Dukascopy Wealth Management — LP PAMM

Our offer

Dukascopy Bank offers a unique opportunity to earn attractive returns by acting as a liquidity provider on its SWFX marketplace in a fully automated mode.

All you need to do is open an account with at least a 1000 USD investment, and grant the management mandate to Dukascopy Bank. Starting from this moment, Dukascopy Bank handles the entire process and gives you real-time updates on the evolution of your invested funds via online reporting.

LP Pamm Performance since inception

Past performance is not indicative of future results.

How does it work?

Exposures arising at Dukascopy from client trades are automatically hedged with opposite side trades that are booked to LPPAMM investors at the same BID price (client sold) or ASK price (client bought).

As a result, the investor acts as a liquidity provider similar to institutional market participants on the SWFX. With this service, Dukascopy Bank gives you the possibility to get a share of their income.

Due to the high frequency of trades in the network, liquidity providers are able to capture half of the spread on their trading volume.

What are my risks?

By acting as a liquidity provider, clients under management of Dukascopy Bank get market exposure, and thus their funds are subject to fluctuations caused by market volatility. This side-effect is inherent to the traditional liquidity provider's trading activity. This is why clients entrusting the management of their funds to Dukascopy Bank should accept the high probability of drawdowns and should have an investment horizon no shorter than 1 year. If any client keeps the investment for 1 year, the estimated probability of a negative return is 13%.

However, in order to limit losses, clients under management can parameter a stop-loss level on their account which would automatically close all positions and stop the trading on their account in case its balance touches (equal or below) the stop-loss level at the end of the trading day at settlement time.

Commission compensation policy

Being devoted to making clients satisfied with Dukascopy Bank's services, the Bank may return commissions charged for provided trading services. For a client to be eligible for commission compensation, the following conditions must be met. Firstly, the client must hold the investment without withdrawals for a period of 260 active trading days. Secondly, the client must get an overall negative performance over the 260 active trading days period. If the said conditions are met, Dukascopy Bank may return commissions charged during the period upon client's request; up to, but not exceeding the amount of the incurred loss.

The client has a right to suspend their trading to reestimate their trading results and investment risk. Suspended days are not counted as active trading days. Any withdrawal restarts the count of active trading days from 0.

STOP-LOSS and interruption policy

The client is given access to an online button allowing him to deactivate the service (stop trading and close positions) at the next settlement time.

Additionally, the client is provided with a risk management tool (stop-loss functionality) allowing him to instruct the system to automatically stop the trading and to close all positions on his account in case the account balance at the end of the trading day (settlement time) becomes equal or lower than the set stop-loss level. Dukascopy Bank recommends to consider a 15% expected volatility when the client sets their stop loss level.

Fees and Commissions

For this service, Dukascopy Bank charges no Management Fees and no Performance Fees. Only volume commissions and overnights are charged for the automated execution of the trades on client's account.

The current Basic Volume Commission rate is 5 USD per 1 USD million of traded volume. Basic Volume Commission is applied for currency pairs trading.

The volume commission rate for precious metals and CFDs on commodities, bonds, cryptocurrencies and indexes is 1,5 time higher than the Basic Volume Commission rate (7.5 USD per 1 USD million of traded volume).

Dukascopy Bank reserves the right to change the Basic Volume Commission amount between 0 USD and 25 USD per 1 USD million of traded volume at any time at its entire discretion. It affects proportionally the volume commission rate for precious metals and CFDs on commodities, indexes.

Historical log of applied Basic Commission Rate per 1 million traded volume
Since Basic Volume Commission
11/06/2018 USD 25
28/06/2018 USD 20
10/04/2019 USD 5

Trading commissions for single stock CFDs are defined here. Minimal commission will not be applied for LP PAMM accounts. The trading commission on single stocks is not affected by the change of Basic Volume Commission and may be changed by Dukascopy Bank at any time at its entire discretion with announcement here.

Overnights are charged automatically on client's account as per the Advanced Rollover Policy.

Other fees from the fee schedule that are applicable to trading accounts are also applicable to LP PAMM accounts.

Other Conditions

  • Minimum investment — USD 1000

    deposited on an account under your name.

  • Maximum investment

    Dukascopy Bank reserves the right to cap or to reduce the amount of your investment at any time at its entire discretion.

  • Entrance in and exit from the LP PAMM

    Is possible every business day, at settlement time.

To learn more about Dukascopy Bank CFD / Forex trading platform, SWFX and other trading related information,
please call us or make callback request.
For further information regarding potential cooperation,
please call us or make callback request.
To learn more about Dukascopy Bank Binary Options / Forex trading platform, SWFX and other trading related information,
please call us or make callback request.
To learn more about Dukascopy Bank CFD / Forex trading platform, SWFX and other trading related information,
please call us or make callback request.
To learn more about Crypto Trading / CFD / Forex trading platform, SWFX and other trading related information,
please call us or make callback request.
To learn more about Business Introducer and other trading related information,
please call us or make callback request.
For further information regarding potential cooperation,
please call us or make callback request.