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If you are interested in trading currencies but are worried about the amount of work it might entail, then a managed forex account may be just what you are looking for. This is also called a MAM account, which allows you to immerse yourself in buying and selling currency pairs, without having to personally execute trades yourself.
This is where a knowledgeable trader comes in. In other words, they will manage your investments so you don’t have to. In this Traders Union article, experts will take a closer look at what managed forex accounts are and, in particular, how Learn 2 Trade MAM can help you take your trading efforts to the next level!
What is a managed forex account?
Managed forex accounts allow you to invest funds through a qualified forex trader. This trader will not only give you access to a multi-million dollar market, but will also place trades for you. Not only will this save you a lot of time, not to mention research and planning, but it will also save you a lot of time and stress. If you are new to forex trading, this is another reason to choose a managed forex account. Account management in forex plays an important role in the investment process. Studying the financial markets can take years to get to grips with all the technical analysis, statistics and detailed price charts.
You don’t have to worry about placing trades or time to market — all you have to do is deposit the minimum investment amount specified by your broker. Now all you have to worry about is deciding which trader will do the bidding for you. The trader will, of course, ask for a discount. According to traders union managed forex account accelerates you into the world of forex trading without any extra effort. After all, it is their hard work and skill set that helps you make those gains. The percentage will vary from trader to trader, and we have found that in general it is between 10% and 50%.
Percent Allocation Management Module — translates to Percentage Allocation Management Module. A managing trader opens a PAMM account and deposits his or her own funds into the account. These funds are known as “Manager’s Equity” or “AM” for short. This is the money that the manager is risking as much as the investors in the trade. At the same time, the manager creates an offer which states the conditions under which investors can connect to the account. The minimum amount to invest is a percentage of the profits that the manager receives as remuneration.
Our rating and honest feedback from traders will help you choose a reliable broker that offers PAMM investing opportunities. The investor chooses the manager according to his trading statistics, the manager’s capital and the conditions of the offer. In case of profit, it is distributed between the manager and the investor according to the offer (see below for an example).