When discussing the platform….this always comes up Etoro Madrid…Hopefully you will choose something up along the way so what are copy portfolios so generally they are a basket of properties or traders picked by based upon a picked style type of like a small etf in some aspects copy portfolios are terrific for diversification and are developed to decrease long-term danger and take advantage of existing market chances each copy portfolio is periodically rebalanced in order to get the most out of the thematic trading method upon which it is based generally they are viewed as a medium to long-lasting financial investment vehicle however you can stop your financial investment at any point at the present market rates as long as the markets are open copy portfolios are great for newbies who desire a hands-off method and if you look at’s website they in fact claim that they intend to provide to double-digit annual returns while mitigating the risk related to the financial investment now keep in mind previous performance isn’t indicative of future outcomes however that is what they aim to do so copy portfolios are kind of like an etf
A managed portfolio without the charges although actual professionally managed funds are most likely to be adjusted daily or on much shorter periods whereas these are re-balanced at longer periods so what is rebalancing basically over time the value of individual assets in a varied portfolio move up and down whereby they drift away from their target weights for instance over the long term stocks normally rise much faster than etfs so the stock portion of your portfolio will go up relative to the etf portion the rebalancing mechanism closes and opens positions periodically to keep the asset allocation ratio and keep the copy portfolio strategy various copy portfolios rebalance at various times to others so essentially you need to take a look at each one separately to learn the rebalancing period when you buy a copy portfolio your capital is expertly handled by’s financial investment committee each copy portfolio’s performance is evaluated in depth and rebalanced automatically periodically to maximize its gain potential so to start with there are 3 types now like i stated i’m not going to evaluate every one but possibly i’ll do that in another video so let me know if this is something you would like to see in the comments if you see here we have market copy portfolios leading trader copy portfolios and partner copy portfolios so market copy portfolios buy a combination of cfd stocks products or etfs according
Is it trustworthy?
to a pre-determined market technique or concentrating on a specific market segment as it says here they are built around an idea efficiency metric or an algorithm that picks its leading performing properties and after that next we have actually got the top trader copy portfolios leading traders buy a group of traders these compromise the best performing traders on according to a predefined technique the traders within are picked by’s financial investment committee and algorithmically trying to find particular trading characteristics that are optimized for profit then finally we’ve got a partner copy portfolios these are portfolios developed by 3rd parties that perform thorough market analysis and has partnered with and again have a theme so let’s talk about a few of the benefits and drawbacks of copying individuals versus copying portfolios so i’m not going to describe what copyrighting is but if you want to know more about that then go take a look at my video which i’ll place a link to up here and in the description below to start with i would say the primary pros of copy portfolios are that they are good for beginners who desire a more hands-off method in regards to the market copy portfolios i would say they are great if you desire exposure to a specific industry where you believe the industry will succeed as a whole for example you may want exposure to lots of renewable energy companies or driverless cars companies since as a novice you may not know much about private stocks to choose it will likewise conserve you time as researching great deals of individual stocks can be really time consuming so letting do this in your place is terrific this is likewise true for the other two copy portfolio
Can you make money on the trading platform?
types for instance as a beginner you might not know what constitutes an excellent trader to copy if you need to know how i personally discover individuals to copy on then go have a look at my video which i’ll put a link to up here and in the description below selecting a trader based copy portfolio can provide you exposure to lots of traders that are chosen by algorithmically this is fantastic for diversity if you’re new to i personally would not invest all my cash in one trader and would try to spread it out over a variety of them in case one of them doesn’t succeed and on the odd occasion this does occur i discovered this through copying a trader when starting out so i was copying this person and at the start he was doing well then he simply began to believe the marketplace would crash so he started shorting great deals of stocks and it never ever did and it just kept going up and then he still kept saying that the marketplace was going to crash and it never did so i lost quite a bit of cash so this is likewise a warning that your capital Etoro Madrid
Why is eToro thought about to be bad?
Absolutely at risk ultimately i had to cut my losses with this trader and i believe i wound up losing over a thousand dollars in the end which i was not happy about however i took a look at that trader further down the line and he continued to lose more money so cutting my losses at that point i did was much better than where i would have been 6 months even more down the line so while past performance is not prosecuted for future results i have actually made a few of my most significant earnings in copy portfolios for instance i have actually been bought the in the game copy portfolio considering that the 3rd of july 2017 and today’s date is the 25th of april 2021 so in simply under 4 years i have actually made a crazy 210 profit also last year i purchased the big tech copy portfolio in january 2020 and now 16 months later this has actually made a whopping 47.08 revenue and that is in just over a year so if you compare that to a bank where you’ll be fortunate to get one percent in a year right now that’s that’s some crazy growth i’m getting here on but like i said previous efficiency is not a sign of future results so certainly there are some minor negatives to copy portfolios to start with it is not possible to get rid of a part of the financial investment it’s also not possible to close individual positions within a copy portfolio
Is eToro truly totally free as they say?
This is my virtual account here so say for example you didn’t like a particular company or person that the copy portfolio had invested in or say for example you desired to close one position to take profits you would require to close the financial investment entirely so that’s something to bear in mind if you’re the kind of individual who creams the top of the earnings off of a financial investment so then potentially you must invest straight into stocks or traders that you would desire to copy rather than in a copy portfolio also while some of the copy portfolios have an entry point that begins at 1 000 us dollars the entry level on some of these is rather high all the trader based copy portfolios need at least five thousand us dollars and five thousand us dollars might be a lot so your alternative is to potentially look at some of the traders in these coffee portfolios or look at the stocks in a copy portfolio and then invest in them manually yourself
undoubtedly if you did this you would not get any rebalancing as you would on a copy portfolio now potentially another negative of copy portfolios and i could not discover this out for definite however my understanding is that on market copy portfolios there isn’t any stop losses on specific positions if somebody from etora sees this video and would like to verify this with me then please feel free to get in contact and after that i’ll put it as the pin comment listed below now this doesn’t indicate you can’t personally set a stop loss on the copy portfolio yourself however state for example if you’re copying a market copy portfolio it would not close and react out a position if there was a crash in the market whereas a real individual might respond to the marketplace and liquidate positions and possibly redeem in at a lower entry point this may be worth considering when picking a market copy portfolio so to invest in copy portfolios
Why do you need 25k to day trade?
you would to start with go to the following link on the left here that says invest in copy portfolios this is my virtual account as i stated before service and then from here you have actually got the 3 types of copy portfolios that we were discussing previously and if you drill into these you can see all of the copy portfolios they have on offer and there’s loads of various ones in here with lots of different themes so it’s worth having a browse so state let’s just click this crypto copy portfolio here that with its outright outrageous results of 935 spot for two in the last 12 months that seethes so it’s an extremely similar layout to a typical asset on with the feed upon the very first page the description on the right here will generally detail what the copy portfolio’s methodology is and the minimum investment amount this should also outline how typically it rebalances so as you can see for this crypto copy portfolio here the minimum financial investment quantity is 1 000 us dollars so as i’ve simply observed here the description on the very first page doesn’t constantly match the description on the second page so to discover the rebalancing if you go on here i have actually simply found that by searching for rebalancing you can see that this cryptocopy portfolio will be rebalanced annual or by the financial investment committee discretion consisting of brand-new listings or de-listing based upon the terms discussed above and the minimum financial investment
quantity is 1000 us dollars so as you can see here on the right-hand man side we have actually got the property allocation now you really need to remember of this as i learned this the hard way and by this i might discover this in two methods so i in fact bought one of these crypto copy portfolios a long time ago when i was starting on and i didn’t check the weightings and i presume they were all equal yes i know i was a huge noob and a rookie well one of these cryptos was more greatly weighted than the others which one tanked whereas the others didn’t it then hit the stop loss and cashed out my position and after that as cryptos do it got better up uh since they are so unstable so not just did i lose a lot of cash and i wasn’t able to buy back ins since the rate had bounced up however i also can’t bear to think more that would deserve now today it’s simply uh i missed out on i missed out on that one however it’s lesson to discover and in some cases the best lessons in trading are unfortunately discovered the hard way you will not forget them when you make an awful mistake like that so proceeding from that if we scroll even more down we have the historical statistics of the copy portfolio if it’s a newish copy portfolio then you’ll observe there’s some stars next to the numbers
and this implies as it says here the stars are based upon back checked results then you have actually got an average danger rating here on the left hand side and also you can see the variety of financiers in this copy portfolio and after that down at the bottom we have actually got some nice graphs for net direct exposure and allotment then if you click on the portfolio here you can see the current holdings in the portfolio and you have actually got some nice charts here which simply reveal the different allowance however if you actually wish to see the real holdings you can see the present holdings in there in the portfolio and their existing revenue and loss here um and if you change this bit here you can see the historical trades this copy portfolio has closed out of so if we set that to perhaps one year you can see the historic trades this copy portfolio has actually closed out of then on the last tab we have a chart showing the performance of this copy portfolio gradually so to purchase this you simply click the huge button on the top right that says invest and after that you can set an amount here that you want to put in then you can set a stop loss below and i’m just going to leave that at 400 this is my virtual account just know there is a minimum and an optimum on the stop loss here so if i press the invest here and now it began purchasing copy portfolio now this copy portfolio did open quickly because it’s a crypto portfolio and the markets are open 24 7. now i’m tape-recording this video on a sunday Etoro Madrid
so if you were to in fact purchase a copy portfolio that bought stocks then it would not really open those positions till the marketplaces open on monday so as you can see here this is the crypto portfolio on my virtual account and if you click the cog up here you can increment the financial investment you can stop briefly the investment you can change the stop loss or you can close the financial investment now if you want to increase the investment something i have actually discovered when taking a look at a lot of these is that the minimum amount you can add to a copy portfolio once it is open is a thousand dollars now i don’t understand if that’s the same for all of them but i looked at a handful and they did all appear to say it was a thousand that you might include minimum so that’s something absolutely to bear in mind when opening your copy portfolio position so i hope this video has been helpful to you if you are thinking about buying a copy portfolio then please do your own due diligence first if you have actually got any questions on this video then please let me understand in the remarks let us understand if you purchase copy portfolios and if so which ones or
which ones do you think could be a good financial investment i ‘d enjoy to understand and i checked out all your remarks if you discovered this video useful in any way then i ‘d really value an early thumbs up as it actually helps support the channel likewise for those of you thinking about signing up to and haven’t currently then there’s an an affiliate link below where if you do sign up utilizing it then i will get a kickback and it doesn’t cost you anything extra but it really assists support this channel so why not give a go prior to depositing any real money as they will provide you a demo account with a hundred thousand dollars of virtual money where you can experience all of the functions like copy trading without losing any genuine cash likewise if you wish to discover more about how works or more about individual financing and investing then i have numerous videos on my channel so i recommend you check them out so please push the bell and subscribe icon so you don’t lose out on any future updates it’s been ollie from get geek finance thank you for seeing and i’ll catch you in the next one Etoro Madrid