We have experienced in the last months a high volatility in the markets. Several events (Greece, China, commodities…) have broken the upward trend after the Great Financial Crisis that exploded in 2008, when the Dow Jones lost around 40% in six months. The drop in August was hard, but not so dramatic, although it has opened a new period of instability and insecurity amongst the investors.
In these cases, investors need to avoid panic. Irrational reactions are the worst and they can be the reason of losing more money, because these decisions are driven by fear. The second step is having a tool to detect alerts and obtain accurate information about the effects in my portfolio.
T-Advisor has such tool: the Alerts Module. When you create a portfolio, you can set the automatic generation of alerts.
The Alerts Module reports up to 10 different situations. Some of the most important to take investment decisions about your portfolio are related to risk, a change of trend, a stop signal and a model signal triggered. You can customize them depending on your preferences.
Then you receive the different information in two ways: as reports in your e-mail (if you select this option) and in the module in your T-Advisor interface.
After you receive the alert, you have to assess the information and take a decision. A relevant point is how to decide a change in your portfolio. Our alerts include investment ideas to substitute securities and improve the global performance. In this case, you can rebalance your portfolio, but we recommend you to use our Optimizer tool to better decide the changes.
You can also look for another investment ideas in our Market Opportunities module, in which you can find shares and funds from around 30 exchanges around the world.
To sum up, as investor, do not forget that you have to care about your money. That means that, before looking for returns, you have to fight to preserve your capital, because markets are naturally unstable. That is why you have to look for tools that help you take relevant decisions for your portfolios. You need an alert system, a tool to optimize your portfolio in critical situations and a system to find alternatives to improve your investments. T-Advisor compiles all in the same interface for free. It’s time that you act as an smart investor!