Clarification on AutoInvest feature

Pies & AutoInvest
#1

Apologies in advance for any incorrect terminology.

I’m using the Pie Autoinvest feature and wondering if the current instruments will rebalance every time I add more funds to the pie (or when dividends are available), according to the % allocated?

I’ve noticed I can control the new fund distribution (by target, self-balancing, custom) but I’m not sure what happens to what’s already there. I guess what I’m trying to avoid is that stocks/ETFs that have made gains get trimmed down to the cost of rebalancing buying underperforming ones when I’m adding more funds or dividends are being reinvested.

Any thoughts highly appreciated.

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#2

Currently Autoinvest is adding funds by Target weightings.

Self-balance is only via manual pie funding.

It was said to be in pipeline for development…

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#3

Hi Vedran. I’m still playing with the instrument Autoinvest in Demo mode. I’ve just noted that if I scroll down the page there is a button named “rebalance”. Does this automatically rebalance a social pie according with the rebances made by its owner (for istance if the owner of the PIE modify its pie, if I press rebalance it will then automatically rebance also my PIE)?

#4

Hi. :slight_smile:

Unfortunately No.
Rebalance just uses existing configured weightings, buy underweight, sell overweight positions.

Ie you have pie with 4 stocks.

25%
25%
25%
25%

Over time it goes

30%
20%
25%
25%

If you hit rebalance, it will do buy/sell with result:

25%
25%
25%
25%

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#5

Thank you for the clarification. It’s a pity that it doesn’t work as I thought. Do you have any suggestion on how to rebalance someone else pie I’m copying? For istance, if I copy Ark Invest pie, which is often rebalancing, how can I keep my pie as the owner’s one? Should I everytime there is a change disinvest the whole pie (with the risk of closing many position in red and eventually the whole pie in red) and reinvest the whole amount?

#6

There’s two good ways of doing this without selling.
The best IMO is copying the recent pie, export all investments from the original pie then import them into the newest pie and rebalance if you wish. If you don’t want to rebalance then go through and see if there’s any far away from the target that you can fix manually.

Other option is manually going through and editing the percentages, but this seems time consuming if it’s a big pie.

#7

Hi what do you mean for export and reimport? I see that I can disinvest for objectives, for auto balance or personalized…is one of these 3 the exportation? Thank’s

#8

Here’s importing, and at bottom it will show a link to how to export. But it’s pretty intuitive

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#9

I’ve tried but in both ways there is a lot of work to be manually done. In the first case, when you export from the first pie the stocks goes among the others I own outside the pie, you then need to search the right ones to put in the second pie…this is very time consuming…as well as manually rebalancing.
Is T212 going to automate the adjustment from the social pie anytime in the future?

#10

Yeah absolutely, I know you’re right it’s a hassle, but I was just saying the first way was the best option available right now. Hopefully there can be linked pies, like just a toggle button which says “automatically update changes”

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#11

@Vedran just using your example above:

If I have my pie with 4 stocks.
25%
25%
25%
25%

And over time it goes
30%
20%
25%
25%

And I just fund my pie with X amount will 212 rebalance and the result:
25%
25%
25%
25%

or will it be allocated to the % at the time of the funding? ie:
30%
20%
25%
25%

Cheers

#12

It depends on the option you choose. If you invest by targets, then it will go to

If you invest by self-balancing it will go to*

If it’s auto-invest it will be invested by targets like the top one.

*this assumes you deposit enough money to bring it to equal weight. If not, it will bring it as close to equal weight as it can with the deposit

#13

Makes sense! Thanks @cavanhagan

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#14

I haven’t use Rebalance button, but that one just uses set weightings on each position sells overweight, buys underweight.

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20210108_1927011080×579 26.2 KB

Cavan is explaining manual invest, by target/self balancing.

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