World Class Trend Following Trading Results- How Easy It Wasn’t

Many times people just look at numbers and they do not fully grasp what is really entailed. They look at some compounded rate of return and get all excited. Sign me up. I am ready. They throw money chasing returns. However it would be prudent for them to have really questioned the commodity trading advisor what type of draw downs happened in the past…even though past performance is not representative of future performance. They should ask what was the longest period so far that no new equity peaks were reached. Investors in trend following also need to realize that the greatest draw down is ahead of them not behind them. This short You Tube video demonstrates exactly how hard it really was in one of the accounts in which I invested in. This system is a robust trend following concept. It has great returns over time…however the draw downs can be steep. What I do now is look to start trading the program during one of it’s steep draw downs.

Past performance is not necessarily indicative of future performance. The risk of loss in trading futures contracts, commodity options or forex can be substantial, and therefore investors should understand the risks involved in taking leveraged positions and must assume responsibility for the risks associated with such investments and for their results. You should carefully consider whether such trading is suitable for you in light of your circumstances and financial resources.

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