When discussing the platform….this always comes up Societe Etoro…Hopefully you will pick something up along the way so what are copy portfolios so basically they are a basket of possessions or traders selected by based on a chosen style type of like a tiny etf in some aspects copy portfolios are terrific for diversification and are designed to lessen long-term danger and take advantage of existing market opportunities each copy portfolio is periodically rebalanced in order to get the most out of the thematic trading method upon which it is based usually they are viewed as a medium to long-term investment lorry but you can stop your investment at any point at the current market rates as long as the markets are open copy portfolios are great for newbies who want a hands-off approach and if you look at’s site they in fact declare that they aim to provide to double-digit yearly returns while alleviating the threat connected with the financial investment now keep in mind previous performance isn’t a sign of future results but that is what they aim to do so copy portfolios are kind of like an etf
A handled portfolio without the costs although real expertly handled funds are likely to be adjusted everyday or on shorter intervals whereas these are re-balanced at longer intervals so what is rebalancing generally in time the value of individual properties in a diversified portfolio go up and down where they drift away from their target weights for example over the long term stocks generally rise much faster than etfs so the stock part of your portfolio will go up relative to the etf part the rebalancing mechanism closes and opens positions occasionally to keep the asset allocation ratio and maintain the copy portfolio technique different copy portfolios rebalance at different times to others so basically you require to look at every one individually to find out the rebalancing duration when you buy a copy portfolio your capital is professionally handled by’s investment committee each copy portfolio’s efficiency is evaluated in depth and rebalanced automatically occasionally to maximize its gain potential so to start with there are 3 types now like i stated i’m not going to evaluate each 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 remarks if you see here we have market copy portfolios top 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 particular market segment as it states here they are constructed around an idea efficiency metric or an algorithm that picks its top performing possessions and after that next we’ve got the leading trader copy portfolios top traders purchase a group of traders these compromise the very best carrying out traders on according to a predefined method the traders within are selected by’s investment committee and algorithmically looking for specific trading attributes that are optimized for profit then last but not least we have actually got a partner copy portfolios these are portfolios created by 3rd parties that carry out thorough market analysis and has partnered with and again have a theme so let’s go over a few of the pros and cons of copying individuals versus copying portfolios so i’m not going to discuss 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 listed below to start with i would state the primary pros of copy portfolios are that they are good for beginners who want a more hands-off approach in regards to the market copy portfolios i would say they are excellent if you want direct exposure to a specific market where you think the market will do well as a whole for instance you might desire exposure to lots of renewable resource business or driverless vehicles business due to the fact that as a novice you may not know much about specific stocks to pick it will also conserve you time as investigating lots of specific stocks can be extremely time taking in so letting do this in your place is terrific this is also real for the other two copy portfolio
Can you make money on the trading platform?
types for example as a novice 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 check out my video which i’ll put a link to up here and in the description below choosing a trader based copy portfolio can offer you exposure to lots of traders that are picked by algorithmically this is terrific for diversity if you’re new to i personally would not invest all my money in one trader and would try to spread it out over a number of them in case one of them does not do well and on the odd event this does take place i discovered this through copying a trader when starting so i was copying this man and at the start he was doing well then he just started to think the market would crash so he began shorting lots of stocks and it never did and it just kept going up and after that he still kept saying that the market was going to crash and it never ever did so i lost a fair bit of cash so this is also a caution that your capital Societe Etoro
Why is eToro considered to be bad?
Certainly at risk eventually i needed 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 delighted about however i took a look at that trader even more down the line and he continued to lose more money so cutting my losses at that point i did was better than where i would have been 6 months further down the line so while past efficiency is not prosecuted for future results i have actually made some of my greatest revenues in copy portfolios for example i have actually been bought the in the video game copy portfolio considering that the 3rd of july 2017 and today’s date is the 25th of april 2021 so in simply under four years i have actually made an outrageous 210 earnings also last year i purchased the big tech copy portfolio in january 2020 and now 16 months later on this has made a tremendous 47.08 profit and that is in just over a year so if you compare that to a bank where you’ll be lucky to get one percent in a year today that’s that’s some ridiculous growth i’m getting here on but like i stated previous performance is not indicative of future outcomes so clearly there are some small negatives to copy portfolios firstly it is not possible to eliminate a part of the investment it’s also not possible to close specific positions within a copy portfolio
Is eToro actually complimentary as they say?
This is my virtual account here so state for example you didn’t like a specific company or individual that the copy portfolio had actually invested in or say for example you desired to close one position to take earnings you would need to close the 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 an investment so then possibly you should invest straight into stocks or traders that you would desire to copy rather than in a copy portfolio likewise while some of the copy portfolios have an entry point that starts at 1 000 us dollars the entry level on some of these is rather high all the trader based copy portfolios require at least 5 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 unfavorable of copy portfolios and i could not find this out for certain however my understanding is that on market copy portfolios there isn’t any stop losses on individual positions if somebody from etora sees this video and wants to confirm this with me then please feel free to get in contact and after that i’ll put it as the pin remark below now this doesn’t indicate you can’t personally set a stop loss on the copy portfolio yourself but say for instance if you’re copying a market copy portfolio it would not respond and close out a position if there was a crash in the market whereas a real person could react to the marketplace and close out positions and potentially buy back in at a lower entry point this may deserve thinking about when choosing a market copy portfolio so to purchase copy portfolios
Why do you require 25k to day trade?
you would first of all go to the following link on the left here that states buy copy portfolios this is my virtual account as i said prior to service and then from here you’ve got the 3 types of copy portfolios that we were talking about previously and if you drill into these you can see all of the copy portfolios they have on deal and there’s loads of various ones in here with great deals of different themes so it’s worth having a browse so say let’s just click on this crypto copy portfolio here that with its absolute outrageous results of 935 area for two in the last 12 months that seethes so it’s a really comparable layout to a regular asset on with the feed upon the first page the description on the right here will normally outline what the copy portfolio’s method is and the minimum financial investment quantity this ought to likewise describe how typically it rebalances so as you can see for this crypto copy portfolio here the minimum investment quantity is 1 000 us dollars so as i’ve just observed here the description on the first page does not constantly match the description on the 2nd page so to find out the rebalancing if you go on here i have actually simply found that by looking for rebalancing you can see that this cryptocopy portfolio will be rebalanced annual or by the investment committee discretion including brand-new listings or de-listing based upon the terms mentioned above and the minimum financial investment
amount is 1000 us dollars so as you can see here on the right hand side we’ve got the property allowance now you truly need to keep in mind of this as i learned this the hard way and by this i might learn this in two methods so i in fact purchased one of these crypto copy portfolios a long period of time ago when i was starting out on and i didn’t check the weightings and i presume they were all equivalent yes i understand i was a massive noob and a novice well one of these cryptos was more heavily weighted than the others and that one tanked whereas the others didn’t it then struck the stop loss and cashed out my position and after that as cryptos do it got better up uh since they are so volatile so not only did i lose a great deal of cash and i wasn’t able to redeem ins due to the fact that the price had actually bounced up but i likewise can’t bear to think more that would be worth now today it’s just uh i missed i missed out on that one however it’s lesson to discover and in some cases the very best lessons in trading are regrettably learnt the hard way you will not forget them when you make an awful mistake like that so carrying on from that if we scroll further down we have the historic statistics of the copy portfolio if it’s a newish copy portfolio then you’ll discover there’s some stars next to the numbers
and this suggests as it says here the stars are based on back evaluated results then you’ve got an average danger score here on the left hand side and likewise you can see the number of investors in this copy portfolio and then down at the bottom we have actually got some good graphs for net direct exposure and allotment then if you click the portfolio here you can see the existing holdings in the portfolio and you’ve got some nice charts here which simply reveal the various allocation but if you really wish to see the real holdings you can see the current holdings in there in the portfolio and their current profit and loss here um and if you alter 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 historical trades this copy portfolio has actually closed out of then on the last tab we have a chart revealing the performance of this copy portfolio with time so to purchase this you simply click the huge button on the top right that says invest and then you can set a quantity here that you wish to put in then you can set a stop loss listed below and i’m simply 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 since it’s a crypto portfolio and the markets are open 24 7. now i’m tape-recording this video on a sunday Societe Etoro
so if you were to really invest in a copy portfolio that bought stocks then it would not actually open those positions till the markets 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 investment you can pause the financial investment you can change the stop loss or you can close the investment now if you wish to increase the investment one thing i have seen when taking a look at a lot of these is that the minimum quantity you can contribute 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 however i took a look at a handful and they did all seem to say it was a thousand that you might include minimum so that’s something certainly to bear in mind when opening your copy portfolio position so i hope this video has actually been valuable to you if you are considering investing in a copy portfolio then please do your own due diligence first if you’ve got any concerns on this video then please let me know in the comments let us know if you purchase copy portfolios and if so which ones or
which ones do you think could be an excellent investment i ‘d love to know and i checked out all your comments if you discovered this video practical in any way then i ‘d actually value an early thumbs up as it really assists support the channel likewise for those of you thinking about registering to and haven’t currently then there’s an an affiliate link listed below where if you do sign up utilizing it then i will get a kickback and it doesn’t cost you anything additional but it really helps support this channel so why not give a go prior to transferring any real money as they will provide you a demonstration account with a hundred thousand dollars of virtual cash where you can experience all of the functions like copy trading without losing any genuine money also if you want to discover more about how works or more about personal finance and investing then i have numerous videos on my channel so i recommend you check them out so please subscribe and push the bell icon so you don’t lose out on any future updates it’s been ollie from get geek finance thank you for watching and i’ll catch you in the next one Societe Etoro