There is some fuss around this new campaign from Angel Broking. The campaign is around their automated recommendations engine ARQ with the name ARQ Revolution.
The campaign tag line goes like this:
“One Size Fits All Investment Solutions? Its Time to break free!”
What is the campaign about?
Well, the campaign talks ARQ and how you can revolutionize your investments using this recommendations engine.
How does ARQ help me?
The broker claims that this engine runs of multiple data points, takes in few inputs from you based on your risk appetitie, trading or investing behavior, investment experience and more. It then, recommends personalized stocks and other financial instruments for you to invest in along with the possible return percentage and time period to stay invested for.
In layman terms, instead of humans, robots are suggesting you with research and advice. (Rise of the machines?)
Well, we did a small demo, you can watch it here. The results were not that promising and nowhere close to the way they are marketing it.
What kind of Questions does the algorithm ask?
Pretty basic ones actually, such as:
Whether you want personalized investment options?
Are you looking to invest in ideas that are based on future potential?
Are you looking for higher returns?
Honestly, most of the people will say “Yes” to such questions and that is why it becomes difficult to understand how can a recommendation engine provide “personalized” recommendations. They do ask few other questions as well, but those are not designed in such a way that can help any automated engine to provide you with specific investment options.
And if, the investment options are not specific and are more generic, well, in that case, everybody who uses this application will end up investing in similar options. Once that happens, how can one expect more than normal returns.
Shall I use it?
Its your choice at the end of the day. Our advice is to have a demo yourself, understand how it works and only then make a calculative judgement. Most of the times, stuff like ARQ Revolution is more of marketing gimmicks to gain some user attention for a short time (as long as you have opened money taps) and have almost zero ground reality. So, you must stay wary of anything fancy introduced in the market.
Ideally, give it some time. See how it grows organically and then take a chance.
However, if you have a bigger risk appetite, jump in the wagon!
Anyway, if you are looking for some help in stock broker selection, feel free to fill out this form and we will get back with the most suitable stock broker for You!