'Quant' hedge funds headed for worst month since Aug 2007

Discussion in 'Wall St. News' started by Dogfish, Nov 1, 2012.

  1. CTA's are generally trend funds, not quant funds---- This author is confused with several of the comments. surf
     
    #11     Nov 1, 2012
  2. Specterx

    Specterx

    Any time investors "pour money into" some strategy in an attempt to escape an otherwise dismal investment climate, whether it be commodities, quant funds or private equity, you can bet that strategy is on the road to becoming crowded and any edge eroded.
     
    #12     Nov 1, 2012
  3. ?....Revenge ON the nerds. :D :eek: :( :mad: :p :)
     
    #13     Nov 1, 2012
  4. mokwit

    mokwit

    Seems they are finding out just like any newbie that moving average cross overs don't work once the bull market is over.
     
    #14     Nov 1, 2012
  5. mm19

    mm19

    :cool:

    Thier formula for head and shoulder worked 73% of time on all stocks in last 20 years. Here you go, 73% winning strategy.

    Another funny is 3 day reversal pattern. You can trade this with couple of contracts and not 1b+ funds.

    Or add some AI stuff over another AI stuff over correlation matrix so it looks fancy and sure winner.
     
    #15     Nov 1, 2012
  6. Ash1972

    Ash1972

    The comments on this thread are revealing. When the masses are convinced that trend following has "stopped working" it is usually on the verge of huge profits.

    Wait and see..
     
    #16     Nov 1, 2012
  7. Opulence

    Opulence

    Shhhhhhh!!!!!!!!!
     
    #17     Nov 1, 2012
  8. mokwit

    mokwit

    #18     Nov 1, 2012
  9. Ash1972

    Ash1972

    Some people have no patience, and we're grateful for them :)
     
    #19     Nov 1, 2012
  10. mokwit

    mokwit

    Has been a long wait so far (at least outside of ET)

    Markets move between phases where almost anybody can make money to phases where almost nobody can make money.

    Sure, markets will at some time go back to the kind of trend where people with no experience (the less the better) can make money on moving average crossovers, or for that matter anything.
     
    #20     Nov 1, 2012