Do you have any other Questions?

Check all types of forex-related FAQ sessions with connexar capital.

Click Here.

What Is a PAMM Account?

A PAMM (Percent Allocation Management Module or Percentage Allocation Money Management) account is a type of forex trading account offered by Connexar Capital Ltd that allows traders to invest in a portfolio of trades managed by an experienced trader, called a Money Manager.

In a PAMM account, the Money Manager trades a single account that holds the funds of multiple investors, and the profits and losses are allocated among the investors based on their proportional investment.

Note: Design the image based on the below Ex: $10,000



For example
  • PAMM Managers X, Y, Z.., etc
  • Investor: Balance $10,000
  • Investors Allocated funds to “ X “ PAMM account to 10% from his capital: $1000 to X
  • Investors Allocated funds to “ Y “ PAMM account to 5% from his capital: $500 to Y
  • Now depending upon the performance of PAMM Account Managers Investors will get the returns from the capital which they allocated.
  • X - Returns +10% $100 ( 10% from the capital $1000)
  • Y- Returns -5% -$25 ( 5% from the capital $500)
  • Gross Returns: $75 ( +$100 returns from X and -$25 from Y)
  • Note: Net returns may vary depending upon the profit share from the pamm account managers.
  • In the above Example: X- Profit share is 10% and the Y-Profit share is 10% X - profit share Connexar capital automatically allocated the share to the money manager that is $10 from the profit
  • Y - In the above example “Y” Manager didn’t make a profit, and met with a loss, therefore, losses can’t be shared by the money manager, as terms Investors have to agree on the losses made by the account manager.
  • Net Returns for investor : $65 → (Gross Return$75 - $10 “X” Profit Share)
  • PAMM accounts can offer investors the opportunity to benefit from the expertise of experienced traders, without having to spend time and effort managing their own trades. However, it is important to note that investing in a PAMM account is not without risk, and investors should carefully consider the track record of the Money Manager and the terms and conditions/Read the FAQ of the account before investing.

PAMM Account Top Features

img

Risk Management: Professional fund managers are responsible for managing the risk associated with PAMM accounts, and they typically employ a range of risk management techniques to protect investor capital.

img

No Trading Experience Required: PAMM accounts are designed for those who have limited or no experience in forex trading, as the fund manager will handle all aspects of trading.

img

Low Minimum Investment: PAMM accounts typically have a low minimum investment requirement, making it accessible to a wide range of investors.

img

Pooled Funds: PAMM accounts involve pooling funds from multiple investors, allowing for larger trades and potentially higher returns.



Note: It's important to note that PAMM accounts are not without risks, and investors should thoroughly research the fund manager and their track record before investing. Additionally, past performance is not a guarantee of future results, and there is always the risk of losing money in the forex market.


FAQ

  • What is a PAMM account?
    • A PAMM account (Percentage Allocation Management Module) is a type of investment service offered by some forex brokers that allows traders to invest in the forex market through a professional fund manager.


  • Can I get a Bonus in my PAMM investor account?
    • No, investors who participate in PAMM account and CCFT contest accounts are not eligible for the bonus program. 

  • Can I trade in a PAMM investor account?
    • Once you allocate the money to the money manager, you are not allowed to trade in the investor PAMM account.

  • How do I open a PAMM account?
    • ConneXar capital Ltd By default, it gives the PAMM Account option to all the clients. Once you have Sign Up to  www.connexarcapital.com, you will receive the complete login details for Client Portal  in Email. From there you can Login to the Client Portal using www.crm.connexarcapital.com

      There you can see the PAMM Management options -> there you can select Open PAMM List -> there you can see the List of PAMM Manager,

      with details of Name, Profit Sharing, Investment Date and End Date, Trading Start and End Date.



  • How do I invest in PAMM?
    • In Client Portal, PAMM Management -> Select PAMM Invest option. There you can see the Dropdown List box where you can see the List PAMM Manager Name will display -> you can select the PAMM Manager - > Then Enter the Amount to share for PAMM Manager, for Trading Purpose in USD.


  • How to add a Fund to Wallet?
    • Once you have deposited a fund to an MT5 Account, From the CRM Back Office you can Internal transfer the fund using the Deposit to Wallet option from My Wallet Tab..


  • How are the funds distributed to the PAMM manager through the wallet ?
    • From the CRM Back office dashboard, you have the PAMM Management tab, there you can select the PAMM Invest option there you can select the PAMM Manager, and Enter the Amount to trasfer for PAMM Manager.


  • What is a Wallet?
    • Wallets are created automatically when you open a ConneXarCapital account and can be used to make deposits, withdrawals, and internal transfers to and from your trading accounts and also to invest funds to PAMM Manager..


  • Can I join any time I wish to Choose PAMM Manager?
    • Each PAMM manager has different criteria, please read the PAMM manager's open date and exit date, depending upon the dates you can join.


  • What if I need money in between PAMM Trading?
    • Before Investing in a PAMM Account, the Pamm Manager will tell the Trading Opening and Closing Date, so you have to Wait till the Trading End Date. In Special cases, if PAMM Manager allows you to take back the amount if there is no order running on the Market.


  • How the profits are shared to the Pamm manager?
    • After the Trading End Date, PAMM managers have an option to Share Profit, based on profit sharing with the client and PAMM Manager the amount will automatically transfer to both client and PAMM Manager Wallet.


  • Can Investors able to trade in a PAMM account?
    • No, the Investor cannot trade in a PAMM account once the funds are distributed


  • Could I contact the PAMM Manager?
    • ConneXar Capital disabled the PAMM manager's personal details, however, you can send request mail if the PAMM manager responds then the investor is able to communicate. 


  • Can I change the Account type in between PAMM Account trading?
    • Yes, you can change the account type, as the funds once distributed to a PAMM account as long as the investor account if there are no open traders you can give a request to change the account type.


  • What if the PAMM account manager makes losses?
    • As you agreed to bear profit and loss, if the PAMM manager makes profit or loss its investors as agreed to bear risk up to a certain percentage as been agreed on, before investing you can make an analysis about the PAMM manager, and then you can invest. 


  • Can I select more than one money manager?
    • Yes, You can select multiple money managers as you wish.

  • How does a PAMM account work?
    • A PAMM account works by pooling funds from multiple investors and having a professional fund manager trade the combined funds in the forex market. The fund manager/money manager is responsible for making all trading decisions and managing the risk associated with the account.

  • What are the benefits of investing in a PAMM account?
    • Investing in a PAMM account offers several benefits, including access to professional fund management, the opportunity to diversify your investment portfolio, complete transparency, and low minimum investment requirements.

  • How do I choose a PAMM account to invest in?
    • When choosing a PAMM account to invest in, it's important to research the fund manager's track record, trading style, and risk management strategies. You should also review the account's historical performance, fee structure, and any minimum investment requirements.

  • What are the risks of investing in a PAMM account?
    • Like all investments, there is always the risk of losing money in a PAMM account. Additionally, the performance of the fund manager can be impacted by market conditions, changes in their trading strategy, and other factors. It's important to thoroughly research the fund manager and their track record before investing.

  • Can I withdraw my funds from a PAMM account at any time?
    • Yes, you can, typically withdraw your funds from a PAMM account at any time, a check if there are any open trades before withdrawing the profits, or deposit that there are no open trades you can withdraw at any time if there are open trades in case of emergency you can write a mail to support@connexarcapital.com, will help you close the open trades within two business days and you can proceed for withdraw, however, money managers have the contract for a certain period usually a month Eg: if the contract period setup by money manager for 25 days, in every 25 days whatsoever the profit/loss distributed to the investors.

  • How will the profit/loss be distributed?
    • Money managers might have a certain contact period usually 30 days (not more than 30 days) If the money manager sets the contract period of 25 days, then every 25 days whatever the profit or loss will be distributed to the investors. For Eg Profit: if the investor started with $1000, the money manager made 10% ($100) profit and the money manager charges 20% ($20) profit from the trades then the profit of $80 will be distributed to investors and $20 profit share distributed to fund manager by connexar capital ltd. For Eg Loss: If the money manager makes a loss from the trade Eg: a 10% loss, then there is no loss sharing by a money manager, the 10% loss needs to bear it from investors, therefore, $100 will be deducted from the investor's account.

  • Is there a minimum investment requirement for a PAMM account?
    • The minimum investment required for a PAMM account can vary depending on the broker and the fund manager. Some brokers may have a minimum investment of $100, while others may require a minimum investment of $10,000 or more.

  • Is my capital safe in a PAMM account or what Percentage of risk is involved?
    • While choosing a fund manager you need to check their past performance history, however, future cannot be predicted, therefore connexar capital ltd provides the opportunity for the investors choose the risk percentage what they want to allocate: Eg: Investors can choose 15% maximum risk from the capital means whatever the market, when the it reaches 15% capital loss, then the investor money will be pulled back from money manager, therefore 85% of capital will be safe.

  • Where can I see the fund manager's performance?
    • At present we offer Copy Trades where you can see the performance of fund manager performance, You can check the performance list as well as you can select the money managers list. 

  • Should I be able to contact the PAMM manager?
    • No, you are not allowed to contact the fund manager, only you can check the performance and then you can select the money manager as you wish. 

  • Is there any contract made between the investor and the money manager?
    • Yes, Connexar Capital Ltd offers a contract between investors and money managers, there investor can choose how much risk willing to take, profit share, contract period(not more than 30 days),..etc

  • Am I responsible for the trading loss?
    • Yes/No- If you make a profit/loss it will reflect in the performance list, as you are not responsible for trading loss however when you lose, you might lose clients in the future.

  • Am I need to pay any commission or profit share to connexar capital ltd?
    • As we offer the PAMM software connexar capital Ltd we charge $1 Extra per standard volume, therefore no other charges from connexar capital.

  • What are the charges I can mark to investors?
    • Volume Fee and Profit Sharing there are two types of charges you can make for your clients

  • What is the maximum Volume fee and Profit Share I can markup?
    • Volume Fee: Volume fees are charged per trade, this volume fee you have to take the benefit under you, or else you can offer this to Introducing Partners. Upto $3 rebate connexar capital ltd offers that depends upon the Introducing partners business proposal to connexar capital ltd
      Profit Share: You can charge a maximum profit share from the investors up to 40%, monthly once connexar capital ltd will check the account balance process, whatever the profits from that up to 40% profits allocated to you.

      Can I charge differentiated profit share to the Investors?
      Yes
      , you can charge different levels of slap to the investors.

      Eg: Investor X : Invested $10,000, Profit Share 10%
             Investor Y : Invested $5000, Profit Share 15%
             Investor Z : Invested $1000, Profit Share 30%

      Note: In the above example, let's assume, at the month's end you made a profit of 10% in the PAMM account,
       
      X Profit: $1000-Profit Share $100
      Y Profit $500-  Profit Share $75 
      Z Profit $100 - Profit Share $30
      The total Profit amount from the PAMM account manager $205 will be distributed to your mt5 account.



  • What is the minimum lot size I need to maintain?
    • It's important for money managers to know the appropriate volume for the PAMM account, The minimum volume for the PAMM account, if the pool size of the account is $1000, then you need to use 0.01 volume for the PAMM account.
      For Eg: The minimum Volume requirement for the PAMM account.

      PAMM account $1000 - 0.01 Volume required
      PAMM account $5400 - 0.05 Volume required
      PAMM account $7800 - 0.09 Volume required
      PAMM account $10,000 - 0.10 Volume required
      PAMM account $50,000 - 0.50 Volume required

      Note: Above example indicates for Equity, If you enter less than the appropriate volume, then the investor's account wont get equalized volume splits, the maximum volume is 500.00 per single trade.

  • During the open trades, if new investors are allowed to join?
    • Yes, you can invite the new investors during the open trades, however, the old trades wont affect the new investors, however, the new trades will have an entity for the new investors.

      Note: Whenever new investors are added, check the minimum volume requirements. minimum volume requirements. When do I get the profit share from the investors?


  • What If It is more than the risk limit?
    • Each investor might have a different type of risk that might be allocated,

      For Ex: Investor X allocated risk 10% and Investor Y allocated 15% risk,, etc in these cases, whichever risk limit was allocated from the investors, the investors account will be removed if it met with risk limit, If the above example if you met 10% loss, then Investor X will be removed automatically from the PAMM account

  • Can I get a Bonus for the PAMM account?
    • No, PAMM account/investors who participate in PAMM account and CCFT contest accounts are not eligible for the bonus program.

  • Will Connexar Capital Liquidate or terminate PAMM's manager?
    • ConneXar Capital may liquidate PAMM Accounts in any of the following events:

      A low indicator level in the PAMM Account monitoring (the account will be liquidated automatically, without prior warning).

      Fraud is suspected (with a prior warning).

      No trading activity for an extended period of time (with a prior warning).

      If the manager failed to comply with the legal documents rules with prior warning, it is arbitrage trades/high frequency/latency trades/hedge in different types of accounts and making latency trades, then without prior warning PAMM manager will be terminated.



  • How and When Connexar Capital liquidates a PAMM Account?
      • All open positions will be closed at the current market price. If the position is on a session-traded instrument, it will be closed at the last market price.
      • All pending orders will be deleted.
      • The manager will be blocked from completing any further trades on the PAMM Account (the PAMM Account will be in "inactive mode").
      • A notification of the liquidation will be posted on the Connexar Capital site or Login Portal.

  • As an Introducing Partner, am I allowed to trade in PAMM accounts?
    • If the IBs are the same as the money manager then they are allowed to trade, as an agreement is made between investors and the money manager, if the IBs are different from the money manager then IBs are not eligible to trade. 

  • Do I have to wait 30 days for my Volume commission as a PAMM manager?
    • No, Your volume fee is instantly credited, anytime you can place a request for withdrawal,

  • Can I change the PAMM manager as I referred the investor?
    • No, The selection of the PAMM manager by Investor Choice. 

Business Planning

  • Investor: Investors can allocate the funds by choosing segregated fund managers
  • PAMM Manager: Money Managers got the opportunity to prove their skills and brand their performance to Investors and grow mutually along with investors.
  • Introducing Partner: The referral Partner gets a bridging partner between Investor and Money Managers, and enjoys the benefit of commission as well as profit sharing if the money manager agrees.

Connexar Capital Ltd offers Welcome Bonus, Click here to learn more about it

Free $50 you opt and enjoy the real trading experience, Click here to explore the NBD Bonus program

If you are a trader, you can prove your skills to the investors, participate in the trading challenge and win existing benefits, Click here to participate.

St.Vincent Incorporation


bank-transfer

ConnexarCapital Ltd is incorporated under the jurisdiction of Saint Vincent and the Grenadines.

U.K Incorporations


escrow services

ConnexarCapital Ltd is incorporated under the jurisdiction of the U.K companies house, London.

License under FCA


bank-transfer

ConnexarCapital Ltd going forward in the future process of FCA regulation.