When discussing the platform….this always comes up Cash Account Vs Margin Account Etoro…Hopefully you will choose something up along the way so what are copy portfolios so basically they are a basket of traders or possessions picked by based upon a chosen style kind of like a small etf in some aspects copy portfolios are excellent for diversification and are created to minimize long-term risk and make the most of 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 typically they are seen as a medium to long-lasting financial investment lorry however you can stop your investment at any point at the current market rates as long as the marketplaces are open copy portfolios are fantastic for novices who want a hands-off approach and if you look at’s website they really declare that they intend to provide to double-digit yearly returns while mitigating the risk associated with the financial 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 handled portfolio without the fees although actual professionally managed funds are likely to be changed day-to-day or on much shorter intervals whereas these are re-balanced at longer periods so what is rebalancing essentially over time the value of individual assets in a varied 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 go up relative to the etf part the rebalancing system closes and opens positions periodically to keep the property allocation ratio and keep the copy portfolio strategy various copy portfolios rebalance at different times to others so basically you require to look at each one individually to discover the rebalancing period once you invest in a copy portfolio your capital is professionally managed by’s financial investment committee each copy portfolio’s efficiency is examined in depth and rebalanced instantly regularly to maximize its gain capacity so firstly there are 3 types now like i said i’m not going to examine each one but maybe 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 top 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 specific market sector as it states here they are built around a concept efficiency metric or an algorithm that selects its top performing possessions and then next we have actually got the leading trader copy portfolios top traders invest in a group of traders these compromise the very best performing traders on according to a predefined technique the traders within are picked by’s financial investment committee and algorithmically trying to find specific trading characteristics that are optimized for profit then lastly we’ve got a partner copy portfolios these are portfolios developed by third parties that carry out thorough market analysis and has actually partnered with and once again have a theme so let’s talk about some of the pros and cons of copying individuals versus copying portfolios so i’m not going to explain what copyrighting is however if you wish to know more about that then go have a look at my video which i’ll position a link to up here and in the description below firstly i would say the primary pros of copy portfolios are that they are good for novices who want a more hands-off technique in regards to the marketplace copy portfolios i would state they are fantastic if you want direct exposure to a specific industry where you think the market will do well as a whole for instance you may desire direct exposure to lots of renewable resource business or driverless vehicles business due to the fact that as a newbie you might not know much about individual stocks to pick it will also conserve you time as investigating lots of individual stocks can be really time taking in so letting do this in your place is terrific this is also true for the other two copy portfolio
Can you generate income on the trading platform?
types for instance as a novice you may not know what constitutes a good trader to copy if you need to know how i personally discover people to copy on then go take a look at 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 direct exposure to great deals of traders that are chosen by algorithmically this is great for diversification if you’re brand-new to i personally would not invest all my cash in one trader and would attempt to spread it out over a number of them in case among them doesn’t do well and on the odd celebration this does take place i discovered this through copying a trader when beginning so i was copying this person and at the start he was doing well then he simply began to think the marketplace would crash so he began shorting great deals of stocks and it never ever did and it just kept increasing and after that he still kept stating that the marketplace was going to crash and it never ever did so i lost quite a bit of cash so this is likewise a caution that your capital Cash Account Vs Margin Account Etoro
Why is eToro considered to be bad?
Absolutely 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 but 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 better than where i would have been 6 months even more down the line so while previous performance is not indicted for future outcomes i have made a few of my greatest 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 simply under four years i have made a ridiculous 210 revenue likewise last year i bought the big tech copy portfolio in january 2020 and now 16 months later this has actually made a massive 47.08 profit and that is 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 insane development i’m getting here on but like i said previous efficiency is not a sign of future results so obviously there are some minor negatives to copy portfolios first of all it is not possible to eliminate a part of the financial investment it’s likewise not possible to close individual positions within a copy portfolio
Is eToro truly 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 say for example you desired to close one position to take revenues you would require 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 revenues off of a financial investment so then potentially you need to invest straight into stocks or traders that you would want to copy rather than in a copy portfolio likewise 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 require at least five thousand us dollars and five thousand us dollars could be a lot so your option is to potentially look at some of the traders in these coffee portfolios or look at the stocks in a copy portfolio and then invest in them by hand yourself
clearly 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 specific positions if somebody from etora sees this video and wishes to confirm this with me then please feel free to get in contact and then i’ll put it as the pin comment listed below now this doesn’t imply you can’t personally set a stop loss on the copy portfolio yourself but say for example if you’re copying a market copy portfolio it wouldn’t respond and close out a position if there was a crash in the market whereas a real individual might respond to the marketplace and liquidate positions and possibly 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 purchase copy portfolios this is my virtual account as i stated prior to service and then from here you’ve got the 3 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 great deals of various styles so it’s worth having a browse so say 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 comparable design to a typical possession on with the feed upon the very first page the description on the right here will typically detail what the copy portfolio’s methodology is and the minimum investment quantity this must likewise outline how frequently it rebalances so as you can see for this crypto copy portfolio here the minimum investment quantity is 1 000 us dollars so as i have actually simply observed here the description on the first page does not always match the description on the 2nd page so to learn the rebalancing if you go on here i’ve simply discovered that by looking for rebalancing you can see that this cryptocopy portfolio will be rebalanced yearly or by the financial investment committee discretion consisting of 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 side we have actually got the possession allowance now you actually need to keep in mind of this as i learned this the hard way and by this i might discover this in 2 ways so i really bought among these crypto copy portfolios a long period of 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 an enormous noob and a novice well one of 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 then as cryptos do it recuperated up uh because they are so unpredictable so not only did i lose a great deal of money and i wasn’t able to buy back ins because the rate had bounced up however i also can’t bear to believe more that would deserve now today it’s just uh i missed out on i lost out on that one however it’s lesson to learn and sometimes the best lessons in trading are unfortunately found out the hard way you will not forget them when you make a dreadful 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 discover there’s some stars beside the numbers
and this indicates as it states here the stars are based on back tested results then you’ve got an average danger rating here on the left hand side and also you can see the variety of financiers in this copy portfolio and after that down at the bottom we’ve got some nice charts for net direct exposure and allocation then if you click on the portfolio here you can see the existing holdings in the portfolio and you have actually got some good charts here which simply reveal the different allocation however if you in fact want to see the real holdings you can see the current holdings in there in the portfolio and their existing earnings and loss here um and if you alter this bit here you can see the historical trades this copy portfolio has liquidated of so if we set that to possibly one year you can see the historic trades this copy portfolio has actually closed out of then on the last tab we have a chart revealing the performance of this copy portfolio over time so to purchase this you simply click the big button on the top right that states invest and then you can set an amount here that you wish 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 just know there is a minimum and an optimum 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 since it’s a crypto portfolio and the marketplaces are open 24 7. now i’m recording this video on a sunday Cash Account Vs Margin Account Etoro
so if you were to really buy a copy portfolio that bought stocks then it would not really open those positions until 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 adjust the stop loss or you can close the investment now if you wish to increase the financial investment one thing i have discovered when looking at a lot of these is that the minimum quantity you can contribute 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 but i looked at a handful and they did all seem to state it was a thousand that you could include minimum so that’s something definitely to keep in mind when opening your copy portfolio position so i hope this video has been useful to you if you are considering investing in 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 believe could be an excellent financial investment i ‘d like to understand and i checked out all your comments if you discovered this video helpful in any way then i ‘d really value an early thumbs up as it really assists support the channel also for those of you interested in registering to and haven’t already 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 however it truly helps support this channel so why not give a go prior to transferring 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 cash also if you wish to find out more about how works or more about personal finance 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 do not lose out on any future updates it’s been ollie from get geek financing thank you for watching and i’ll capture you in the next one Cash Account Vs Margin Account Etoro