The Banking Institutions Stock Basket

What are ZuluTrade Investment Baskets?


In a world where stocks have regained their position as a leading traded market, with jaw dropping news and thrilling volatility, every investor’s attention is captured by these financial instruments.
ZuluTrade could not turn a blind eye to this fundamental change of investing and after offering more than 60 US stocks, we are in the fortunate position of announcing the launch of our new stock baskets!

So, what is a stock basket?
It is a combination of similar stocks (usually of the same sector) with specific weights (analogy of contracts) that offers a more balanced exposure to a collection of stocks rather than investing in just one.

Below, you can see the newest stock basket that ZuluTrade has launched!


Banking Institutions basket:

 banking institutions

The health of each economy depends, in large part, on the strength of its financial sector, so it is vital for the growth of the economy to have strong banking foundations.
The Banking Institutions stock basket was created in order to offer a more diversified and optimized investing option to ZuluTrade investors so as to capitalize from the growth of the banking system. Most of these institutions generate revenue from mortgages, loans and large investments.
The portfolio has its funds allocated in five of the biggest and most well known financial institutions in the world.

Bank of America, whose primary financial services revolve around commercial banking, wealth management, and investment banking, has approximately 10.73% of all American bank deposits.
Citigroup,a multinational investment bank and the third largest banking institution in the United States.
Goldman Sachs, which offers services in investment management, securities, asset management, prime brokerage, and securities underwriting.
JP Morgan Chase, the largest bank in the United States.with total assets of 3.386 trillion dollars.
And Wells Fargo, a company with operations in 35 countries and over 70 million customers globally.
Their rounded weights are respectively: 20%, 10%, 26%, 21% and 23%.
The weighting algorithm is based on the stocks’ long term average true range relative to their current price and to the Portfolio’s VaR.

The weights are subject to price fluctuation and would deviate.
The portfolio will be rebalanced on ZuluTrade’s discretion, based on market conditions.
Past performance is not indicative of future one.


That was our newest stock basket addition, new ones are coming soon and will be available to profit sharing accounts only!