SI54: Why NOT losing money is more important than missing opportunities

Published: Sept. 22, 2019, 2:53 a.m.

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In this episode, we discuss Howard Mark\\u2019s comments regarding not losing money being more important than missing opportunities, how solid Trend Following performance can often stay on the edge of randomness, recent opposing comments from the AHL founders on the effectiveness of Trend Following in today\\u2019s markets, why complexity and complication might actually be different from one another, and we also touch on a white paper which points out an increased inaccuracy with backtests the more complex a system gets.  Questions answered this week include: How easy is Trend Following to carry out? Are funds today charging too much in fees?  Is there a way to accurately predict future price moves?  Daniel Crosby mentioned in a recent Top Traders Unplugged interview, that \\u2018the best investments were the ones that were left alone\\u2019, what do we think about that statement? How do we keep our cool around friends & family after a very bad week in the markets?  Do clients have a wide & varied attitude toward portfolio volatility?

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Episode TimeStamps:

00:00 \\u2013 Intro

01:00 \\u2013 Weekly recap from Niels

04:10 \\u2013 Weekly review of performance

09:00 \\u2013 Top tweets

39:00 \\u2013 Question 1: Francois; How do you stay cool after a bad week trading?

48:30 \\u2013 Question 2: Adrian; What is the optimal level of trading activity in a robust system?

52:20 \\u2013 Question 3: James; Should CTAs offer the same program with different vol targets?

01:02:00 \\u2013 Question 4: James; Is Jerry trading individual stocks or a basket of stocks?

01:05:45 \\u2013 Benchmark Performance...'