What is MT4/MT5 PAMM?

Brokeree PAMM is an investment system that allows traders to follow the strategies of skilled money managers by investing in shared PAMM accounts.

How does a PAMM system work for brokers?

In a PAMM system, brokers designate money managers to trade pooled capital, with the system automatically distributing profits and losses according to investor shares.

What is the difference between PAMM and copy trading?

Unlike copy trading which copies trade signals, PAMM distributes profits from a shared account managed by a money manager after trades close.

Can PAMM be used to start a hedge fund?

Yes, with the PAMM system brokers can automate investor registration and profit sharing, enabling the launch of asset management operations.

How can PAMM increase a broker’s trading volume?

PAMM encourages capital retention and increased trading by allowing investors to entrust funds to profitable managers.

MT4/MT5 PAMM | Brokeree Solutions

What is PAMM?

PAMM stands for Percentage Allocation Management Module (or Percentage Allocation Money Management) and is a specialized investment service integrated into platforms like cTrader, MetaTrader 4 (MT4), and MetaTrader 5 (MT5). It enables investors to allocate their funds to professional traders, known as money managers, who then manage pooled capital on their behalf.

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Why choose Brokeree PAMM?

PAMM benefits for brokers

Often, brokers choose the PAMM solutions to cover the following requests:

Attract new categories of clients by extending trading offers with money management services;
Increase trading volumes by implementing the shared funds run by the best traders;
Showcase best-performing clients via interactive charts and graphs on the website.

For investors

With the PAMM solution, traders enjoy new trading experiences, including the following features:

Join the trading strategy of profitable money managers;
Choose the most suitable money manager and make informed investment decisions via the advanced ratings and statistics module;
Maximize earnings with automating reinvestment;
Withdraw funds at any time without additional risks to other stakeholders.

For money managers

Manage funds of multiple investors via a single shared account;
Ensure transparency of profit sharing with automatic distribution of profits among investors;
Receive additional income with 5 different fees: performance, management, entry, and deposit/withdrawal fees.

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Profit distribution and commissions

Profit distribution

At each Rollover, trade results are allocated between investors and their money managers based on their respective shares in the PAMM account. The distribution amount is determined by calculating the current profit of the money manager’s trading account in MetaTrader or cTrader.

Commissions

Brokers may let money managers set, configure, and receive commissions on:

Early investor deposits and withdrawals;
Portfolio management;
Performance.

Reporting

Within the PAMM system, users may access their trade history on the web portals. Additionally, investors, admins, and money managers can request investment reports for specific periods. These reports can be conveniently delivered via email regularly, providing users with comprehensive insights into their investment activities within the PAMM system.

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Leaderboard widgets

PAMM has a built-in Ratings Module to provide investors with data about the trading performance of money managers. With this tool, brokers may effortlessly create custom widgets based on trading information of specified accounts or groups.

Generated widgets can be integrated into the brokers’ website, attracting visitors’ attention with interactive charts and graphs.

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Risk Management

Stop-Loss levels

The Stop Loss function may be applied to the acceptable investor loss generated by the money manager. The investment will be closed once the level is reached, and the remaining funds will be returned to the client’s trading account.

Automatic investor requests confirmation

If an investor requests the funds’ withdrawal, PAMM will notify the money manager about the planned operation. After the specified period of time, e.g., 30 minutes, PAMM automatically confirms such requests. Therefore, money managers may assess their trading strategy and modify open positions if necessary.

Partial trade close on withdrawal

When requested withdrawal may cause the PAMM account to go into a margin call or a stop-out state, PAMM may automatically close opened positions proportionally to the withdrawable share. Thus, other investors’ funds are protected by decreased overall exposure of the whole PAMM account.

Notifications

PAMM allows configuring auto email notifications on certain PAMM events to investors, money managers, and administrators.

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Cross-server investment

Brokeree’s PAMM solution simultaneously operates across several MetaTrader 4 and 5 and cTrader servers, enabling traders from different platforms to invest in each other’s accounts.

This way, the system unites all traders into one pool and establishes a new environment to interchange.

EXAMPLE:

A money manager operating on an MT4 account can receive investments from clients using MT5, cTrader, or even MT4 servers and vice versa.

Automatic rollover

The rollover process synchronizes data between the PAMM system and the MetaTrader and cTrader platforms. Rollovers are performed in regular intervals based on a predetermined timer or can be initiated manually by the administrator or money manager.

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For hedge funds

Hedge funds choose the PAMM solution to start their companies without massive investments into the technological infrastructure.

Automate investor registration via a web portal;
Automate profit sharing proportional to invested amounts;

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Integrated Trading Platforms

MT4 PAMM

MetaTrader 4 is most commonly associated with forex trading; it can be used to trade various markets, including forex, indices, cryptocurrencies, and commodities, via CFDs. Read more about solutions for MetaTrader 4.

MT5 PAMM

MetaTrader 5 is the latest generation of MetaTrader platforms. Key features of MT5 include web trading, algorithmic trading, mobile trading, and professional technical analysis. Read more about solutions for MetaTrader 5.

cTrader PAMM

cTrader by Spotware is an easy-to-use multi-asset forex and CFD trading platform that offers features like charting tools, advanced order types, level 2 pricing, and fast entry and execution. Read more about solutions for cTrader.

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Onboarding and tech support

Onboarding includes the installation of the solution in the broker’s demo environment and a series of presentations to go over the features of the solution to achieve the required brokers’ setup.

A customer success team, tech support team, and BDM work closely with a broker upon their requests to ensure smooth and efficient operations.

Besides support services, Brokeree Solutions provides clients with consultations and maintenance packages.