The Alpari 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.
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.
Want to invest funds in a PAMM Account or become a PAMM Account manager?
One way a PAMM manager can work on developing his PAMM Account is by bringing in a partner to help out. The partner doesn't trade on Forex and doesn't participate in the PAMM Account management. There are two types of partners a manager can recruit:
An Acquisition Partner helps bring in new investors to the account. They are paid a percentage of the manager's compensation for each client they refer.
An Auxiliary Partner can help in other facets of the PAMM Account: analysis, marketing and advertising, etc. They are paid a fixed percentage of the manager's total compensation from investors.
Any Alpari client can take part in the PAMM Partnership Programs after signing up in myAlpari. A partner can then get in touch with the manager and agree on the percentage they will be paid.
Past returns on the PAMM Account are not a guarantee of future profits.
Alpari offers the PAMM Account as a service for managers and investors, but is not involved in the management of the account.
Alpari will not be held responsible for any of the investment decisions made on PAMM Accounts.