Updated 3 months ago
What is the difference between PAMM and MAM account?
Both PAMM (Percent Allocation Management Module) and MAM (Multi-Account Manager) accounts allow investors to pool their funds and have a trader manage them, but they work in different ways. Here's a comparison:
Feature | PAMM Account | MAM Account |
Account Structure | Pooled funds into a single Master account | Allows multiple individual accounts with separate allocations |
Allocation Method | Proportional to the investor's initial contribution | Can be customised (fixed percentage, lot size, equity-based) |
Flexibility | Less flexible; all investors share in the same pool | More flexibility in how funds are allocated to sub-accounts |
Control Over Sub-Accounts | No control over sub-accounts, all managed as one | Control over individual sub-accounts and their allocations |
Profit/Loss Distribution | Distributed based on the percentage of contribution | Allocated based on predefined methods for each investor |
Complexity | Simpler to manage, with automatic profit-sharing | More complex, allowing more customisation for investors |
Customization | Limited customisation options | High level of customisation for account management |
The choice between a PAMM and MAM account depends on the client’s preferences and needs. For more information, you can always contact your Account Manager or our Client Services team, who will be happy to assist you further.