Andrew has been in the financial arena since 1990. He is a Registered Investment Advisor ad affiliate of Abraham Bedick Capital. Since 1993 Andrew has been a proponent of quantitative mechanical trading programs. Andrew's major concern is not only total return on investment but rather the amount of risk that one would have to tolerate in order to achieve returns He focuses on developing quant models that encompass strict risk adherence and correlation. He has been a speaker at conferences as well as an author of numerous articles. Andrew has spent years researching ideas that have the potential to outperform indices as well as maintain fewer draw downs.
What truly brings about success in Managed Futures? Is super intelligence needed for success in managed futures. After being involved in managed futures and commodity trading for years and seeing every mistake possible ( plus the ones I made). I have found the holy grail for managed futures. It is not a secret system or indicator… it is simply
Discipline & Patience
Using mechanical system trading for managed futures these aspects along with strong risk control can assist investors in their goal of long term compounding of wealth. I believe in trend following. This further underscores the fact that intelligence is not an issue in success of managed futures. The fact is no one knows the future nor knows more than you do. Once you realize you don’t know the future…and you don’t need to in order to succeed in managed futures you have started to find the holy grail of managed futures trading. The great trend followers know this. They know the news of the day is not what gets them into a trade. Rather they have a thought out plan ..that is simple and basic in many cases which is based on a thought out plan…and more so a thought out risk management system ( such as not more than 1% risk per trade of total equity).
Discipline means following your trading plan… or staying with your commodity trading advisor when they go through the eventual ugly draw down. Have a long term horizon ( 10 years). Realize that any trade means nothing if you are following your trading plan ( or commodity trading advisors trades) that has strong risk aspects…
Patience is realizing nothing has to happen. Patience means potentially going through a draw down that can be extended for a long period of time. Managed Futures trading is like a football game. The key is not to score every quarter but rather win the football game even if that means all the points are scored in the last quarter.
Discipline & Patience the holy grail for managed futures
THE RISK OF LOSS IN TRADING COMMODITIES CAN BE SUBSTANTIAL. YOU SHOULD THEREFORE CAREFULLY CONSIDER WHETHER SUCH TRADING IS SUITABLE FOR YOU IN LIGHT OF YOUR FINANCIAL CONDITION. THE HIGH DEGREE OF LEVERAGE THAT IS OFTEN OBTAINABLE IN COMMODITY TRADING CAN WORK AGAINST YOU AS WELL AS FOR YOU. THE USE OF LEVERAGE CAN LEAD TO LARGE LOSSES AS WELL AS GAINS. IN SOME CASES, MANAGED COMMODITY ACCOUNTS ARE SUBJECT TO SUBSTANTIAL CHARGES FOR MANAGEMENT AND ADVISORY FEES. IT MAY BE NECESSARY FOR THOSE ACCOUNTS THAT ARE SUBJECT TO THESE CHARGES TO MAKE SUBSTANTIAL TRADING PROFITS TO AVOID DEPLETION OR EXHAUSTION OF THEIR ASSETS. THE DISCLOSURE DOCUMENT CONTAINS A COMPLETE DESCRIPTION OF THE PRINCIPAL RISK FACTORS AND EACH FEE TO BE CHARGED TO YOUR ACCOUNT BY THE COMMODITY TRADING ADVISOR (”CTA”).
- Related Videos
- Related Articles
- Ask / Related Q&A
Cheap Auto Insurance Rates Come in Many Forms
By: Jim Bassett | 08/11/2009If you're looking for cheap auto insurance rates, you should know about a few things. First of all, if you're not looking in the right places, you may end up paying too much for your auto coverage. Ask about discounts that are available to lower your rates. You can find...
You Can Find Cheap Car Insurance For Young Drivers
By: Jim Bassett | 08/11/2009If you've been dreading the day that you have to get car insurance for your young driver, you'll be happy to hear that cheap car insurance for young drivers really does exist. If you get online and do a little research, it won't take you long to realize that you...
Looking For Affordable Car Insurance Locally
By: Jim Bassett | 08/11/2009Looking for affordable car insurance? Who isn't these days, right? Well, as expensive as it is to own and operate an automobile, you probably wish more than anything that you didn't have to buy insurance. Most states have very strict insurance requirements that can land you in trouble with the...
Auto Insurance Comparisons in Florida
By: Jim Bassett | 08/11/2009Have you taken time to get auto insurance comparisons in Florida? You may be paying a higher price than you have to unless you get comparison quotes you will not know. Florida and the No-Fault system have worked to provide coverage to those even if they are not at fault...
How to Get Low Cost Car Insurance
By: Jim Bassett | 08/11/2009Everybody that drives on the highway needs car insurance. It can be costly depending upon your circumstances. But there are numerous ways you can try to acquire low cost car insurance. Why pay an extortionate amount when you don't have to! Now it is possible to quickly compare quotes through...
Debt Settlements Vs Bankruptcy - Which Financial Decision is Better?
By: Matt Couch | 08/11/2009When looking to get rid of debt, there are two mainline ways of doing so- debt settlements and bankruptcy. But which financial decision is better? Bankruptcy can have near-fatal effects on your credit rating for years to come, making it hard to recover from. Debt settlement appears to be the solution because creditors work with you, and sometimes you only have to pay back a fraction of the unsecured debt.
Debt Settlement Programs - How to Locate the Most Respected Debt Relief Programs
By: Matt Couch | 08/11/2009Debt settlement programs vary widely in both their structure and their overall effectiveness in eliminating your debt. Consumers generally need to be at least $10,000 in unsecured debt to qualify for debt settlement programs but the most important thing to know is how to locate the best programs on the market.
Debt Solutions - How Obama is Making Debt Solutions Financially Popular
By: Matt Couch | 08/11/2009In this financially stressful time, everyone seems to be hurting a little bit. Even families, who were not struggling before this, seem to be struggling now. Job loss is still high. Qualified and educated candidates do not quite find jobs as nice as the ones they lost.
Commodity & Forex Trading Mistakes
By: Andrew Abraham | 06/11/2009 | Personal FinanceTrading mistakes are common in commodity and forex trading. I became involved with my partners in order to learn from the mistakes of other commodity traders (and plenty of my own mistakes). In my opinion after being involved in commodity trading and trend following the basis of trading mistakes all boil down to three issues. 1. Fear 2. Greed 3. Ego.
Commodity & Forex Trading Mistakes
By: Andrew Abraham | 06/11/2009 | Wealth BuildingTrading mistakes are common in commodity and forex trading. I became involved with my partners in order to learn from the mistakes of other commodity traders (and plenty of my own mistakes). In my opinion after being involved in commodity trading and trend following the basis of trading mistakes all boil down to three issues. 1. Fear 2. Greed 3. Ego.
Commodity & Forex Trading Mistakes
By: Andrew Abraham | 06/11/2009 | Wealth BuildingTrading mistakes are common in commodity and forex trading. I became involved with my partners in order to learn from the mistakes of other commodity traders (and plenty of my own mistakes). In my opinion after being involved in commodity trading and trend following the basis of trading mistakes all boil down to three issues. 1. Fear 2. Greed 3. Ego.
Preparation List For Trading Commodities or Forex
By: Andrew Abraham | 05/11/2009 | Wealth BuildingRegardless if you are new to commodities (or forex) or if you have traded them in the past without much success and want to make a fresh start with either a commodity trading advisor or even a mechanical trading system ... examine this preparation list to really determine if you are truly ready to begin trading commodities ( or forex).
Doing the Hard Thing In Commodity Trading!
By: Andrew Abraham | 04/11/2009 | Wealth BuildingToo many books and blogs seem to make commodity trading and forex trading seem so easy... The truth can not be further from this...Successful trading is so hard... It is a truly a mental battle..There is no easy money in commodity trading..... You earn it..( that is if you truly want it ).
Is The Stock Market Starting to Fail?
By: Andrew Abraham | 03/11/2009 | Wealth BuildingThe proverbial question is we in a V shaped recovery or a Bear Market Rally. Without predicting (One word every true trend follower hates) there are signs becoming apparent the stock market rally from March might be coming to an end. There are technical indicators which are pointing to weakness as well as recent economic figures are beginning to disappoint investors hoping for a recovery.
Do You Really Want To Short The US Dollar?
By: Andrew Abraham | 02/11/2009 | Currency TradingLets face it…everyone seems to hate the US Dollar…Seems every Forex trader wants to be short the US dollar. So many think the US dollar will crash ( maybe it will..who knows).. but what I do know as a commodity trader..when too many traders are on the other side of the boat… something happens. My short on the US dollar was recently taken out.
Do You Really Want To Short The US Dollar?
By: Andrew Abraham | 02/11/2009 | Currency TradingLets face it…everyone seems to hate the US Dollar…Seems every Forex trader wants to be short the US dollar. So many think the US dollar will crash ( maybe it will..who knows).. but what I do know as a commodity trader..when too many traders are on the other side of the boat… something happens. My short on the US dollar was recently taken out.