Social/ Copy Trading

Has T 212 ever considered social or copy trading feature similar to eToro’s model? I think it would be great to have that option.

If I can give my 2cents on this… it can be a very big trap for beginners. Apart of the vey user friendly interface of eToro, this social feature leads people to “copy” very overvalued stocks because of past gains and most of the times they will lose money, if you do a quick research on social media you will find more people complaining about loses than gains on eToro copy portfolio.
Not to mention another layer of complexity to the platform.
Cheers!

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Social/copy trading in it’s current primitive form doesn’t work. I believe in augmented intelligence where algorithms, constantly supervised and adjusted by humans will be the best money managers. That’s exactly what quant funds are doing.

And we are already working on making it available to everybody. But that’s another story.

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That’s great to hear that you’ve got something better in the works. The point I may have failed to put across is that many people will need help because they will not have the time and resources to learn to trade successfully. This great democratisation of investing is only increasing the size of the 74% of retail clients that lose their money through trading. Most people will not be able to afford hiring a professional and eventually most are likely to quit, which can consequently mean that these services won’t be able to be made available for free.

I believe in augmented intelligence where algorithms, constantly supervised and adjusted by humans will be the best money managers. That’s exactly what quant funds are doing.

Me too. Have been exploring QuantConnect.com. Very powerful platform.

And here’s our approach: www.proquant.com

Yes, I am testing it as we type. Have tried some strategies, but it didn’t convince me yet. Mixed results.

The simple answer here is: Past performance does not dictate future performance.

People sign up to eToro expecting free money, they follow the people with the best stats, but 75% of all their accounts lose money, while here it’s 76%, which is the same. People get in to CFDs expecting fast&easy money but that’s not the reality.

I personally run an ‘advisory’ company and I could start posting analysis on this forum, which you can take interpret your own way because risk tolerance is not the same for everyone.

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That would be awesome Max and a great help. You’re indeed right that most people get into trading with the get rich quick mentality, which is the best recipe for disaster! I think people need the best possible advice that is easily understood. Of course the Internet is rife with excellent material about investing, but I fear not many people will have the time and the drive to go through it all.

My real life experience. Close friend of mine, got Revolut trade platform.
He was checking which famous company had cheap stock price.

He found Coca Cola, price only 54$.

He bought 2 shares.

Waited 3-4 days, seen it gone red. Sold.

I asked him, what does he expect to triple in value over night?

Well that would be nice lol.

I would say most millennials heard of the bitcoin “overnight” millionaires.

Thought maybe the same can be reproduced in stocks.

Copy/social trading has no benefit or meaning.
Perso investing has to make truth with himself that he is in for long ride.
Which at end of the day means seeing lot of red days, negative returns on stocks etc.

But as value investor you seek to buy when people are afraid, and be afraid when everyone is greedy - as “some” famous person said. :slight_smile:

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