What is the difference between PAMM and MT4 Trade Copier and which software is better for money managers and investor? A percent allocation management module, or PAMM, which may also be referred to as percent allocation money management, describes a software application used predominantly by foreign exchange market (forex) brokers to allow their clients to attach money to a specific trader managing one or more accounts appointed on the basis of a limited power of attorney. PAMM solution allows the trader on one trading platform to manage simultaneously unlimited quantity of managed accounts. Trade Copier – software allows you to copy orders from one or several master accounts to one or several sub‐accounts. Newbies don't know much about trade copier, so that's why they always use PAMM accounts. Sooner or later traders will start using trade copier, there are so many traders who are already doing the trading with copier. Advantages of trade copier vs. PAMM for Manager 1. 2. 3. 4.
You do not need to invest own money; Your clients can have accounts with different brokers; More features; You can use different filters and settings for each customer/broker/group of customers.
Advantages of trade copier vs. PAMM for Investor 1. Trader can always copy the trades of successful trader who has a good past performance and track record and most of their trades are successful and they make good profits; 2. Trader can stop copying any time 3. Trader can control trading conditions, change broker, etc. The Best Trade Copier Some brokers offer copier to follow successful traders. Some of the deals are usually late. That is why you might have a great slipping. You might be unable to control trading conditions and usually broker is interested that you lost. For this reason, the best way is to use your own independent trade copier. The most important parameter of trade copier is copying latency (delay). For this reason in my opinion the best copier is PowerTradeCopier ( http://multiterminal.net ). This copier has no delay and you do not need to run MT4 terminals. Copier allows you to copy trades not only from MT4 to MT4, but from MT4 to JForex (DukasCopy), FIX API broker like Currenex.