Top Traders Unplugged

SI60: The dangers of "Home" bias and the benefits of Diversification


Listen Later

This week, we cover some of the dangers of ‘Home Bias’, and the benefits of diversification mixed with good risk management. We also discuss the differences between common Trend Trading and Systematic Trend Following, why investors tend to hold on to losing positions longer than winning positions, why people being hopeful with losses and afraid with profits may be the reason for why Trend Following works, DUNN’s Capital’s recent milestone of 45 years in the business, why Trend Following strategies are more than just the ‘perfect hedge’, ways that Trend Following can be applied to life, and we touch Abbey Capital’s recent article regarding Trend Following performance over the current decade, compared to previous decades.  Questions answered this week include: Should long and short entries be symmetrical?  Should you limit position sizing in particular markets?  What do you define as a small loss?

-----

50 YEARS OF TREND FOLLOWING BOOK AND BEHIND-THE-SCENES VIDEO FOR ACCREDITED INVESTORS - CLICK HERE

-----


Follow Niels on Twitter, LinkedIn, YouTube or via the TTU website.

IT’s TRUE ? – most CIO’s read 50+ books each year – get your FREE copy of the Ultimate Guide to the Best Investment Books ever written here.

And you can get a free copy of my latest book “Ten Reasons to Add Trend Following to Your Portfoliohere.

Learn more about the Trend Barometer here.

Send your questions to [email protected]

And please share this episode with a like-minded friend and leave an honest Rating & Review on iTunes or Spotify so more people can discover the podcast.

Episode TimeStamps:

00:00 – Intro

01:05 – Macro recap from Niels

02:20-  Weekly review of performance

09:00 – Top tweets

35:05 – Questions 1/2: David; Should a bearish strategy mirror a bullish strategy (i.e. 100 day hi/lo entry for both)? Should you expect bearish strategies to do as well as bullish strategies?

39:45 – Question 3: Walter; Do you have position size limits on individual contracts?

44:15 – Question 4: Neil; What is the definition of a “small loss”?

49:50 – Benchmark performance update

50:55 – Discussion of Abbey Capital white paper

Copyright © 2024 – CMC AG – All Rights Reserved

----

PLUS: Whenever you're ready... here are 3 ways I can help you in your investment Journey:

1. eBooks that cover key topics that you need to know about

In my eBooks, I put together some key discoveries and things I have learnt during the more than 3 decades I have worked in the Trend Following industry, which I hope you will find useful. Click Here

2. Daily Trend Barometer and Market Score

One of the things I’m really proud of, is the fact that I have managed to published the Trend Barometer and Market Score each day for more than a decade...as these tools are really good at describing the environment for trend following managers as well as giving insights into the general positioning of a trend following strategy! Click Here

3. Other Resources that can help you

And if you are hungry for more useful resources from the trend following world...check out some precious resources that I have found over the years to be really valuable. Click Here

Privacy Policy

Disclaimer

...more
View all episodesView all episodes
Download on the App Store

Top Traders UnpluggedBy Niels Kaastrup-Larsen

  • 4.8
  • 4.8
  • 4.8
  • 4.8
  • 4.8

4.8

561 ratings


More shows like Top Traders Unplugged

View all
Chat With Traders by Ian Cox and Tessa Dao

Chat With Traders

1,987 Listeners

Odd Lots by Bloomberg

Odd Lots

1,789 Listeners

Macro Voices by Hedge Fund Manager Erik Townsend

Macro Voices

3,062 Listeners

The Meb Faber Show - Better Investing by The Idea Farm

The Meb Faber Show - Better Investing

938 Listeners

Superinvestors and the Art of Worldly Wisdom by Jesse Felder

Superinvestors and the Art of Worldly Wisdom

414 Listeners

The Market Huddle by Patrick Ceresna & Kevin Muir

The Market Huddle

363 Listeners

Excess Returns by Excess Returns

Excess Returns

66 Listeners

Macro Hive Conversations With Bilal Hafeez by Bilal Hafeez

Macro Hive Conversations With Bilal Hafeez

93 Listeners

The Grant Williams Podcast by Grant Williams

The Grant Williams Podcast

1,352 Listeners

Supply Shock by Blockworks

Supply Shock

115 Listeners

Forward Guidance by Blockworks

Forward Guidance

277 Listeners

The Macro Trading Floor by Alfonso Peccatiello & Brent Donnelly

The Macro Trading Floor

214 Listeners

Macro Mondays by Andreas Steno Larsen

Macro Mondays

26 Listeners

Thoughtful Money with Adam Taggart by Adam Taggart | Thoughtful Money

Thoughtful Money with Adam Taggart

379 Listeners

Monetary Matters with Jack Farley by Jack Farley

Monetary Matters with Jack Farley

91 Listeners