PAMM System

PAMM stands for [Percentage Allocation Money Management,] which is an investment system where multiple investors pool their money together, and a single expert (=PAMM Master) uses these funds to trade.
When profits are made, they are distributed to the investors according to their contribution ratio. This system allows investors to participate in trading without needing specialized knowledge.

A PAMM Master is an expert who utilizes the PAMM (Percentage Allocation Management Module) system to manage investors' funds in the foreign exchange (FX) market as a trader. They leverage their trading skills and experience to manage funds collected from multiple investors in a single PAMM account and trade those funds in the FX market.
PAMM Masters, holding a PAMM account, act as traders, applying their trading strategies to manage the investors' funds. Investors entrust their funds to these PAMM Masters, thereby enjoying the benefits of FX trading. The trader conducts trades on behalf of the investors, and the profits generated are distributed to the investors according to their share.This method of operation, conducted through international FX brokers, is considered to have a higher level of expertise than if investors were to trade on their own.Although using the PAMM system may incur fees, it offers investors the advantage of entrusting their funds to the knowledge and experience of PAMM Masters.The PAMM system is an attractive option for many investors, as it allows them to own an account while looking forward to profits generated through the operation of the PAMM system.

This method of operation, conducted through international FX brokers, is considered to have a higher level of expertise than if investors were to trade on their own.
They deposit their funds into their account and entrust it to a trader (money manager) who has a PAMM or MAM account, to be used for trading in the FX market.
A PAMM Investor is an investor who uses the PAMM (Percentage Allocation Management Module) system to manage their funds in the foreign exchange (FX) market.
PAMM Investors focus on the trading skills and track record of traders when selecting them, entrusting their funds based on confidence in the trader's management.
If the trader's transactions result in a profit, this profit is distributed to the PAMM Investors according to the amount they invested.
The PAMM system, offered through international FX brokers, is considered to have a higher level of expertise than individual FX trading, offering investors the advantage of relying on the knowledge and experience of traders to manage their funds.
However, the use of the PAMM system may involve fees.
PAMM Investors, while having their own account, can enjoy the benefits of professional trader management, making it an attractive investment option for many.
While there is a potential for profit, there are also risks associated with market fluctuations, necessitating careful consideration before investing.

The PAMM system can offer significant advantages, especially for small investors, due to its flexibility in allocation.
It manages clients' funds through the PAMM system, but actual trading is conducted using the industry-standard electronic trading platform, MetaTrader 4 (MT4).
MT4 allows for the use of Expert Advisors (EAs), facilitating the application of automated trading strategies.
This combination enables efficient and precise fund management, trading operations through an interface familiar to traders, and the execution of automated strategies.
Other advantages include:

Flexibility in Allocation

One of the greatest benefits of the PAMM system is the flexibility it offers in the allocation of funds. Unlike MT4, PAMM allows for accurate distribution of funds even in trades less than 0.01 lots. This enables investors to earn profits with small investment amounts, maximizing their trading opportunities.

Professional Management

Investors can entrust their funds to experienced PAMM Masters, benefiting from professional trading strategies.

Cost Efficiency

By pooling funds into a single account from multiple investors, the costs associated with management can potentially be reduced.

Transparency

The PAMM system typically operates on platforms that allow investors to check the performance and trading history of the master in real-time. This enables investors to stay informed about the progress of their investments at all times.

Diversification of Risk

Operating through a single account can potentially spread risk. This is because managers can employ a variety of strategies in their trading.

PAMM Masters choose Milton Markets not only for access to the cutting-edge PAMM system on the powerful MT4 platform but also for the ability to realize custom settings tailored to the specific needs of each PAMM Master.
Furthermore, depending on the structure of the PAMM business, our next-generation IB portal automatically calculates custom rebates, offering full control and providing a system for more appropriate management of investor funds.

At Milton Markets, we offer a PAMM system that allows you to become a PAMM Master and manage clients' funds.
As a PAMM Master, you can focus solely on trading without having to handle client registrations, deposits, withdrawals, or other administrative tasks.
Milton Markets facilitates this by collecting success fees on behalf of the PAMM Master, providing reports, and offering a management interface, allowing PAMM Masters to concentrate on what they do best: trading.

As a PAMM Investor, by investing in a PAMM managed by a PAMM Master, you gain access to the strategies of the PAMM Master and the advantages offered by the PAMM system provided by Milton Markets.
Investors only pay a fee* for the high performance of the PAMM Master, ensuring the most optimal conditions for the investor. This is the best way to guarantee favorable terms for investors.

*Fee: A high-water mark system is adopted. There may be cases where the performance fee through PAMM is zero.

A high-water mark refers to a point or level that indicates the highest value of an investment's achievement in the past.

Simply put, a high-water mark serves as a record of the highest profit an investor has achieved in the past. For instance, if you initially invest 1 million yen and it grows to 1.5 million yen, that 1.5 million yen becomes the high-water mark. Even if the investment's value later decreases, the high-water mark remains at its peak of 1.5 million yen.

This high-water mark is particularly important when calculating performance-based fees.A PAMM Master can only receive additional fees when they generate profits exceeding the high-water mark. This ensures that investors do not pay extra fees while their investments are below their peak performance, allowing them to pursue new profits with the PAMM Master without the burden of additional costs until surpassing the previous high-water mark.