GO Markets Introduces PAMM Service
GO Markets has launched a PAMM (Percentage Allocation Management Module) to connect aspiring traders with experienced money managers.
Key Takeaways
- The PAMM platform offers a hands-off trading solution
- Investors share funds with a money manager who trades on their behalf
- The minimum deposit to access the PAMM Investor Account is $500
How PAMM Works
PAMM is a service that allows investors to assign a portion of their capital to seasoned traders. These money managers then trade the pooled funds.
Investors will pay a performance fee in the form of a percentage of any profits. The remaining balance is then returned to investors based on their share of the pooled funds.
Example
Let’s assume that three traders contribute to the pool, alongside a fourth trader who is the money manager. The sum of all funds in the pool:
- Trader 1: $1000 (10%)
- Trader 2: $2000 (20%)
- Trader 3: $3000 (30%)
- Money Manager: $5000 (50%)
- Total: $10,000
Following the agreed trading term, the money manager makes a 25% profit ($2,500).
The money manager then takes a 10% performance fee from the profits ($250).
The remaining balance of $12,250 is then distributed back to the traders based on the percentage they contributed:
- Trader 1: $1,225 (10% of $12,250)
- Trader 2: $2,450 (20% of $12,250)
- Trader 3: $3,675 (30% of $12,250)
- Money Manager: $6,125 (50% of $12,250)
Note, the performance fee may vary and will be available, alongside any additional costs, upon sign-up.
Getting Started
To use the new PAMM service, sign into the GO Markets client portal. You can then register as a Money Manager or Investor.
Investors can choose Money Managers based on various metrics, including performance, trading style and risk.
Fund your PAMM Investor account with at least $500.
About GO Markets
GO Markets is an award-winning broker regulated by the ASIC, CySEC and FSC.
The ECN/STP broker offers 600+ instruments spanning 6 asset classes, including forex, stocks, indices, commodities and cryptocurrencies.
The customer support team are available 24/5 via live chat, telephone and email. Account managers are also on-hand to help new clients get started.
