How automated trading affect future of trading and investing
20 February 2016, 21:46
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According to recently released article from Bloomberg: ,,The Rich Are Already Using Robo-Advisers, and That Scares Banks", assets under management in automated programs gradually grow. They should also small investors seek automated solutions for their investments?
Mainstream idea of investing is in passive approach. On the stock markets you are usually trading or better investing in the long-term. It means that you buy shares of a particular company or a whole sector, and hold them. It often indicates the average return of 10% per annum. However, detailed examination shows the fact that achieved return at the investment on the local or regional level, doesn't have to reach positive numbers even in a matter of years. A typical example is Japan where stock market is experiencing bad times for 20 years.
