TED should invite Marketsurfer. So that he can explain that Jim Simmons is wrong and knows nothing about trading. Trends don't exist. Surf can present his book to Jim Simmons to help this poor man in finding his way to profitable trading.
Did you watch the video. Jim doesn't believe it's very feasible to follow trends after accounting for risk. He tested every variation of it early in his career. And although he states that the strategy could potentially generate long term returns, they are not very attractive on a risk adjusted basis.
it is amazing the pictures of people you can find on the internet. disclaimer-any resembles too market surfer is purely coincidental
This video was already on ET a long time ago. I watched it already at that time. Simmons has clearly another vision on trend then Surf. That was my point. Risk adjusted base depends of many things and can be different for other traders. I am a daytrader, so completely different from what Renaissance is doing. My maximum drawdown is around 16-17% with an average recovery time of less then 24 hours. My return is four digits a year ( yes more than 10 times starting capital, or 1000%). So my risk adjusted basis is completely different.
maybe or is it it is like buying a stock at 5 with a .25 dividend or 5% yield. now the stock is at $100 with a $5dividend. some people would claim they are getting 100 per cent return on capital. of course not in my book.
No, it is very simple and clear: If I start with $5,000, exactly 12 months later I will have over $55,000 in my account. $5,000 starting capital and $50,000 profits. That is without any discussion 1,000%. Your example isn't even possible as I close every day my positions as daytrader. I also don't trade stocks, just futures. I also don't get it how you can get a 1000% return out of your example.
Congrats, that is truly phenomenal. Would you mind letting us know what type of strategy you are using to generate these types of returns? You don't have to give away the store, even a general idea would be appreciated.