That is why he warned investors…It is significant to avoid losses in the long run.
If looking to LA you exclude some of the best darwins here it means that the score is flawed,
not so efficient to be a useful parameter.
Better to look to something else.
Long trackrecord first of all…
I have explained it is not an attack and he is not treating it as such.Apparently he was not even aware of the La thing.So he will be vigilant from now on about possibility of deeper DD.
All darwins are calibrated at 10% VaR,but they don’t all use same sound techniques.Some are High risk and some are low risk.Darwinex risk manager cannot possibly catch everything,it must treat enormous population of darwins with many styles of trading.Some even mix different styles in the same darwin.
I had to post this somewhere,CIS came here randomly as a good example.
You cannot say that NTI and FSK are same in the risk department.
10% annualized, if that,is not magnet for retail investors(minus performance fees,divergence and taxes).I am aware of NTI and PLF.
People are getting burned and ketchup is not flowing.PrimeZor wanted to help and me too,with my experience of trading since 2006 and experience on PAMM service with Alpari.Loss aversion is what kills traders long-term.
There are some smart statisticians that use loss-aversion techniques to extract some modest profit from the market by playing probabilities long-term.If they would try to get serious profit ,they would be sooner or later destroyed,which happens to majority of traders who are not aware of this and actually think they have some Alpha.
If you mean that with a loss averse grid is easy to build some illusionary return I agree but we are here not only to exclude bad traders but mainly to find the good ones.
Many “dont’s” are useless to build a portfolio.
LA score is not so useful to spot good darwins that will perform in the future.
He is doing well without watching LA atribute. Do you trade to make money, or you trade to see your atributes spotted on green?
I think it is a little bit bold to judge other darwins. It is fairer and more credible and polite promoting your own darwins (if you have), or invest your money whenever you wish.
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Now you are talking!Fight with truthful facts and rational,cold analyses.Eventually we will find that core of rock solid traders and ketchup will flow.This is forum and not community or mafia!
2 posts were merged into an existing topic: Judging or discussing about darwins
Tomcat, may i ask how you got this graph? When I clicked on La it came up with green and red bars, not a curve graph
Excellent, thx guys!
I’m very new here so I don’t suspect i’ll have much to offer, but I did notice that whilst La was falling other attributes were rising.
From my understanding of La it is trying to find those who use martingale and similar like strategies or those who simply don’t know how to cut a loser(s)…however, I am not sure if La takes into account whether the trader reduces leverage relative to other times…
So in effect, the trader may have decided to split a trade into smaller positions (in averaging down) over a larger time and price frame, meaning the excursion becomes longer relative, although the total position size/leverage has not, or in fact has even been reduced.
Like I said I’m new here so I suspect I might be off base here
For example this is something I like very much, being humble and honest, without false claims about “teams of quants” or decades of experience.
Here we are all hobbists trying to turn it to our next job.
If you work with long stops or averaging some times it would be a waste of time.
As investor I look for long trackrecords and maybe a bit more trader’s equity to show more confidence in your strategy and to show that you are getting serious.
Loss aversion doesn’t have to be high but have to be stable.
Thank you. It’s kind of support for me)
I really need to work a little on this attribute, since I noticed that I have not been holding profitable positions for enough time recently although there was good signals sometimes.
Maybe but “do not fix what is not broken” !
What really matters is that you make pips every year not just once.
Stabilizing VAR and improving RS is good to have a darwin with the same quality than underlying strategy.
Everything else is aesthetic or good for Darwinia.
To add to what has been said already, deviating from your proven strategy to suit the algorithms here usually ends one way… In tears.