The Madoff documentary on Netflix versus the returns of The Medallion Fund

Discussion in 'Wall St. News' started by Maverick2608, Jan 26, 2023.

  1. Businessman

    Businessman

    Keep you hair on, i obviously meant what he was claiming to pull out ever year. I don't know what the exact number was. But i doubt it was 7Billion a year like Medallion do.

    I used the term 'claimed' twice in my last post, i forget to use it a third time.
     
    #21     Jan 26, 2023
  2. destriero

    destriero

    lol it was fiction so obviously there are no capacity or microstructure issues. Are you well?
     
    #22     Jan 26, 2023
  3. %%
    Good points on understanding the tax code, CPA ...........................
    ''ALL tax avoidance is about definitions'' maybe a grain of truth there;
    But tax jurisdictions+ boundaries make make a big difference. To the 7 states that pay no state income tax its is about much more than a definition.
    Strangely J Simmons paid a lot of tax on cigs, who would have figured that??
     
    #23     Jan 26, 2023
  4. I read aver 61% per year since year 1.
     
    #24     Jan 26, 2023
  5. newwurldmn

    newwurldmn

    I this theory that rentech has many very simple models that are uncorrelated and they just go nuts on the leverage and let the central limit theorem work.

    Like platt is probably doing now too.
     
    #25     Jan 26, 2023
    destriero likes this.
  6. Nobert

    Nobert

    It is fascinating that throughout all of those years, not even a single one ,,fair" person among his team, spoke about it.

    • Maybe they had no access to those records
    • Maybe they were paid so-well, to stay silent
    • Maybe Madoff had an extreme communication skills in his speech, a way of corrupting them/changing their perspectives and morals
    ,,Example"
     
    #26     Jan 26, 2023
    beginner66 and destriero like this.
  7. #27     Jan 26, 2023
  8. Businessman

    Businessman

    "According to Robert Mercer, one of Medallion’s key investment managers, Medallion was right on only about 50.75% of its trades"

    This could well be disinformation.

    But taking it at face value, it is missing the average win vs average loss ratio.

    Lets assume it is 1:1.

    If you have a win rate of 50.75% after all transaction costs, and a 1:1 win/loss size ratio, then by my calculations you need to do about 600 trades a week to have medallion like returns.

    If the win/loss ratio is slightly better say 1.1:1 (and same 50.75% win rate). Then you need to make just 30 trades per week to get Medallion like returns.

    With 1.2:1, only about 12 trades per week are needed.
     
    Last edited: Jan 27, 2023
    #28     Jan 27, 2023
  9. Nobert

    Nobert

    #29     Jan 27, 2023
  10. destriero

    destriero

    I can't sit through it, but I've watched the De Niro movie a couple of times. The close ups of the Madoff character is absurd. Does nothing for the documentary.
     
    #30     Jan 27, 2023