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Top Traders Unplugged

SI101: Howard Mark’s comments on managing risk and market cycles ft. Moritz Seibert

Top Traders Unplugged

Niels Kaastrup-Larsen

Business, Business News, Investing, News

4.8670 Ratings

🗓️ 17 August 2020

⏱️ 60 minutes

🧾️ Download transcript

Summary

In this episode, we discuss the danger of financial products such as the Daily 3x Inverse Natural Gas ETN, the potential end of the 2020 bull market in stocks, Howard Mark’s recent quotes on managing risk & market cycles, how a Trend Following mentality can have a positive affect on your world-view, patience for your system vs patience for an individual position, and why needing to ‘agree’ with your trades can be a dangerous idea. Questions we answer this week include: How do you avoid losing large open profits during a parabolic move? Is CAGR a good measure of performance? If you would like to leave us a voicemail to play on the show, you can do so here. Learn more about the Trend Barometer here. IT's TRUE 👀 - most CIO's read 50+ books each year - get your copy of the Ultimate Guide to the Best Investment Books ever written here. And you can get a free copy of my latest book "The Many Flavors of Trend Following" here. Send your questions to [email protected] Follow Niels, & Moritz on Twitter: @TopTradersLive & @MoritzSeibert And please share this episode with a like-minded friend and leave an honest rating & review on iTunes so more people can discover the podcast. Episode Summary 0:00 - Intro 3:15 - Macro recap from Niels 4:10 - Weekly review of returns 11:25 - Howard Marks quotes on risk management and market cycles 29:11 - Patience for your system vs for an individual position 34:36 - Q1; Rene: How do you avoid losing a big profit during a parabolic move? 40:10 - Q2 & Q3; Peregrin: Do you have any evidence of systems working better when its positions match our opinion of the macro ‘story’? Does Trend Following system alert its manager to crowd opinions they might otherwise be unaware of? 48:48 - Q4; Maurigus: Is CAGR a good measure of performance? 57:06 - Performance recap Subscribe on:

Transcript

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0:00.0

You're about to join Jerry Parker, Maritz Seabert, and Nealz Kostrup Larson on their raw and honest journey into the world of systematic investing and learn about the most dependable and consistent yet often overlooked investment strategy.

0:15.1

Welcome to the Systematic Investor podcast series.

0:22.6

Welcome or welcome back to this week's edition of the Systematic Investor Series.

0:26.5

Will Moritz Siebert and I, Niels Castro-Larsen, where each week we take the pulse of the global

0:31.0

market through the lens of a rules-based investor.

0:34.4

For long-time listeners, our conversations are intended to keep you focused and

0:38.4

inspired to continue your trend-following journey. And if you're new to the show, our hope is

0:43.1

that today's episode will trigger your curiosity to check out the back catalog and especially

0:48.8

some of the more recent episodes that we have produced and that you may have missed.

0:54.9

Speaking about past episodes, let me just start by apologizing a little bit for the late

1:00.6

posting, especially on iTunes, but also a couple of the other podcast platforms of our

1:06.6

most recent episode, number 100.

1:09.6

Quite ironic, actually, that Jerry was joking a little bit that he was upset when our

1:15.0

episodes comes out late.

1:16.4

And of course, it turned out that this one came out a couple of days late since we had to

1:21.2

figure out why some of the podcast platforms did not pick up the RSS feed.

1:33.3

As I've now learned, that's very important as part of your podcasting journey. Anyways, it's all fixed, it's all there for you, so go and check it out.

1:36.3

If you missed it, it was a really good conversation that we had with Jerry.

1:41.3

With that out of the way, let me say good afternoon to you. Moritz, how are things where

1:45.8

you are? It must be a pretty good day to be in Munich, given what happened last night.

1:50.8

Pretty good day. Hey, Niels. How are you? It's a good day on many fronts. First off, it's sunny,

1:55.6

and then secondly, I'm dancing in my office because yesterday night, my home soccer slash football team, which is

...

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