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Most (at least 95%) of traders on ET lose money. Why would you ever want to reverse-engineer a losing strat? Of the ones who make money, their system is either much more complex than 1-chart, or if they are trading a single chart they are most likely at least 50% discretionary, which is even...

Key individuals should always have at least profit sharing, if not an equity stake in the company. Think about it this way. If the programmer were to sell the code, he has two options. One time payment, or continual payment. There is no way that it could ever be more profitable for him to...

I don't think anyone here ever suggested a limitation of 1-candlestick chart. It seems that everyone on this thread who wants to believe that a system can be copied must always fall back on some limiting assumption. As another poster suggested, omitted variable bias. In the example of...

+1

With my strat, the complexity doesn't come from the final handful of parameters, it comes from what it takes to identify those parameters. Anyway, let's say that the trigger is based on even just 3 simultaneous events. You then say that, with the raw data, numerical analysis would easily...

+1 i actually think it would take more work to reverse engineer a system than it would to just develop a new proprietary system.

I used to be very concerned about this. I think that all traders who have a quantifiable edge are naturally a bit paranoid about it. This was a point of debate for a while internally. Setup a CTA and allow all clients the opportunity get a list of every transaction, or setup a CPO and keep...

My wife says that my points are frequently "less than crystal clear".:D

That was exactly my point. What is your disagreement with my previous argument?

Not requesting details. Just offering a word of caution. :) As much as we all try to protect the recipe of our secret sauce, you should realize that those familiar with many different asset classes and root trading strategies can tell a lot about a system simply by looking at the equity...

I thought you said you were approaching 50% YTD. I forgot about the 1% monthly hurdle, but a 60% fee still kills the returns. My program is at least top 20 in the nation for two years, and i still only charge 0/30. The thing is, no investor can reasonably assume that you max dd will never...

Well i don't really see how using a product suite like deltix is much different than what i said. They have pretty much just gone and pre-packaged and assembled all of the components that i mentioned. Then they charge pretty insane prices for it. You might be more familiar than i am with...

Sure, if you're looking for something "free". But if you want quality and aren't afraid to pay for it, there are simply better platforms out there than TS and MC.

BTW Macintash, I'm not trying to be a jerk here and I hate it when people here throw out speculative criticism, but now that you are suggesting managing OPM... Your posted equity curve and risk metrics are highly suggestive of a premium selling system, e.g. short option straddles, OTM credit...

Whoah!!! 40-60% performance fee is VERY HIGH! So high in fact that your investors lose almost all the advantage of your program. Even though your returns are approaching 50%, your stated returns to the prospective investors would only be around 15% with that kind of fee. Is the risk still...

For a long time Excel was my program of choice too, but mainly because I was familiar with it. Most tasks don't require coding work, although some VBA would make them less convoluted. It is also very simple to learn VBA, record some macros, and get things moving along. If that is all that is...

Care to expound upon situations involving non-listed spreads? For example, a Nat Gas butterfly. The cal spreads are listed and most decent platforms allow any order type that would be acceptable on the outright. The fly is synthetic and must be constructed via 2 listed cal spreads, or 3...

Excel is useful for its simplicity. It can't handle any type of load at all. I use it for basic analysis because pivot tables are handy, but the real-time data streaming via DDE can be very glitchy. If the strategy calls for any type of real-time analysis like Monte Carlo sims, Excel really...

What about Excel? Produces decent visual aids. Fine for very simple and lightweight analysis, but bogs down under any type of mild load. Not to mention the DDE links can be very buggy.

I realize this is a slightly old thread, but this topic has affected my operation a lot lately and rather than start a new thread I thought I would share my experiences and opinions on this one. It seemed like just the point that the most correct answer started coming out of this thread...