Ever changing cycle strikes again

Discussion in 'Wall St. News' started by easyguru, Jun 16, 2006.

  1. May 2006- Bloomberg Markets
    "The ridiculous thing, in all candor, is that I think I've had the greatest run of success in the history of speculation," Niederhoffer said.


    Niederhoffer's Second Act Has Plot Twist
    By Matthew Goldstein
    Senior Writer
    6/16/2006 1:11 PM EDT
    URL: http://www.thestreet.com/markets/hedgefunds/10292247.html

    The May selloff in stocks couldn't have come at a worse time for hedge fund manager Victor Niederhoffer, who's been working hard to put his infamous 1990s boom-to-bust story behind him.

    In May, Niederhoffer's four-year-old Matador Fund posted one of its worst months ever, industry sources say. The fund, which specializes in trading stock futures and stock index futures, lost nearly 29% as the U.S. markets began to unravel, reducing the value of Matador's holdings to about $247 million.

    As of the end of May, the so-called commodity trading adviser fund, which was once up 31% for the year, was 6% in the red since the end of December. Results for June, which is shaping up as another harsh month for investors, could not be determined.

  2. unbelievable...
  3. Jesse Livermore Junior? If a rookie lost 30% of assets under management in one month, he'd be out of the business forever.
  4. reminds me of NL poker... u can be doing well for hours and hours and then one bad beat and u are wiped out (no limit).

    taleb's strategy might have made a killing [?]
  5. 15% Drawdown.... Accredited investors will not tolerate and bail, especially if reached in a short period of time.
  6. man, and those 29% losses make up for almost all of the gains he made in 2 freakin' yrs...jesus xrist, risk management cant possibly be his strong, innit.
  7. basis


    by my calcs, he's up 18% per annum AFTER these drawdowns.

    worth it? i dunno. but he's survived drawdowns bigger than this before, and his investors know they're coming.

    nothing to see here, move along ...
  8. trader99


    yeah yeah. SURE. But is that a good way to trade? Who wants to ride that roller coaster? I respect the guy and he's supposedly "smart" and one of the best. Blah. Blah. He needs to learn some risk mgmt.

    So, what makes him so special? he's basically just a LONG only fund manager that's highly leveraged? Would you want that?

  9. doubt; fund was up 32% from 2yrs ago...at least that's a quote of him from the vic crap thread.
  10. tireg


    heh i saw the article about him on Trader Monthly... supposedly he has two guys doing "risk management" for him..?

    Personally I couldn't stand such inconsistent results. He's essentially gambling imo. Sure, sometimes he hits it big... but look at his risk adjusted returns.. its only a matter of time before he blows himself out again.
    #10     Jun 18, 2006