Retail Traders Get AI-Driven MidCapDiverse Portfolio from eToro and BridgeWise

Trading and investing platform eToro has partnered with BridgeWise, an AI-based investment intelligence provider, to launch a portfolio called MidCapDiverse. The portfolio focuses on US mid-cap stocks.

Recently, eToro introduced seven AI-driven investment portfolios that use machine learning to analyze retail trading data. These portfolios allow retail investors to access quantitative strategies typically available to institutional investors. Building on this, the new MidCapDiverse portfolio focuses on mid-cap companies in the US market.

Portfolio Focuses on US Mid-Caps

Gil Shapira, Chief Investment Officer at eToro, Source: LinkedIn

“Mid-cap stocks are gaining interest at the moment as investors seek to diversify away from tech mega-caps. With interest rates coming down, mid-caps are set to benefit from lower borrowing costs,” Gil Shapira, Chief Investment Officer at eToro said.

The portfolio consists of 30 US-listed companies with market capitalizations up to $50 billion. These companies are selected using BridgeWise’s proprietary stock analysis model, which ranks firms based on fundamental financial data and sector diversity.

“As mid-caps are often under researched by analysts, this portfolio gives investors a simple and automated way to potentially uncover some hidden gems.” Shapira added.

You may find it interesting at FinanceMagnates.com: eToro Enters Singapore amid Approval of MAS Licence.

eToro’s First Mid-Cap Portfolio

MidCapDiverse is eToro’s first Smart Portfolio dedicated to mid-cap stocks. The portfolio includes companies with compact financials across various sectors.

Investors can track the portfolio’s performance using tools and charts available on the eToro platform. The platform’s social feed provides updates related to the sectors represented in the portfolio.

eToro Adds Commodity Investment Option

eToro has expanded its Smart Portfolios range through recent partnerships with Franklin Templeton and WisdomTree. Last month, six target-date UCITS ETF portfolios were launched with Franklin Templeton, designed for investment periods of three to ten years.

A separate commodity-focused portfolio was introduced with WisdomTree, combining exposure to multiple commodities and select single-commodity ETPs. These additions are part of eToro’s efforts to offer a broader selection of pre-constructed portfolios to retail investors.