The Darwinex AuM millionaires demo portfolio

[IlIlIlIlI]

Coming in January 2023:
The Darwinex AuM millionaires demo portfolio

Rules:

Eligibility rules:
Rule A) The Darwin has more than 1 mln AuM
Rule B) The Darwin must have closed the last calendar month with profit
Rule C) There must be more than 60 investors on the Darwin
Rule D) The Darwin must have made more than 50% profit
Rule E) A new Darwin must be available for buying

Processing rules:
Rule F) The portfolio has a monthly review at the beginning of each month, where Rule A) to E) must be met
Rule G) - currently not relevant - my own Darwin(s) will be included if they meet Rule B) and E)
Rule H) The portfolio share will be the same for each position
Rule I) The portfolio will be run with x3 leverage which gives 30k for investment for a 10k demo portfolio (standard size)
Rule J) - currently not relevant - a black list could exclude certain Darwins by certain and named reasons. The black list is currently empty.

Explanations:
The list of candidates meeting rule A) is published here in a public list or frequently here at T2W.

Rule B) excludes the candidates GFA, WGP, ERQ, UYZ, PVE, TRO, LUA and JTL as there was no profit in December 2022.

Rule C) excludes GFA, PVE and LUA to avoid potential wealth manager selections mainly not selected by the investor but by the manager.

Rule D) excludes LUA, PVE and GFA:

Rule E) currently does not exclude any Darwin.

So the portfolio will start with the following Darwins with a share of $ 5,000 for each Darwin:
BAX, WNJ, PKG, SYO, ZVQ and THA.

Here are the hypothetical calculations for 2022 for these Darwins. The calculations are not exact as they shows the hypothtical gross results.

BAX:

BAX would have shared the portfolio in the periods 01 - 05/2022, 07/2022, 09-10/2022 and 12/2022.
The gross profit would have been 11.32 % for 2022, The 1-year-backtest gives a difference of 2.43 % for fees and slippage for a full year, which makes 1.82 % for the 9 months in the portfolio from the monthly avarage. So the expected result would be 9.29 % profit for 2022.


WNJ:

WNJ would have shared the portfolio in the periods 01 - 05/2022, 07/2022 - 12/2022.
The gross profit would have been 33.86 % for 2022, The 1-year-backtest gives a difference of 8.65 % for fees and slippage for a full year, which makes 7.93 % for the 11 months in the portfolio from the monthly avarage. So the expected result would be 23.24 % profit for 2022.

PKG:

PKG would have shared the portfolio in the periods 01 - 03/2022, 06/2022 - 08/2022 and 10 - 12/2022.
The gross profit would have been 14.69 % for 2022, The 1-year-backtest gives a difference of 4.93% for fees and slippage for a full year, which makes 3.70 % for the 9 months in the portfolio from the monthly avarage. So the expected result would be 10.45 % profit for 2022.

SYO:

SYO would have shared the portfolio in the periods 01 - 04/2022, 07/2022 - 08/2022 and in 12/2022.
The gross profit would have been 14.94 % for 2022, The 1-year-backtest gives a difference of 4.21% for fees and slippage for a full year, which makes 2.46 % for the 7 months in the portfolio from the monthly avarage. So the expected result would be 12.12 % profit for 2022.
This result for SYO is significantly (more than 100%) better in 2022 than the Darwinex backtest result of 5.26 % for the whole year, by avoiding slippage and fees for 5 months and more than 5 % of its DD.

ZVQ:

ZVQ would have shared the portfolio in the periods 02 - 08/2022 and 10 - 11/2022. January 2022 is excluded as December 2021 was a losing month.
The gross profit would have been 9.79 % for 2022, The 1-year-backtest gives a difference of 2.45% for fees and slippage for a full year, which makes 1.63 % for the 8 months in the portfolio from the monthly avarage. So the expected result would be 8.00 % profit for 2022.

THA:

THA would have shared the portfolio in the periods 01 - 12/2022, the whole year as there was no losing month in 2022.
The gross profit would have been 43.77 % for 2022, The 1-year-backtest gives a difference of 10.39% for fees and slippage for a full year, which makes also 10.39 % for the 12 months in the portfolio from the monthly avarage. So the expected result would be 28.83 % profit for 2022.

 

[CavaliereVerde]

6 darwins like mine
Less is more.

 

[IlIlIlIlI]

There is a change to Rule I) forced by Darwinex:

Rule I) The portfolio will be run with x4 leverage which gives 40k for investment for a 10k demo portfolio (standard size)

So the portfolio will start with the following Darwins with a share of $ 6,666 for each Darwin.

Transactions are not possible at this moment - reason unknown:

 

[IlIlIlIlI]

I asked Darwinex for this issue and got the following answer:

"Hi ... good afternoon,

Thanks for your message.
The reason you cannot buy Darwins is because today the option to buy Darwins is closed until tomorrow.
If you need help with anything else, please feel free to contact us, we would be pleased to help you.
Best regards,
... "

So I will do my initial buy trades tonight or tomorrow.

 

[IlIlIlIlI]

Starting the portfolio with these trades:

 

[IlIlIlIlI]

To avoid several sell transactions of the existing positions if a new Darwin appears, I will add a new processing rule:
Rule K) If a new Darwin will join the portfolio, all existing positions will be sold and all eligible Darwins will be bought on the review date

Reasons:
A Darwin which lost money in the portfolio should also show a negative result for the past month.
The sell an rebuy of continuous positions should increase the amount available to invest and the profit, at least over time.

So the rules used will be:
Rules:

Eligibility rules:
Rule A) The Darwin has more than 1 mln AuM
Rule B) The Darwin must have closed the last calendar month with profit
Rule C) There must be more than 60 investors on the Darwin
Rule D) The Darwin must have made more than 50% profit
Rule E) A new Darwin must be available for buying

Processing rules:
Rule F) The portfolio has a monthly review at the beginning of each month, where Rule A) to E) must be met
Rule G) my own Darwin(s) will be included if they meet Rule B) and E)
Rule H) The portfolio share will be the same for each position
Rule I) The portfolio will be run with x4 leverage which gives 40k for investment for a 10k demo portfolio (standard size)
Rule J) a black list could exclude certain Darwins by certain and named reasons
Rule K) If a new Darwin will join the portfolio, all existing positions will be sold and all eligible Darwins will be bought on the review date

Current performance after a few days:

 

[IlIlIlIlI]

The portfolio started with a bad month showing 5.73% losses in only one month, increasing that to 6.12 % losses in the first hours of February until the old positions were sold.

Only one Darwin made profit in January:

There are 6 AuM millionaires with a profit shown for January:

Rule G) adds my Darwin MOT, so there are 7 Darwins to buy.

With $ 37,774.08 (-$ 2,225.92) left to invest, every Darwin gets a share of $ 5,396 (- $ 1.270).

Performance fees could only be taken for one Darwin:

Management fees:

 

[IlIlIlIlI]

The portfolio showed small losses ( - $ 44.53) after selling the February positions:

4 Darwins made profit in February:

There are 5 eligible AuM millionaires with a profit shown for February:

PVE and LUA are excluded by rule C) (minimum 60 investors).

With $ 37,595.96 (-$ 178.12) left to invest, every Darwin gets a share of $ 7,519 (+ $ 2,123).

Performance fees was to pay for 4 Darwins:

Management fees:

The fees have wiped out the small profit of February.