How much would you invest in a CTA w/ 30% return

How much would you invest in a CTA that returns 30% annually with low DD?

 

you left out a 0 option.

 

Sharpe Ratio? Length of return history?

I'd have at least another 100 questions I'd ask to do a proper due diligence.

Without the answers to those, zero.

GAT
(Ex CTA portfolio manager)

 

That is really not enough information to determine future risk. However, a 30% return after all fees with low DD would be highly unusual at scale and should be very easy to raise AUM. If that is what you have returned in your account, may I ask what percentage of Span margin do you use during the day and overnight?

 

How many years of track record?

 

For future reference, when you structure these surveys based on investment commitment. It is best to ask a % allocation than absolute amount.

 

Most CTAs look for notional commitments of $25K, $50k, $100K, $250K, $500K or $1M+.

 

Something for comparison. These are some of the most established managed funds. Check out the performance statistics.

http://ctaperformance.com/transtrend

 

If I had $1,000,000 I would invest $100,000. If I had $10,000,000 I would invest $100,000.
I make more than 30% but my trading account increasingly becomes a smaller and smaller amount of my total net worth. I'm happy to get 4% in all the non trading money, and I never add to my trading account.