You can invest money in Forex if you invest it in PAMM accounts. A PAMM account is a trust management option in which the trader manages the investor's capital, receiving a percentage of the profit from successful trading.
Instructions
Step 1
It is not difficult to become an investor, if you only have money. Today, an alternative to such popular investment options as a mutual fund (mutual investment fund) is presented on the international currency market Forex. We are talking about PAMM accounts. What is it and how to make money with their help?
Step 2
More recently, investors transferred their money to managers in the markets, and they added it to their deposit and traded. But this principle of operation was not devoid of drawbacks. In particular, the manager could not manage his client's money, moreover, there were problems with the redistribution of profits. Today traders have trading deposits or PAMM accounts with the ability to create an offer for investors. Each offer has its own set of rules, but the main condition for its creation is the redistribution of profit between the manager and the investor in percent, the value of which is determined by the amount of funds invested.
Step 3
If you want to invest in Forex, you need to register on the website of the selected broker, open a trading account or personal account, top up your balance and choose from the options provided those managers whom you consider the most promising. For each PAMM account, you need to select and accept the offer and then transfer the desired amount to the manager's account.
Step 4
Try to distribute capital across multiple PAMM accounts. This will minimize the risks. That is, if one manager shows a negative result, successful trading on other PAMM accounts of the investment portfolio will allow to level out the overall profitability. Do not transfer money to a manager you do not know about. Study the information and reviews on the work of this trader on the Internet. It is advisable to be "savvy" in financial matters yourself and, at least, to complete courses for novice traders.
Step 5
Check out all the possible investment options. Give preference to those PAMM accounts that have been operating on the market for at least half a year. In addition, such a criterion as the maximum drawdown is of great importance. The lower this figure is, the more profitable for the investor. As for the profit distribution process, it occurs at the end of the trading period set by the trader. As soon as the time comes to settle, the system will automatically distribute the profit between all investors and the manager himself in accordance with the accepted offer. The main advantage of this investment method is that the broker does not charge an investor commission for the opportunity to use his investment system.
