When discussing the platform….this always comes up Social Trading El Etoro…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 sort of like a small etf in some aspects copy portfolios are great for diversification and are designed to minimize long-term risk and take advantage of present market opportunities each copy portfolio is occasionally rebalanced in order to get the most out of the thematic trading technique upon which it is based generally they are seen as a medium to long-lasting investment vehicle however you can stop your investment at any point at the present market rates as long as the markets are open copy portfolios are great for beginners who desire a hands-off method and if you take a look at’s site they in fact claim that they intend to provide to double-digit annual returns while reducing the risk related to the financial investment now keep in mind past efficiency isn’t a sign of future results but that is what they aim to do so copy portfolios are sort of like an etf
A managed portfolio without the charges although real professionally handled funds are most likely to be changed day-to-day or on shorter periods whereas these are re-balanced at longer periods so what is rebalancing basically in time the worth of private properties in a varied portfolio go up and down whereby they drift away from their target weights for instance over the long term stocks typically increase 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 periodically to keep the asset allocation ratio and maintain the copy portfolio technique various copy portfolios rebalance at various times to others so essentially you require to look at every one individually to learn the rebalancing duration when you invest in a copy portfolio your capital is professionally managed by’s investment committee each copy portfolio’s efficiency is evaluated in depth and rebalanced automatically periodically to optimize its gain capacity so firstly there are 3 types now like i said i’m not going to evaluate every one however possibly i’ll do that in another video so let me know if this is something you want 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 buy 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 says here they are constructed around a concept efficiency metric or an algorithm that picks its leading performing properties and after that next we have actually got the leading trader copy portfolios top traders purchase a group of traders these compromise the best carrying out traders on according to a predefined method the traders within are picked by’s financial investment committee and algorithmically searching for particular trading qualities that are enhanced for profit then last but not least we have actually got a partner copy portfolios these are portfolios developed by third parties that conduct thorough market analysis and has actually partnered with and once again have a style so let’s go over some of the pros and cons of copying people versus copying portfolios so i’m not going to discuss what copyrighting is however if you want to know more about that then go have 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 main pros of copy portfolios are that they benefit beginners who desire a more hands-off method in regards to the marketplace copy portfolios i would state they are fantastic if you desire exposure to a specific market where you believe the market will do well as a whole for example you may want exposure to great deals of renewable energy companies or driverless vehicles companies due to the fact that as a novice you might not know much about specific stocks to select it will likewise save you time as looking into great deals of specific stocks can be very time taking in so letting do this on your behalf is fantastic this is also true for the other two copy portfolio
Can you earn money on the trading platform?
types for instance as a newbie you may not know what makes up 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 below picking a trader based copy portfolio can offer you direct exposure to lots of traders that are chosen by algorithmically this is terrific for diversification if you’re brand-new to i personally would not invest all my cash in one trader and would try to spread it out over a variety of them in case one of them does not succeed and on the odd occasion 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 doing well then he simply began to think the marketplace would crash so he began shorting lots of stocks and it never ever did and it just kept increasing and after that he still kept saying that the marketplace was going to crash and it never did so i lost a fair bit of cash so this is likewise a caution that your capital Social Trading El Etoro
Why is eToro thought about to be bad?
Absolutely 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 happy 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 much better than where i would have been six months further down the line so while previous performance is not indicted for future outcomes i have made a few of my most significant revenues in copy portfolios for instance i’ve been bought the in the game copy portfolio given that the 3rd of july 2017 and today’s date is the 25th of april 2021 so in just under four years i have actually made a crazy 210 revenue also in 2015 i purchased the huge tech copy portfolio in january 2020 and now 16 months later on this has made a whopping 47.08 revenue 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 right now that’s that’s some outrageous growth i’m getting here on but like i said past performance is not a sign of future outcomes so certainly 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 likewise not possible to close individual positions within a copy portfolio
Is eToro truly free as they state?
This is my virtual account here so say for example you didn’t like a specific company or individual that the copy portfolio had invested in or say for example you wanted to close one position to take earnings you would need to close the financial investment entirely so that’s something to bear in mind if you’re the kind of individual who creams the top of the profits off of an investment so then perhaps you should invest directly into stocks or traders that you would desire 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 some of these is rather high all the trader based copy portfolios need at least five thousand us dollars and 5 thousand us dollars could be a lot so your option 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 possibly another negative of copy portfolios and i couldn’t find this out for certain however my understanding is that on market copy portfolios there isn’t any stop losses on private positions if somebody from etora sees this video and wants to confirm this with me then please do not hesitate to get in contact and then i’ll put it as the pin remark below now this does not 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 would not react and close out a position if there was a crash in the market whereas a real person might react to the market and close out positions and possibly buy back in at a lower entry point this may be worth considering when choosing a market copy portfolio so to buy copy portfolios
Why do you need 25k to day trade?
you would to start with 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 after that from here you’ve got the 3 types 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 various themes so it deserves having a browse so state let’s simply click on this crypto copy portfolio here that with its absolute ridiculous results of 935 area for two in the last 12 months that seethes so it’s a very similar layout to a normal possession on with the eat the first page the description on the right here will normally describe what the copy portfolio’s methodology is and the minimum investment amount this must likewise lay out 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 simply seen here the description on the first page doesn’t constantly match the description on the 2nd page so to learn the rebalancing if you go on here i have actually simply discovered that by searching for rebalancing you can see that this cryptocopy portfolio will be rebalanced yearly or by the investment committee discretion consisting of new listings or de-listing based on the terms pointed out above and the minimum financial investment
amount is 1000 us dollars so as you can see here on the right hand side we have actually got the possession allocation now you actually require to bear in mind of this as i learned this the hard way and by this i might discover this in 2 methods so i really bought one of these crypto copy portfolios a very long time ago when i was starting on and i didn’t check the weightings and i presume they were all equal yes i understand i was an enormous noob and a rookie 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 then as cryptos do it recuperated up uh because they are so unstable so not just did i lose a great deal of money and i wasn’t able to buy back ins due to the fact that the rate had actually bounced up however i likewise can’t bear to believe more that would deserve now today it’s just uh i missed i lost out on that one however it’s lesson to discover and in some cases the very best lessons in trading are sadly discovered the hard way you won’t forget them when you make an awful mistake like that so carrying 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 notice there’s some stars next to the numbers
and this indicates as it says here the stars are based on back checked results then you’ve got a typical danger score here on the left hand side and likewise you can see the variety of financiers in this copy portfolio and then down at the bottom we have actually got some nice graphs for net exposure and allowance then if you click on the portfolio here you can see the current holdings in the portfolio and you’ve got some good charts here which simply reveal the different allotment however if you really want to see the actual holdings you can see the present holdings in there in the portfolio and their existing earnings 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 possibly one year you can see the historical trades this copy portfolio has actually liquidated of then on the last tab we have a chart showing the efficiency of this copy portfolio in time so to invest in this you just click the huge button on the leading right that says invest and after that you can set a quantity 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 just know there is a minimum and an optimum on the stop loss here so if i press the invest here and now it started buying copy portfolio now this copy portfolio did open quickly because it’s a crypto portfolio and the markets are open 24 7. now i’m taping this video on a sunday Social Trading El 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 stop briefly the financial investment you can adjust the stop loss or you can close the financial investment now if you wish to increase the investment something i have actually noticed when taking a look at a lot of these is that the minimum amount you can add to a copy portfolio once it is open is a thousand dollars now i do not 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 add minimum so that’s something certainly to remember when opening your copy portfolio position so i hope this video has been helpful to you if you are thinking about investing in a copy portfolio then please do your own due diligence initially if you have actually got any questions on this video then please let me understand in the comments let us understand if you purchase copy portfolios and if so which ones or
which ones do you think could be an excellent financial investment i ‘d love to understand and i read all your remarks if you discovered this video practical in any way then i ‘d actually value an early thumbs up as it truly assists support the channel likewise for those of you interested in signing up to and haven’t currently then there’s an an affiliate link below where if you do sign up using it then i will get a kickback and it doesn’t cost you anything additional but it really assists support this channel so why not give a go prior to transferring any real cash as they will offer you a demo account with a hundred thousand dollars of virtual cash where you can experience all of the features like copy trading without losing any real money likewise if you want 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 push the bell and subscribe icon so you do not miss out on any future updates it’s been ollie from get geek finance thank you for enjoying and i’ll catch you in the next one Social Trading El Etoro