facebookI am comparing this to so called smart money like Long Term Capital that has a proven system. How comfortable can I be with automated trading. Would it end in a black Friday. Are there overriding contingencies in case of black swan? - Seedly

Alan Seow

18 Apr 2019

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I am comparing this to so called smart money like Long Term Capital that has a proven system. How comfortable can I be with automated trading. Would it end in a black Friday. Are there overriding contingencies in case of black swan?

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Tai Zhi

07 Jul 2018

Chief Investment Officer at Autowealth

AutoWealth adopts a conservative investment approach via-a-vis other investment managers or robo-advisors. All AutoWealth portfolios feature a material allocation to government bonds for risk management purposes.

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In a severe market crisis like the 1997 Asian Financial Crisis or the 2008 Great Financial Crisis, even the most highly-rated corporate bonds, including those issued by our local banks, lost value.

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Conversely, government bonds appreciate during market crisis. The returns from government bonds can therefore be utilised to buy more stocks while they are extremely cheap (undervalued) in a market crisis. This process is known as portfolio rebalancing, and is one of the benefits of investing through AutoWealth.

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