When discussing the platform….this always comes up Sq Etoro…Hopefully you will select something up along the way so what are copy portfolios so generally they are a basket of traders or assets chosen by based upon a selected theme type of like a small etf in some respects copy portfolios are great for diversification and are created to lessen long-term risk and make the most of present market chances each copy portfolio is occasionally rebalanced in order to get the most out of the thematic trading strategy upon which it is based typically they are seen as a medium to long-term investment vehicle but you can stop your financial investment at any point at the existing market rates as long as the marketplaces are open copy portfolios are fantastic for novices who desire a hands-off technique and if you take a look at’s site they in fact claim that they intend to offer up to double-digit annual returns while mitigating the threat connected with the investment now bear in mind past efficiency isn’t indicative of future results however that is what they intend to do so copy portfolios are kind of like an etf
A managed portfolio without the fees although actual professionally handled funds are likely to be changed everyday or on much shorter periods whereas these are re-balanced at longer intervals so what is rebalancing basically gradually the value of specific assets in a diversified portfolio go up and down whereby they drift away from their target weights for example over the long term stocks typically rise much faster than etfs so the stock portion of your portfolio will go up relative to the etf portion the rebalancing system closes and opens positions occasionally to keep the asset allocation ratio and maintain the copy portfolio strategy various copy portfolios rebalance at various times to others so essentially you require to look at each one separately to discover the rebalancing period as soon as you buy a copy portfolio your capital is professionally handled by’s investment committee each copy portfolio’s performance is analyzed in depth and rebalanced instantly regularly to optimize its gain capacity so to start with there are three types now like i said i’m not going to examine each one but perhaps i’ll do that in another video so let me understand if this is something you would like to see in the remarks if you see here we have market copy portfolios leading trader copy portfolios and partner copy portfolios so market copy portfolios invest in a mix of cfd stocks commodities or etfs according
Is it trustworthy?
to a pre-determined market strategy or focusing on a particular market section as it says here they are constructed around an idea performance metric or an algorithm that chooses its top carrying out properties and then next we’ve got the leading trader copy portfolios top traders buy a group of traders these compromise the very best carrying out traders on according to a predefined strategy the traders within are selected by’s financial investment committee and algorithmically looking for particular trading characteristics that are optimized for profit then last but not least we have actually got a partner copy portfolios these are portfolios developed by 3rd parties that conduct extensive market analysis and has partnered with and once 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 check out my video which i’ll place a link to up here and in the description listed below first of all i would say the primary pros of copy portfolios are that they are good for beginners who want a more hands-off technique in regards to the market copy portfolios i would say they are great if you desire exposure to a particular market where you believe the market will do well as a whole for example you might desire direct exposure to lots of renewable energy companies or driverless cars and trucks business due to the fact that as a beginner you might not know much about private stocks to pick it will likewise save you time as investigating lots of specific stocks can be very time consuming so letting do this in your place is excellent this is likewise true for the other two copy portfolio
Can you make money on the trading platform?
types for example as a beginner you may not know what constitutes a good trader to copy if you would like to know how i personally find individuals to copy on then go check out my video which i’ll put a link to up here and in the description listed below choosing a trader based copy portfolio can give you exposure to great deals of traders that are picked by algorithmically this is fantastic 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 among them doesn’t succeed and on the odd celebration this does occur i learnt this through copying a trader when beginning so i was copying this guy and at the start he was succeeding then he simply started to believe the marketplace would crash so he started shorting great deals of stocks and it never did and it just kept increasing and then he still kept saying that the marketplace was going to crash and it never ever did so i lost a fair bit of money so this is likewise a warning that your capital Sq Etoro
Why is eToro thought about to be bad?
Certainly at risk ultimately 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 pleased about however i looked at that trader further down the line and he continued to lose more cash so cutting my losses at that point i did was better than where i would have been 6 months even more down the line so while past performance is not arraigned for future results i have actually made some of my most significant revenues in copy portfolios for instance i’ve been invested in the in the video game copy portfolio because the 3rd of july 2017 and today’s date is the 25th of april 2021 so in simply under 4 years i have made a crazy 210 revenue also last year i invested in the big tech copy portfolio in january 2020 and now 16 months later on this has made a massive 47.08 earnings and that remains in simply 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 insane development i’m getting here on but like i stated previous performance is not indicative of future results so clearly there are some minor negatives to copy portfolios to start with it is not possible to eliminate a part of the investment it’s likewise not possible to close private positions within a copy portfolio
Is eToro truly totally free as they say?
so this is my virtual account here so state for example you didn’t like a specific company or person that the copy portfolio had actually bought or say for instance you wanted to close one position to take revenues you would require to close the financial investment completely so that’s something to remember if you’re the kind of individual who creams the top of the revenues off of a financial investment so then possibly you should invest straight into stocks or traders that you would want to copy instead of in a copy portfolio likewise while a few of the copy portfolios have an entry point that starts at 1 000 us dollars the entry level on some of these is quite high all the trader based copy portfolios require at least 5 thousand us dollars and 5 thousand us dollars could be a lot so your alternative is to possibly look at a few of the traders in these coffee portfolios or take a look at the stocks in a copy portfolio and after that invest in them manually yourself
clearly 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 couldn’t discover this out for definite but my understanding is that on market copy portfolios there isn’t any stop losses on individual positions if someone 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 comment below now this doesn’t imply you can’t personally set a stop loss on the copy portfolio yourself however say for example if you’re copying a market copy portfolio it wouldn’t close and react out a position if there was a crash in the market whereas a genuine person could react to the marketplace and liquidate positions and possibly buy back in at a lower entry point this may deserve considering when picking a market copy portfolio so to buy copy portfolios
Why do you require 25k to day trade?
you would firstly go to the following link on the left here that says purchase copy portfolios this is my virtual account as i stated before service and after that from here you’ve got the 3 kinds of copy portfolios that we were talking about before and if you drill into these you can see all of the copy portfolios they have on deal and there’s loads of different ones in here with great deals of various themes so it’s worth having a browse so state let’s just click this crypto copy portfolio here that with its absolute crazy results of 935 spot for 2 in the last 12 months that seethes so it’s a really similar layout to a typical possession on with the eat the very first page the description on the right here will typically outline what the copy portfolio’s approach is and the minimum financial investment quantity this need to likewise describe 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 have actually simply discovered here the description on the first page doesn’t constantly match the description on the second page so to discover the rebalancing if you go on here i’ve just discovered that by searching for rebalancing you can see that this cryptocopy portfolio will be rebalanced yearly or by the investment committee discretion including new listings or de-listing based on the terms discussed above and the minimum investment
quantity is 1000 us dollars so as you can see here on the right hand side we have actually got the property allowance now you actually require to bear in mind of this as i learned this the hard way and by this i may learn this in two methods so i really purchased one of these crypto copy portfolios a very long time ago when i was beginning on and i didn’t inspect the weightings and i presume they were all equivalent yes i understand i was an enormous noob and a novice well one of these cryptos was more greatly weighted than the others which 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 because they are so volatile so not only did i lose a great deal of cash and i wasn’t able to redeem ins since the cost had actually bounced up but i also can’t bear to believe more that would deserve now today it’s simply uh i missed i lost out on that one however it’s lesson to find out and in some cases the best lessons in trading are regrettably found out the hard way you will not forget them when you make a terrible mistake like that so proceeding from that if we scroll even more down we have the historic statistics of the copy portfolio if it’s a newish copy portfolio then you’ll notice there’s some stars beside the numbers
and this implies as it says here the stars are based upon back tested results then you have actually got a typical threat rating here on the left hand side and also you can see the number of investors in this copy portfolio and after that 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 have actually got some nice charts here which just reveal the different allotment but if you actually wish to see the actual holdings you can see the present holdings in there in the portfolio and their current revenue and loss here um and if you alter this bit here you can see the historic trades this copy portfolio has closed out of so if we set that to maybe one year you can see the historic trades this copy portfolio has closed out of then on the last tab we have a chart showing the efficiency of this copy portfolio with time so to buy this you simply click the huge button on the leading right that states invest and then you can set an amount here that you want 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 feel in one’s bones there is a minimum and an optimum on the stop loss here so if i press the invest here and now it started purchasing copy portfolio now this copy portfolio did open immediately because it’s a crypto portfolio and the markets are open 24 7. now i’m taping this video on a sunday Sq Etoro
If you were to in fact invest in a copy portfolio that invested in stocks then it would not really open those positions up until 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 stop briefly the financial investment you can change the stop loss or you can close the investment now if you desire to increase the financial investment one thing i have discovered when looking at a lot of these is that the minimum amount you can include to a copy portfolio once it is open is a thousand dollars now i do not know if that’s the same for all of them but i looked at a handful and they did all seem to say it was a thousand that you could add minimum so that’s something certainly to bear in mind when opening your copy portfolio position so i hope this video has actually been handy to you if you are considering investing in a copy portfolio then please do your own due diligence first if you’ve got any questions on this video then please let me understand in the comments let us know if you invest in copy portfolios and if so which ones or
which ones do you think could be a great financial investment i ‘d like to know and i checked out all your comments if you discovered this video useful in any way then i ‘d actually appreciate an early thumbs up as it truly helps 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 register using it then i will get a kickback and it does not cost you anything extra but it truly helps support this channel so why not give a go prior to transferring any genuine cash as they will give 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 likewise if you wish to discover more about how works or more about personal finance and investing then i have various videos on my channel so i suggest you check them out so please subscribe and press the bell icon so you do not lose out on any future updates it’s been ollie from get geek financing thank you for viewing and i’ll catch you in the next one Sq Etoro