Real profitability of a PAMM account
Trading on the stock exchange is quite challenging; training and practice can take years before you can
earn a stable income.
But even after becoming a professional trader, no one promises an easy life; working under constant pressure requires a great deal of mental effort.
This is precisely why many investors prefer investing in PAMM accounts over independent trading.
What is the real return on investment accounts? How much net profit do investors receive?
PAMM brokerage companies has shown that the figure is quite high.
The manager rankings include record-breakers with returns of over 1000% relative to their initial deposit. However, it should be noted that these are monthly profits, and not all months are alike.
Therefore, if we look at the average annual PAMM return rates, we get a completely different picture.
Those who have earned 1000% per annum are quite rare; most traders achieve results of 60-150%. But even this is impressive, considering we're talking about hard currencies.
How much will an investor actually receive from the profit?
It all depends on the individual terms set by the account manager. Most work on a 50/50 basis, meaning 50% for the investor and 50% for the manager. Under these conditions, it's possible to earn 30-75% per annum, depending on the manager's choice.
And that's without particularly risky traders, who can make up to 1000% in a month, but who are just as likely to wipe out your deposit.
Most managers differentiate their approach to investors based on the investment amount: the more you deposit into a PAMM account, the lower the manager's commission. This option allows you to receive up to 80% of the total profit.
The best approach is to intelligently distribute funds among 10 managers; the investment portfolio should consist of both highly profitable accounts and those that have shown stable, but lower-yielding results over a long period of time.
This approach will allow you to hedge against risks and achieve a normal level of return of 100% per annum.

