Start with the account structure
A manager can use allocation technology to distribute a trading instruction across individual client accounts, where the provider supports that structure and the manager has the required permissions. The important question is what happens to each client's account when the order is filled, partially filled, rejected or corrected.
Multi-account manager (MAM) and percentage allocation management module (PAMM) are product labels. Ask how the specific service assigns orders, fills and profit or loss. Do not assume that two firms use those labels for the same process.
This guide concerns separate client accounts. Pooled-fund net asset value (NAV), investor capital and fund fees belong in the Fund Accounting guide. One provider may offer both services, one or neither.
Browse Managed Accounts providers to build a shortlist. The questions below are proposed acceptance checks, not claims that every provider supports them.
Questions for a product demonstration
| Ask about | What to demonstrate |
|---|---|
| Account and permission structure | Name the contracting entity, eligible manager/client countries and supported instruments. Show the trading authority and what the manager can and cannot do. Confirm who controls deposits and withdrawals. |
| Allocation method | Show fixed quantities, percentages or equity-based allocation where supported. Identify when weights are calculated and whether allocation occurs before or after execution. |
| Partial fills and small accounts | Show an order with multiple partial fills, minimum trade sizes and rounding. Explain how the remainder and average prices are assigned. |
| One account cannot participate | Show insufficient margin, a restricted instrument and an offline or suspended account. Explain whether the other accounts trade and how exceptions are reported. |
| Corrections and closing trades | Cancel, amend and close a sample position. Show how a correction is authorized and how the original event remains in the audit history. |
| Reconciliation and reporting | Trace a master instruction to each client fill, position, cash movement and statement. Reconcile totals and explain any differences. |
| Manager fees and exports | Demonstrate any supported fee calculation and billing permissions. Export the underlying activity in a usable format. Client billing does not establish pooled-fund investor accounting. |
| Evaluation and exit | Confirm whether evaluation means a multi-client paper setup, a software trial or a sales walkthrough. Ask about integrations, support, data retention and exports when leaving. |
A simple allocation test to take to a vendor
Illustrative test only: use two fictitious client accounts with agreed weights of 60% and 40%. For a 100,000-unit instruction, the ideal split is 60,000 and 40,000 units. If only 70,000 units fill, a proportional split would be 42,000 and 28,000 units.
Now introduce a minimum trade size, a rejected account and a second fill at a different price. Ask the vendor to explain its actual allocation policy, rounding and correction process. The simple calculation does not establish how any named platform behaves.
Keep the order IDs, timestamps, allocation rules, per-account fills and statements from the demonstration. Agree the acceptance results before an implementation, rather than trying to infer the rules from a finished performance report.
Examples from the provider research
These examples illustrate documented scopes, not a ranking or a recommendation. Product-specific gaps remain visible.
Interactive Brokers
Documented: Advisor accounts / TWS allocation. Allocate a trading instruction across an advisor’s client accounts.
Contracting affiliate Requires Verification · Global advisor documentation; catalog retail trial is a different account.
Check before choosing: Eligible advisor/client account structure and product permissions; confirm the contracting affiliate. The reviewed tool lesson lists stocks, options, futures and futures options. Spot-FX applicability and exact multi-client paper setup require verification.
Research 2026-10-14 · IBKR — advisor account structure · IBKR — TWS Allocation Order Tool · IBKR — advisor paper accounts
FinFolio
Documented: Order management / portfolio accounting. Combine subaccount trades into blocks, then allocate executions back to the accounts.
Contracting entity Requires Verification · Adviser and wealth-manager software; supported markets require confirmation.
Check before choosing: Supported broker integrations and configured client accounts. Futures, traded FX, CFDs and crypto support require verification. Multicurrency reporting alone does not establish those instruments.
Research 2026-10-14 · FinFolio — order management · FinFolio — portfolio management · FinFolio — software trial and demonstration
What to obtain before choosing
Request a written scope naming the product, modules, broker connections, account structure, eligible clients, costs and support responsibilities. Include the exception cases above in the evaluation. Manager eligibility and legal obligations need their own review; technology availability does not establish permission to manage client funds.
We have reviewed documentation, not opened an institutional account or tested allocations. How we label evidence explains Documented, Conditions apply and Requires Verification.