How about this fund? Q FXstreet FX Fund http://www.fxstreet.com/nou/forexfund/foreignexchange_fund_index.asp http://www.fxstreet.com/nou/forexfund/foreignexchange_fund.asp The first Forex Fund Trading Contest ended successfully in May 2005. The Contest, which was run from March 1st until May 31st, had 76 participants that traded successfully for 3 months using the 4 different platforms/brokers that were available. The winner of this first contest equity wise was: MR. Rajnikant Chauant (UAE), who finished with an equity totalling $56,997 from an initial balance of $20,000. FXstreet.com is now in the decision-making process for selecting the 3 new fund managers who will start running from a trading point of view for the FXstreet.com Forex Fund. Once The Fund is up and running we will provide all details of its performance to date. UQ
~50% per annum is ~4% per month which is exceptionally good considering 5% MaxDD (~ = approx). As a client I would very satisfied with that arrangement given a track record of good risk control, preferably for greater than 2 years. My only contention would be to waive the management fee entirely and offset it by with a slightly higher performance fee. I personally believe in the "if you're not making money then the manager doesn't get paid approach". Mike EDIT: 50% Net ROI, fees would have already been subtracted so the actual gross performance would have to be higher.
Obviously this post was a joke and you guys took the bait, hook, line and sinker!! Also, I have a relative in Nigeria. He needs help getting $15M out of the country. I will give you 10% of the profits once we transfer the funds to the USA. I need $200K to get the process started. PM me for wire instructions.
Looks like when translating the above 40~50% yearly returns to probable monthly returns could be something similar to the follows: Returns => 100 => MaxDD 1.04 => 104 => 0 1.04 => 108.16 => 0 1.04 => 112.49 => 0 1.04 => 111.14 => 0.05 1.04 => 115.58 => 0 1.04 => 120.21 => 0 1.04 => 125.01 => 0 1.04 => 130.01 => 0 1.04 => 135.21 => 0 1.04 => 140.62 => 0 1.04 => 146.25 => 0 1.04 => 152.1 => 0 Returns => 100 => MaxDD 1.04 => 104 => 0 1.04 => 108.16 => 0 1.04 => 112.49 => 0 1.04 => 111.14 => 0.05 1.04 => 115.58 => 0 1.04 => 120.21 => 0 1.04 => 125.01 => 0 1.04 => 123.51 => 0.05 1.04 => 128.45 => 0 1.04 => 133.59 => 0 1.04 => 138.94 => 0 1.04 => 144.49 => 0 Returns => 100 => MaxDD 1.04 => 104 => 0 1.04 => 108.16 => 0 1.04 => 112.49 => 0 1.04 => 111.14 => 0.05 1.04 => 115.58 => 0 1.04 => 120.21 => 0 1.04 => 125.01 => 0 1.04 => 123.51 => 0.05 1.04 => 128.45 => 0 1.04 => 126.91 => 0.05 1.04 => 131.99 => 0 1.04 => 137.27 => 0 Not sure if these estimations and calculations are correct. Does that look alright?
Corrections: Probably could be something like this: Returns => 100 <= DD EOM 1.05 => 105 <= 0 1.05 => 110.25 <= 0 1.05 => 115.76 <= 0 0.95 => 109.97 <= -0.05 1.05 => 115.47 <= 0 1.05 => 121.25 <= 0 1.05 => 127.31 <= 0 0.95 => 120.94 <= -0.05 1.05 => 126.99 <= 0 1.05 => 133.34 <= 0 1.05 => 140.01 <= 0 1.05 => 147.01 <= 0
I have a statistical arb model in the field of LONG/SHORT Equity with sharpes averaging above 3 and max dd for the last five years was 15 % of the average annual return. Not a result of curve fitting or optimization. So means depending on leverage the required return would have been possible Do you believe ? or is our daily trading worth nothing because in a random driven environment systematical returns are impossible ?
autocorr, are you the same guy who said you couldnt beat the index? I guess if you return 8% and the drawdown is 2%, then ya the dd is only 15% of the return. But you could in theory leverage the crap out of your system, providing a 20% dd and 80% return. But then , your arb could blow up. Test it back through 2000,1987 and 1973 and see how it holds. If it holds you have something worth a fortune. Eric
From an investor's view, I tend to agree. An investor would also expect ideally any look up period should be kept to minimum or zero. And a separately managed account would be a preferable option.
To find the perfect trader to fulfill ur expectations I recommend you to ask somebody to trade a demo account for you. Everybody can send you statements, but you cant prove if those will be real. Open a demo account by yourself and let somebody trade it for you that way you will see the risk, tolerance , style, etc of this traders. What you request is not impossible I'm sure you can find a good broker as suggestion rise the performance compensation at least to 30% and u will get more than your 8% expected. Use a trader that can do hedges in the platform (buy and sell in same currency in different directions at same time) Some will offer you to open 2 accounts in same platform to allow hedges if one cant. thats wrong since you will need double margin, A hedge should not need extra margin. Dont accept anybody who will charge comission per round trun lot or a pip or 2 per comision. Finally if you choose a trader dont be an anoying client calling everyday to know how is the account doing. wait till end of the month and then send hima bottle of champagne or yell at him. hopefully you will be always tasting with him or her. good luck.