I am firm believer in diversification, and so are most of the Trend Following Wizards tracked on the AuTraSy blog. How about applying diversification to the Trend Following Wizard funds themselves?
Instead of trying to see which funds performed best (as I did previously with the Geometric Information Ratio ranking), I wanted to see what sort [...]
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Tags: wizards
June was a bit of a mixed bag in terms of performance for Trend Following Wizards.
The average monthly return is 0.29%, taking the average YTD figure to -1.48%, with a few Wizards being in the double-digit figures on both ends of the scale.
Note that three major players were added to the report this month: [...]
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Tags: Abraham Trading·AHL·Aspect Capital·Bill Dunn·Chesapeake·Christian Baha·Clarke Capital·dave harding·Drury Capital·eckhardt·EMC Capital·Hawksbill·Howard Seidler·Hyman Beck·John W Henry·Larry Hite·Liz Cheval·Man·Millburn Ridgefield·Paul Rabar·Saxon Investment·Superfund·Tom Shanks·Transtrend·winton capital
Not as volatile as some might have expected, the performances of the Trend Following Wizards are fairly heterogenous but mostly on the negative side with an average return of -3.99% and a couple of double-digit losses. This brings the average Year-To-Date to -0.66%.
This contrasts with the +35% result found in some of the strategies in [...]
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Tags: Abraham Trading·AHL·Aspect Capital·Bill Dunn·Chesapeake·Christian Baha·Clarke Capital·dave harding·Drury Capital·eckhardt·EMC Capital·Hawksbill·Howard Seidler·Hyman Beck·John W Henry·Larry Hite·Liz Cheval·Man·Millburn Ridgefield·Paul Rabar·Saxon Investment·Superfund·Tom Shanks·Transtrend·winton capital
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The recent turmoils developing in the markets will give us interesting times to monitor how the Trend Following Wizard performances fare. If 2008 is any indication, and if we return to large moves [...]
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Tags: Abraham Trading·AHL·Aspect Capital·Bill Dunn·Chesapeake·Christian Baha·Clarke Capital·dave harding·Drury Capital·eckhardt·EMC Capital·Hawksbill·Howard Seidler·Hyman Beck·John W Henry·Larry Hite·Liz Cheval·Man·Millburn Ridgefield·Paul Rabar·Saxon Investment·Superfund·Tom Shanks·Transtrend·winton capital
The idea of having a true benchmark for Trend Following (a.k.a. Managed Futures/CTAs), independent from the performance of the existing funds, could shake up the industry and have serious implications (increased competition and fees reduction resulting from commoditization of Trend Following).
The Beta of Managed Futures paper (PDF) by Conquest Group and their claim to an [...]
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Tags: alpha·beta·Conquest Capital Group·geometric return·information ratio