Yoni Saad
By Yoni Saad
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Investor Profile: Flavio Montalboddi leads the way as an ETF trader

investor6 profile

Investor Name:  Flavio Montalboddi

Location: Italy

User Name: Investor6

Investment Focus: ETFs

Average Risk Score: 4

Copiers: 4

Date Joined: 2013

Flavio Montalboddi trades under the user name Investor6 and has been with eToro since 2013. Investor6 is now busy trading our new ETFs, gaining exposure to the Bio and healthcare industries in the US and the EFA (EAFE Index MSCI shares). Investor6 has also balanced his Personal Portfolio with long-term US government bonds.

Social traders who want to diversify and add ETFs to their portfolio can talk to Popular Investors like Investor6 and learn more about their investment strategies.

Investor6’s previous approach to trading was based on short-selling stocks and moving the proceeds to longer positions:

“My strategy is 130/30 strategy: short-selling stocks up to 30% of a portfolio’s total value that I believe will underperform the market and then using the proceeds to take a long position in stocks I believes will outperform the market. For example, a trader might invest 100% of a portfolio in the S&P 500 and short-sell the bottom ranked stocks and reinvest the 30% for a 130% exposure. The major benefit is the ability to profit from the bottom quartile of equities, the major risk is the leverage.”

What are ETFs?

ETFs are exchange traded funds that usually hold a basket of assets such as stocks commodities or bonds. They are a form of marketable security that track an index. Trading close to the net asset value, ETFs function much like ordinary stocks on a stock exchange.

Sounds complicated?

ETFs are as simple and convenient to trade as any other instrument on the trading platform. Talk to other social traders and Popular Investors about how – and why – they trade ETFs and you’ll quickly learn more about these exciting new assets at eToro.

 Let’s take a closer look at some of Flavio’s stats:

investor6 risk score

As we can see, Flavio’s 130/30 strategy is low risk, with an average monthly risk score of 3-4.

investor6 performance

As we can see, Flavio has many more green months than red, and his low risk strategy keeps his drawdowns contained when they occur.

Use our Discover People tool to find more Popular Investors.

Like Flavio, eToro traders can now invest on some of the world’s best known ETFs such as the SPDR or Spider (which tracks the S&P 500 trading as SPY), QQQ (tracking the NASDAQ), IWM (tracking the Russell 2000 Index) and DIA (tracking the Dow Jones Industrial Average). Traders who are looking for longer term, and potentially lower risk, investments can choose from almost 30 ETFs – with many more to come in 2016!

Past performance does not guarantee future results. You should not rely on any past performance as a guarantee of future investment performance. Unit values and investment returns will fluctuate. Investors are cautioned that data based on less than five years’ experience may not be sufficient to establish a track record on which investment decisions can be based. This post is not investment advice. CFD trading bears risk to your capital.

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