "natural leverage selection".
PS: For those who don't know, a "proper trader" rarely exceed a real leverage of 15:1 (of course there are exceptions). But, no need for the blow minding 400:1 which some bucket shops offer.
regards.