Roboadvisors/investors taking a hit from the down turn.

dango_daikazoku

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So I put a significant amount into the various robos and all of them have been going down hill since a about year ago. (syfe, endowus, stashaway, moneyowl etc, and a few of them are still spamming ads to attract funds like wtf)

Hoping to leave the ~10% losses as paperloss, I've been holding out and didnt withdraw anything, hoping for things to go up again or the robos to do some magic as advertised.

But shlt is getting too close to the fan.

Is it time to pull out and park everything in FDs? Is there such thing "as timing the market" with robos? Or do you really put it in and forget about it?
 
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epigram

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if you have no immediate need for the funds, why not consider leaving it in? when you did the risk questionnaire, what duration did you set as your investment horizon and risk appetite?
e.g. if you chose 10 years and willing to have -20% loss for high potential gain, then a 10% drop in 1 year should be within the long term expectation?
 

yiron

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So I put a significant amount into the various robos and all of them have been going down hill since a about year ago. (syfe, endowus, stashaway, moneyowl etc, and a few of them are still spamming ads to attract funds like wtf)

Hoping to leave the ~10% losses as paperloss, I've been holding out and didnt withdraw anything, hoping for things to go up again or the robos to do some magic as advertised.

But shlt is getting too close to the fan.

Is it time to pull out and park everything in FDs? Is there such thing "as timing the market" with robos? Or do you really put it in and forget about it?
No diff from those who do DCA with global ETF, everyone feels the pain with the broad market drop. U can take your chances timing the market, or u can continuing DCAing. End of the day is up to your own investment preference.
 

reddevil0728

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So I put a significant amount into the various robos and all of them have been going down hill since a about year ago. (syfe, endowus, stashaway, moneyowl etc, and a few of them are still spamming ads to attract funds like wtf)

Hoping to leave the ~10% losses as paperloss, I've been holding out and didnt withdraw anything, hoping for things to go up again or the robos to do some magic as advertised.

But shlt is getting too close to the fan.

Is it time to pull out and park everything in FDs? Is there such thing "as timing the market" with robos? Or do you really put it in and forget about it?
robos are no different from like fund managers managing an active fund. they don't have crystal ball also.

equity investment is all about time horizon.

like others said, unless you need the money then continue to be vested lor.

staring at it everyday doesn't help with mental health
 

milkfish

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Make sure your adviser is good (not some dumb type, robo doesn't automatically mean good), and stay invested.

I think there's a research somewhere that said missing the boat when prices recover after crashes is one of the factor why people lose money compared to the benchmark. Because timing the market is hard.
 

dango_daikazoku

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Thanks all. While I don't need the money right away, it just pains to see the chart going down. When deciding whether or not to pull out, is the thought process any different for robos vs stock markets?
 

reddevil0728

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Thanks all. While I don't need the money right away, it just pains to see the chart going down. When deciding whether or not to pull out, is the thought process any different for robos vs stock markets?
Don’t look at the chart.

like mentioned robots are also investing in the stock market
 

dango_daikazoku

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Don’t look at the chart.

like mentioned robots are also investing in the stock market
I meant is there any difference if I pull out now to cut loss and reenter next time when market recovers, vs I just do nothing and leave it in there. Just somehow got a feeling that it works differently when using robos as compared to trading stocks directly.
 

reddevil0728

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I meant is there any difference if I pull out now to cut loss and reenter next time when market recovers, vs I just do nothing and leave it in there. Just somehow got a feeling that it works differently when using robos as compared to trading stocks directly.
Ask yourself why you chose to put money with robo in the first place buying the same things you could have in the stock market
 

Okenba

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I meant is there any difference if I pull out now to cut loss and reenter next time when market recovers, vs I just do nothing and leave it in there. Just somehow got a feeling that it works differently when using robos as compared to trading stocks directly.
If you pull out now, how do you know when the market recovers? It could rise tomorrow. Is that a recovery? How much must it rise before you put your money back in? 10%?
If it falls another 20% again after you put your money in, will you pull out again?
That would be you selling low and buying high. Not the best way to make money.

The problem with market timing is you have to be right twice. When you sell and when you buy.

A robo is exactly like buying stocks, except you pay the robo to decide for you what stocks to buy.
 

s0crates

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Thanks all. While I don't need the money right away, it just pains to see the chart going down. When deciding whether or not to pull out, is the thought process any different for robos vs stock markets?

Robos are meant to be a way to help you invest more conveniently. Depending on how much you read their articles and webinars, you can also learn more about good investing principles and be a better investor in the meanwhile.

That said. Not all of the robos necessarily have a good interpretation of good investing principles.

For e.g. Syfe basically create this warped b@stard of Fama French factor model and called their growth investing factor investing. And they shut down their ARI model because "our users DCA, ARI not meant for DCA investors".

If you are like me and you know one or two things about investing, some of these investment calls are huge red flags that make a boglehead like me avoid them like the plague.

Honestly, you have to ask yourself what to expect from them la come on. They are just invested in stock/bonds and the vast majority don't have a mandate to drastically shift portfolio weightage to more cash/bonds when markets crash. A lot of robos benefit is intangible (convenience mainly) than from immediate financial returns.
 

andyhtc

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Fed still has at least another 1% hike this year to go and holding the high interest rate through 2023.

Most central banks are also raising their interest rates.

It might be another 2 years before your investments turn positive.
 

duhduhduh

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Actually OP, based on your posts it shows your risk tolerance is very low.

Maybe you should adjust your risk level for your robo as well or consider more conservative investments.

You are deeply affected emotionally by the unrealised loss valuations of your portfolio
 

edmwing

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Robos are here to make money for themselves.. not you. That's why some are always coming up with new products to attract more deposits. Some of these products are even against their initial preachings.
Given rising interest rate and impending recession, I have been withdrawing and put in t-bills, to slowly recover the painful losses.
 

F1ngolf2012

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I meant is there any difference if I pull out now to cut loss and reenter next time when market recovers, vs I just do nothing and leave it in there. Just somehow got a feeling that it works differently when using robos as compared to trading stocks directly.
Another way to think of the market correction is Mr Market is giving an opportunity to buy at a discount now provided you have not maxed out your equity allocation. I know this is easier said than done and it's super hard to think rationally when portfolio is down 20%, 30%, 40%. :)
 

dappermen

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who /which equity is not in the red esp on Fri?

if u like it safe and not greedy? FD SSB then
 

aarontansp

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So I put a significant amount into the various robos and all of them have been going down hill since a about year ago. (syfe, endowus, stashaway, moneyowl etc, and a few of them are still spamming ads to attract funds like wtf)

Hoping to leave the ~10% losses as paperloss, I've been holding out and didnt withdraw anything, hoping for things to go up again or the robos to do some magic as advertised.

But shlt is getting too close to the fan.

Is it time to pull out and park everything in FDs? Is there such thing "as timing the market" with robos? Or do you really put it in and forget about it?
Average down? Many experts say good to rebalance not to miss the boat
 

Okenba

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Ok, continue to leave it in then I guess. But should probably stop the auto CPF DCA in.
Socrates put in a good post a couple of posts above yours.
Not all Robos are equal. Not all portfolios managed by the Robos are equal.
If you are convinced of the portfolio you are investing in, and the method the Robo uses, that's fine, you should probably leave it in.

But even with Robos, due diligence is necessary so that one knows what they are investing in. Otherwise, its just gambling.
 
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