GAMM: account managers sign their risk rules in advance

Most investors who have taken a heavy loss in PAMM, MAM or copy trading say the same thing: "By the time I found out, it was too late." On a bad day the manager multiplied the volume, removed the stop loss or traded a symbol they had never mentioned. The investor only saw the final number.

Where is the problem?

In the usual arrangements, a manager's risk rules are either never written down or appear in a promotional description that nobody checks. To see the detail, an investor has to obtain the investor password and look at the account every day, which in practice nobody does.

What GAMM does

GAMM is PAMM Iran's new approach to managed accounts. Before anything else, the manager publicly commits the account's risk rules:

• a daily loss limit and a total drawdown limit;
• and optionally: a maximum lot per trade, a maximum number of open positions, maximum leverage, allowed symbols and a required stop loss.

From then on, PAMM Iran checks the account live against those rules. Coming close to a limit records a warning; crossing it records a breach. Every breach stays in the account's log and cannot be deleted. Investors following the account are told at once, in their panel and by email.

No password is ever taken

GAMM takes neither the trading password nor the investor password. A small expert advisor called the guard runs on the manager's own terminal and only reports the account's state, signed. It never opens or closes a trade. If the guard disconnects, the disconnection itself is recorded as a monitoring gap and investors are told, so switching it off is no way out.

Rules cannot be loosened quietly

A manager can tighten the rules at any time, and the change applies immediately. Loosening any rule only takes effect after a notice period, so investors have time to decide.

What managers gain

With GAMM a professional manager can prove discipline instead of just claiming it. The account's discipline score summarises how well the rules were kept over the recent period and is shown on the public account page.

What GAMM is not

GAMM monitors and records rule-keeping. It does not block trades and does not guarantee against loss. Leveraged trading is high risk. Before investing, read the account page and its breach log.

Monitored accounts are listed on the GAMM page, and the details are in the GAMM guide.