Do you think your roboadvisor is reactive or proactive?

[w1rbelw1nd]

Syfe and Stashaway have written white papers around their proprietary investment methodology, saying that they are able to manage risk, or outperform because of it.

Based on what you observe on how they tactically shifted the ETFs over the past few weeks from the extreme volatility, do you think they are reactive or proactive?

Very broad definition, just trying to illustrate the 2 end of spectrum.

Reactive = sell low, buy high. Robo, why you sell my equities exposure cheaply for cash and bonds?? why hold so much bonds just when equities market is at its lowest? Arent you just acting like me emotionally?

Proactive = sell high, buy low. Robo, I observe that you manage to roughly sell equities just before market crash, and buy bonds. You navigate it fairly well tactically, and I am more confident of the algo.

Poll time!

 

[Ole Gunner]

Maybe you can answer your own question first.

So which Robo do you use? Do you think it is proactive or reactive?

From the other thread it seems consensus is both Syfe and Stashaway are reactive.

 

[RMCWMR]

Syfe and Stashaway have written white papers around their proprietary investment methodology, saying that they are able to manage risk, or outperform because of it.

Based on what you observe on how they tactically shifted the ETFs over the past few weeks from the extreme volatility, do you think they are reactive or proactive?

Very broad definition, just trying to illustrate the 2 end of spectrum.

Reactive = sell low, buy high. Robo, why you sell my equities exposure cheaply for cash and bonds?? why hold so much bonds just when equities market is at its lowest? Arent you just acting like me emotionally?

Proactive = sell high, buy low. Robo, I observe that you manage to roughly sell equities just before market crash, and buy bonds. You navigate it fairly well tactically, and I am more confident of the algo.

Poll time!

All robos are reactive la....

 

[w1rbelw1nd]

Maybe you can answer your own question first.

So which Robo do you use? Do you think it is proactive or reactive?

From the other thread it seems consensus is both Syfe and Stashaway are reactive.

I dont use a robo. Just curious

 

[S1mpleGuy]

this downturn make me realise robo no value added. not worth the fees. But i will look again 6months later see how their algo perform

 

[s0crates]

Yes interested to find out also.

The $1 try try mindset, wonder how did it work out. Especially with this crazy market volatility. Not sure if now's the perfect chance to judge their trading capabilities or have to assume that it's a black swan event that their algo will not be able to accommodate for.

 

[hkchew03]

All reactive. If proactive, they pretty much would have beat the market easily. To some, buy high, sell low is a cost cutting measure, to others, it's just panic selling and short term thinking.

One advantage of robo is simple interface and use. Open acc, transfer SGD, nothing else, no need to deal with FX, buying and selling etc. Of cos all these come with extra cost, but then a person who knows all these probably will not be looking at robo anyway

Posted from PCWX using Redmi K20 Pro

 

[s0crates]

I appreciate all the consistent allocation platforms (Endowus, moneyowl). Sometimes I wonder why need to be obsessed with alpha. Isn't sleep well at night better?? Hmmmm

All reactive. If proactive, they pretty much would have beat the market easily. To some, buy high, sell low is a cost cutting measure, to others, it's just panic selling and short term thinking.

One advantage of robo is simple interface and use. Open acc, transfer SGD, nothing else, no need to deal with FX, buying and selling etc. Of cos all these come with extra cost, but then a person who knows all these probably will not be looking at robo anyway

Posted from PCWX using Redmi K20 Pro

 

[hellfire88]

Well I'm using Syfe and it's outperforming my own DIY portfolio allocation

So I guess for me it's Proactive or I dont know - I am leaving it to the algo, I will trust them and I will stick to my plans

My 17% risk portfolio rebalanced into bonds before the bigger market crash happened so it's good decision in my view

 

[assiak71]

Those who think robo have not done well, it is important to put it into perspective. If you were in the market by yourself, 1 year, 3 years, 5 years etc later do you think your diy could do better?

My own ans is i doubt i will do better.

 

[mycashewhouse]

I hav my own portfolio as wellas using dbs robo

I do not think in current climate mine is exceptionally better too

 

[hkchew03]

Those who think robo have not done well, it is important to put it into perspective. If you were in the market by yourself, 1 year, 3 years, 5 years etc later do you think your diy could do better?

My own ans is i doubt i will do better.

Actually depending on the timeframe and also situation. Robo will have a advantage in short term by cutting losses in downtrend compare to just holding to just ETF, but across long term, your ETF might regain more than robo. In a uptrend situation, robo should have an advantage if you go for all-out risk profile as compared to holding just ETF (ie IWDA alone).

End of the day, really depends on your objective.

Thats what I believe at least with my limited experience with robo. Sadly most people will put the blame to robo if they get negative returns, just human nature to push the blame.

 

[w1rbelw1nd]

Those who think robo have not done well, it is important to put it into perspective. If you were in the market by yourself, 1 year, 3 years, 5 years etc later do you think your diy could do better?

My own ans is i doubt i will do better.

I think I will do better to be honest. Cost matters. I think thats what even the robos identify, but I dont see that they have grown to a scale where they cut costs to make investments more cost effective on their platforms right?

I am using Endowus now la, but its because they are cost competitive relatively, and they are not really a "robo advisor". Cash I still DIY IBKR.

 

[zerozerozerozero]

I’m thinking of starting an account with Endowus,

How’s their performance so far? Do you think it’s a good time to start an account

Also what you mean by they are not really an Robo Advisor

I think I will do better to be honest. Cost matters. I think thats what even the robos identify, but I dont see that they have grown to a scale where they cut costs to make investments more cost effective on their platforms right?

I am using Endowus now la, but its because they are cost competitive relatively, and they are not really a "robo advisor". Cash I still DIY IBKR.

 

[w1rbelw1nd]

I’m thinking of starting an account with Endowus,

How’s their performance so far? Do you think it’s a good time to start an account

Also what you mean by they are not really an Robo Advisor

The right time to invest is when you are ready to commit long term to it, and stay invested at your own risk level.

Performance defers across your risk profile lo.

They are not "really" a roboadvisor because they dont trade your underlying funds actively. Its plain boring 60:40 equities bonds ratio. Nothing much.

 

[silverbomb]

I hav my own portfolio as wellas using dbs robo

I do not think in current climate mine is exceptionally better too

I tried investing Digiportfolio with 1000usd but their 50/50 robohuman advisory doesn't do any rebalancing yet so in reds -20% it remains to be seen. only time will tell.

 

[2474265]

I tried investing Digiportfolio with 1000usd but their 50/50 robohuman advisory doesn't do any rebalancing yet so in reds -20% it remains to be seen. only time will tell.

Syfe clearly won as being the one to be able to protect the portfolio the best, so they will have a head start when the markets start to recover.

Not sure why the others aren't reacting at all, maybe they were too late?

Tough times...