Investors can invest in any account which they liked. At the same time, their profit grows in proportion to the account of the trader. If you invest $10, and after that the trader increases the capital by 30%, you receive $3 regardless the deposit of the trader. Your profit depends only on capital gain % between the beginning and the end of investment.
Your strategy can mean both investment into successful traders, and investments into unprofitable traders if it is supposed that they have passed a stage of losses.
The most interesting that if you are unprofitable, you all the same can earn. In most cases, the trader is unprofitable because he cannot stop. If you are capable to see that the trader loses equity - you can easily withdraw investment. Then at the right time again to invest in the unprofitable trader who perfectly trades in with news coming.
The profit can be put into circulation or...
to go on holiday:)
Your profit3 000 $ At profitability of the trader of 300%, minus commission 40%
Equity of the manager10 000 $ The separate account which comprises all investments into trader
Example of earning
You invest in trader $10 000 then he increases the deposit by 100% (to 20 000). His commission comprises 50% of profit, you receive $5 000.
If you invest $10 000 in the person who lost $5 000 (on his account there is now 5К$) then he recoups to $10 000, you receive $10 000 (100% of gain).