Trading Alternative

Trading - The Alternative

From time to time I take a break from trading, this time its because of exams, during which I allow a friend of mine to trade my account via POA so that I am still involved in the markets but retain ultimate control on my account.

My requirements during these times is to have no shocks or surprises as to distract me from my studies or whatever else I'm doing at the time and to have nice steady gains that's better than from a bank but using low risk directionless strategies so that my money is as safe at least as Northern Rock.

This time round we thought we would make this available to a few other friends and make a record of it should we wish to expand the group and make it public some time in the future since the trades on each account are identical and I do feel for those that gamble on the markets, lose and stop when if they knew the right person they could at least continue with the markets in a small way by having a professional look after there money.

I am not going to post the trades here as they will not be real-time but I will post the weekly results as I get them to give you an idea of what can be achieved without risking your life savings, so remember they are to be compared with what returns you can get elsewhere not the fantastical high risk results you see daytraders achieve.

Strat: Low Risk
Type: Directionless
Goals: 10-15% p.a.

First 3 weeks

Week 1 +0.5%
Week 2 +0.5%
Week 3 +0.75%
So up until last week the return for the first 3 weeks is a modest 1.75% gain
might not sound much for a trader by for an investor thats not bad

Week 4

Week 1 +0.5%
Week 2 +0.5%
Week 3 +0.75%
Week 4 -0.5%
1.25% gain

those looking for large returns should expect large loses
the hedge fund that had super returns of 78% last year, went bust this year !

Week 5

Week 1 +0.5%
Week 2 +0.5%
Week 3 +0.75%
Week 4 -0.5%
Week 5 -1.25%
parity

Week 6

Week 1 +0.5%
Week 2 +0.5%
Week 3 +0.75%
Week 4 -0.5%
Week 5 -1.25%
Week 6 -2.5%
Total -2.5%

Week 7

Total -7.5%
Week 7 -5.0%
Week 6 -2.5%
Week 5 -1.25%
Week 4 -0.5%
Week 3 +0.75%
Week 2 +0.5%
Week 1 +0.5%

Week 8

Total -0.5%
Week 8 +7.0%
Week 7 -5.0%
Week 6 -2.5%
Week 5 -1.25%
Week 4 -0.5%
Week 3 +0.75%
Week 2 +0.5%
Week 1 +0.5%

'Markets' last week got a little ahead of themselves so got reigned in this week as you can see from the weekly results.

Week 9

Total +1.25%
Week 9 +1.75
Week 8 +7.0%
Week 7 -5.0%
Week 6 -2.5%
Week 5 -1.25%
Week 4 -0.5%
Week 3 +0.75%
Week 2 +0.5%
Week 1 +0.5%

Back in positive territory

Week 10

Total +1.50%
Week 10 +0.25%
Week 9 +1.75%
Week 8 +7.0%
Week 7 -5.0%
Week 6 -2.5%
Week 5 -1.25%
Week 4 -0.5%
Week 3 +0.75%
Week 2 +0.5%
Week 1 +0.5%

Week 11

Total +3.00%
Week 11 +1.50%
Week 10 +0.25%
Week 9 +1.75%
Week 8 +7.0%
Week 7 -5.0%
Week 6 -2.5%
Week 5 -1.25%
Week 4 -0.5%
Week 3 +0.75%
Week 2 +0.5%
Week 1 +0.5%

First 3 months

1st Month +1.25%
2nd Month -1.75%
3rd Month +3.5%

Total +3.00%

Note: Although these figures are accuate it should be noted that the account was overfunded
for the size of trades so these figures should actually be double.