TTU142: The Contrarian ft. Roy Niederhoffer, President of R.G. Niederhoffer Capital Management

Published: April 10, 2023, 10:30 a.m.

Buckle up for a fascinating conversation with Roy Niederhoffer, President of R.G. Niederhoffer Capital Management, as he shares insights on managing a billion USD through short-term trading. Discover why he's chosen this approach and how he's overcome its challenges. You'll also gain valuable insights on human biases surrounding the Sharpe Ratio, the impact of an inverted yield curve on longer-term trend following strategies, and why Roy "has PTSD" from investing in the stock market. Dive deep into the drivers of short-term trading and learn why thinking like a trader is key to successful research. Plus, Roy offers a cautionary note on the dangers of machine learning. Don't miss this illuminating conversation!

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Learn more about R.G. Niederhoffer Capital Management.

Episode Timestamps:

02:16 - Introduction to R.G. Niederhoff Capital Management

03:46 - Their investment philosophy

10:00 - A period of challenges

13:26 - Believing in change

15:45 - Who's Sharpe should we be concerned about?

23:02 - Looking back in time

30:42 - The role of short-term trading

38:56 - What drives short-term trading?

42:47 - Being smart with execution

46:09 - Dealing with the downsides

53:53 - Studying the markets

55:49 - The dangers of machine learning

58:41...