Robo Advisors: A personal experience Part 1: Getting started

There have been a lot of commentary about the prospects of this type of service gaining traction especially with younger people or people who have minimal assets but want to get exposure to the overall stock market without doing all the legwork. Instead of writing about these services in theory, I decided to actually put my money where my mouth is and actually invest some money with a Robo-Advisor service and blog about the whole experience and more importantly track the performance and costs that these services generate. In this post, I walk through the process of registration.

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Coming To Disrupt A Financial Industry Near You: Robo–Advisors

In the U.S. several companies have made a bit of a splash offering a service that will manage their investments online using sophisticated algorithms to automatically select appropriate investments based on the client’s risk and demographic profile. The kicker is that because of the minimal overhead, they can charge ultra-low fees. The premise is that the traditional financial advisory model is broken because advisors are focused on selling product rather than genuinely working to help people meet their financial goals. Well I thought I would mind map the pro’s and cons of what could be a model that could disrupt the whole advisory business.

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8 Questions To Ask When Evaluating a Stock

Making a decision to buy a stock requires that you ask and answer these 8 questions. By answering them you can rationally formulate a better understanding of what is driving the stock price of a company and use that understanding to make an educated investment decision. There are no guarantees that every decision you take by answering these questions will be successful but the chances are good you will make more successful decisions than you will unsuccessful ones.

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The Stock Market is Overpriced So Why Am I Still Buying Stocks?

For the last year or so, I would consider myself to be in the camp that stocks are overpriced and have not reflected the fundamentals of a global and domestic economy that at best has been treading water and staying afloat. Since early 2013, I have shorted a small portion of my portfolio in the US S&P500. It hasn’t been a great trade as the market has rocketed to record highs. From a market psychology perspective where investors of all stripes have remained very optimistic as well as a Monetary Policy perspective where Central Banks have been doing everything to incentivize investors to buy stocks, it’s all been golden for equity investors. Despite my skepticism and a ridiculous amount of head scratching, I have still continued to buy stocks. Why am I doing this? Am I crazy? Am I selling out?

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Investment Activity Review – January 2014

A much busier month than normal. I’m usually lucky to make 1-2 trades in a month, but with the sell-off and a change in investor sentiment towards becoming more fearful and selling off assets more on emotion, I decided we are in a zone where if there were opportunities to buy companies on sale to jump on it and build positions.

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