Professional Secrets – How to Build a Robot Portfolio?

Professional Secrets - How to Build a Robot Portfolio?

A portfolio of robots is ideal for semi-passive earnings. Just imagine, you do not need to enter trades manually, advisors do it for you. It remains only to monitor their work and periodically withdraw profits.

Today we will analyze:

  • diversification of risks – we reduce the risk to a minimum;
  • rules for compiling a portfolio of robots – what to look for, which advisors are suitable, which are not;
  • an example of a portfolio of advisors.

Risk diversification is the path to success

This technique is suitable not only for trading, but also for other areas of human activity. Diversification refers to the distribution of risks in different directions. A kind of insurance.

A couple of examples of diversification in Forex:

  • the list of traded pairs includes several pairs with different volatility and weak correlation. If a trading strategy (TS) fails on one pair, this is compensated by income on other instruments;
  • several vehicles of different types are used. For example, counter-trend + trend + work on a rebound from the boundaries of the horizontal channel;
  • the deposit is split into several smaller ones, and accounts are opened with different brokers. If one company starts to put a spoke in the wheel, then the work of other companies continues.

Diversification can be applied:

  • to investments in general. Invest part of the money in the stock market, part in bank deposits, cryptocurrency, real estate;
  • in business, don’t focus on one direction.

The point, I think you get it. In building a portfolio of robots, diversification is especially important.

Rules for compiling a portfolio of advisors

Rules for compiling a portfolio of advisors

Portfolio – a set of advisors that trade on the account at the same time. When choosing, we adhere to the following rules:

  • correlate the size of the deposit with the amount of the robot in the portfolio. The more capital, the more robots you can put on the account;
  • select only those robots whose principle of operation is 100% clear. Example – ScalperGap works with the expectation of closing the gap on M1 when the price moves a certain distance from the gap and builds a grid. The principle is clear, there are no pitfalls, it can be included in the work;

What is the advantage of portfolio automated trading

With proper selection of robots, portfolio trading reduces drawdown. We test a mini-portfolio of 2 robots (we give them as part of the training). The tester received reports on the work of Scalper Gap and Ninja. Then both reports are loaded into Quant Analyzer. As you can see, even 2 robots complement each other well, smoothing out moments of drawdown. If the portfolio consists of 5-7 robots, the equity curve may be close to ideal.

A portfolio of expert advisors is a way to reduce risk and increase account survival. The method works only with the correct selection of robots. The trader needs constant monitoring of work efficiency and replacement of advisors if necessary.

If you follow these rules, you are guaranteed to be able to earn money automatically.