Can I keep my Sharpe ratio higher then 4 for the rest of the year?

Discussion in 'Journals' started by macintash, Feb 29, 2012.

  1. If anything I would go with option 1. I don't have a problem with having a number of accounts
     
    #71     Mar 30, 2012
  2. gmst

    gmst

    Good luck man, just a question - are you automated? Because unless you have APIs written for multiple brokers or you can connect to multiple brokers through a single order entry platform, how would you ensure operationally that all your orders go exactly at the time of signal to different brokers. Because even if there is a 10 second delay in order entry for different brokers, in a fast market your fills would be very different.
     
    #72     Mar 30, 2012
  3. Not automated, but I could have few accounts with 1 broker.
    Anyone else here has advice?
     
    #73     Mar 30, 2012
  4. ocean5

    ocean5

    What is Sharpe ratio?
     
    #74     Mar 30, 2012
  5. Just do a Google search.
     
    #75     Mar 30, 2012
  6. ocean5

    ocean5

    I did read Wiki,but didn`t get what mr.Sharpe was trying to present.
    Is there any simple explanation on what the ratio is?
     
    #76     Mar 30, 2012
  7. Sahrpe is the return above risk free return, devided by STDV, however I'm not an expert in Sharpe. Maybe some readers here can explain better.
     
    #77     Mar 30, 2012
  8. ocean5

    ocean5

    Haha..doubt it.They just like the word Sharpe.(i wonder, how many readers are reading Wikipedia and trying to get it now:confused: )

    :D
     
    #78     Mar 30, 2012
  9. It's basically just telling you how much return you get for the risk you take - his sharpe of 4 can roughly mean he gets 4 units of return for each unit of risk he takes. Meaning if he's willing to tolerate 10% volatility, he can expect to make 40%.
     
    #79     Mar 30, 2012
  10. ocean5

    ocean5

    How many samples should be in the presentation?Would 2 trades be enough?
     
    #80     Mar 30, 2012