And when the streak ends and the market moves a tiny amount against the trader he is out of ALL his positions. The conundrum remains: how could all those snake oil salesmen catch the attention of so many know-nothings with their massive lies and inflated numbers...any common sense should have raised tons of red flags.
His desk made 30MM/year using bank capital, market access, and bank level research. His payout on that is a tiny tiny fraction of that. That 30MM is a gross revenue. There's millions of dollars of costs the firm incurs to earn that (back office, mid office, etc, loss leading lines of business that provide the bank level research, etc). He tried to big time you, relying upon your ignorance of how bank trading works.
So we are in agreement that managing risk on Stock positions,no derivatives is a relatively simple task that doesnt require much more than simple math and iron clad discipline".. LOL@ blowing up accounts and showcasing the periods of success... Thats flat out NAUGHTY.. I know where you are coming from,but would like to believe that Jack Schwager does his due diligence before choosing the traders for his Market Wizard books... Specific to this topic if you read Momentum Masters,Dan Zanger is a guy who took outsized risk way back when and fully realizes it now...David Ryan,Minervini are guys who appear legit and excel at their craft. Minervini's students have won the Zadeh Championships,and Ryans son just returned 120% plus using chart patterns,RSI and tight stops.. Mark Ritchie II son of Mark Ritchie (Founder of CRT) is from all accounts (my friends who know him well)a stand up guy who has produced outsized returns.Hes a a student of Minervini. I have also worked on derivative desks and know dam well its a walk in the park relative to trading your own capital. You seem a bit bitter..Whats up???
Perhaps you missed the question I asked you earlier in the thread. Who do you consider a great trader and why? Give me some names. And a related question how much have YOU made in your personal trading account from trading? Not your firms,your personal account. Since you feel you're qualified to bad-mouth Kullamagi I assume you've made several million from trading your personal account.
So here's a set of returns simulated to to have a .22 expectancy ratio, 1.46 profit factor, 1.31 win rate and 52% positive returns. Starting with $10K capital, trade size 5% of total capital with 50:1 leverage, over 578 trades. I did 100K simulations like this. This plot is a wealth curve of one iteration with total ending capital $1,463,110 and max drawdown of -$94.86 (never below $9900 total capital). The top quantiles are the total percent returns for all simulations. None below 11x, and the 95th percentile is 385x. The bottom quantiles are the min percent drawdown for all simulations. 5th percentile is -.11. So do that one more time, and you've got $100M+.
Concerning the Turtles: I do agree with what you said about them. But would like to add that when in the program they did extremely well on average. which tells us if the plan is good enough, and there is enough structure in place to tame your risk -> most can make money. no big deal, the only missing element for most traders is having Richard Dennis and William Eckhardt as your boss and bankroll lol IVE FOUND THE HOLY FUCKING GRAIL RIGHT HERE!!!