PAMM accounts are a way to earn passive income, which both beginners and professional investors can use. Traders Union have conducted a detailed analysis of the brokers offering this option. The experts compared the companies, their trading conditions for PAMM accounts and general trading conditions. The rating features the most reliable companies in South Africa that offer passive income under good conditions.
The Most reliable brokers of South Africa by TU include the following:
The HFM broker focuses on traders from Europe. The company offers a variety of investment options and is suitable for both novice and professional traders.
AvaTrade is a brokerage company that provides optimal working conditions for all traders with any skill level. The broker provides customers with security by protecting their data and finances, and they are constantly working to improve the service.
FXPrimus is a broker that offers very favorable terms for independent trading and investing. In addition to an attractive range of trading assets, the company also captivates by paying increased attention to security. It is also worth noting a serious approach to the issues of analytics and education.
FBS is a broker for those who appreciate a variety of trading instruments and prompt support. The company is suitable for both beginners and experienced traders working on PCs and smartphones.
Tickmill is a suitable broker for both professional traders and novices. The company is good for robotic trading as well as for short-term strategies.
Best PAMM brokers in South Africa in 2024
| HFM | AvaTrade | FXPRIMUS | FBS | Tickmill | |
|---|---|---|---|---|---|
Trading platform |
MetaTrader 4, MetaTrader 5, Webtrader, Mobile Trading and HFM Platform |
MetaTrader 4, MetaTrader 5, Mirror Trader, ZuluTrade, AvaTrader, mobile and web versions of МТ |
MT4, MT5, Mobile for android and IOS, Multiterminal, C Trader, Webtrader. |
MetaTrader 4, MetaTrader 5, FBS Trader |
МТ4, МТ5, МТ4 Webtrader, and Tickmill Mobile App |
Min deposit |
$0 |
$100 |
$15 |
$1 |
$100 |
Leverage |
From 1:400 |
From 1:200 |
From 1:1 |
From 1:1 |
From 1:1 |
Trust management |
No |
No |
No |
No |
Yes |
Accrual of % on the balance |
0.00% |
0.00% |
0.00% |
0.00% |
0.00% |
Spread |
From 0.0 points |
From 0.9 points |
From 0.1 points |
From 0.2 points |
From 0.0 points |
Level of margin call / stop out |
50% / 20% |
25% / 10% |
30% / 30% |
40% / 20% |
100% / 30% |
Execution of orders |
Market Execution |
Instant Execution |
Market Execution |
Market Execution |
Market Execution |
No deposit bonus |
No |
No |
No |
$5 |
$30 |
Cent accounts |
Yes |
Yes |
No |
Yes |
No |
A PAMM account provides passive income for traders regardless of their experience. The income is ensured by a professional manager. Only one person can manage the account, while an unlimited number of investors can invest in such an account. The manager can invest in any assets, for example Forex, cryptocurrencies, etc.
It is important to know that the manager does not interact with the investor money directly and does not have access to it. He opens a position with his own funds, while the money of the clients is added by the system. The manager is not restricted in his choice of the trading strategy. The profit is distributed proportionally to the investments. Each PAMM account has a profitability rate, which investors are guided by when starting to work.
1
Best PAMM broker in South Africa - HFM
HFM is a broker owned by the HF Markets Group, offers a wide variety of account types, and has the widest selection of trading assets and high-quality software. HFM also has favorable trading conditions and instant execution of orders. Plus, a solid list of tools and services allow everyone to choose the best option. The broker's reliability is confirmed by the license of several regulators. The company's work experience in the financial, brokerage and other services market is over 10 years. Within that time, HFM has received 35 prestigious awards. For trading, MetaTrader 4 and MetaTrader 5 trading terminals are used.
👍 Advantages of trading with HFM for traders from South Africa:
•favorable trading conditions and low spreads - from 0 pips;
•controlled by several regulators;
•no commissions for account replenishment and bank transfers.
👎 Disadvantages of HFM for traders from South Africa:
•Withdrawal terms do not always correspond to those indicated;
•Few account currencies, which is why some clients have to pay for double conversion;
•The choice of electronic payment systems for replenishment/ and withdrawal is rather modest;
•Registration is quite easy, but while it is in progress, you cannot learn the conditions on other types of accounts;
•Customer support is closed on weekends.
HFM Commissions & Fees for traders from South Africa
It is important to know the commissions and fees brokers charge if you plan to invest not only in PAMM accounts, but also to trade.The number of the managers offering their services on the platform directly depends on the level of the broker’s fees.
HFM Commissions and Fees in South Africa
| Account type | Spread (minimum value) | Withdrawal commision |
|---|---|---|
Zero spread |
From $0 |
No |
Cent |
From $12 |
No |
Premium |
From $12 |
No |
PRO |
From $5 |
No |
2
Best PAMM broker in South Africa - AvaTrade
AvaTrade was founded in 2006 in Dublin, Ireland. The company has offices in 10 countries. It currently has over 300, 000 registered users and processes more than 2 million transactions every month. These factors contribute to AvaTrade being a reliable and trusted broker. They are accredited across five continents and are one of the market leaders. The broker is regulated by the Australian Securities and Investment Commission (ASIC, 406684), the Japanese FSA ( 1662), and the South African FSCA ( 45984). AvaTrade holds accreditation by the Central Irish Bank ( C53877 ), the Abu Dhabi Financial Services Regulatory Authority (190018), and the British Virgin Islands Financial Services Commission ( SIBA/L/13/1049), CySEC ( 347/17). AvaTrade allows traders to trade stocks, securities, indices, cryptocurrencies, and currency pairs. In total, the offer more than 1,200 tools to customers.
👍 Advantages of trading with AvaTrade for traders from South Africa:
•a wide range of trading instruments;
•there is a license for the provision of services on the territory of 5 continents;
•customer service operates around the clock and provides competent assistance to users in 14 languages;
•a wide choice of convenient trading platforms;
•ability to trade from mobile devices;
•availability of an account for representatives of Islam (swap-free);
•for reliable storage of customer funds, the broker uses a segregated account;
•option for automated trading using trading advisors, indicators, and other analysis tools;
•no restrictions on trade and scalping;
•availability of training materials and conducting webinars for beginners and experienced traders.
👎 Disadvantages of AvaTrade for traders from South Africa:
•the site interface is not user-friendly;
•customer service efficiency and response time
•trading terminals are prone to occasionally freeze.
AvaTrade Commissions & Fees for traders from South Africa
It is important to know the commissions and fees brokers charge if you plan to invest not only in PAMM accounts, but also to trade.The number of the managers offering their services on the platform directly depends on the level of the broker’s fees.
AvaTrade Commissions and Fees in South Africa
| Account type | Spread (minimum value) | Withdrawal commision |
|---|---|---|
Standard |
From 0 to 20 US dollars, depending on the platform |
No |
3
Best PAMM broker in South Africa - FXPRIMUS
FXPrimus is a broker regulated by CySEC (Cyprus Securities and Exchange Commission, 261/14) and the VFSC (Vanuatu Financial Services Commission, 303073). It guarantees the protection of clients' assets with insurance coverage of 5 million euros. The company applies the latest systems, the task of which is to ensure a high level of data protection. Also, the company's activities are regulated by the FSC (Financial Services Commission). The broker provides clients with access to Forex and CFDs. Assets available include 43 currency pairs, four types of precious metals, energies, stocks, and market indexes. The company describes itself as one of the safest and continues to set new data protection standards to this day. FXPrimus has always prioritized security, which has allowed it to take a confident position on large trading platforms.
👍 Advantages of trading with FXPRIMUS for traders from South Africa:
•the widest range of trading assets;
•a trader's funds are insured for up to 5 million euros;
•high level of security.
👎 Disadvantages of FXPRIMUS for traders from South Africa:
•support service active 24/5;
•very rarely, but there are failures in the platform's operation that require its restart;
FXPRIMUS Commissions & Fees for traders from South Africa
It is important to know the commissions and fees brokers charge if you plan to invest not only in PAMM accounts, but also to trade.The number of the managers offering their services on the platform directly depends on the level of the broker’s fees.
FXPRIMUS Commissions and Fees in South Africa
| Account type | Spread (minimum value) | Withdrawal commision |
|---|---|---|
CENT |
Starting at $15 |
No |
CLASSIC |
Starting at $15 |
No |
PRO |
Starting at $3 |
No |
ZERO |
Starting at $0 |
No |
4
Best PAMM broker in South Africa - FBS
FBS is an international broker with a strong presence in Asia, offering a wide range of trading instruments including Forex, stocks, indices, energies, and metals. With over 90 international awards and 27 million clients across 150 countries, FBS boasts a strong global reputation.
The company provides flexible trading conditions: leverage up to 1:3000, floating spreads from 0.7 pips, commission-free trading, and fast execution speeds starting at 0.01 seconds. FBS ensures client security with negative balance protection and offers a user-friendly experience on familiar trading platforms.
While FBS doesn't currently offer cryptocurrency trading or passive income options like PAMM accounts and copy trading, its competitive conditions and extensive educational resources make it a compelling choice for traders seeking a comprehensive and accessible experience.
👍 Advantages of trading with FBS for traders from South Africa:
•negative balance protection;
•a large selection of trading instruments;
•the support service works 24/7.
👎 Disadvantages of FBS for traders from South Africa:
•no cryptocurrency;
•auto copying is not available;
•no PAMM accounts;
•not suitable for short-term trading, such as scalping;
•the support service works in a limited number of languages;
•only two real accounts.
FBS Commissions & Fees for traders from South Africa
It is important to know the commissions and fees brokers charge if you plan to invest not only in PAMM accounts, but also to trade.The number of the managers offering their services on the platform directly depends on the level of the broker’s fees.
FBS Commissions and Fees in South Africa
| Account type | Spread (minimum value) | Withdrawal commision |
|---|---|---|
Standard |
From $1.7 |
No |
Cent |
From $1.3 |
No |
5
Best PAMM broker in South Africa - Tickmill
Tickmill is a reputable broker offering access to trading Forex, stock indices, commodities, bonds, and cryptocurrencies. Furthermore, the broker boasts an extensive selection of over 500 stock CFDs.
There are two main account types: Classic Account with spreads from 1.6 pips and no commission, and Raw Account with spreads from 0 pips and a $3 commission per lot. Both accounts require a minimum deposit of $100 and a maximum leverage of 1:1000.
The broker also provides a variety of useful tools, such as Autochartist, Acuity Trading, Signal Centre, and Capitalise.ai, which utilize AI to offer valuable market insights and trading signals.
Tickmill's regulation by the FCA and CySEC ensures the safety and security of client funds.
👍 Advantages of trading with Tickmill for traders from South Africa:
•spreads from 0 pips;
•any strategy is allowed;
•protection against negative balance;
•mobile app trading platform.
👎 Disadvantages of Tickmill for traders from South Africa:
•the customer support works only 5 days a week from 7:00 to 16:00 GMT;
•relatively small choice of currency pairs;
•there is no cent account;
•there is no trust management;
Tickmill Commissions & Fees for traders from South Africa
It is important to know the commissions and fees brokers charge if you plan to invest not only in PAMM accounts, but also to trade.The number of the managers offering their services on the platform directly depends on the level of the broker’s fees.
Tickmill Commissions and Fees in South Africa
| Account type | Spread (minimum value) | Withdrawal commision |
|---|---|---|
Raw |
From $0 |
No |
Classic |
From 1.6 pips |
No |
How to Choose The Best PAMM Brokers?
When choosing a PAMM broker, you need to take into consideration several important aspects, including the following:
Reliability and security. A broker should hold the financial license and disclose information about the company.
Number of PAMM accounts. A high number of managers offering their services also testifies to the reliability of the broker and good trading conditions.
Profitability. Each PAMM account has a certain profitability rate. However, you need to keep in mind that high profit is accompanied by corresponding risks.
Minimum deposit. It is important for testing the PAMM account and Forex trading in general.
Deposit and withdrawal. It is important to take notice of the number of supported deposit/withdrawal options and the conditions - limits, fees, etc.
Conclusions
PAMM accounts are a way to earn passive income to beginners and experienced investors as a way to diversify investment portfolios. However, before starting to invest, you need to choose the right broker in South Africa. The broker should be reliable, offer good trading conditions and offer a wide choice of account types for investors.
Before opening a PAMM account, it is important to remember that this option is not a 100% profit guarantee. There are also the risks of losing your money. Therefore, the best option for beginners is to start with a test run with a minimum deposit. In this case, the trader can see whether the manager is as successful as he expects.
Top PAMM brokers in 2024 for South Africa traders
| HFM | AvaTrade | FXPRIMUS | FBS | Tickmill | |
|---|---|---|---|---|---|
Overall score |
8.09 |
8.32 |
6.62 |
8.28 |
8.04 |
Execution of orders |
9 |
8.5 |
4.85 |
9.5 |
9.1 |
Investment instruments |
8.91 |
9.5 |
7.44 |
6.96 |
8.92 |
Withdrawal speed |
8.86 |
7.2 |
7.64 |
9.57 |
8.48 |
Customer Support work |
5.42 |
7.9 |
5.55 |
7.58 |
6.51 |
Variety of instruments |
7.37 |
10 |
7.02 |
7.02 |
8.02 |
Trading platform |
8.95 |
6.8 |
7.2 |
9.03 |
7.21 |
FAQs
How much can you earn on PAMM accounts?
The amount you can earn on PAMM accounts is actually unlimited. Everything depends on the level of your deposit and the manager, as well as the interest rate he provides. However, do not forget about the risks as you chase the profit.
How are PAMM accounts different from copy trading?
When investing in a PAMM account, the trades of the manager are not copied to the subscriber’s account; the transactions cannot be controlled or canceled.
Can I subscribe to several PAMM accounts?
As a rule, it is possible. However, broker may limit the number of such accounts. Nonetheless, the restrictions are rare.
Should I split my funds among several PAMM accounts?
Yes. Diversification is important for protection of your funds. In this case if you have a loss on one account, it will be covered by the profit on the other accounts.
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Team that worked on the article
Mikhail Vnuchkov joined Traders Union as an author in 2020. He began his professional career as a journalist-observer at a small online financial publication, where he covered global economic events and discussed their impact on the segment of financial investment, including investor income. With five years of experience in finance, Mikhail joined Traders Union team, where he is in charge of forming the pool of latest news for traders, who trade stocks, cryptocurrencies, Forex instruments and fixed income.
Olga Shendetskaya has been a part of the Traders Union team as an author, editor and proofreader since 2017. Since 2020, Shendetskaya has been the assistant chief editor of the website of Traders Union, an international association of traders. She has over 10 years of experience of working with economic and financial texts. In the period of 2017-2020, Olga has worked as a journalist and editor of laftNews news agency, economic and financial news sections. At the moment, Olga is a part of the team of top industry experts involved in creation of educational articles in finance and investment, overseeing their writing and publication on the Traders Union website.