Magazine

What's a seismograph for? | Birdee

Written by Birdee | Jul 19, 2017 4:00:00 AM
We built Birdee robots advisors and algorithms to take care of business as usual – and they do that very well. We don’t talk about them much. We prefer to just let them quietly get on with things: allocating funds, rebalancing portfolios, processing transactions, making daily trade-offs to ensure we give our clients the absolute best return on their investment. They don’t work independently of course; the rules they follow are the ones we’ve defined. And our investment committee keeps a close eye on them, checking strategies are still in line or if intervention is required. Click on the image for a larger view If the Birdee bots keep things running day to day, it is the Birdee seismograph that helps our investment experts keep things steady over the long term. It’s a tool that’s designed to sniff out anomalies and abnormal market movements before they hit – financial earthquake prediction if you like. So if a market looks like it might be heading for a crash, our seismograph sends out a warning signal to our financial teams who move to protect any threatened portfolios and protect the loss of value. The signals our seismograph sends can be four types :
  • Green (level 1): markets are stable. Everything is fine.
  • Orange (level 2): ​​a few turbulences have been detected. Vigilance is required, our portfolios are supervised.
  • Red (level 4): a crisis is imminent. An intervention is necessary to protect the portfolios, the portfolios are rebalanced and sheltered with investments in "cash" (excluding stocks and bonds).
  • Red (level 3): a bounce is detected. Markets tend to return to normal, which is reassuring. The portfolios are rebalanced regularly.
We built our seismograph to help us make our investment decisions and adjustments with a clear head, free from panic or personal preference. It keeps our portfolios stable and secure – as Birdee’s performance records prove. As any investor will tell you, past performace never guarantees future performance, but with Birdee’s state-of-the-art safeguarding tools, your money couldn’t be in a better place. Come and see for yourself. Make a virtual investment and try us out.