We believe five key ingredients need to be fulfilled to attain continued success in the markets. First, every strategy should be fully quantified – the setups, entries, exits and risk management should be professionally tested. Second, portfolio construction and diversification is critical, we want our capital diversified across multiple ideas. Third, automating execution fosters discipline and helps to mitigate the destructive effects of human emotion. Fourth, monitoring live performance to ensure it falls within expectations is key to risk management. And finally, our fifth belief is that one needs to be actively engaged in ongoing research to improve existing ideas and search for new ones.
Meeting these criteria requires a broad and deep understanding of financial markets, extensive technology expertise and a large dose of creativeness. In short, it’s difficult. With our platforms, you can achieve the same within minutes as opposed to years.