FOREX * PAMM

managed forex accounts

Services

The FOREX*PAMM offers managed forex accounts.

In a managed account your investments are taken care of by experienced traders. If you do not have the expertise to invest in forex trading, they take care of your money so that you earn profit. You will have complete access to your account either through an online report viewer or the trading platform. Here you can view the account, check the balance and activities, though, you will not be able to place any trades. As the trader cannot transfer your money, deposit, or withdraw your funds, your investments are fully secured.
The account is set up directly with the brokers who clears transactions and handles transfers, deposits, and withdrawals. You need to sign a limited power of attorney to allow a professional money manager to trade on your behalf.
Opening a forex managed account is really simple. Select the broker, open their website and find out the right type of account. Fill in some personal detail, transfer the initial sum and you are ready with your managed account.
There is no 'lock-in' period for which you must keep your money in the forex managed account. There is no penalty for withdrawing either. Withdrawing money from your forex managed account is also simple. If you do not withdraw profits, you can reinvest them again, compounding your profit.
The only fee you have to pay is the performance fee. It is based on net new month's profits (high water mark) only and is deducted from the account monthly. A high watermark is the previous high in the account-participant's account (adjusted for deposit, withdrawals, and fees). It ensures that the fees are only deducted based on new performance, rather than just recovery from poor performance. In other words, if an account loses money over a period, the account must first recoup previous losses and then any profit above the high watermark is subject to a performance fee.

Brokers and Performance fee

Broker	Minimum deposit, USD	Management type	Performance fee
Alpari NZ	1 000	PAMM	25%
FXDD	1 000	PAMM
FXCM UK	10 000	PAMM
MIG Bank	10 000	PAMM
Dukascopy	10 000	PAMM
Other brokers	50 000	individual

How to open a managed account (instructions)

High risk warning

FOREX IS A HIGH RISK INVESTMENT. Trading in the foreign exchange markets on margin carries a high level of risk, and may not be suitable for all individuals. The high degree of leverage offered in the Forex markets can work against you as well as for you. Before deciding to trade in the foreign exchange markets you should carefully consider your investment objectives, your level of experience, and your risk appetite. The possibility exists that you could sustain a loss of some or all of your equity and therefore you should not invest money that you cannot afford to lose. Only true discretionary cash should be used in trading. You should make yourself aware of all the risks associated with foreign exchange trading and seek advice from an independent financial advisor if you have any questions or concerns as to how a loss would affect your lifestyle.