It appears combining these two systems could most likely provide a set of better performance characteristics. Hence a logical development is simply to focus on the Equity Hedging overlay strategy being the main system, while integrating/maintaining the Quick Trade strategy as a sub-system.
Model Account Status Started $100,000 Buy Power $100,159 Cash $100,159 Equity $0 Cumulative $ $159 Total System Equity $100,159 Margined $0 Open P/L $0 All Statistics Based on Hypothetical Results Trades 3 # Profitable 2 (66.7%) Avg trade duration 8.4 days Annual return (compounded) 1.0% Average win $120 Average loss $82 Profit factor 2.9:1 Max peak-to-valley drawdown (historical) 0.19% drawdown period Jan 18, 2012 to Jan 26, 2012 Correlation w/ S&P 0.073 Sharpe ratio -0.035
It's hilarious. We go from talking about a money losing newsletter by Bernie Schaffer to a 3 trade c2 pitch that also doesn't make money. HaHa.
This Quick Trade system is now becoming a part of the overall Equity Hedging strategy. The Equity Hedging main system alone (before adding the Quick Trade sub-system) due to its hedging objective/functionality is never expected to make any profits. Adding/integrating the Quick Trade system to be part of the hedging strategy can only reduce the total cost of the overall Equity Hedging strategy in order to make the hedging functionality cheaper. Otherwise, it may not be economically viable at all.