Profitable Traders in 2012 at eToro
It’s no secret that 2012 was a very poor year on Wall Street. Many financial institutions have cut jobs and many have taken heavy losses. It was one of the most unpredictable years in recent times. The Royal Bank of Scotland lost its shareholders over $2 Billion. JP Morgan lost $17.5 Billion in 1 week by backing a losing trade. John Paulson lost about $3 Billion for himself and tens of Billions more for his investors by betting on a European breakup.
Knight Capital lost $440 Million of their client’s money in only 30 minutes due to an auto-trading robot malfunction. UBS and Credit Suisse announced a layoff of up to 7,000 employees. Don’t feel too bad for the Investment Community though, it still remains one of the highest paying sectors in the world. Overall stocks performed well with the Dow Jones gaining 13% for the entire year.
Usually Wall Street has the advantage over retail investors like us. However, in the eToro community there have been several astonishing success stories that we would like to highlight. Here are some of the top Social Gurus, who through low risk trading and proper money management have put up annual gains that put some of financial firms and investment banks to shame. These examples include a copy simulation that shows how much the copiers made if they started copying on July 1st with an amount of $10,000 allocated.
Currently with over 2,000 people copying his every trade. Anas has managed to rake in 1,175% profits in 2012. This Social Guru knows how to commit to his positions. He generally starts out a position on low risk, then if the trade goes against him, he raises the stakes. This way, when the market swings back, he makes up the losses and takes extra profits. The copy simulator shows a current equity of $26,176 or a return of 161% since July.
Consistency is King. The returns have not been enormous, only 60% gain over the past year. Out of only 76 trades 98% were closed in profit. This is a classic case of low risk = consistent rewards. The copy simulator shows a current equity of $13,168, meaning a return of over 31% in just 6 months.
Rajan applies a bit more risk but has an amazing talent for knowing when to hold and when to drop a trade. With only 80% of his trades closed in profit, he’s managed to bring himself and his copiers over a million percent in 2012. Rajan trades mostly on the Major currency pairs as well as holding Silver as a long term investment. The copy simulator shows a whopping current equity of $326,208 or a return of 3,162% in the past 6 months.
Very accurate, very active, very successful. Over the course of 2012 Santosh has managed an overall profit of 109%. Currently one of our most copied Social Gurus, she has almost 6,000 people copying. Normally about half of the equity is in her balance and the rest is allocated between the British Pound and Euro against the US Dollar. Most recently she has been experimenting with the Swiss Franc on small amounts. The copy simulator shows a current equity of $13,780 or 37% over 6 months.
The Raj family works together as a team. They monitor the market in shifts 24 hours a day, watching for any sudden moves. This really resembles the way that large firms work together to take decisions. You can also check out the his wife and 2 sons who are also doing quite well: roby26, alexfrank1114, and stellaraj51. The copy simulator in this account shows a current equity of $22,909 or a 129% increase over the past 6 months.
This is one of our first Social Gurus. Trading mainly on Gold and Euros, but took a nice ride on the Yen recently. Over the course of 2012 has managed to bring a comfortable return of 82%. This return is much higher than the Dow Jones, but less than some of the others on this list, since the risk is also reduced. Copy simulator shows a current equity of $13,327 for an increase of 33% over the past 6 months.
Another one of our excellent French traders. Lyco teaches us that patience in the market pays off. With some small trades open for more than a year, his accuracy incredible with almost 99% of the trades closed in profit. Closing 2012 with a 65% gain. He is also a real opportunist, watching the entire markets but waiting for the right moments to strike. The Copy simulator shows a current equity $13,996 or 39% return for anybody copying since July 1st.
Please take a moment to consider the ramifications here. The Dow Jones returned 13% in 2012. A savings account in the bank can bring you 4% year, if you’re lucky. All of the above Social Gurus have greatly surpassed these numbers. These are just a few examples of low risk traders with a high return. There are many others who are rising rapidly in eToro and we never know who will be the next trading star.
Please note that all investments carry risk since there is no such thing as a sure thing. As noted above, even the most famous and professional traders sometimes make mistakes. However, there are a few things that you can do in order to improve your strategy.
Managing a successful portfolio is all about picking the right combination of instruments. Low risk traders should generally be the basis for a steady investment taking the bulk of your balance. Stock indexes and precious metals are also good to hold as a supplement, but on low risk. Then, try and find some high risk traders to copy with just a small amount. This way, we’re not risking too much, but the returns could possibly be staggering. Feel free to contact myself or any of our Social Gurus directly through the Openbook at: openbook.etoro.com We’re always glad to receive questions and feedback in order to improve the quality of service and return on your investments.
Senior Account Manager @ eToro‘s Social Investment Network