When discussing the platform….this always comes up Etoro Insurance…Hopefully you will select something up along the way so what are copy portfolios so basically they are a basket of assets or traders picked by based on a picked theme sort of like a tiny etf in some respects copy portfolios are excellent for diversification and are developed to reduce long-term danger and benefit from current market chances each copy portfolio is occasionally rebalanced in order to get the most out of the thematic trading strategy upon which it is based generally they are viewed as a medium to long-lasting financial investment car however you can stop your financial investment at any point at the existing market rates as long as the markets are open copy portfolios are fantastic for novices who desire a hands-off method and if you look at’s site they really declare that they intend to provide to double-digit annual returns while mitigating the danger related to the financial investment now bear in mind previous performance isn’t indicative of future results but that is what they intend to do so copy portfolios are sort of like an etf
A handled portfolio without the fees although actual professionally handled funds are likely to be changed day-to-day or on much shorter periods whereas these are re-balanced at longer intervals so what is rebalancing generally with time the value of private properties in a varied portfolio move 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 portion of your portfolio will go up relative to the etf part the rebalancing mechanism closes and opens positions regularly to keep the possession allowance ratio and keep the copy portfolio method different copy portfolios rebalance at different times to others so essentially you need to look at each one separately to learn the rebalancing duration as soon as you purchase a copy portfolio your capital is expertly handled by’s investment committee each copy portfolio’s efficiency is evaluated in depth and rebalanced immediately regularly to maximize its gain capacity so firstly there are three types now like i said i’m not going to examine each one but possibly i’ll do that in another video so let me know if this is something you want 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 invest in a combination of cfd stocks commodities or etfs according
Is it trustworthy?
to a pre-determined market strategy or concentrating on a particular market segment as it states here they are developed around an idea performance metric or an algorithm that selects its top performing assets and then next we’ve got the top 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 investment committee and algorithmically searching for particular trading attributes that are enhanced for profit then finally we’ve got a partner copy portfolios these are portfolios created by 3rd parties that carry out extensive market analysis and has actually partnered with and again have a theme so let’s talk about a few of the advantages and disadvantages 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 check out my video which i’ll put a link to up here and in the description listed below to start with i would state the primary pros of copy portfolios are that they are good for newbies who desire a more hands-off technique in regards to the market copy portfolios i would state they are fantastic if you desire exposure to a specific market where you believe the industry will do well as a whole for instance you may want exposure to lots of renewable energy business or driverless vehicles companies because as a newbie you may not know much about private stocks to pick it will likewise save you time as looking into lots of individual stocks can be really time taking in so letting do this in your place is terrific this is also real 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 makes up a great trader to copy if you wish 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 choosing a trader based copy portfolio can give you direct exposure to great deals of traders that are picked by algorithmically this is excellent 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 variety of them in case one of 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 person and at the start he was succeeding then he simply began to believe the market would crash so he started shorting lots of stocks and it never ever did and it just kept going up and after that he still kept saying that the market was going to crash and it never did so i lost quite a bit of cash so this is also a warning that your capital Etoro Insurance
Why is eToro thought about to be bad?
Certainly at risk eventually i needed 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 pleased about but i took a look at that trader further 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 6 months further down the line so while previous efficiency is not indicted for future outcomes i have actually made some of my most significant earnings in copy portfolios for instance i have actually been bought the in the video game copy portfolio given that the 3rd of july 2017 and today’s date is the 25th of april 2021 so in simply under 4 years i have actually made an insane 210 revenue likewise in 2015 i invested in the big tech copy portfolio in january 2020 and now 16 months later this has actually made a massive 47.08 revenue which is 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 insane development i’m getting here on but like i stated past performance is not a sign of future outcomes so obviously there are some minor negatives to copy portfolios first of all it is not possible to eliminate a part of the investment it’s also not possible to close private positions within a copy portfolio
Is eToro truly free as they state?
so this is my virtual account here so say for example you didn’t like a specific business or person that the copy portfolio had invested in or state for example you wished to close one position to take revenues you would require to close the financial investment totally so that’s something to keep in mind if you’re the sort of individual who creams the top of the earnings off of a financial investment so then potentially you should invest directly 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 some of these is quite high all the trader based copy portfolios need a minimum of 5 thousand us dollars and five thousand us dollars could be a lot so your alternative is to potentially take a look at a few 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 potentially another unfavorable of copy portfolios and i could not discover this out for definite 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 validate this with me then please feel free to get in contact and after that i’ll put it as the pin comment listed below now this does not mean 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 wouldn’t react and close out a position if there was a crash in the market whereas a genuine individual might react to the marketplace and liquidate positions and potentially redeem in at a lower entry point this may deserve considering when selecting a market copy portfolio so to invest in copy portfolios
Why do you need 25k to day trade?
you would first of all go to the following link on the left here that says buy copy portfolios this is my virtual account as i stated before service and after that from here you’ve got the 3 kinds 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 styles so it’s worth having a browse so state let’s just click this crypto copy portfolio here that with its absolute crazy results of 935 area for two in the last 12 months that seethes so it’s a really similar design to a normal possession on with the feed on the very first page the description on the right here will typically outline what the copy portfolio’s methodology is and the minimum investment quantity this need to also outline how often 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 have actually just observed here the description on the first page doesn’t always match the description on the 2nd page so to find out the rebalancing if you go on here i have actually 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 consisting of brand-new listings or de-listing based upon the terms pointed out above and the minimum financial investment
quantity is 1000 us dollars so as you can see here on the right-hand man side we have actually got the property allocation now you truly require to take note of this as i discovered this the hard way and by this i might discover this in 2 methods so i really invested in one of these crypto copy portfolios a 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 a massive noob and a novice well among these cryptos was more heavily 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 recovered up uh because they are so unpredictable so not just did i lose a great deal of cash and i wasn’t able to buy back ins because the price had bounced up but i likewise can’t bear to think more that would be worth now today it’s simply uh i missed out on i missed out on that one but it’s lesson to find out and in some cases the very best lessons in trading are regrettably discovered the hard way you won’t forget them when you make an awful error like that so moving on from that if we scroll further down we have the historic statistics of the copy portfolio if it’s a newish copy portfolio then you’ll see there’s some stars beside the numbers
and this suggests as it states here the stars are based on back tested outcomes then you have actually got an average risk score here on the left hand side and also you can see the number of financiers in this copy portfolio and after that down at the bottom we’ve got some great graphs for net direct exposure and allowance then if you click on the portfolio here you can see the present holdings in the portfolio and you have actually got some good charts here which simply reveal the different allowance but if you actually want to see the real holdings you can see the present holdings in there in the portfolio and their present revenue 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 perhaps one year you can see the historical trades this copy portfolio has actually closed out of then on the last tab we have a chart showing the efficiency of this copy portfolio gradually so to invest in this you simply click the huge 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 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 buying copy portfolio now this copy portfolio did open straight away because it’s a crypto portfolio and the markets are open 24 7. now i’m tape-recording this video on a sunday Etoro Insurance
so if you were to actually invest in a copy portfolio that bought stocks then it would not in fact 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 financial investment you can pause the financial investment you can change the stop loss or you can close the investment now if you wish to increase the investment something i have observed when taking a look at a bunch 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 understand if that’s the same for all of them but i took a look at a handful and they did all appear to state it was a thousand that you could include minimum so that’s something certainly to bear in mind when opening your copy portfolio position so i hope this video has been helpful to you if you are considering buying 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 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 great investment i ‘d love to know and i checked out all your remarks if you found this video valuable in any way then i ‘d actually appreciate an early thumbs up as it actually assists support the channel also for those of you interested in signing up to and have not currently then there’s an an affiliate link below where if you do register utilizing it then i will get a kickback and it doesn’t cost you anything extra however it really helps support this channel so why not give a go before transferring any genuine money as they will provide you a demo account with a hundred thousand dollars of virtual money where you can experience all of the functions like copy trading without losing any real money also if you want to learn more about how works or more about individual finance and investing then i have numerous videos on my channel so i suggest 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 finance thank you for seeing and i’ll catch you in the next one Etoro Insurance