What is MAM service?

The MAM  account, which stands for Multi-Account Manager , is a multi-managed trading system that allows professional traders to manage the trading accounts of other investors who are trying to copy trade. In this way, any trades made by the manager are executed with the characteristics of balance, trading volume and risk in other users’ accounts. To the sum of financial accounts Managed by a professional trader, it is called a “pool of funds”.

Actions taken in  the MAM  account include opening a position, setting a stop loss, receiving profit and closing a position. In this trading system, users are allowed to invest their funds to professionals to trade on their behalf. In this type of account, a portion of the profit is awarded to the leading manager as a commission. Many brokerages offer this type of trading system.They all have their own unique rules and conditions.

Advantages and disadvantages of MAM account  :

Advantages

Specialized Analysis

Given that the MAM  account can be run on MetaTrader trading platform, so quick analysis of price data is done very quickly. Also, the trader can easily manage trading activities based on the Forex buy and sell signal.

Multiple Trading Strategies

The MAM  account allows traders to run multiple accounts with different strategies at the same time. The MAM also displays the information of each account on the screen so that investors can evaluate all the information and optimize strategies for themselves with the help of analytical tools.

Versatility

The MAM  account allows traders to have fast and reliable operations. All orders from the main account are applied seamlessly and traders can apply risk management based on stop-loss and lot selection.

Transparency

An important advantage of an MAM account is the transparency of this type of investment. Users can see all the details in their trading account and customize it according to their circumstances. This personalization can include the amount of capital inbound and the setting of a stop loss.

No restrictions

In this type of trading account, users can operate without any restrictions on the amount of initial capital and the number of trading accounts.

Saving Time

Given that success in financial markets requires studying news, events, and spending a lot of time on training, this trading method can help people achieve their goal in the shortest amount of time.

Trading with minimum capital

With the help of MAM  trading accounts, people can trade with minimal capital. This is ideal for beginner investors with low capital.

Disadvantages

Possibility of failure

Be careful when choosing the MAM  trading system, as it is impossible to interpret the professional trader’s record in a weak trading system. Therefore, avoid losses by choosing modern and high-level platforms.

Credit Theft

Sometimes users of this trading account earn money by copying trades into their personal accounts or sharing them. This is called credit theft, which may cause damage to users of their subset.

MAM Account Features

We will continue to learn about  the features of the MAM  Management Account.

The MAM account  allows account managers to manage multiple accounts from a single account without having to create an investment fund.

In an MAM management account, all transactions made by the manager are proportionally reflected in the clients’ account.

The profit and loss performance of an MAM  account manager is distributed between sub-accounts.

The balance of the MAM account represents the total amount of investors and to ensure account security, all transactions are visible on the clients’ profiles.

The administrator does not have access to the balance of these accounts and cannot make deposits or withdrawals.

Account managers’ operating fees and fees are automatically withdrawn from the account according to the contract.

MAM Account Security

Despite all the benefits and features of  an MAM account, some still can’t trust it. It is highly transparent and even used by some as a safe form of investment. Be sure that managed accounts are safe from any exploits by brokers.

But the thing that causes your funds to be lost in these accounts is the volatility of the market. This type of investment may also result in losses that result in the loss of some of your assets. But choosing a professional and experienced trader, setting a stop loss and managing your capital can protect you from these risks. In general، you can invest a portion of your capital into these accounts and keep in mind that diversification of your portfolio can guarantee your success in the financial markets.