Does Copy Trading Make Sense for You?

Disclaimer: The information provided in this article is for educational and informational purposes only and should not be considered financial advice. The author is not a financial advisor and the content of this article is not intended to be a substitute for professional financial advice. Always seek the advice of a qualified financial professional before making any financial decisions.

Copy trading is a relatively new concept that allows investors to copy the trades of other successful investors. It is a great way to learn from experienced traders and make a profit without having to do all the research and analysis yourself. However, Copy Trading is not for everyone, and it’s essential to understand the risks and benefits before getting started.

Copy Trading

If you’re interested in Copy Trading, one tool that can help you get started is Savvy Trader, an online stock and crypto investment portfolio tool that allows you to create a new or re-create an existing investment portfolio using paper money. Also, with Savvy Trader, you are able to subscribe to other investors’ portfolios. Once subscribed, you get access to their Holdings Details and Portfolio Performance. The following image is an example of a portfolio on Savvy Trader:

Real-time Notifications

Also, when you subscribe, you can get Real-time Notifications when they buy or sell a stock or cryptocurrency, and hopefully, they have commented on why they made the trade. If their trade and reasoning make sense for you, copy their trades in your portfolio! The following image shows an example of a trade notification with a comment and diagrams various ways to receive the notification- SMS, email, or In-app Push:

Discover Great Investment Portfolios

To use Savvy Trader for copy trading, search for other investors’ portfolios using the Discover page and find the ones that match your investment goals and risk tolerance. Once you’ve found a portfolio you want to copy, you can subscribe to it and automatically copy the trades when they happen. You can also set up notifications for when the investor makes a trade so that you can stay up-to-date on the latest developments.

Pro Tip: Subscribe to investors' portfolios that consistently explain their trades and comment on specific stocks or cryptocurrencies, as well as market sentiment, events, and news. Investors who explain their reasoning for buying or selling something or why they are bullish/bearish on a topic will better inform your decisions and help you decide whether to copy their trades.

The following image shows examples of different kinds of portfolios that you can subscribe to on Savvy Trader:

Diversify Your Portfolio

One of the benefits of using Savvy Trader for Copy Trading is that it allows you to diversify your portfolio across multiple investors and trading strategies. You can copy the trades of several investors, each with its own investment style and risk tolerance. The following image shows a subscription list of very different portfolios:

Savvy Trader

Copy Trading can be a helpful tool for investors looking to learn from experienced traders and potentially make a profit. With Savvy Trader, you can easily find and copy the trades of other investors and diversify your portfolio across multiple trading strategies. However, it’s essential to understand the risks and benefits of Copy Trading before getting started and always to do your own research and due diligence. When subscribing to a portfolio, you must acknowledge that you understand that it is not investment advice!