Question 1

Contact us

Accepted Answer

${color}[#BBCCFF](How do I contact Unhedged?)

${color}[#BBCCFF](How do I give feedback?)

${color}[#BBCCFF](How can I share my idea with the Unhedged team?)

${color}[#BBCCFF](How do I raise a complaint)

${color}[#BBCCFF](How do I contact your privacy officer?)

${color}[#BBCCFF](Does Unhedged have an ISIN?)

${color}[#5A78DF](Contact Unhedged)

The Unhedged team is always available to help! You can reach us in a couple of ways:

Our ${color}#5A78DF is available from ${color}[#5A78DF](9am to 5pm on weekdays), excluding public holidays - click on the Unhedged logo in the bottom right of the screen.
${color}#5A78DF us at ${color}#BBCCFF

If we don't respond to you immediately, we might be offline (the algorithms might never sleep, but we do). Leave your query or comment in the chat window or email us directly and we'll respond to you on the next business day.

If you can't wait until the next business day, we also have an extensive Knowledge Base full of helpful articles that could resolve your query.

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We would also love to hear from you if you have any feedback for Unhedged, either positive or constructive. We understand that despite our best efforts we might cause frustration, but it's better

Question 2

Fees to Invest with Unhedged

Accepted Answer

${color}[#BBCCFF](What does Unhedged cost?)

${color}[#BBCCFF](What is the pricing structure?)

${color}[#BBCCFF](Are there any transaction fees?)

${color}[#BBCCFF](Do I pay every time an algo makes a trade?)

${color}[#BBCCFF](Do I pay to hold cash?)

We created Unhedged because we believe that the Wealth Management industry should align its outcomes with clients' outcomes. We also believe that everyone should have equal wealth opportunities.

${color}[#5A78DF]( We do things differently)

Our success fee is only charged when we bring your investment to an all-time high AND outperform the market. It only makes sense!
Our pricing is the same for people who invest a small amount or a lot. We don't use fixed fees, thresholds or any fee tiering system that discriminate based on size of the amount invested
There are no account holding fees, trading fees or fees to hold USD cash

${color}[#5A78DF](Our fees)

A Base fee of 0.49% per year on funds invested in algorithms. This is also known as an Asset Under Management (AUM) fee Example: For a portfolio of $10,000 the fee is $49 per year (13 cents a day!)

A Success fee, sometimes called an overperformance fee, is charged only when your investment hits an all-time high AND when an algorithm performs better than its benchmark. We do not charge for overp

Question 3

Performance of Unhedged

Accepted Answer

${color}[#BBCCFF](What returns can we expect? What is the fund's performance?)

${color}[#BBCCFF](Why are you not advertising the returns? Is there another way to get to know more?)

${color}[#BBCCFF](Can I try Unhedged without putting money in? Is there a demo account?)

${color}#5A78DF

What returns can you expect? The most difficult question to answer and one of the most asked.

Our algorithms aim to beat the benchmarks by a few percentage points over the long run (years). Remember, we earn the majority of our fees when your investment reaches an all-time high & we perform better than the market which helps align our incentives. However, investing is risky and there can be periods where we have a negative performance.

In the articles about the algorithms we show how the algo's would have performed if they were trading in the past (backtests) and the hypothetical returns they would have made. But past returns have no bearing on future returns!

So far, the algorithms are doing exactly as they are supposed to do and we are seeing similar returns to the backtest results.

${color}[#5A78DF](Track our real returns in the Demo!)

The best way to follow our returns in real life is to open a demo account. You automatically get one when you register in the app. This demo ac

Question 4

Allocation Pre-sets

Accepted Answer

${color}[#BBCCFF](What Allocation pre-sets can I choose from?)

${color}[#BBCCFF](What is the difference between the allocation pre-sets?)

${color}[#BBCCFF](What are the benefits of the different pre-sets?)

We have developed two allocation pre-sets customers can choose from.

${color}[#5a78DF](Equal Weight)

The **default **Pre-set is Equal Weight. Equal Weight means that the portfolio gets divided in equal amounts between the trading algorithms. When you select this pre-set, each algorithm will invest 33% of your portfolio. The Equal Weight pre-set leverages the basic statistical properties of the three independently correlated trading algorithms.

The Equal Weight pre-set is simple and many investors at Unhedged may prefer this method and its likely suitable when you have a ** longer time horizon**. As the algorithms are more or less uncorrelated to each-other; one algo can do well for a period and another algo might perform better over the next period. We do not know in advance and therefore regular rebalancing to an equal weight is a good way of ensuring each algorithm contributes to the investment equally, over time.

Our back tests show a **total return of approximately +450% **over the period 2010-2020, when monthly rebalancing the portfolio to the Equal Weight pre-set. The Sharpe ratio helps investors understand an in

Question 5

Impact of Buy/Sell spread

Accepted Answer

${color}[#BBCCFF](What is a Buy/Sell spread?)

${color}[#BBCCFF](What is the difference between the various unit prices?)

${color}[#BBCCFF](How much is the buy/ sell spread?)

${color}[#5A78DF](What is a Buy/sell spread?)

Typically, when you buy or sell assets on the stock market, there is a buy/sell spread. This is valid as well for your investment with Unhedged. When you put money in, take money out or change your allocation with Unhedged, you find a similar buy/sell spread. When someone moves money in or out, the algorithms change the positions. Every movement of funds will incur costs. The buy/sell spread ensures that transaction costs are allocated to the investors who are making transactions, not to investors who are not. It is not a fee paid to Unhedged.

${color}[#5A78DF](Different Unit Prices)

When you receive a confirmation of a transaction, we will notify you of the different prices.

Buy unit price:

when you add funds to Unhedged
when you increase your investment in a specific algorithm

Sell unit price:

when you withdraw money from Unhedged
when you decrease your investment in a specific algorithm

**Unit price: **

a price in between the buy & sell price that is used to calculate the value of your current investment

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The Buy/Sell spread is charged according to the descr

Question 6

The Algorithms

Accepted Answer

${color}[#BBCCFF](What are algorithms?)

${color}[#BBCCFF](Will Algorithms always win?)

${color}[#5A78DF](Algorithms are everywhere)

Algorithms are pieces of computer code that give a specific output when certain conditions appear. Algorithms are in ** every corner of our lives.**

When traffic slows on the highway, an algorithm determines that the signs above the road should be on 60 or 40.
When you open the fridge door, the fan stops, and
when you close the fridge, it will boost the fan to bring the temperature in range.

These are simple examples. In the stock market, algorithms are used to determine the best buy and sell prices and to detect circumstances in the past that might have the same effect in the future: let's call them Rules. These rules can be based on past research, Artificial Intelligence or Machine Learning. Our algorithms look not only at millions of pieces of price data but also so-called alternative data such as statistical data points and economic indicators.

${color}[#5A78DF](Its all about statistics)

The fact that we don't have trillionaires that own every stock in the world means that algorithms in finance are far from perfect, and nobody has discovered the Holy Grail. In algorithmic investing we strive to find ways to **win more times than we lose **(more than 50% winners) and make every win gr

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