How does the AutoBasket strategy work?
29 Jan 2020 10:00
The AutoBasket strategy is similar to the
AutoBuy stratgey, but instead of
buying a specified currency, the AutoBasket strategy will buy multiple currencies weighing them against
the market capitilisation of each currency.
For example, if you deposit $100 and the current weightings are BTC: 80%, ETH: 15%, XRP: 5%, then an AutoBasket strategy will buy you $80 worth of BTC, $15 worth of ETH, and $5 worth of XRP.
As with AutoBuy this will be executed when you make a fiat deposit into your Independent Reserve account.
The AutoBasket strategy is part of the AutoTrader framework. For more information on the AutoTrader system, see the AutoTrader help page.
Creating a new AutoBasket Strategy
Reduces the amount of fiat used in the crypto purchase. Most people leave this at 100%.
This will cap the strategy's buy order fiat amount. This cap is applied after the Deposit Percentage adjustment. This is the most common way to limit your strategy order size.
Weightings in image are for example only.
Creating multiple AutoBasket strategies
You cannot create multiple AutoBasket strategies as the basket of cryptocurrencies is fixed. If you wish for more control on the cryptocurrencies that are bought please use the AutoBuy strategy.
How are the weightings determined?
We use CoinMarketCap to determine the weightings.
How often is the basket weightings reallocated?
The weightings are adjusted once a week. Adjustments will not affect your existing holdings, whether bought through the AutoBasket strategy or not. They will only affect the next AutoBasket execution.
Can I choose which crypto is in my basket?
Not at this stage.
What if I want to make a once off deposit that doesn't get picked up my AutoBasket strategy?
You can disable the strategy before making the deposit, and then re-enable it after this special deposit is credited to your account. To do this go to the AutoTrader page, and in the Strategies section select the Action button next to the AutoBasket strategy, and select Disable. To re-enable select the Action button and choose Enable.
Will I be alerted when a strategy doesn't execute?
Yes, you will be sent an email when a strategy fails to execute. You will also be sent an email when a strategy successfully executes.
At what price will AutoBasket place a buy order?
AutoBasket will place a market order for each cryptocurrency in the basket. This will buy the cryptocurrency at the current market price at the time the strategy executes.
Can I create strategies via the API?
No. If you're using the API, you can create your own API driven strategies.
Can Independent Reserve make deposits for me on a schedule?
No. To schedule deposits from your bank account, you will need to setup a recurring/scheduled transfer from your internet banking platform. Here are some links to the major banks for doing this:
- CBA - in the "Transfer & BPAY" screen choose "Set up regular payments" option under "When"
- Westpac - in the "Make a payment" screen select "Recurring payment" in the "Payment details" section
- NAB - in the "Pay Anyone" screen, choose the "Pay when" drop down menu
- ANZ - in the "Pay Anyone" screen choose "Recurring" use the "Transfer type" field when making a payment
Can I use this strategy to do dollar cost averaging (DCA)?
Definitely! Simply create a recurring deposit from your internet banking platform, and your AutoBasket strategy will do the rest - set and forget.
Are there any fees charged for using the AutoBasket strategy?
There are no additional fees charged for using the AutoBasket strategy. Your standard brokerage fees are charged on any trade that the AutoTrader system places on your behalf.
Can AutoBasket wait until the price gets down to X before buying?
No, the AutoBasket strategy will always execute a market order. If you want to buy at a certain price, it sounds like you're just after a Limit buy order. You can create this directly on our order book trading page by selecting the BUY (LIMIT) button.
Does AutoBasket take into account deposit fees?
AutoBasket will always buy using the deposited amount (up to your Spend Limit). If your deposit incurs a deposit fee, this will be taken out of your existing fiat balance if there is one, and if not it will be reduce the amount AutoBasket buys with.