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Based on historical returns since 1987, I show that the returns of top AUM CTAs and discretionary trader returns are statistically indistinguishable. Read the article with a Trend-Following subscription. 

Is strategic diversification with tactical investing an oxymoron schema? In a sense, it is, and it also has some hidden risk variables. However, even strategic investing has an embedded tactical investing dimension. Equity indexes are frequently rebalanced based on constituent strength ...

Most records in the market depend on the metric under consideration. When the metric changes, the performance changes, and records can vanish. An example of recent US dollar index performance is included. The US dollar index has stayed above its 200-day ...

The image of the patient passive investor is probably wrong. These investors are the greediest and try to squeeze every basis point of return out of the market while blaming traders, the Fed, banks, and everyone else during bear markets. Passive ...

Historically, Commodity Trading Advisors do not correlate with equities. However, the correlation is dynamic and varies between extreme values. Read the article with a Trend-Following subscription. 

Money on the sidelines, whether as a means of adding to a position after a large correction or raising cash during a correction, has not helped the performance of investors in US equities. It sounds paradoxical, but it is true, and ...

The volume of the iMGP DBi Managed Futures Strategy ETF has surged this year along with the gains of Commodity Trading Advisors. The BarclayHedge CTA Index is up 8.5% year-to-date, while the index of the largest 20 CTAs is up 18.7% Due ...

Utilities fell sharply last week due to Hurricane Ian. The Dow Jones Utility Index plunged 9.2% for the week, which was a five-standard deviation move based on the historical sample since 1943. Utilities have been more volatile than the market ...

Volatility across all markets increased on Wednesday, September 28, 2022, due to instability in U.K. financial markets. Our trend-following strategy lost about 2.7% on the day but the loss was within normal levels. The unprecedented swings in the U.K. fixed-income and ...

Intraday traders fight against noise, but more importantly, they fight with lucky random traders. Winning in intraday trading is possible but requires a significant edge not offered by conventional trading methods. An example from the recent Fed Press Conference is ...