PAMM Software for Forex Brokers: How to Launch & Manage Fund Manager Program
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PAMM (Percentage Allocation Management Module) pools investor capital into one master account that a fund manager trades once, splitting profit and loss by ownership share at each trade close. FYNXT's PAMM runs 4 allocation methods and 6 fee types across MT4, MT5, and cTrader with zero rollover. This guide covers allocation math, a launch plan, and a 15-item checklist.
Key Takeaways
- PAMM pools capital into one master account; MAM keeps investors in separate sub-accounts with per-investor lot control. They are not the same product.
- FYNXT's PAMM settles profit and loss the instant a trade closes, with no rollover wait for joins or exits.
- A performance fee only charges on new gains above the high-water mark, never on a manager recovering a prior loss.
- Launching a PAMM program runs five phases: fund manager setup, investor risk parameters, the investor portal, fee configuration, and go-live.
What is PAMM and How does it differ from MAM?
PAMM pools investor capital into a single master account that one fund manager trades. Profit, loss, and fees split by each investor's percentage share the moment a trade closes. MAM (Multi-Account Manager) keeps every investor in a separate sub-account instead, with trades mirrored proportionally but lot sizing set per account. Copy trading goes further still: trades mirror into fully independent investor accounts with no pooling at all.
Brokers use PAMM to attract passive capital from investors who want professional management without picking trades themselves. Fund managers use it to trade one account instead of juggling dozens. Investors use it to back a documented allocation model instead of a black box.
| Dimension | PAMM | MAM | Copy Trading |
|---|---|---|---|
| Capital structure | Pooled, one master account | Separate sub-accounts, one manager | Fully independent investor accounts |
| Lot control | Manager trades one strategy | Manager sets lot size per investor | Investor chooses allocation method |
| Trade mechanics | Profit/loss split by % share at trade close | Trades mirrored proportionally in real time | Trades mirrored per follower, no pooling |
How Allocation and Performance Fees Work
FYNXT's PAMM offers four allocation methods, each set by the fund manager per strategy: Proportional by Balance, Proportional by Equity, Percentage Allocation, and Fixed Lot, with lot precision to 5 decimal places. A performance fee charges only on profit above the high-water mark, so a manager never gets paid twice for recovering a loss. FYNXT resets that high-water mark on a Month End, Weekend, or rolling 30-days-from-subscribe-date basis, configurable per strategy.
Worked example, from FYNXT's own product documentation: three investors pool $100,000, and the fund manager returns $12,500 in a month.
| Investor | Amount | Share | Profit |
|---|---|---|---|
| A | $50,000 | 50% | +$6,250 |
| B | $35,000 | 35% | +$4,375 |
| C | $15,000 | 15% | +$1,875 |
| Total AUM | $100,000 | 100% | $12,500 profit; performance fee −$2,500 (20%) |
At a 20% performance fee, that $12,500 in profit generates a $2,500 fee, split proportionally the instant the trade closes, not at the next rollover cycle.
| Book a Demo. See FYNXT's PAMM Allocation Engine. Book a Demo → |
5 Steps to Launch a PAMM Program
- Configure fund manager accounts. Set eligibility criteria, choose available allocation methods, and set lot precision and rounding rules.
- Set investor risk parameters. Configure margin call alerts, auto stop-out thresholds, and minimum investment amounts.
- Build the investor portal. Enable digital onboarding or existing-account login, publish fund manager profile pages, and set leaderboard visibility.
- Configure fees and automation. Select fee types per strategy, set the high-water mark reset schedule, and automate settlement to the linked rebate account.
- Launch and market. Pilot with one fund manager and a small investor pool, publish risk disclaimers, then open the program broker-wide.
Risk Controls and MT4/MT5 Integration
FYNXT's PAMM runs across MT4, MT5, and cTrader simultaneously from one allocation engine, so a fund manager doesn't rebuild a track record if a broker migrates platforms. Investors stay read-only on the master account and cannot interfere with the manager's trades. Built-in protection includes a margin call alert at 30% free margin and an automatic stop-out at 20% free margin, both configurable per strategy, plus anytime partial withdrawal and a daily statement generated at 23:59:59 in the same format as an MT4/MT5 statement.
The PAMM Program Launch Checklist
Fifteen items, grouped by phase, to take a PAMM program from configuration to go-live.
Phase 1: Fund Manager Setup
1. Define account types and manager eligibility criteria
2. Choose allocation methods available per strategy
3. Set lot precision and rounding rules
Phase 2: Investor Risk Parameters
4. Set the margin call alert threshold
5. Set the auto stop-out threshold
6. Set the minimum investment amount
7. Set the daily statement generation time
Phase 3: Investor Portal
8. Enable digital onboarding or existing-account login
9. Publish fund manager public profile pages
10. Configure leaderboard visibility and embed widget
Phase 4: Fees and Automation
11. Select fee types per strategy
12. Set the high-water mark reset schedule
13. Automate settlement to the linked rebate account
Phase 5: Launch
14. Run a pilot with one fund manager and a small investor pool
15. Publish risk disclaimers and past-performance language before go-live
Comparing Top PAMM Platforms in 2026
Deployment and pricing details for competitors below are vendor-published as cited; FYNXT's figures come from its own product documentation.
| Provider | Platforms | Allocation Methods | Fee Types | Settlement |
|---|---|---|---|---|
| FYNXT | MT4, MT5, cTrader (simultaneous) | 4 methods | 6 types (3 exclusive) | Real-time, zero rollover |
| Brokeree | MT4, MT5, cTrader | Flexible (not itemized publicly) | 5 types | Rollover, scheduled intervals |
| EAERA | MT4, MT5 (no cTrader, reported) | Equity-proportional | 3 types (performance, fixed, hybrid) | Not publicly detailed |
| B2Broker (B2COPY) | MT4, MT5, cTrader, B2Trader | Equity-based, lot-based | 4 types | Reallocation on deposit/withdrawal, or autocorrection |
Summary
PAMM only works if the allocation math is exact and the fee logic is honest about what counts as new profit. FYNXT's PAMM handles both natively across MT4, MT5, and cTrader, with zero rollover delay and a high-water mark that resets on your terms, not a fixed calendar month. Run the checklist above before you launch.
Frequently Asked Questions
PAMM pools all investor capital into one master account, with profit and loss split by percentage share when a trade closes. MAM keeps each investor in a separate sub-account, with the manager setting lot size per account. Both mirror one strategy; they differ in account structure and how much control each investor's sub-account retains.
Six fee types: Performance, Management, Volume, Entry, Exit, and Administration. Three (Administration, Entry, and Exit) are not available in any competing PAMM product today. Each is toggled independently per strategy, and settlement periods can run weekly on one strategy and monthly on another simultaneously.
A performance fee charges only on profit above the previous high-water mark, so a manager is never paid on gains that merely recover an earlier loss. FYNXT resets the high-water mark on a Month End, Weekend, or rolling 30-days-from-subscribe-date basis, set per strategy by the fund manager.
FYNXT's PAMM runs across MT4, MT5, and cTrader simultaneously from a single allocation engine. A fund manager's strategy and track record carry over if a broker adds or migrates a platform, rather than requiring a separate PAMM setup per server.
Yes. FYNXT's PAMM supports anytime partial withdrawal, with fees pro-rated and settled on exit rather than held until a fixed cycle. Investors remain read-only on the master account throughout, viewing full equity and position data without being able to interfere with the fund manager's trades.
Yes. FYNXT's PAMM supports MT4, MT5, and cTrader from the same allocation engine, one of a small number of platforms in this comparison that covers all three natively rather than adding cTrader later as a bolted-on integration or a separate product line.
