Looking for an Ayondo review that’s professional, technical and above all honest?
Want to figure out whether Ayondo is a good broker, and especially if is good for you?
Then you are in the right place.
In this Ayondo review we’ll provide in the first place an explanation of how this Social Trading broker works.
But not only.
Here’s what you’ll discover in this review:
- Our opinions on Ayondo
- Its strengths
- Its weaknesses
- Any dangers
- For who is best suited
All this, always with a technical and professional approach but explained in easy terms.
No false promises, no bait and switch.
Only technical opinions based on our professional experience.
Let’s start now.
What is Ayondo
Ayondo is a Swiss Social Trading company founded in 2009, specialized in Copy Trading, conceived and created by the founders, Thomas Wilkker, Robert Lempka and Mark P. Bernegger. Founded in Zug, but with headquarters also in Frankfurt, London and Singapore and listed on the Bern stock exchange.
Ayondo, given the little social interaction component, is a Copy Trading platform developed by traders for other traders, whose mission is to provide the best possible Copy Trading service.
You can open an Ayondo demo account in a few seconds to view the platform while reading this Ayondo review.
The Ayondo goal is also to empower the clients, both traders and investors, providing the most innovative, transparent and intuitive execution of financial products in the market.
The social trading services are provided by Yondo GmbH, a company incorporated in Germany, while Ayondo Markets Limited (the former Gekko Global Markets platform), incorporated in England and Wales, provides the trading performance service and is the only brokering service provider.
This means that Ayondo has its integrated broker to alla effects, and you don’t need to rely on another external broker, as it was in the past, to be able to take advantage of their services.
The liability for Yondo GmbH is assumed by DonauCapital Wertpapier AG, which is regulated in Germany by the Bundesanstalt für Finanzdienstleistungsaufsicht (BaFin) and in the United Kingdom by the Financial Conduct Authority (FCA).
It should be noted, as often happens with this kind of company, that Ayondo is not regulated in the United States and therefore does not accept clients from there.
Ayondo also complies with the MiFID European legislation, and for this reason European users are required to respond to the initial questionnaire before the opportunity to make the deposit.
Ayondo Platforms Review and functionality
The Ayondo platform is divided in 2 parts.
The first for retail trading, called TradingHub, which allows you, both through a web interface or an APP for Android and iOS systems, to operate through CFDs on a large number of instruments, including currencies, precious metal, US, European and Asian indexes, also interest rate, bonds and shares of individual companies.
The second, testable in demo for a period of 21 days, allows users to use the Copy Trading part and follow, in a simple and intuitive way, the signals made available by the various signal providers, i.e. by the “Top Traders”, as they are called by Ayondo.
Ayondo Social Trading / Copy Trading review
Currently, the investor has at his disposal 1500 Top Traders to choose from, with the possibility to add up to a maximum of 5 in his People-Based Portfolio.
In terms of money management, the capital is divided equally and automatically among the added traders, without any possibility of intervention. The only thing that can be chosen is the leverage (or multiplier) to replicate every Top Trader signals with, from a minimum of 0.5x to a maximum of 10x. Each operation will be multiplied by this factor thus changing gains and losses in proportion.
In terms of risk control and protection, you can specify a safety margin (capital protection) at which the investor’s account will stop replicating the Top Trader operations. Unfortunately you cannot configure this option for each single trader, but you must specify a general level of protection. Moreover, it is not set by default, therefore the users must personally apply this protection as soon as they activate their portfolio. Needless to specify how this protection must be absolutely used, especially if you are starting out..
Once you create the portfolio and start replicating signals, it’s very easy to follow the performance, but you cannot individually view every Top Trader contribution to the overall portfolio performance. You can view each trader personal profile to monitor his performance, but you cannot view his actual performance in your portfolio in respect of your settings.
These features we just saw (capital automatically and equally divided without any possibility of intervention, non-specifiable capital protection for each trader, impossibility to monitor every performance) make the Ayondo Social Trading platform definitely simple, but maybe a little bit too simplistic.
In our opinion, a greater level of customization, both for money management and loss protection, would definitely be a plus.
In addition, an automatic loss protection, set by default to a certain minimum level, would be useful for a lot of inexperienced users.
Also, the inability to observe the individual trader’s contributions within our portfolio is complicating the control activity, an activity each investor must always run. It can happen that sometimes the traders commit big mistakes or even lose their head, and that is why we need some automatic control and protection systems, and, in general, a greater ease of supervision.
In this respect ayondo can still definitely improve.
Ayondo Ranking and Top Trader Data Review
Ayondo is a young and certainly not yet global company, like eToro and ZuluTrade. This is one of the reasons why currently you have only 1500 Top Traders to choose from (however, the number is rapidly growing).
Many of them are recently registered traders, so with little historical data, while some of them have even been members also for 3 years. Only sixty have actually more than 10 followers.
You can look for suitable Top Traders using a great research tool (which recalls the ZuluTrade search tool) and acting on twenty parameters and filters, like Performance, Number of followers, Max Drawdown, Ratio Win Trade, etc.
After the research, you can view each Top Trader personal profile, where several very useful parameters are shown to understand the impact fo the Top Trader strategy.
As a specificity of Ayondo, overlaid on the graph of the Trader performance we always find the Germany 30 index performance, in this way the user can compare the trader performance with a benchmark, like a real professional investor.
The Ayondo trader’s profile for performance displaying is certainly good, and in constant improvement on the past.
The Risk Metrics section is definitely one of the most important, since we can find very useful indicators regarding the risk of the trader’s strategy.
However, even reading the explanations, it is likely that many novice users will not know how to interpret these data, in some cases very technical (Sharpe Ratio, Mar, Var, etc).
Ayondo also allows you to see the trader’s positions currently open in the market, which is very useful to understand whether the trader has the tendency to hold many positions open simultaneously for a long time, especially if at a loss (which is very risky).
You can also view the entire trader operating history, with the details of each transaction, but it’s not possible to download the list in Excel format, which would have made this section even more interesting and professional.
Becoming an Ayondo Top Trader
Anyone can try and become a Top Trader on Ayondo, given that the signals can also be sent from a demo account. The restriction, however, is that traders are forced to send their signals from the Ayondo platform, where you currently cannot use automatic trading programs.
This means that in Ayondo, the signals that are sent are all manual, then studied and executed by a real trader (good sign), and not by an automatic program.
In any case, most of Top Trader in Ayondo operates with real accounts, and there are some marked with the “Real Money Traders Badge“, a certificate recognized only to those traders with an account higher than 500 Eur or Gbp.
In Ayondo, there are five Top Traders classification levels, marked with flags of different colors. It starts from “Street Trader” level up to “Institutional”.
Anyone can become a Top Trader, and you can also operate using a demo account. Here’s the criteria:
- Street Trader: the trader must have completed a minimum of 15 operations in 30 days and the maximum total drawdown should be less than 25.0%, with a gain of 1.0% in the month.
- Advanced: it requires that the trader has completed a minimum of 15 transactions, completed in 60 days, with a minimum of one transaction per month and a drawdown less than 25.0%. The gain should be at least 2.0% from the beginning of his career.
- Professional: it requires a minimum of 25 transactions, completed in 90 days, with at least one transaction every 30 days and a maximum drawdown not higher than 20.0% with a performance of at least 4.0% from the beginning of his career.
- Risk-adjusted: it requires a minimum of 50 transactions, completed in 180 days, with at least one transaction per month and a drawdown less than 15.0%. The performance must be equal to or greater than 6.0% since the beginning of his career.
- Institutional: it requires the trader to complete at least 150 operations a year, with at least one transaction per month. The maximum drawdown cannot be higher than 15.0% and the annual performance should be at least 8.0%.
The fee received by Top Traders from Ayondo increases advancing the levels. This compensation system created by Ayondo is definitely one of the best around if we consider the fact that, to advance levels, and thus earning more, Top Traders must do everything possible to keep their drawdowns low.
Ayondo LIVE Account and minimum deposit
The LIVE account can be opened with a minimum of 100 EUR, Gbp or Usd, and allows the use of maximum leverage up to 300: 1 with competitive spreads, that for example for the EUR/USD are in the order of 0.8 pips.
Operations can be opened using the minimum allowed size which is 0.01 lots, allowing different strategies regarding the use of the TradingHub platform.
Furthermore, regarding Copy Trading, Ayondo also accepts amounts smaller of 0.01 lots (smaller then micro-lots), this means that you can follow the Top 5 Traders also with a minimum account of 100 Eur, and assign half leverage (0.5 x) even if the traders open already minimum positions of 0.01 lots.
Surely this is a thing in favor of Ayondo if compared with ZuluTrade or eToro, that, instead, don’t allow replication if the proportional amount of the order goes under the minimum amount allowed (you can refer to the eToro review and ZuluTrade review to get an idea of the differences between these companies).
The deposit methods are the common credit/debit card and bank transfer, while the average withdrawal processing time is about 5 working days.
The good news for residents in the UK and Ireland is that Ayondo supports the opening of Spread betting accounts, which is very welcome because of no taxation on profits. Also noticeable is the insurance offered by Ayondo on its client personal accounts for the deposit protection up to £ 500,000, certainly the highest in the sector.
Although a direct contact through chat is not available, the support seemed ready to clarify our doubts through e-mail or telephone (7:30 AM-6:00PM UKT)
Ayondo Review conclusion
Although it is still a young company, ayondo is definitely one of the best emerging providers of Social Trading services. This being said, its approach is not social. Ayondo is more a Copy Trading platform very well designed.
I believe the greatest Ayondo strength is the fact that signal providers are rewarded for responsible risk-taking. In fact, to increase their level, their performance must necessarily comply with certain safety parameters (in particular of Max Drawdown).
But this should not suggest that investing in the Ayondo Copy Trading is risk-free activity. Risks are always present, since even a Top Trader who behaved perfectly for years can lose his mind and burn everything in a few weeks or days.
In this regard users need protection systems, control systems and advanced portfolio management systems. Some of these do not exist or are limited, and that’s why in this respect Ayondo can definitely improve.
Finally, Ayondo is not a Social Trading Platform. Those who want to interact with Top Traders or with other members of the community can look to other platforms such as eToro or Tradeo.
Ayondo is a Copy Trading Platform (more like ZuluTrade), good for those who are willing to behave more like investors rather than traders, creating a traders portfolio after having deeply studied their performance.
- Simple and intuitive interface
- Good traders research tool
- Detailed traders performance data
- Well regulated in Europe
- Low-risk providers are rewarded
- Low investment for opening a live account (only 100 Euros)
- Available Demo Account
- Large number of CFDs
- Relatively low number of Top Traders
- Demo account only last 21 days
- Poorly customizable Money management
- Only overall Capital protection, not for single trader
- Support via chat could be improved
- No social interaction between the various investors
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