When discussing the platform….this always comes up Etoro Questions Answers…Hopefully you will choose something up along the way so what are copy portfolios so basically they are a basket of traders or possessions chosen by based on a picked theme type of like a small etf in some respects copy portfolios are great for diversification and are created to decrease long-term danger and benefit from present market opportunities each copy portfolio is occasionally 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 lorry however you can stop your financial investment at any point at the existing market rates as long as the marketplaces are open copy portfolios are great for beginners who desire a hands-off method and if you look at’s website they in fact claim that they aim to provide to double-digit yearly returns while reducing the risk connected with the investment now keep in mind past performance isn’t indicative of future outcomes but that is what they aim to do so copy portfolios are kind of like an etf
A managed portfolio without the costs 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 generally gradually the worth of specific properties in a diversified portfolio go up and down where they drift away from their target weights for instance over the long term stocks usually rise faster than etfs so the stock part of your portfolio will increase relative to the etf part the rebalancing system closes and opens positions regularly to keep the asset allocation ratio and keep the copy portfolio strategy various copy portfolios rebalance at various times to others so basically you need to look at every one individually to learn the rebalancing period when you buy a copy portfolio your capital is professionally managed by’s financial investment committee each copy portfolio’s efficiency is examined in depth and rebalanced automatically periodically to optimize its gain capacity so to start with there are 3 types now like i stated i’m not going to evaluate each one but perhaps i’ll do that in another video so let me know if this is something you wish 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 purchase a combination of cfd stocks commodities or etfs according
Is it trustworthy?
to a pre-determined market method or concentrating on a specific market segment as it says here they are built around an idea performance metric or an algorithm that picks its leading carrying out properties and then next we have actually got the top trader copy portfolios leading traders purchase a group of traders these compromise the best performing traders on according to a predefined strategy the traders within are picked by’s investment committee and algorithmically searching for specific trading characteristics that are optimized for profit then lastly we’ve got a partner copy portfolios these are portfolios created by 3rd parties that perform comprehensive market analysis and has partnered with and again have a theme so let’s go over some of the advantages and disadvantages of copying people versus copying portfolios so i’m not going to explain what copyrighting is however if you would like to know more about that then go check out my video which i’ll put a link to up here and in the description listed below firstly i would say the main pros of copy portfolios are that they are good for beginners who desire a more hands-off method in regards to the marketplace copy portfolios i would say they are fantastic if you want exposure to a specific market where you think the market will succeed as a whole for instance you may desire direct exposure to lots of renewable resource business or driverless automobiles business due to the fact that as a newbie you might not know much about specific stocks to select it will likewise conserve you time as researching lots of specific stocks can be really time taking in so letting do this in your place is fantastic this is likewise real for the other two copy portfolio
Can you earn money on the trading platform?
types for instance as a newbie you might not know what constitutes a good 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 listed below selecting a trader based copy portfolio can provide you direct exposure to lots of traders that are chosen by algorithmically this is excellent for diversity 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 among them doesn’t succeed and on the odd occasion this does occur i learnt this through copying a trader when starting so i was copying this man and at the start he was doing well then he simply began to believe the market would crash so he began shorting great deals of stocks and it never did and it simply kept increasing and then he still kept saying that the market was going to crash and it never did so i lost a fair bit of money so this is likewise a warning that your capital Etoro Questions Answers
Why is eToro thought about to be bad?
Certainly at risk eventually i had to cut my losses with this trader and i think i ended up losing over a thousand dollars in the end which i was not delighted 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 six months further down the line so while past efficiency is not indicted for future results i have made some of my greatest earnings in copy portfolios for instance i have actually been invested in 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 four years i have made a crazy 210 earnings also last year i invested in the big tech copy portfolio in january 2020 and now 16 months later this has made a massive 47.08 earnings which remains 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 however like i stated past efficiency is not a sign of future outcomes so certainly there are some minor negatives to copy portfolios first of all it is not possible to remove a part of the financial investment it’s also not possible to close private positions within a copy portfolio
Is eToro actually totally free as they say?
This is my virtual account here so state for example you didn’t like a specific business or individual that the copy portfolio had actually invested in or state for example you wanted to close one position to take earnings you would require to close the investment entirely so that’s something to bear in mind if you’re the kind of person who creams the top of the profits 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 likewise 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 require at least 5 thousand us dollars and 5 thousand us dollars might 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 then invest in them manually yourself
obviously 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 find this out for certain but 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 would like to verify this with me then please do not hesitate to get in contact and then i’ll put it as the pin remark listed below now this doesn’t suggest 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 wouldn’t react and close out a position if there was a crash in the market whereas a genuine person might respond to the marketplace and liquidate positions and possibly buy back in at a lower entry point this might deserve considering when selecting a market copy portfolio so to purchase copy portfolios
Why do you need 25k to day trade?
you would firstly go to the following link on the left here that states buy copy portfolios this is my virtual account as i stated before service and after that from here you’ve got the three 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 deserves having a browse so say let’s just click on this crypto copy portfolio here that with its absolute ridiculous results of 935 spot for 2 in the last 12 months that’s mad so it’s a really similar layout to a normal possession on with the feed upon the first page the description on the right here will generally describe what the copy portfolio’s approach is and the minimum financial investment quantity this must likewise detail how often it rebalances so as you can see for this crypto copy portfolio here the minimum financial investment amount is 1 000 us dollars so as i have actually just noticed here the description on the first page does not constantly match the description on the second page so to learn the rebalancing if you go on here i have actually just discovered that by looking for rebalancing you can see that this cryptocopy portfolio will be rebalanced annual or by the 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 man side we have actually got the possession allotment now you truly require to keep in mind of this as i learned this the hard way and by this i may learn this in two methods so i actually 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 equal yes i understand i was a massive noob and a rookie well among these cryptos was more greatly weighted than the others and that 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 bounced back up uh because they are so unpredictable so not just did i lose a lot of money and i wasn’t able to buy back ins because the rate had actually bounced up but i likewise can’t bear to believe more that would be worth now today it’s simply 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 sadly learnt the hard way you won’t forget them when you make a terrible error like that so carrying on from that if we scroll further down we have the historic 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 suggests as it says here the stars are based upon back evaluated results then you’ve got a typical risk rating here on the left hand side and also you can see the number of financiers in this copy portfolio and then down at the bottom we’ve got some good charts for net exposure and allocation then if you click the portfolio here you can see the current holdings in the portfolio and you’ve got some great graphs here which simply show the different allocation however if you in fact wish to see the real holdings you can see the present holdings in there in the portfolio and their existing 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 liquidated of then on the last tab we have a chart revealing the performance of this copy portfolio gradually so to invest in this you just click the big button on the top 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 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 investing in copy portfolio now this copy portfolio did open quickly because it’s a crypto portfolio and the marketplaces are open 24 7. now i’m tape-recording this video on a sunday Etoro Questions Answers
If you were to actually invest in a copy portfolio that invested in stocks then it would not actually open those positions 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 financial investment you can pause the investment you can adjust the stop loss or you can close the investment now if you desire to increase the financial investment one thing i have actually observed when looking at a lot of these is that the minimum quantity you can add to a copy portfolio once it is open is a thousand dollars now i don’t understand if that’s the exact same for all of them however i looked at a handful and they did all appear to state 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 been practical 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 know in the remarks let us know if you invest in copy portfolios and if so which ones or
which ones do you believe could be a good investment i ‘d like to know and i read all your comments if you found this video useful in any way then i ‘d really appreciate an early thumbs up as it actually assists support the channel also for those of you thinking about signing up to and haven’t already 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 offer you a demonstration account with a hundred thousand dollars of virtual cash where you can experience all of the features like copy trading without losing any real cash also if you wish to discover more about how works or more about individual finance and investing then i have many videos on my channel so i recommend 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 finance thank you for enjoying and i’ll capture you in the next one Etoro Questions Answers