How it work
What is ALGOGENE Marketplace?
ALGOGENE Marketplace is our brand-new 2-sided social trading service.
- [Subscriber]: For those who want to invest but lack of experience or time, it gives you the ability to invest in the strategies from experienced professionals!
- [Publisher]: For those who have already established a profitable trading strategy and want to scale up, it enables you to enjoy shared profits from publishing your strategies!
What's a social trading strategy?
When you use ALGOGENE platform, you will discover a wide range of trading strategies created by our global network of experienced researchers. All you need to do is to search for a strategy that is suitable for you, decide how much you want to invest, then wait and watch the trades executed for you.
How do I get started as a strategy Subscriber?
Getting started is simple. Simply explore and search from ALGOGENE Marketplace for a strategy that matches your goals and risk appetite. You can refine the search results, apply filters and indicators, and even drill into the historical performance, to help you decide whether the strategy suits you.
How do I subscribe and invest on a strategy?
You can subscribe a strategy for either live-testing or real-trading. Subscription can be done in 4 simple steps:
- Open a real trading account from our supported brokers, and deposit funds to the account if it is for real-trading
- Bindle it with an ALGOGENE sub-account, and configurate the connection setting on ALGOGENE portal
- Search and choose a desired strategy from ALGOGENE Marketplace
- Click "Subscribe" button to start executing the strategy on your sub-account
After these steps, subsequent trades from strategy provider will be automatically copied to your trading account. Enjoy the automation and let's others work for you!
How do I get started as a strategy Publisher?
For Publisher, you can either publish your backtest, live-testing, or real trading strategy. However, in order to ensure the integrity and quality of strategy on ALGOGENE Marketplace,
- We will confirm your personal identity by requesting relevant verification documents
- Your strategy need to pass serveral performance criteria, such as no. of trading days, annualized return, max. drawdown, etc
Your strategy will be listed and available on ALGOGENE Marketplace as soon as these criteria are fulfilled. For better credibility and confidence, it is also recommended that you have been real-traded or invested in your own strategy for some period before publishing them.
What are the benefits to publish/subscribe on ALGOGENE Marketplace?
- You can tap into the experience of professional traders
- You have access to a wide variety of trading strategies
- You can free up time from closely monitoring the market
- You pay the publisher only when your invested strategy make profits
- You can create secondary income and earn returns as a freelance strategy provider
Are there any drawbacks?
When using ALGOGENE Marketplace, it is important that you act responsibly to protect your account, which means weighing the pros and cons of strategies, rather than going on a 'feeling'. Here's how to trade responsibly on our platform:
- It could be convenient to simply follow professional's strategy, but it is still necessary to know what you are investing on
- High risk strategies can bring high returns when the market moves in your favor, but please be aware that there is an increased likelihood of volatility and potential losses too.
- Investing in strategies that focus on different assets, is a way to diversify your portfolio and reduce your risk exposures.
What is a subscription period and how is it calculated?
A subscription period is a time period (usually 3 to 12 month duration) during which the system will execute the trades for you, and calculate the shared profits between Publisher and Subscriber. Subscription period begins on the next trading day upon effective activation, and end at GMT 23:59:59 on the period end date.
Can I stop subscribing a particular strategy?
Sure, you can do it any time if you think the strategy doesn't perform well. Go to 'Live Test' or 'Real Trade' page depending on your subscription mode, then simply click "Stop Algo". Any open trades arose from that strategy will be automatically closed, and subsequent trades will stop executing on your account.
Can I restart the same strategy after stopping it?
Yes. Go to 'Live Test' or 'Real Trade' page depending on your subscription mode, then simply click "Restart Algo".
Can I switch to another strategy during a subscription period?
Yes. You need to follow above to 'Stop Algo' first. Then, go to ALGOGENE Marketplace to search for a new one.
Can I subscribe more than one strategy at the same time?
Yes. You can create multiple ALGOGENE sub-accounts to execute different strategies independently and simultaneously.
If I subscribe multiple strategies, are they considered to be separated investments?
Yes. As each strategy is executed on different ALGOGENE sub-account which eventually bindle to your different broker account. The new strategy has no impact on the strategy you have already subscribed to. This is because the amount you invest in each strategy will be fully segregated into different trading accounts. Therefore, the changes in one strategy's balance will not affect the balances of other strategies.
Can I close a specific order that was opened from a subscribed strategy?
Yes, you can, but you will be fully liable to:
- direct profit/loss from your action
- indirect profit/loss due to alter of trading behavior of the subscribed strategy incurred from your action
Besides, the profit/loss arose from such 'Manual Order' will be excluded from the calculation of profit sharing.
How does strategy subscription work?
When you subscribe a strategy, the size of the position opened on your account depends on your investment and the provider's strategy equity. Let's look at an example:
You invest US$2,000 in a Publisher A’s strategy. On the other hand, Publisher A has invested US$10,000 equity for that strategy.
Investor’s equity / Strategy equity = 2000/10000 = 0.2
It means that every position opened on the investor’s account will be 0.2x the size of the position opened on the strategy publisher's account.
How is shared profit calculated?
The shared profit, to be paid by each subscriber and received by corresponding publisher, is calculated and settled in a quarterly basis.
The calculation wlll by default base on below scheme. You might also contact us for your proposed profit sharing scheme.
|Quarterly Returns (R)||Publisher||Subscriber|
|R < 1%||0%||100%|
|1% <= R < 5%||5%||95%|
|5% <= R < 9%||10%||90%|
|9% <= R < 12%||15%||85%|
|12% <= R < 15%||20%||80%|
|15% <= R < 18%||25%||75%|
|18% <= R < 21%||30%||70%|
|21% <= R < 24%||35%||65%|
|24% <= R < 27%||40%||45%|
|27% <= R < 30%||45%||55%|
|R >= 30%||50%||50%|
For example, an investor subscribed a strategy with initial capital HK$1 million. 3 month later, the NAV (net asset value) grow to HK$1.1 million, which is equivalent to a quarterly return of 10%. Then,
- Publisher will be entitled to 100,000*15% = HK15,000
- Subscriber will be entitled to 100,000*85% = HK$85,000, together with the initial capital of HK$1 million.