It means there is no liquid in the bag to piss away..ROFLMAO
Check out this futures system returns (20% compounded)
- Thread starter dennis86
- Start date
Sorry for that...I wrote the amount instead of the %. Well the maximum drawdown is 16%....so the 4 mill represents maximum peak to valley which is 16%...this was experienced in 2015 from feb after the commodity crisis when markets rebounded (in january alone the strategy had peaked to 16% gain only to give back gains from feb) ..But the strategy always recovers since in reality there is no -ve return year....Year 1 capital was $5,000,000 which was compounded year on year...By the end of the 12 years grew to $47,189,039.24
Dennis you're too much,i gonna give you an "like" ,that should be worth some
Risk of ruin seems very high if something goes wrong in the first five years. I'm not a quant, I hire a mathematician now and again but I run bots. There are quant forums however so I'd check there to learn.
What does happen in real life is mistakes happen, massive technical failures you can't believe (data provider failing as a business has happened) and correlation systems are bitches as the drift causes you to change things, often in the wrong way.
In short, I don't know but I'd not risk my $5m on it.