Any trader who feels confident trading on Forex can become a manager of a LAMM account. It is simple and does not require any additional investments. History of the manager’s LAMM account is displayed in the managers' rating. Individual investors, who usually are beginner traders, can study the rating and then choose the manager whose trades they would like to “copy”. The manager profits from the fee he/she sets for his/her services.
An investor can always check the manager’s actions in real-time.
This service benefits both managers and investors. The manager doesn't have to worry about the number of investors connected to the account as he/she only trades using own funds. The investor doesn’t transfer the funds to the manager's account, which ensures additional security.
Investors can independently specify the amount of funds and monitor every trade being copied. Moreover, the investor can connect the account to several managers to diversify the portfolio and minimize risks.
LAMM account is basically a new improved version of PAMM accounts. The main difference between LAMM and PAMM is a way of profit allocation and risk management capabilities.
PAMM - a percentage allocation management module; LAMM - a lot allocation management module.
Advantages of LAMM Accounts in Grand Capital
Investor's funds are not being transferred to the manager's account and stay on the investor's account all the time.
An investor can manage the risks by setting the amount of funds reserved for LAMM trading.
An investor can disconnect from the manager's account or cancel the deal at any time.
The manager can choose the desirable type of compensation: fixed commission or a certain percentage from the investor's profit