When investing in Social trading with Ayondo it is not just about creating your profile but more importantly understanding how to manage your account.
In this lesson we will provide you with an overview on how traders can manage their Social trading profile with Ayondo.
Once you have linked your optimized portfolio with your account, you will find yourself in front of the following Ayondo control panel.
Your account control panel (you can see above) is an important tool which will assist you in managing your Social Trader business and above all, allow you to make corrective actions and maintain your portfolio.
By clicking on the tabs above you can easily switch from the demo account to the live one.
When you select the account you will have access to several different control panel sections. Read on to see how each section can be accessed and utilised.
My Account Section – Balance and Security
With the first of the functions, you will see the balance of your account and the open market operations. You’ll also have the ability to set up a number of features that are designed to protect your account integrity.
Let’s see each of these in more detail.
Is your current balance: here you can see your account balance. The balance sheet reports the value of the account only taking into consideration the trading transactions already accounted for (closed – no longer open to the market). For example, if you have a € 1,000.00 account with a € 100.00 profit, in the current balance there will be an amount of € 1,100.00 and this will remain the same, even if you have another market loss of € 200.00. This is because, until the operation is closed, it will not be accounted for.
Current unrealized P / L: profits and losses that are not yet realized, and therefore not accounted for, are included within this space. To quote the previous example, in the case of an open market operation and a loss of € 200.00, in this section you will see a red (green in case of profit) of -200.00 EUR.
The sum between the current balance and the current unrealized P / L tells you if and how much you are actually earning at that time.
Your loss protection: is an optional setting you can decide to implement. It corresponds with the maximum amount you are willing to lose. It’s a kind of parachute that can be useful when an unexpected and very volatile market event occurs, like an event capable of bringing several of the positions in your account all in negative territory at the same time. The set amount cannot be less than 5% of the value of your assets, and any withdrawals are considered as a negative account movement, and can therefore activate loss protection.
What happens when the loss protection is activated?
Ayondo will immediately and automatically close all market positions (in profit or loss) that were replicated from the Top Trader, however the operations opened by you or modified by you will not be closed.
If, at the time the loss protection gets activated, the market of the corresponding position is closed, that position will be closed at the opening of that market (forex is open day and night, but most other markets are not).
It can be a useful account protection feature, although it would be more useful if the value could be set for each Top Trader, which would allow for greater money management and a greater freedom to manoeuver.
Stop Execution Now function: As it’s easy to guess, clicking this button manually disconnects the portfolio from the account, resulting in the closure of operations in currently open markets. Before confirming this action, Ayondo asks you to confirm your intentions with a very clear pop up, and if you decide to proceed, you will close all open trades at that point.
Like Loss Protection, Stop Execution Now cannot close trades that are within presently closed markets. In this case, a subsequent pop up will inform you about the operations that were not possible to complete closure. This will be completed as soon as the reference market is re-opened.
Current Open Position Section
The next valuable function is the Current Open Position.
As the title articulates, within this section you will find the details of all open market operations at that time, that form the current unrealized P / L.
For each single operation the following information is provided:
- the name of the Top Trader from which you are replicating it from;
- the unique number (code) given to the trade (useful in case of disputes or comparisons with Ayondo);
- the direction of the operation (long or short);
- the financial instrument that has been negotiated;
- the size;
- the stop loss and take profit set by the Top Trader;
- the entry price to the market;
- the current market price;
- the profit (in the currency of the account);
- the date the trade was initiated;
- a red X for its closure.
Within this section, the only thing you can do is close the operation by clicking on red x. If you proceed with the manual closing of the operation, Ayondo will then, through a pop up, ask you to confirm your willingness to proceed, also in the light of the fact that, by closing the trade, you will no longer replicate the performance of the Top Trader with 100% accuracy.
If there are reasonable reasons to proceed, you can confirm your intent by clicking on “OK”.
Recently Close Positions section
The last part of My Account is the Recently Closed Positions section.
Within this section you will find all the recently closed operations. The details of the trade are the same information provided to you in the current open position section, with the addition of the last column explaining how the transaction was closed (by you, the trader, stop loss, take profit, etc…).
This sums up Ayondo’s My Account panel.
As you can see, it’s an interesting and indispensable instrument allowing account tracking and Top trader replication, ensuring supreme portfolio management.