When discussing the platform….How Etoro Works always comes up …Ideally you will choose something up along the way so what are copy portfolios so generally they are a basket of traders or assets picked by based upon a chosen theme kind of like a small etf in some respects copy portfolios are great for diversity and are developed to reduce long-lasting danger and benefit from present market chances each copy portfolio is periodically rebalanced in order to get the most out of the thematic trading technique upon which it is based usually they are seen as a medium to long-lasting investment lorry but you can stop your financial investment at any point at the current market rates as long as the marketplaces are open copy portfolios are fantastic for newbies who want a hands-off technique and if you look at’s site they actually claim that they intend to provide to double-digit annual returns while mitigating the danger associated with the financial investment now bear in mind previous performance isn’t indicative of future results but that is what they aim to do so copy portfolios are type of like an etf
A handled portfolio without the costs although actual professionally handled funds are most likely to be adjusted day-to-day or on much shorter periods whereas these are re-balanced at longer periods so what is rebalancing essentially over time the worth of specific assets in a varied portfolio move up and down where they drift away from their target weights for instance over the long term stocks normally rise faster than etfs so the stock part of your portfolio will increase relative to the etf part the rebalancing mechanism closes and opens positions occasionally to keep the asset allocation ratio and maintain the copy portfolio method different copy portfolios rebalance at different times to others so generally you require to look at every one separately to learn the rebalancing duration when you buy a copy portfolio your capital is expertly managed by’s financial investment committee each copy portfolio’s efficiency is evaluated in depth and rebalanced immediately periodically to optimize its gain potential so firstly there are three types now like i said i’m not going to review each one but possibly 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 buy a mix of cfd stocks products or etfs according
Is it trustworthy?
to a pre-determined market technique or concentrating on a particular market section as it says here they are built around an idea efficiency metric or an algorithm that picks its top performing properties and then next we have actually got the leading trader copy portfolios leading traders invest in a group of traders these compromise the very best carrying out traders on according to a predefined technique the traders within are picked by’s financial investment committee and algorithmically searching for specific trading attributes that are enhanced for profit then lastly we’ve got a partner copy portfolios these are portfolios developed by 3rd parties that conduct thorough market analysis and has actually partnered with and once again have a theme so let’s discuss some of the pros and cons of copying individuals versus copying portfolios so i’m not going to describe what copyrighting is however if you wish to know more about that then go take a look at my video which i’ll put a link to up here and in the description listed below firstly i would state the main pros of copy portfolios are that they benefit newbies who desire a more hands-off technique in regards to the market copy portfolios i would say they are fantastic if you want direct exposure to a specific market where you believe the industry will succeed as a whole for instance you might desire exposure to lots of renewable resource companies or driverless cars and trucks business because as a novice you may not know much about specific stocks to choose it will also save you time as researching great deals of specific stocks can be extremely time taking in so letting do this in your place is excellent this is likewise real for the other two copy portfolio
Can you make money on the trading platform?
types for example as a newbie you might not know what makes up a good trader to copy if you wish 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 picking a trader based copy portfolio can provide you direct exposure to great deals of traders that are chosen by algorithmically this is excellent for diversification if you’re new to i personally would not invest all my money in one trader and would attempt to spread it out over a variety of them in case one of them does not do well and on the odd occasion this does happen i learnt 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 began shorting great deals of stocks and it never did and it simply kept going up and then he still kept stating that the market was going to crash and it never ever did so i lost a fair bit of money so this is likewise a caution that your capital How Etoro Works
Why is eToro thought about to be bad?
Definitely at risk ultimately i needed to cut my losses with this trader and i think 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 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 previous efficiency is not indicted for future results i have actually made a few of my greatest profits in copy portfolios for example i have actually been purchased 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 just under 4 years i have made a crazy 210 revenue also in 2015 i purchased the huge tech copy portfolio in january 2020 and now 16 months later this has actually made a massive 47.08 profit which remains in simply over a year so if you compare that to a bank where you’ll be fortunate to get one percent in a year today that’s that’s some crazy growth i’m getting here on however like i said previous efficiency is not indicative of future outcomes so obviously there are some small negatives to copy portfolios firstly it is not possible to eliminate a part of the financial investment it’s likewise not possible to close private positions within a copy portfolio
Is eToro actually free as they state?
so this is my virtual account here so say for example you didn’t like a specific company or individual that the copy portfolio had actually bought or state for example you wanted to close one position to take earnings you would require to close the investment completely so that’s something to remember if you’re the kind of individual who creams the top of the profits off of a financial investment so then perhaps you should invest straight into stocks or traders that you would want to copy rather than in a copy portfolio also while some of the copy portfolios have an entry point that starts at 1 000 us dollars the entry level on a few of these is rather high all the trader based copy portfolios need a minimum of five thousand us dollars and five thousand us dollars could be a lot so your alternative is to possibly look at some of the traders in these coffee portfolios or look at the stocks in a copy portfolio and after that purchase them by hand yourself
undoubtedly if you did this you would not get any rebalancing as you would on a copy portfolio now possibly another negative of copy portfolios and i couldn’t discover this out for certain however my understanding is that on market copy portfolios there isn’t any stop losses on specific positions if someone from etora sees this video and wants to verify 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 indicate you can’t personally set a stop loss on the copy portfolio yourself however state 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 might respond to the market and liquidate positions and possibly redeem in at a lower entry point this might deserve considering when choosing a market copy portfolio so to buy copy portfolios
Why do you need 25k to day trade?
you would firstly go to the following link on the left here that says invest in copy portfolios this is my virtual account as i stated prior to service and then from here you have actually got the three kinds 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 deal and there’s loads of various ones in here with great deals of different styles so it’s worth having a browse so state let’s just click on this crypto copy portfolio here that with its absolute insane results of 935 spot for 2 in the last 12 months that seethes so it’s an extremely similar design to a typical possession on with the eat the first page the description on the right here will usually detail what the copy portfolio’s approach is and the minimum financial investment amount this should also describe how frequently it rebalances so as you can see for this crypto copy portfolio here the minimum investment amount is 1 000 us dollars so as i’ve just seen here the description on the first page does not constantly match the description on the second page so to find out 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 new listings or de-listing based upon the terms mentioned 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 allotment now you truly require to take note of this as i learned this the hard way and by this i may learn this in 2 ways so i really bought among these crypto copy portfolios a very long time ago when i was starting out 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 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 then as cryptos do it got better up uh because they are so volatile so not just did i lose a great deal of cash and i wasn’t able to buy back ins due to the fact that the price had actually bounced up however i likewise can’t bear to believe more that would be worth now today it’s just uh i missed out on i lost out on that one however it’s lesson to learn and in some cases the very best lessons in trading are sadly learnt the hard way you will not forget them when you make a terrible error like that so moving on from that if we scroll further down we have the historical stats of the copy portfolio if it’s a newish copy portfolio then you’ll see there’s some stars next to the numbers
and this indicates as it states here the stars are based on back tested outcomes then you’ve got a typical risk rating 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’ve got some great charts for net direct exposure and allocation then if you click the portfolio here you can see the current holdings in the portfolio and you have actually got some nice graphs here which just show the different allotment but if you actually want 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 change this bit here you can see the historical trades this copy portfolio has closed out of so if we set that to possibly one year you can see the historical trades this copy portfolio has liquidated of then on the last tab we have a chart revealing the efficiency of this copy portfolio gradually so to purchase this you simply click the huge button on the leading right that says invest and then you can set an amount here that you wish to put in then you can set a stop loss 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 a maximum on the stop loss here so if i press the invest here and now it started investing in copy portfolio now this copy portfolio did open immediately since it’s a crypto portfolio and the marketplaces are open 24 7. now i’m taping this video on a sunday How Etoro Works
so if you were to really purchase a copy portfolio that invested in stocks then it would not actually 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 financial 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 looking at a lot of these is that the minimum amount you can contribute 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 absolutely to bear in mind when opening your copy portfolio position so i hope this video has actually been practical to you if you are considering buying a copy portfolio then please do your own due diligence initially if you’ve got any concerns on this video then please let me understand in the comments let us understand if you buy copy portfolios and if so which ones or
which ones do you think could be an excellent financial investment i ‘d like to know and i read all your remarks if you discovered this video handy in any way then i ‘d really appreciate an early thumbs up as it really assists support the channel also for those of you thinking about signing up to and have not already then there’s an an affiliate link below where if you do register utilizing it then i will get a kickback and it does not cost you anything additional but it truly assists support this channel so why not give a go before depositing any genuine money as they will give you a demonstration account with a hundred thousand dollars of virtual money where you can experience all of the features like copy trading without losing any real cash also if you wish to find out more about how works or more about personal financing and investing then i have many videos on my channel so i recommend you check them out so please press the bell and subscribe icon so you don’t miss out on any future updates it’s been ollie from get geek financing thank you for watching and i’ll catch you in the next one How Etoro Works