25 The Systematic Investor Series – March 3rd, 2019

Published: March 3, 2019, 2:15 a.m.

Discussion points this week include: Where to start if you want to become a Trend Following Trader, whether or not to trade markets differently, Bloomberg’s article on the supposed Failing of Trend Following, how strategies can cope and adapt during drawdowns, how to know when you are truly diversified or not, and a lot more. You can download your free guide to Systematic Investing, and subscribe to our mailing list by visiting TopTradersUnplugged.com Get a free copy of my latest book "The Many Flavors of Trend Following" here. Send your questions to info@toptradersunplugged.com Follow Niels, Jerry & Moritz on Twitter: @TopTradersLive, @RJparkerjr09 & @MoritzSeibert Feel free to leave an honest review on iTunes. Episode Summary 0:00 - Intro 1:20 -  Weekly review 7:00 - Top tweets 32:30 - Question 1: Karl; Where would you start if you wanted to become a Trend Follower? 36:30 - Question 2/3: Paul; Considering return volatility and investor tolerance, how do you help investors determine their optimal allocation to Trend Following? Have your personal volatility preferences changed over time? 45:45 - Question 4: Antonio; If historical drawdowns have no bearing on the future (as the podcast has said), how do you know your system won’t blow up? 50:10 - Question 5: Antonio; How do you calculate future expected returns with a TF system? 55:20 - Question 6: Antonio; If you can’t estimate future returns, why bet TF will keep working in the future? 59:30 - Question 7: Antonio; Should recent performance of TF systems influence future return expectations? 1:03:10 - Question 8: Brian; How does a CTA choose a company to sell their products? 1:05:00 - Question 9/10: Samuel; Based on correlation, what level of diversification is enough? What will cause Jerry to adjust his risk? 1:09:00 - Question 11: Samuel; How often should positions be adjusted based on account equity? 1:15:15 - Question 12: Brian; Why do investors hold CTA returns to a higher standard (versus other hedge funds)? 1:18:50 - Question 13: Seth; What are the unique “sectors” that drive diversification in a TF system? 1:22:40 - Discussion of Bloomberg article on TF failing – suggested by Christian 1:35:00 - Performance recap Subscribe on: