How are profits distributed in the PAMM system?
Profits and losses in a PAMM account are distributed among investors proportionally based on their respective investment amounts. The Investment Manager receives a performance fee from the profits, in addition to their share of the investment profits.
Profit Distribution
When a PAMM investment generates a profit, the profit is distributed among investors based on their respective investment amounts. The Investment Manager receives their share of the profits, together with the applicable performance fee.
Loss Distribution
If the PAMM investment results in a loss, the loss is distributed among investors proportionally based on their investment amounts. No performance fee is charged when losses occur.
Distribution Timing
- Profits or losses are distributed at the end of each trading round. A trading round may last for days, weeks, or months, depending on the trading strategy used by the Investment Manager.
- After the trading round ends, the Investment Manager may initiate the next round of trading
Important Information
- The PAMM Manager account is responsible for allocating profits to investors through the PAMM Master Portal.
- Investors can withdraw funds only after the funds have been transferred back to their Investor Account with PAMM Master approval.
- Once the funds are available in the Investor Account, withdrawal requests can be submitted through the Client Portal.
- When funding a PAMM investment, funds are transferred from the Investor Account to the PAMM Trading Account, after which the investment is managed automatically.
