Best Brokers With PAMM Accounts

Contributor Image
Written By
Contributor Image
Written By
Rebecca Holden
Rebecca is an investment writer and broker analyst. She has evaluated dozens of brokers and trading platforms. Rebecca formerly worked in e-commerce where she helped grow the online presence of some of the UK's largest brands.
Contributor Image
Edited By
Contributor Image
Edited By
Michael MacKenzie
Michael is a writer and editor with over a decade in journalism and publishing. His niche lies in editing and fact-checking content in the financial services sector, with a focus on online brokers and trading platforms. Michael previously reported on politics and economics in the Middle East and edits books for established publishers.
Updated

PAMM (Percentage Allocation Management Module) brokers allow you to invest a percentage of your money with a selected trader. This trader uses both their own and investors’ funds to trade, typically forex, with profits or losses shared based on each investor’s percentage of the total investment.

PAMM accounts appeal to investors with limited experience or time looking to profit from the forex market by leveraging the expertise of experienced traders.

Best PAMM Account Brokers For 2024

We've scoured the hundreds of brokers in our database to create our shortlist of the best brokers with PAMM accounts:

Best Brokers With PAMM Accounts Comparison

Best Brokers With PAMM Accounts Comparison
Broker PAMM Account Minimum Deposit Platforms Regulators Visit
AvaTrade logo
- WebTrader, AvaTradeGO, AvaOptions, AvaFutures, MT4, MT5, AlgoTrader, TradingCentral, DupliTrade ASIC, CySEC, FSCA, ISA, CBol, FSA, FSRA, BVI, ADGM Visit
Pepperstone logo
$0 MT4, MT5, cTrader, TradingView, AutoChartist, DupliTrade FCA, ASIC, CySEC, DFSA, CMA, BaFin, SCB Visit
IC Markets logo
$200 MT4, MT5, cTrader, TradingView, TradingCentral, DupliTrade ASIC, CySEC, FSA Visit
InstaForex logo
- MT4, MT5 - Visit
Vantage logo
$50 ProTrader, MT4, MT5, TradingView, DupliTrade FCA, ASIC, FSCA, VFSC Visit
FXCC logo
$0 MT4 CySEC Visit
Fusion Markets logo
$0 MT4, MT5, cTrader, TradingView, DupliTrade ASIC, VFSC, FSA Visit
GO Markets logo
$200 MT4, MT5, AutoChartist, TradingCentral ASIC, CySEC, FSC of Mauritius Visit
NordFX logo
$10 MT4, MT5 - Visit
Skilling logo
- Skilling Trader, MT4, cTrader, TradingView CySEC Visit
VT Markets logo
$200 MT4, MT5, TradingView, TradingCentral ASIC, FSCA, SVGFSA Visit
Moneta Markets logo
$50 AppTrader, ProTrader, MT4, MT5, TradingCentral ASIC, FSCA, FSA Visit
FXDD logo
$200 WebTrader, FXDD Mobile App, MT4, MT5 MFSA, FSC, LFSA, SBS Visit
M4Markets logo
$5 MT4, MT5 FSA, CySEC Visit
ThinkMarkets logo
$0 ThinkTrader, MT4, MT5, AutoChartist, TradingCentral FCA, ASIC, CySEC, FSCA, JFSA, FSA Seychelles Visit

#1 - AvaTrade

Why We Chose AvaTrade

AvaTrade is a leading forex and CFD broker, established in 2006 and regulated across 9 jurisdictions. Over 400,000 users have signed up with the broker which processes over 2 million trades each month. The firm offers multiple trading platforms, including MT4, MT5, and a proprietary WebTrader. 1250+ financial instruments are available for day trading, from CFDs to AvaOptions and now AvaFutures, alongside a comprehensive education center and multilingual customer support.

"AvaTrade offers the full package for short-term traders. There is powerful charting software, reliable execution, transparent fees, and fast account opening with a low minimum deposit."

- DayTrading Review Team
  • Instruments: CFDs, Forex, Stocks, Indices, Commodities, ETFs, Bonds, Crypto, Spread Betting, Futures
  • Regulator: ASIC, CySEC, FSCA, ISA, CBol, FSA, FSRA, BVI, ADGM
  • Platforms: WebTrader, AvaTradeGO, AvaOptions, AvaFutures, MT4, MT5, AlgoTrader, TradingCentral, DupliTrade
  • Minimum Trade: 0.01 Lots
  • Leverage: 1:30 (Retail) 1:400 (Pro)

#2 - Pepperstone

Why We Chose Pepperstone

Established in Australia in 2010, Pepperstone is a top-rated forex and CFD broker with over 400,000 clients worldwide. It offers access to 1,300+ instruments on leading platforms MT4, MT5, cTrader and TradingView, maintaining low, transparent fees. Pepperstone is also regulated by trusted authorities like the FCA, ASIC, and CySEC, ensuring a secure environment for day traders at all levels.

"Pepperstone stands out as a top choice for day trading, offering razor-sharp spreads, ultra-fast execution, and advanced charting platforms for experienced traders. New traders are also welcomed with no minimum deposit, extensive educational resources, and exceptional 24/7 support."

- DayTrading Review Team
  • Instruments: CFDs, Forex, Currency Indices, Stocks, Indices, Commodities, ETFs, Crypto, Spread Betting
  • Regulator: FCA, ASIC, CySEC, DFSA, CMA, BaFin, SCB
  • Platforms: MT4, MT5, cTrader, TradingView, AutoChartist, DupliTrade
  • Minimum Deposit: $0
  • Minimum Trade: 0.01 Lots
  • Leverage: 1:30 (Retail), 1:500 (Pro)

#3 - IC Markets

Why We Chose IC Markets

IC Markets is a globally recognized forex and CFD broker known for its excellent pricing, comprehensive range of trading instruments, and premium trading technology. Founded in 2007 and headquartered in Australia, the brokerage is regulated by the ASIC, CySEC and FSA, and has attracted more than 180,000 clients from over 200 countries.

"IC Markets offers superior pricing, exceptionally fast execution and seamless deposits. The introduction of advanced charting platforms, notably TradingView, and the Raw Trader Plus account, ensures it remains a top choice for intermediate to advanced day traders."

- DayTrading Review Team
  • Instruments: CFDs, Forex, Stocks, Indices, Commodities, Bonds, Futures, Crypto
  • Regulator: ASIC, CySEC, FSA
  • Platforms: MT4, MT5, cTrader, TradingView, TradingCentral, DupliTrade
  • Minimum Deposit: $200
  • Minimum Trade: 0.01 Lots
  • Leverage: 1:30 (ASIC & CySEC), 1:500 (FSA), 1:1000 (Global)

#4 - InstaForex

Why We Chose InstaForex

InstaForex is a forex and CFD broker founded in 2010. The broker offers diverse market coverage to millions of clients, spanning traditional assets like currencies and shares, as well as other interesting opportunities such as IPOs.

"InstaForex maintains its position as a top forex broker, with more currency products than most rivals. The tight spreads and low minimum deposits make it accessible to all experience levels, especially those familiar with the MT4 and MT5 platforms."

- DayTrading Review Team
  • Instruments: CFDs, Forex, Stocks, ETFs, Cryptos, Futures, Commodities
  • Platforms: MT4, MT5

#5 - Vantage

Why We Chose Vantage

Founded in 2009, Vantage offers trading on 1000+ short-term CFD products to over 900,000 clients. You can trade Forex CFDs from 0.0 pips on the RAW account through TradingView, MT4 or MT5. Vantage is ASIC-regulated and client funds are segregated. Copy traders will also appreciate the range of social trading tools.

"Vantage remains an excellent option for CFD traders seeking a tightly-regulated broker with access to the reliable MetaTrader platforms. The fast sign-up process and $50 minimum deposit make it very straightforward to start day trading quickly."

- DayTrading Review Team
  • Instruments: CFDs, Forex, Stocks, Indices, Commodities, ETFs, Bonds
  • Regulator: FCA, ASIC, FSCA, VFSC
  • Platforms: ProTrader, MT4, MT5, TradingView, DupliTrade
  • Minimum Deposit: $50
  • Minimum Trade: 0.01 Lots
  • Leverage: 1:500

How Did We Choose The Best PAMM Account Brokers?

To identify the top PAMM accounts, we considered several elements:

  • We confirmed brokers offer a PAMM account.
  • We prioritized brokers we trust as security is paramount when entrusting your funds to another. Pepperstone is a highly reputable PAMM broker, holding multiple top-tier regulatory licenses.
  • We explored fund manager reports where available. LQDFX offers helpful stats on 270+ money managers, showcasing account gains, P&L, and max drawdown weekly, monthly, or overall.
  • We favored brokers with an accessible minimum investment. GO Markets has a $500 deposit to activate a PAMM account, which is around the industry norm.
  • We chose brokers with user-friendly dashboards and monitoring tools. Vantage shines here, allowing investors to monitor their account’s performance via the PAMM dashboard with a click.
  • We assessed the costs charged to use PAMM accounts. GO Markets operates a simple pricing structure where clients pay a performance fee, which is a percentage of profits.
  • We opted for brokers with reliable customer service. M4Markets proved dependable during testing, with fast response in <2 minutes and helpful information about PAMM account details.

DayTrading.com broker testing methodology overview

What Is A PAMM Account?

A PAMM (Percentage Allocation Management Module) account is a type of managed trading account where you assign your money to an experienced trader, allowing for proportional profit sharing based on the percentage of your capital in the pool.

There are two main parties involved in a PAMM account: the investors and the money manager. Both are registered with a brokerage, with the investors’ funds pooled together, and the total pot traded by the money manager.

Retail traders will normally take the role of the investor in a PAMM account – the responsibility for managing the account’s funds is generally left to experienced traders, though there may be some cases where talented amateurs qualify for this position.

Critically, there is no guarantee the money manager will make a profit. You could lose all your investment.

Table showing PAMM fund managers at LQDFX
LQDFX – Money Managers

How Do PAMM Accounts Work?

Here is an example to show you how PAMM accounts work:

Initial Investment:

The money manager decides to invest in a mix of forex pairs, anticipating market movements based on geopolitical events. However, an unexpected political announcement significantly affects currency values, and the portfolio initially loses 10% of its value, reducing the pool to $9,000.

The money manager quickly adjusts the strategy, focusing on safe-haven currencies and leveraging short positions on affected pairs. This change in strategy not only recovers the loss but also generates a 20% profit on the original pool amount, leading to a final pool of $12,000.

Before distribution, the money manager takes a 15% performance fee from the profits ($2,000), leaving $11,700 ($12,000 – $300) to be distributed among the parties in line with their percentage contributions.

Final Distribution:

Bottom Line

PAMM brokers offer a type of managed account where you allocate a percentage of your funds to an experienced trader who will execute trades for you.

These accounts significantly reduce the effort needed for forex trading, allowing you to pick a manager who will handle trading activities on your behalf.

Nonetheless, profits are not guaranteed, and finding a reliable broker with a good selection of fund managers is not always straightforward.

That’s why we recommend exploring our list of top brokers offering LAMM accounts, which have undergone thorough reviews by our experts.

FAQ

What Are The Benefits Of PAMM Accounts?

PAMM accounts offer investors the opportunity to benefit from the forex market through experienced traders managing their investments, ensuring a hands-off approach while potentially generating returns.

They incentivize money managers through performance-based commissions and also allow investors to choose from a variety of managers to mitigate risk.

What Are The Risks Of PAMM Accounts?

Investing in PAMM accounts carries the inherent risk of capital loss, directly tied to the decisions of the money manager, over which investors have limited control.

Additionally, the lack of detailed information on a money manager’s strategy can make it challenging for investors to fully assess and understand the risks involved.

Are PAMM Accounts Only Available For Forex?

The PAMM system is predominantly used in forex. However, it isn’t just forex that can be traded using PAMM solutions, with brokers such as Alpari offering PAMM solutions where cryptos like Bitcoin can also be traded.