Symphony Cash Balance

Composer’s automated trading tries to align your portfolio holdings as closely as possible to the logic of your chosen symphonies. However, there are a few reasons why your symphony holds cash rather than invested assets at any given time.

Here's a detailed breakdown to help you understand the various scenarios:

1. Intentional Cash Buffer

When trading, a small buffer of .001% of each symphony’s value is intentionally left in cash in order to account for any regulatory fees that can get applied later in the day.

2. Minimum Trade Requirements

Our clearing partners, Alpaca and Apex, have minimum trade requirements ($1 and $5 respectively). If your intended trade amount for a particular asset is below these minimums, the funds cannot be invested and will remain as cash.

3. Fractional Share Limitations

Some assets are not fractionable (for example, Berkshire Hathaway’s BRK Class A stock). If your intended trade amount does not reach the market price of a single share or line up closely with a whole number of shares, then excess cash will stay in your symphony until it can be allocated within these constraints.

4. Market Fluctuations and Order Execution

Market conditions can also lead to unexecuted orders. If an asset experiences significant price fluctuations, orders may not execute at the expected prices, leaving uninvested cash.