It is not year by year 🤦‍♀️ you will know only if the IRS amend their act in Congress hence you need to keep track on financial services committee in Congress for any changes when they are in session

Wait.. so Stashaway got news from Saxo that IRS told them to stop and that's it? No more explanation or something?

Yes based on the email written by Stashaway and they have written at the bottom on the explanation and any questions you should contact them

What more explanation you need as it is very clear cut from the email 🤦‍♀️

I have been sifting through the threads 1005-this page, and notice mentions on the 'KWEB debacle' - what was this about actually? my bad for not picking this up earlier, but I was caught completely unaware about this

buy high sell low

Got sucked into buying KWEB 🤦‍♀️ and then start panic selling during the start of Ukraine war due to sanctions and they force sell for everyone at the lowest 🤦‍♀️ and not even waiting for relief bounce

Stashaway panic sold below $24




(source)


https://www.linkedin.com/pulse/stashaway-re...ld-felicia-poh/

Please don't say KWEB liao, thinking about it I also wanna cry

Quite a lot of people got 'burnt' by that and many pulled out their funds.

Currently KWEB sitting at 27.7 compare to their selling price of 21.78, it go up from then 27% in18 month after selling.

This post has been edited by ehwee: Sep 18 2023, 01:17 PM

it's worse than that, they timed it at the worst possible day(s)

Thanks for info.

Sekali stashaway is the one causing the huge dip, what if KWEB market makers can't destroy the ETF units fast enough to bring traded price back to NAV?

Thought these "robo-adviors" means that they can act ojectively, and not making decisions based on "noises" or have I completely gotten it wrong when it comes to what "robo-adviors" actually does?

Sorry³ !!

This is weird, coz aren't "robo-adviors" meant to make sound decisions not based on market noises ? At best, they should know what positions to take, like on whether to continue holding poitions or to switch portfolios ? Or again, have I gotten what "robo-adviors" actually does ?

Uffff this has to hurt. But to be fair, the NAV is far below the highs of 2021 ? Like I think from the date they sold until now, the NAV hasn't reach the highs of 2021 ? Like making this decisions to leave not as bad - unless you meant to say they should have left in 2021 ?

You're sorta right. SA's investment direction is sorta-kinda guided by this "algorithm" called ERAA. If things go well, they just adjust the portfolio based on what ERAA recommends and leave it at that. However, as a safeguard, they have allowed themselves to intervene if unusual market conditions happens. Where this intervention comes in is based on the StashAway Risk Rating (SRI) of your portfolio, the highest risk rating being 36%. This means, calculated from the peak of the portfolio's value, if the portfolio's value drops 36% (aka drawdown), a panic button is pushed, and everything is reset. At the height of the KWEB debacle, StashAway's portfolios containing KWEB were very close to touching this number, and hence a human intervention was made to exit KWEB. They were just doing what their investment product said to do, i.e. confine portfolio drawdowns to the stated SRI numbers. If an SRI 36 portfolio has a drawdown of 40%, that would be a bigger failure for StashAway, because having a drawdown greater than the stated SRI number is exactly what their investors did not sign up for. In that regard, exiting KWEB is exactly the objective move that is called for, because "holding to KWEB hoping that it will rebound" is the exact definition of "not being objective". Certain conditions met => execute action, no dilly dally.

Interesting read.

Thanks.

These so called robo advisors are not doing the modelling or assets allocation 🤦‍♀️ as the investment committee would decide on asset allocation once the ERAA modelling is out calculated from their data derived from the markets

So don’t think that robo advisors are that sophisticated or advanced using any algorithm as they are not 🤦‍♀️ as the ERAA modelling would have contains all the calculation and the process for parameters hits to be executed after certain benchmarks that are exceeding in your portfolio

I have invested fully on a 36% risk rating (lump-sum once, and a top-up the following month. In other words, two deposits. Invested since Jan'20 until now. In the black but the returns isn't anything great. Question is, do I keep in the investment, or switch over to SA Simple?

Check your USD performance if it is red 🤦‍♀️ then forget about it 🤦‍♀️ rather than putting into Simple which is underperforming I suggest you to do a flexi portfolio and dump it all in US treasuries instead as you will only pay 0.3% pa while reaping current high USD cash rates and hodl until the Fed rates start cut rates 3times consecutively in the future

After having invested with SA for 3 years now, does that portfolio still align with your investment thesis (aside from the line always going up)? Investment is a long term game. It takes 15 to 20 years for the equity risk premium to reliably show up.

Look at the portfolio in detail. Does the portfolio reflect what you understand about investing currently? Would you still buy into that portfolio today? Why not?

For reference, being up (in USD terms) for a lumpsum investment that was done in Jan/Feb 2020 is already outperforming an equivalent investment in an all-world ETF (which is currently still down ~3% from Jan/Feb 2020) or in the S&P500 (about 0% since Jan/Feb 2020).

This post has been edited by DJFoo000: Sep 26 2023, 09:18 PM