Research Library

By Rich B

Diversification for Trend Following Models

The Small Variations Matter In the realm of trend following, one prevailing assumption is that highly correlated assets should not be traded together, as they are unlikely to provide diverse opportunities. However, this article will challenge this notion by delving into the nuances of trade correlations versus price correlations. By examining the behavior of different […]
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By Rich B

The Lifting Power of Outliers

Introduction In previous posts, we’ve explored how massive diversification serves as a crucial tool for outlier hunters—not only to provide correlation benefits in chaotic regimes but also to increase our chances of capturing rare market events. It’s the frequency of these outliers in our trade distribution that significantly enhances our long-term performance. In this post, […]
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By Rich B

Russian Roulette, Formula 1 and Market Trends: Navigating the High Stakes of Uncertainty

In a world rife with unpredictability, the principle of survival takes precedence over the quest for immediate success. This tenet holds true across various high-stakes domains—from the capricious nature of financial markets to the competitive fervour of Formula 1 racing, even extending to the life-or-death randomness of Russian Roulette. This blog post explores the critical […]
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