Investing in PAMM accounts is attractive to many people who have a certain amount of free money. It provides an opportunity to regularly receive a stable income, without taking a direct part in the currency trading process. The average profit from these investments reaches 30%, which is much higher than bank rates on deposits. However, there is a deterrent that manifests itself in the fear of losing your capital. It is not necessary to deny that the risk of trading in stock markets is always associated with high risks. No one has yet succeeded in getting rid of them, but there are a number of ways to minimize the risks of financial losses. One of them is aimed at choosing a successful and reliable PAMM-account manager. The trade losses of its investors fully depend on this person. There are a lot of traders, but from all the large list you need to choose those dealers who trade at Forex for at least 5 years, and their experience in the status of manager reaches 2 years. During this time, the trader will learn to manage a large deposit and will adjust his trading strategy in accordance with the new terms of trade. The next thing you need to pay attention to is the profitability that the trader brought to his depositors. The profit index from 30 to 50% will testify to his successful activity. It is also important that the income be stable throughout the period under consideration. This indicates a good and well-functioning work of the trading system used by the PAMM-account manager (for more details, see the article “Investing in PAMM-accounts – risks, diversification, reviews). Taking care of the safety of their capital, the investor in the PAMM-accounts must necessarily clarify whether the trader establishes a stop-loss when trading. The information on the magnitude of possible losses is also important. It is desirable that this indicator does not exceed 15% of the transaction amount. It does not hurt to ask what amount of money in the PAMM-account belongs to his manager. There is such a pattern that the larger it is, the safer the investors money is. A more complete picture of the human qualities of a trader can be obtained in the process of talking with him. If a potential investor is given such an opportunity, he must use it.
A trader can be trusted if in the process of communication he behaves friendly and openly and in detail answers all the questions asked.