Our advanced Portfolio Sync technology allows individuals to tap directly into the skill and expertise of experienced investors — and now we’ve made it even better:
Covestor recently surpassed the $1 Billion mark for the total volume of trades we have replicated for investors since the service was launched in 2009!
The technology makes it easy for individuals to easily invest right alongside the portfolio managers on Covestor who are using a wide variety of strategies.
Investors don’t have to be wealthy to get access to portfolio managers because of Covestor’s lower minimums.
Portfolio Sync allows Covestor to create and deliver a wide range of investing strategies, including:
- Actively managed portfolios run by managers picking securities
- Passive, diversified portfolios of ETFs for buy-and-hold investors with management fees starting at zero
- Multi-manager portfolios that focus on specific investor goals such as Risk Protection and Yield
Bringing money management to the digital age
Portfolio Sync lets individuals to track the roughly 150 portfolios on Covestor’s investment marketplace in their own brokerage accounts with full transparency on fees, positions and trades.
Once clients select their managers and portfolios, Portfolio Sync does the rest — automatically mirroring which securities their chosen portfolio managers are buying and selling, trade for trade, in clients’ accounts.
“Many people want to manage their own money, but either don’t have the time or in-depth experience to do it,” says Covestor CEO, Asheesh Advani. “Covestor’s technology brings money management to the digital age.”
Portfolio Sync is just one feature of Covestor’s online marketplace that allows us to cut fees to the bone on active and passive portfolios.
Our tools and search features allow investors to find portfolios that are suitable for them, and we have financial professionals who can help.
What we learned on our way to $1 billion of trades
As an online investment marketplace, we want to offer individuals a range of choices while helping them avoid common investing pitfalls.
Here are a few things we’ve learned along the way:
- Investors often make decisions based on historical performance without knowing or understanding how much risk was taken on to achieve those returns. That’s why we always show risk-adjusted performance with important metrics such as Sharpe ratio, maximum drawdowns, and value-at-risk. Our website explains these terms to investors so they can make better decisions.
- Failing to diversify and making emotional decisions are among the most common investment mistakes. For example, some investors sell at the worst possible time — the bottom — when drawdowns exceed 10%. Our multi-manager portfolios are designed to help investors diversify and invest with confidence.
- Investors have come to trust online asset management firms more readily over the last two years, than during the first four years of our existence. Investors are growing more comfortable using online investment advisers.
Portfolio Sync 2.0
Now, we’re excited to launch the next generation of Portfolio Sync!
The introduction of Portfolio Sync 2.0 lets Covestor provide additional data consistency, enhanced fulfillment and pricing on trades, and seamless creation of multi-manager portfolios for greater diversification without an additional layer of fees typically levied by fund of funds.
“With trade volume increasing quickly, Portfolio Sync 2.0 positions us to handle growth and add new features,” said Bimal Shah, Covestor’s Chief Technology Officer.
Covestor: Investing, simplified.
Photo credit: Robbie Shade via Flickr Creative Commons
DISCLAIMER: The reader should not assume that any investments identified were or will be profitable or that any investment recommendations or investment decisions we make in the future will be profitable. Past performance is no guarantee of future results.
