James Simons, performance fees and quants

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Viro Major

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if I followed correctly, he charges 36% perf fees and 5% of management fees, way above the 20/2 standard of the industry (I had a friend who was billing 50% to private investors as associates inside a company)
isn’t it good of a ”Pivot” ? 😇

I don’t mind the pivot since how I understand it, Darwinex as we know it now represents only the 1st stage of a rocket. The private label will be the above stage of the rocket and bring the necessary flexibility.
the Darwinex of now and Darwinia will only serve as impulsions and a tease about the real deal that will be possible
 

Pure Pip Producer

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People say James Simons is a Quant, but he isn't at all.

He's one of the first trader who used the Technical Patterns with success in the History.

He only use Geometry. (Technical Analysis). Not Quantitative methods.

He is very happy that people think he uses Quantitative methods... because he knows Quantitative methods are totally bullshits. It is profitable for him.

He is very happy about that because then people try Quantitative methods and so they aren't able to beat him.

So, he takes the money very easily to the people who think Quantitative methods works.

Quantitative Methods don't work at all.

To understand what i mean, you must care about the Time Drawdown, and not anymore about the Drawdown like 99.9% of the people think. (the % drawdown).

You could NEVER control your TIME DRAWDOWN by using a Quantitative Method... He knows that... I know that.

And from now, if you have read these words, you also know that.


See you guys! Have a nice Week-end!

I'm out of forums and social networks from now ;)
 
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hefoba

Active member
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People say James Simons is a Quant, but he isn't at all.

He's one of the first trader who used the Technical Patterns with success in the History.

He only use Geometry. (Technical Analysis). Not Quantitative methods.

He is very happy that people think he uses Quantitative methods... because he knows Quantitative methods are totally bullshits. It is profitable for him.

He is very happy about that because then people try Quantitative methods and so they aren't able to beat him.

So, he takes the money very easily to the people who think Quantitative methods works.

Quantitative Methods don't work at all.

To understand what i mean, you must care about the Time Drawdown, and not anymore about the Drawdown like 99.9% of the people think. (the % drawdown).

You could NEVER control your TIME DRAWDOWN by using a Quantitative Method... He knows that... I know that.

And from now, if you have read these words, you also know that.


See you guys! Have a nice Week-end!

I'm out of forums and social networks from now ;)
We can discuss if Jim Simons is a quant or not.
We can discuss if Jim Simons company use Quant.

I think so

A quant (quantitative analyst) is a financial industry professional whose qualifications also include advanced mathematics and and computer skills.

Typically, quants design complex mathematical models for use in securities trading. Although the term is most commonly associated with finances, economics and risk management, it is increasingly used in a wide variety of other industries. Essentially, any area that requires quantitative analysis might employ a quant. With the advent of big data and the complexities of big data analysis, most industries and organizations could benefit from an employee with that skill set.
 
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CavaliereVerde

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I define myself an algoritmic trader, I desing a strategy, I test and execute it.
Am I a quant? I don't know... 😸
BTW my inspiration are guys like Dunn and Simons.
 

CavaliereVerde

Experienced member
1,266 1,642
I think his Medallion being defined "money minting" can afford to charge those fees while on average hadge funds return 7-10% annualized and struggle to beat spx500 .
Dunn doesn't charge any management fee and darwins aren't better than Dunn.
 

CavaliereVerde

Experienced member
1,266 1,642
He's one of the first trader who used the Technical Patterns with success in the History.

He only use Geometry. (Technical Analysis). Not Quantitative methods.
So if I automate a strategy with candlestick patterns I am not a quant but if i automate a strategy with moving averages I am a quant ? :unsure:
 
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Pure Pip Producer

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If you automate a strategy with candlestick patterns, you are a systematic trader... and you can not control your Time Drawdown.
If you automate a strategy with moving averages, you are a systematic trader... and you can not control your Time Drawdown.

But before being an systematic trader, you are a discretionary trader... Because the decision to put an algorithm on a trading account is a discretionary decision.

The goal is to control the Time Drawdown.

It is something i never heard since the 10 years i'm in the world of trading. Instead of trying to control the percentage drawdown, to control the time drawdown.

It is something i totally master now, after years and years of training.

So, even James or who ever we want, who exist or who have existed in the past, would never control the Time Drawdown better than me.

You know, when you advance alone on the right way during years and years, and in the other hand, when all the others advance all together in the wrong way during years and years... ultimately, the difference in the results, is really huge.
I've developed my own concepts. Alone.

And i think, i'm the only Darwin Manager who had the intelligence to hire a Risk Manager, like James would probably do :)



About algorithmic trading :

From my point of view, it is better to use the algorithmic trading like we do.
We extract pure pips at the maximum replication VaR, and we let the Darwinex Algorithm value them.
We keep decide about the "Where", the "When" and the "How".
But we let an algorithm decide about the "How Much".
So, it seems that we're a bit algorithmic traders...
I would say that the Darwin PDC is 25% algo trader, actually héhé :)

PS: I'm sorry, i can't speak anymore here for few days. I took the time to answer to you because you deserve it. But if my Risk Manager see that i speak on a forum a 28th of the month, she would probably kill me. So, don't blame me if i don't answer anymore, thanks for your understanding.
 
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LongVision

Active member
177 324
People say James Simons is a Quant, but he isn't at all.

He's one of the first trader who used the Technical Patterns with success in the History.

He only use Geometry. (Technical Analysis). Not Quantitative methods.

He is very happy that people think he uses Quantitative methods... because he knows Quantitative methods are totally bullshits. It is profitable for him.

He is very happy about that because then people try Quantitative methods and so they aren't able to beat him.

So, he takes the money very easily to the people who think Quantitative methods works.

Quantitative Methods don't work at all.

To understand what i mean, you must care about the Time Drawdown, and not anymore about the Drawdown like 99.9% of the people think. (the % drawdown).

You could NEVER control your TIME DRAWDOWN by using a Quantitative Method... He knows that... I know that.

And from now, if you have read these words, you also know that.


See you guys! Have a nice Week-end!

I'm out of forums and social networks from now ;)
Following are introduction from there website

Renaissance Technologies is a quantitative investment management company trading in global financial markets, dedicated to producing exceptional returns for its investors by strictly adhering to mathematical and statistical methods.

They are using quantitative methods. They only hire people with mathematic background at RenTech.

What I learn from numerous source about there flagship secretive Medallion Fund most likely applying a medium-term market neutral (some kind of pair /correlation ) approach to a large asset base to reduces volatility and drawdowns.
 
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Pure Pip Producer

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At Ren Tech there are Quants but they lose : https://www.bloomberg.com/news/arti...t-neutral-fund-drops-21-ft-says?sref=3zYETA5s They lose like all the Quants.

The Quants are an Imposture.

They are an imposture because they think binary.

As they think binary, they have a set up.

As they have a set up, they have fixed entry points.

As they have fixed entry points, they can not control their Time Drawdown.

And as they can not control their Time Drawdown, they lose.



Please stop to think to this bullshit... i just try to save you from this deadly mindset.





there flagship secretive Medallion Fund

There is a secret winning fund... but it is absolutely not a Quantitative Fund, that's why they keep it "secret". I know how they do.





Also, don't forget that Ren Tech has several funds. A lot of them are losers. (We don't know all because the information isn’t public).

It's like a guy who would have several Darwins and show the good one.




The thing that is absolutely sure, it is that Quantitative is the word that people want to hear to invest. So, they use it. But the winning fund is absolutely not Quantitative.


Soon, the new word will be Artificial Intelligence (AI).

All these guys who would tell you this word will lose as well.
 
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LongVision

Active member
177 324
At Ren Tech there is Quants but they lose : https://www.bloomberg.com/news/arti...t-neutral-fund-drops-21-ft-says?sref=3zYETA5s They lose like all the Quants.

The Quants are an Imposture.

They are an imposture because they think binary.

As they think binary, they have a set up.

As they have a set up, they have fixed entry points.

As they have fixed entry points, they can not control their Time Drawdown.

And as they can not control their Time Drawdown, they lose.



Please stop to think to this bullshit... i just try to save you from this deadly mindset.







There is a secret fund that wins... but it is absolutely not a Quantitative Fund, that's why they keep it "secret". I know how they do.





Also, don't forget that Ren Tech has several funds. Some of them are totally losers.

It's like a guy who would have several Darwins and show the good one.




The thing that is absolutely sure, it is that Quantitative is the word that people want to ear to invest. So, they use it. But the only fund that wins is absoltuley not Quantitative.

Soon, the new word will be Artificial Intelligence (AI).

All these guys who would tell you this word will lose, as well.
They declare them self technology company and using quants for there trading. Why will I doubt?

There is not only one way to trade market, there are numerous way sauch as Technical / PriceAction/Pattern/Quants/Fundamental/Astrology / discretionary /MachineLearning etc just pick your poison.

Mostly trader trade there belief. If you don't like quants thats fine but please dont try to force your view on other traders belief.
 

Pure Pip Producer

Established member
500 256
I don't force you. I simply notice the reality and the results, impartially : all those who believe in that are losers, especialy you. But if i say that it's to save you. Nothing more my friend.

I was like you before... A believer.

I am not anymore.

So, keep going to believe if you want.



Be sure that finally, now, i like the Quants.

They are liquidity for me.

Like James, i will not fight to make the money of the belivers enter in my pocket...

I would be stupid to do that.

So, keep going to believe.

Me, i just say that the Time Drawdown is the key that we have to master and i also say that to use the past datas to achieve this aim is ridiculous.

Our Track-Records will say who is right in the next months.



Have a nice day.
 
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Pure Pip Producer

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PS:
There is not only one way to trade market, there are numerous way sauch as Technical / PriceAction/Pattern/Quants/Fundamental/Astrology / discretionary /MachineLearning

There are other methods... That i will not discuss here. Exactly like James who still keep secret his only winning fund.
 
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