Frequently Asked Questions

General: What you need to know

?
What is a stock?
A stock is a share in the ownership of a company. Stocks represent a claim on the company's assets and earnings. As you acquire more stock, your ownership stake in the company becomes greater. Whether you say shares, equity, or stock, it all means the same thing.
?
What is an index?
An index is an imaginary portfolio of securities representing a particular market or a portion of it. Each index has its own calculation methodology and is usually expressed in terms of a change from a base value. Thus, the percentage change is more important than the actual numeric value.
?
What are index categories?
A way of differentiating indexes according to their investment objectives and principal investment features. This categorization allows investors to spread their money around in a mix of funds with a variety of risk and return characteristics.

Basics

?
What is Karma?
Karma is a way to measure a person's activity. For every action there will always be a reaction. Your thoughts and actions are powerful. Your words and actions shape the world around you. In FolioKarma, a user can see a karma score indicating whether his or her investment are generating good or bad Karma according to his or her own ethics and principles. Depending on your list of companies that you are reviewing and how you judge the activities these companies are involved in, your Karma can be high or low. Just add some Karma to your portfolio!
?
What is a Karma Score, and why would I want it?
A Karma Score reflects whether the investments are in-line with an investor’s ethics. A user increases his or her karma by voting on the activities a company is involved in and creating a resulting Karma Score. You can see how much Karma Scores you have on the View Karma page by measuring the Karma Score percent represented by our Karmatoons. . . The best way to gain good karma is to rate the activities a company is involved in with positive votes.
?
How is the Karma Score calculated?
Karma Score is a value that is calculated based on a user judging the activities a company is involved in and is broken down as follows:

K = P / (P + N)

where:
K - Karma;
P - the total number of positive votes;
N - the total number of negative votes.
?
What is a portfolio?
A portfolio is a list of stocks that comprises companies that an investor believes will generate positive returns on his or her investment.
?
What is portfolio performance?
A virtual or unrealized loss or gain by a portfolio holder. Portfolio returns can be calculated on a daily or long-term basis to serve as a method of assessing a particular investment strategy. Dividends and capital appreciation are the main components of portfolio returns.
?
How is portfolio performance calculated?
The portfolio performance displayed in the FolioKarma is based on a “SmartIndex” equal-weighted methodology to quantify the performance of the selected stocks in your portfolio. Please review the full Performance Methodology for more details here: www.foliokarma.com/Methodology
?
How do I access the app?
Just download it from the Apple App store and connect to your Facebook account or simply use it without any registration. It’s that simple!
?
What do I need to use this app for? / Why should I use this app?
FolioKarma is an easy to use app that helps you evaluate the companies you invest in and make an ethical investment decision while looking how much gain or loss each company on your list would generate. With FolioKarma, you can control how you feel about companies in your stock portfolio by rating their business practices against others when it comes to ethical business practices. It assembles your ratings and displays vote totals accordingly.
?
Whom can I contact with additional questions?
If you have questions about using the app, installation or distribution of the app, please contact support@foliokarma.com. We will have an answer for you!
?
Technical Requirements:
-IOS8 compatible device

Specifics

?
What is FolioKarma all about?
Stocks go up. Stocks go down. As an individual investor, you have no control over that fact of life. With FolioKarma, you can control how you feel about companies in your stock portfolio by rating their business practices against others when it comes to ethical business practices - that’s what we call creating your “Karma Score”.
?
Where is your content coming from?
We are collecting the lists with the activities a firm is involved in from public sources and creators of the lists can also send us new lists or updates directly. If you would like to claim a list or contribute a new one, please contact here.
?
Do you also allow to rank mutual funds?
Currently the app allows you to look up individual securities and see what these firms are involved in, but we are working on a feature that allows you to see all the portfolio constituents of your mutual fund and automatically show what all these firms are up to as well.
?
Who decides what matters and what doesn’t?
We don’t judge what’s right or wrong - You determine the importance of matters and topics to yourself and rank the activities a company is involved in according to what you think matters.
?
Will it cost me portfolio performance, if I take my beliefs into account for my investment decisions?
There is no straight forward answer for that. It really depends on you and what you think works for you. FolioKarma shows you what companies you might want to divest from if you would like to increase your KarmaScore with the “Karmoptimize” feature. By adjusting the sliding bar to the left and right you can eliminate stocks with a certain bad karma and see the impact this might have on your portfolio. The performance might decrease or actually improve. The decision on what elimination of a bad karma score works for you and what impact that might have on the portfolio is up to you.
?
Who stands behind FolioKarma?
Based in Malibu, CA, FolioKarma prides itself on serving independent investors, brokers and mutual funds with a comprehensive suite of online tools and technologies available.
FolioKarma is a part of Investars, a company dedicated to helping investors enhance investment performance through innovative supply chain management tools, indexing and structured products.
Investars provides investors with innovative means to measure the value of research through a robust set of research performance measurement tools.
Clients benefit from customized analytics designed to help them identify alpha-generating investment ideas according to their own investment style and risk tolerance levels.

Functionality

?
How should I use FolioKarma?
The process is simple; it takes just a few minutes.
1. Enter your stock watch list. We can help you if you don’t know a stock’s ticker symbols.
2. See what kinds of activities companies are pursuing, and rate whether you approve of these activities or if they are important to you. In the upper right corner of your screen, you’ll notice a filter Filter category that lets you choose different ethical conditions in which to judge companies. This is how you create a “Karma Score.”
3. See your Karma Score for either each company or for your entire portfolio.
4. If you wish, "Karmoptimize" your portfolio by selling bad karma stocks.
?
What happens when I “reset” FolioKarma? How do I "reset" FolioKarma?
By resetting the app you delete all previously stored data from the app and your device. Just go to the menu option “More” and select “Reset FolioKarma”.
?
Where can I view the performance of my stocks?
You can review the overall performance of the stocks in your portfolio on the “Improve Karma Score” screen. By adjusting the sliding bar to a certain percentage value, you can eliminate stocks with a bad Karma Score from your portfolio and see the resulting portfolio performance. It might decrease or actually increase!
?
What if I would like to take out companies whose activities I don’t agree with from my actual investment portfolio?
We call this “KarmOptimizing” your portfolio, and you can choose to view your portfolio’s performance without the companies whose activities don’t agree with your personal ethics and beliefs - right from within the FolioKarma app.
?
What does the “Karmoptimize” portfolio option mean?
It means that you can optimize your portfolio’s KarmaScore by excluding the companies whose actions you disagree with. Simply adjust the sliding bar to eliminate stocks with a certain bad karma score from your portfolio and see the impact this might have on your portfolio’s performance.
?
I have my own list of stocks whose activities I am researching. How do I provide such data to FolioKarma?
If you would like to become a data contributor and send us the contents of your research for use in the app, please contact us at contact@foliokarma.com.
?
What if I don’t have an iOS device?
We are currently working on an Android version of FolioKarma. If you would like to be added to the beta user list for the Android version, please contact us here.

Contact Us X

Stay in Touch! X

Sign up to get regular updates from the FolioKarma team!

Contact Us X

Stay in Touch! X

Sign up to get regular updates from the FolioKarma team!