OAKAUST Capital 'Aggressive' การสนทนา

Fundamental part technical.

Any feedback appreciated. Please note for investors, all trade figures would be 4 times less drawdown, and 4 times less profit. This is just a sample trade stat.
Thank you.

Steve

OAKAUST posted:
Any feedback appreciated. Please note for investors, all trade figures would be 4 times less drawdown, and 4 times less profit. This is just a sample trade stat.
Thank you.

Steve

Hello Steve, could you please clarify what you mean?
4 times less drawdown? And 4 times less profit?
It's a little confusing.

heres feedback...don't show performance to invest in and say DD (which is crucial to any proper investor) can be reduced . SHOW it is low and project that with higher DD you can achieve more profits. Let's face it the biggest worry of an serious investor is to ensure their money is not at risk which you haven't shown YET!

Good luck with your trading!

Hi thanks for the reply. What I mean is we would trade 4 times less contract size than the one shown if we have serious investors with larger money invested in our company. Eg. 500k

asset_developer posted:
heres feedback...don't show performance to invest in and say DD (which is crucial to any proper investor) can be reduced . SHOW it is low and project that with higher DD you can achieve more profits. Let's face it the biggest worry of an serious investor is to ensure their money is not at risk which you haven't shown YET!

Good luck with your trading!

It's very very easy for us to reduce draw down. We simply reduce contract size. @asset_developer

OAKAUST posted:

asset_developer posted:
heres feedback...don't show performance to invest in and say DD (which is crucial to any proper investor) can be reduced . SHOW it is low and project that with higher DD you can achieve more profits. Let's face it the biggest worry of an serious investor is to ensure their money is not at risk which you haven't shown YET!

Good luck with your trading!

It's very very easy for us to reduce draw down. We simply reduce contract size.

I understand but I don't think you understand the difference. It is not always that simple where the DD is easily reduced due to reducing the contract size. Look at your percentage profits and if you say you are using large contract size and achieving low profits with such huge DD then by reducing contract size's there is a good chance that your strategy won't be profitable at a very low DD.

OAKAUST posted:
Hi thanks for the reply. What I mean is we would trade 4 times less contract size than the one shown if we have serious investors with larger money invested in our company. Eg. 500k

My concern as an investor would be the fact that you're showing statistical information which clearly shows the account has been put into a very dangerous situation with a 60% DD. This is typically indicative of trader who isn't using proper money management rules, and possibly over trading the account in hopes of making profit.

Another area of concern for myself as an investor is the average win to loss sized.

Average Win: 85.23 pips / A$36.30
Average Loss: -141.91 pips / -A$71.72

Your typical loss size is about 60% higher than your wins.

You mentioned that you would be trading 4 times less contract sizes that the one shown if you have serious investors.
The problem is that no serious investor if they value their money, is going to just hand over $500k to someone who hasn't shown a solid track record of money management with your own money.

If a manager is going to do foolish things with their own account, how could an investor feel secure that you wouldn't do the same thing with theirs?

asset_developer posted:

OAKAUST posted:

asset_developer posted:
heres feedback...don't show performance to invest in and say DD (which is crucial to any proper investor) can be reduced . SHOW it is low and project that with higher DD you can achieve more profits. Let's face it the biggest worry of an serious investor is to ensure their money is not at risk which you haven't shown YET!

Good luck with your trading!

It's very very easy for us to reduce draw down. We simply reduce contract size.

I understand but I don't think you understand the difference. It is not always that simple where the DD is easily reduced due to reducing the contract size. Look at your percentage profits and if you say you are using large contract size and achieving low profits with such huge DD then by reducing contract size's there is a good chance that your strategy won't be profitable at a very low DD.

If we reduce the contract size, we reduce the draw down and the profits simultaneously, and yes I understand the relationship between draw down and profit would still be the same. But an anual return of 25% with draw down of 15% isn't bad. That what we can produce.

If the account were mine, here is what I would do with it.

1st I would withdraw the initial $5000.00 USD that originally funded the account, and move that to my bank account, this will leave about $2500.00 USD in the account.

With that remaining $2500.00, I would transfer that into a brand new account, and properly trade that account over the next 6 months.

If the account shows a steady profit over the next 6 months in live trading, and the DD is kept to a far more reasonable level of 10%, investors would probably be more comfortable with their funds being managed.

Professional4X posted:

OAKAUST posted:
Hi thanks for the reply. What I mean is we would trade 4 times less contract size than the one shown if we have serious investors with larger money invested in our company. Eg. 500k

My concern as an investor would be the fact that you're showing statistical information which clearly shows the account has been put into a very dangerous situation with a 60% DD. This is typically indicative of trader who isn't using proper money management rules, and possibly over trading the account in hopes of making profit.

Another area of concern for myself as an investor is the average win to loss sized.

Average Win: 85.23 pips / A$36.30
Average Loss: -141.91 pips / -A$71.72

Your typical loss size is about 60% higher than your wins.

You mentioned that you would be trading 4 times less contract sizes that the one shown if you have serious investors.
The problem is that no serious investor if they value their money, is going to just hand over $500k to someone who hasn't shown a solid track record of money management with your own money.

If a manager is going to do foolish things with their own account, how could an investor feel secure that you wouldn't do the same thing with theirs?

Ok thanks for your input it's very much appreciated. Can you tell me if a 25% anual return with 15% drawdown would scare investors? If so that's all we can produce.
Steve

Or 12.5% profit and 7.5% drawdown is just as easy achievable.

OAKAUST posted:
Or 12.5% profit and 7.5% drawdown is just as easy achievable.

That is much better and now you're talking at an institutional level. What safety procedures have you in place?

OAKAUST posted:
Ok thanks for your input it's very much appreciated. Can you tell me if a 25% anual return with 15% drawdown would scare investors? If so that's all we can produce.
Steve

25% annual return compounded over time is a very respectable ROI.



After 20 years with a simple annual compounding of 25%, the account balance is almost $9 Billion dollars.
Not bad for a $100,000.00 USD initial investment.

Profits add up pretty quickly over time.

With a base investment of $100,000.00 added together with a steady 25% annual profit, over 40 years you will have an account balance of $752,316,384.53

Oh sorry the last post should have said:

'After 20 years with a simple annual compounding of 25%, the account balance is almost $9 million dollars.
Not bad for a $100,000.00 USD initial investment. '

The initial one said $9 billion, where it should have said $9 million.