Going back speaking about professionals.
Here professionals are very few.
Professional traders are hedge funds and to invest a hedge fund you have to be a professional investor with 100k or more, hedge funds dont’ waste their time with small investors that would sell after a couple of months of DD.
The average traders work below 5k but it is the same also for investors.
Amateur investors that aren’t happy with crap sold by banks look for talented amateur traders on social trading brokers.
Going back speaking about professionals.
Sorry maybe i was not totaly clear. If you check out “WYC” at place 26 in the leaderboard He migrated 2018-04-03, would you want to invest your life savings in a darwin that havent taken any trades since 1 year back from migration?
What do you mean by “leaderboard” ?
WYC is not 26th for DScore neither for return.
WYC is an inactive darwin, no trades, no equity, no investors.
Probably the trader imported a trackrecord and than changed his mind and never traded on Darwinex.
We are speaking about nothingness…
Even if a dumb investor doesn’t notice that it is inactive there is no risk, no trading no loss…
I press “Darwinia” and then there comes a list of all darwins and it says leaderboard and numbers.
1 are ERQ
and 26 are WYC, maybe my computer showing wrong numbers then…
Darwinia is not the “leaderboard”, it has been said hundreds of times…
On Darwina you find also inactive darwins, Darwinia considers 4k darwins while active ones are 2k. (“All Darwins”)
You can find WYC (now #28) only beacause it is the beginning of the month, with 0% return and 0% regularity it will never be allocated.
Darwinia is the last place to look, especially at the beginning of the month.
We have 500 investors and nobody invested WYC so it is quite evident that it is inactive.
Yes, I know its inactive, I thought it was on leaderboard.
SO then iam sorry, Iam new here and trying to learn stuffs before going in hard. Thanks for your answer and help!
Forgive @CavaliereVerde. He has been here a long time and gets a bit grumpy sometimes. But he knows a lot. I was about to post asking him to be a bit gentler on the new guys. Welcome to the world of Darwinex!
Thanks very much!
I like him also very much and have read very meny of his posts and every thing he says I agree on, and I can understand him when there is a noob like me comming with false facts multipe times.
Lets say like this, from the beginnin I just scrolled the top darwines with meny of them have impressive numbers/stats. But then ive scrolled down a bit, and dont want to mention bad darwines, but there are guys out there with over 20,000 from darwinex thats having over 55% DD and this really comes as a chock for me,thats why iam spamming questions.
LOL this should be an answer to SAFTX, I made one more mistake.
Allocations aren’t real money, Darwinex is not risking anything.
There are a lot of topics about Darwinia but Darwinia has nothing to do with professional trading neither professional investing.
Darwinia is a tool to talent scout and pay promising traders.
This is the landing page for investors:
And these are the “Top Traders” :
I spread my money over my accounts, according to the profit they can generate,
A far fetched, but widely spread, idea, that anyone shows his full equity here.
many reasons why.
- traders oftentimes have multiple accounts with multiple brokers to spread risk and also to take advantage of different features, promotions, and offers.
- Many traders are building their track records for the future and would like to earn a 2nd source of income, and therefore they can offer trade copying or fund management while still working on other jobs.
spud webb(atlanta hawks) tyrone bogues ( charlotte hornets) and more and more… Spud(1,69) and Tyrone (1,59) … life put the people in your site.
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I have done some calculations.
Using complete calendar years the annualized return of NTI is 13.5%
You defined a max investors’ capital of 800k.
Let’s suppose Darwinex will attract much more capital and you reach that AUM.
Your average annual growth for your AUM would be 108k for an annualized performance fee of 22k.
This means you expect to never live or get rich as darwin manager.
This is not a criticism to you but is it really possible to make a business with Darwinex for an intraday low capacity trader?
As a side note: the max investors’ capital is just an estimation by me but I think this number should be close enough to the tipping point where divergence would become too high (can’t know for sure though).
Of course I won’t ever be able to live off my Darwin NTI. Fortunately, that was never my goal … Financially, trading my own capital is far more rewarding as I also pay less taxes on those earnings compared to income generated through performance fees.
If a manager is living in a country with rather low living expenses and is able to either create a strategy that is
a) yielding higher returns
b) has more capcity
c) generating constant returns with short recovery periods
He stands a chance to live off his trading as the sole source of income. A different possibility would be to create a portfolio of many different diversified strategies (which is also very hard to do).
Personally, I would think though that for most people, treating their trading just as an additional source of income, is the more sustainable approach as they will be able to bear longer periods of drawdown and have less pressure (which allows them to trade more robust strategies and generally make better decisions).
We can constantly see what happens to the get rich quick wannabe money managers. They apply some kind of grid, martingale, never lose pray and hold type of strategy in order to generate a constant stream of income.
100% agree, never thought trading as a solution for unemployed people, I was curious about your plans.
IMO there are 2 alternatives for short term traders.
- wait for a better liquidity from Darwinex
- add strategies on higher timeframes
Generally speaking traders have an high degree of scientific education and a decent job.
I agree also that limiting the AUM is a solution, if you have a capacity of 1 million you can reserve part of it for your personal tradiing where you get 100% of the return, I think ERQ is doing this.
Similar reasoning can be done for WFJ and PLF.
- invest in more profitable manual traders on Darwinex platform and get 80% of their profits.
I like the openness of everyone here on this topic.
I think there aren’t many traders making a living off their trading to be found on Darwinex, or any other Social Trading platform for that matter (there are of course exceptions).
I mean, if I had a Trader’s Equity of €500k, aiming at ~1 or 2% p.m., I’d live very comfortably.
At that point, why would I even bother trying to make investors happy and expose myself in all kinds of different ways?
For me personally, it is the lack of available equity that made me turn to a social trading platform, which gives me the opportunity to leverage my built-up skill and experiences and get it backed by money I don’t have.
Also, should I ever get rich from trading, I would very much down play my accomplishments in conversations I have, and only a very small and select group of people would know the truth of my wealth. There’s truth in that rap song title “Mo’ Money, Mo’ Problems” you know
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