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How Do PAMM Accounts Work? What is PAMM Account?
Category: Article - 2015-11-07

PAMM Account is an investment service that gives investors the chance to make money without trading themselves on Forex and allows managers to earn additional income for managing client funds.

 

The Basic Idea Behind the PAMM Account

A manager opens a PAMM Account, allocating a certain amount of his initial investment as the Manager's Capital. He will be unable to withdraw from this amount (an additional incentive for the manager to demonstrate caution in his trading). Next, he designs his Proposal, in which he lists the terms for investors. This includes the percentage of their share of the profit they will pay him in compensation.

Investors search through the PAMM Account Ratings to find the account they would like to invest in.

The manager begins making trades on the account using both his personal capital and the funds of his investors. Profits and losses on the account are divided among the manager and investors, based on their share in the account.

 

How a PAMM Account Works

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