When discussing the platform….Liam Davies Etoro always comes up …Hopefully you will select something up along the way so what are copy portfolios so generally they are a basket of assets or traders chosen by based upon a picked theme type of like a tiny etf in some respects copy portfolios are excellent for diversity and are designed to reduce long-term risk and benefit from existing market opportunities each copy portfolio is periodically rebalanced in order to get the most out of the thematic trading strategy upon which it is based usually they are viewed as a medium to long-term financial investment vehicle but 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 novices who desire a hands-off technique and if you look at’s site they really declare that they aim to provide to double-digit yearly returns while reducing the danger associated with the investment now remember past performance isn’t a sign of future outcomes but that is what they intend to do so copy portfolios are type of like an etf
A handled portfolio without the charges although real expertly handled funds are likely to be adjusted daily or on shorter intervals whereas these are re-balanced at longer periods so what is rebalancing essentially in time the value of private properties in a diversified portfolio go up and down where they drift away from their target weights for example over the long term stocks normally increase faster than etfs so the stock part of your portfolio will increase relative to the etf portion the rebalancing mechanism closes and opens positions occasionally to keep the possession allocation ratio and maintain the copy portfolio technique various copy portfolios rebalance at different times to others so generally you require to take a look at each one individually to discover the rebalancing period once you purchase a copy portfolio your capital is expertly managed by’s financial investment committee each copy portfolio’s performance is examined in depth and rebalanced instantly periodically to maximize 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 comments 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 products or etfs according
Is it trustworthy?
to a pre-determined market method or focusing on a specific market section as it states here they are constructed around an idea efficiency metric or an algorithm that picks its top carrying out properties and then next we’ve got the top trader copy portfolios leading traders buy a group of traders these compromise the very best carrying out traders on according to a predefined method the traders within are chosen by’s investment committee and algorithmically trying to find specific trading attributes that are enhanced for profit then last but not least we’ve got a partner copy portfolios these are portfolios produced by 3rd parties that conduct thorough market analysis and has actually 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 explain what copyrighting is but if you would like 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 first of all i would state the main 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 state they are excellent if you desire exposure to a specific market where you believe the market will succeed as a whole for instance you might want exposure to lots of renewable energy business or driverless cars business because as a novice you may not know much about specific stocks to select it will also conserve you time as looking into lots of private stocks can be extremely time consuming so letting do this on your behalf is fantastic this is also true for the other 2 copy portfolio
Can you generate income on the trading platform?
types for example as a novice you might not know what makes up a good trader to copy if you need to know how i personally find people to copy on then go check out my video which i’ll put a link to up here and in the description listed below picking a trader based copy portfolio can give you exposure to lots of traders that are chosen by algorithmically this is great for diversification 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 doesn’t do well and on the odd event this does take place i discovered 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 began shorting great deals of stocks and it never did and it simply kept going up and after that he still kept stating that the market was going to crash and it never ever did so i lost quite a bit of cash so this is also a warning that your capital Liam Davies Etoro
Why is eToro considered 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 delighted about but i looked at that trader even more 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 six months even more down the line so while past performance is not indicted for future outcomes i have made a few of my most significant earnings 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 simply under four years i have actually made a ridiculous 210 revenue also in 2015 i bought the big tech copy portfolio in january 2020 and now 16 months later on this has actually made a massive 47.08 earnings and that remains 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 development i’m getting here on however like i stated previous performance is not indicative of future results so clearly there are some small negatives to copy portfolios first of all it is not possible to get rid of a part of the financial investment it’s also not possible to close specific 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 particular company or person that the copy portfolio had actually bought or state for instance you wished to close one position to take profits you would require to close the investment completely so that’s something to bear in mind if you’re the kind of person 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 also while a few of the copy portfolios have an entry point that begins at 1 000 us dollars the entry level on a few of these is rather high all the trader based copy portfolios need at least 5 thousand us dollars and 5 thousand us dollars could be a lot so your alternative is to potentially look at some of the traders in these coffee portfolios or take a look at the stocks in a copy portfolio and after that invest in them by hand yourself
certainly 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 find this out for certain but 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 wants to verify this with me then please do not hesitate to get in contact and then i’ll put it as the pin comment below now this doesn’t suggest 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 would not close and respond out a position if there was a crash in the market whereas a real individual might respond to the marketplace and liquidate positions and potentially buy back in at a lower entry point this might be worth considering when picking a market copy portfolio so to invest in copy portfolios
Why do you require 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 before service and then from here you’ve got the three types of copy portfolios that we were speaking about 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 say let’s simply click on this crypto copy portfolio here that with its outright insane outcomes of 935 area for 2 in the last 12 months that seethes so it’s a very comparable design to a typical possession on with the feed on the first page the description on the right here will generally describe what the copy portfolio’s approach is and the minimum investment amount this need to likewise lay out how typically 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 discovered here the description on the very first page doesn’t always match the description on the second page so to discover the rebalancing if you go on here i’ve just found that by searching for rebalancing you can see that this cryptocopy portfolio will be rebalanced yearly or by the financial investment committee discretion including brand-new listings or de-listing based on the terms pointed out above and the minimum investment
quantity is 1000 us dollars so as you can see here on the right-hand man side we’ve got the possession allowance now you really need to remember of this as i discovered this the hard way and by this i might discover this in 2 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 examine the weightings and i presume they were all equal yes i know i was a massive noob and a novice well among 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 unstable so not only did i lose a great deal of cash and i wasn’t able to buy back ins due to the fact that the rate 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 missed out on that one but it’s lesson to learn and sometimes the best lessons in trading are regrettably found out the hard way you won’t forget them when you make a horrible mistake like that so proceeding from that if we scroll even more down we have the historical stats of the copy portfolio if it’s a newish copy portfolio then you’ll observe there’s some stars beside the numbers
and this means as it says here the stars are based on back checked results then you’ve got a typical risk rating here on the left hand side and likewise you can see the variety of investors in this copy portfolio and then down at the bottom we’ve got some good graphs for net direct exposure and allowance then if you click 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 various allowance but if you really 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 historic trades this copy portfolio has actually closed out of so if we set that to perhaps one year you can see the historical trades this copy portfolio has actually liquidated of then on the last tab we have a chart revealing the efficiency of this copy portfolio gradually so to purchase this you just click the big button on the leading 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 below and i’m just going to leave that at 400 this is my virtual account just know there is a minimum and a maximum 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 immediately due to the fact that it’s a crypto portfolio and the markets are open 24 7. now i’m recording this video on a sunday Liam Davies Etoro
so if you were to actually purchase a copy portfolio that purchased stocks then it would not in fact 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 pause the financial investment you can change the stop loss or you can close the financial investment now if you wish to increase the investment one thing i have noticed when looking at a bunch 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 seem to say it was a thousand that you could add minimum so that’s something definitely to bear in mind when opening your copy portfolio position so i hope this video has actually been helpful to you if you are considering buying a copy portfolio then please do your own due diligence initially if you’ve got any questions 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 a good investment i ‘d love to know and i read all your comments if you discovered this video useful in any way then i ‘d really appreciate an early thumbs up as it really helps support the channel also for those of you interested in registering to and have not already then there’s an an affiliate link listed below where if you do sign up using it then i will get a kickback and it does not cost you anything additional but it actually helps support this channel so why not give a go prior to depositing any real money as they will offer you a demo account with a hundred thousand dollars of virtual money where you can experience all of the features like copy trading without losing any real money likewise if you wish to find out more about how works or more about personal finance and investing then i have numerous videos on my channel so i suggest you check them out so please subscribe and press the bell icon so you do not miss out on any future updates it’s been ollie from get geek finance thank you for viewing and i’ll capture you in the next one Liam Davies Etoro