Saint Vincent and the Grenadines incorporated retail FX broker Alpari has announced the launch of a new tool: a rating of successful PAMM account investors.
Alpari said that this new product is designed to help clients select an investment account geared towards the experience of other investors with a tested and tried track record in generating stellar returns. In other words, the rating allows users to easily pinpoint the PAMM accounts where the most successful investors place their funds. The rating also makes it possible to track the weekly profitability of a PAMM account as well as the volume of funds invested.
Notably, the investor’s position in the rating is determined not only by the rate of return, but also by the indicator of investment diversification. Thus, the larger the number of PAMM accounts in which the investor kept his funds, the lower the total investment risk, and, accordingly, the higher the investment diversification indicator. When calculating the rating, only private equity investments in PAMM accounts are tracked. The rating is updated once a week.
In addition, earlier special distinctive attributes were added to the rating of PAMM accounts – medals, which symbolize the key feature and strong point of a specific account. The medals will help customers navigate the rating and make a more accurate and quick choice given the broad diversity of PAMM accounts. In total, the new classification system has 34 types of medals, while some are assigned to only one PAMM, and others to several at once.
Overall, based on the results of H1 2020, Alpari’s PAMM service has more than 3,000 active PAMM accounts and more than 1,000 PAMM portfolios. The number of active customers who signed up for the PAMM service exceeded 18,900. There are currently more than 2,300 PAMM account managers, and over 840 PAMM portfolio managers. Alpari stated that the average maximum return on a PAMM account (according to the results of the three most profitable) was 893%, and the average maximum return on a PAMM portfolio (according to the results of the three most profitable) was 99%.
PAMM (or Percentage allocation management module) accounts were pioneered by Alpari. PAMM accounts give novice traders the opportunity to invest funds via the accounts of more experienced traders, who in turn receive a percentage of the profits they earn from trading those funds as a reward.
Alpari is in process of being folded into the Exinity Group, which will comprise the various retail businesses owned by serial retail FX entrepreneur Andrey Dashin. Those include Alpari, Cyprus based ForexTime (FXTM), and a soon-to-be-launched new retail offering under the Exinity name.