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Showing posts from February, 2013

Lessons from Hedge Fund Market Wizards: Steve Clark

Welcome, new readers.Be sure to check out the full "Lessons from Hedge Fund Market Wizards" post series (interviews with Colm O'Shea, Ray Dalio, Jack Schwager and more) in our end notes. Thank you, and enjoy the series.

"Remarkable performance consistency". 

These are the words Hedge Fund Market Wizards author, Jack Schwager uses at the outset to describe the track record of Steve Clark's Omni Global Fund.

In his opening notes on Clark's event-driven hedge fund, Schwager points out that Omni Global has been profitable every year since its inception in 2001. This, of course, includes the panic year of 2008, during which Clark handily outperformed the Hedge Fund Research index of funds sharing this strategy. 

The combination of strong gains and moderate equity drawdowns and losing periods gave Omni Global an "extremely high Gain to Pain ratio", a return/risk measure favored by Hedge Fund Market Wizards author, Jack Schwager. In other words, he is ve…

Links: Popular posts and new trading insights

Some Presidents' Day reading and insights to guide us into the coming week.

Recently popular posts on Finance Trends:

1. Trading psychologists: Overcoming your fear of pulling the trigger

2. Global macro trading: Lessons from Market Wizard, Colm O'Shea.

3. Lessons from Market Wizard, Ray Dalio. - "Markets teach you that you have to be an independent thinker."

4. Lauren Templeton shares investing lessons from Sir John Templeton. Real wisdom on markets, behavioral finance, and life here.

5. Jim Rogers on Street Smarts and outsized investing returns. Rogers says the 4,200 percent returns he and Soros achieved at Quantum Fund are replicable, if you are passionate and work hard enough.

Items of interest (markets, trading, and insights) from around the web:

1. Excellent Q+A with trader, Brian Shannon: Better Trading With Multiple Timeframes.

2. Joe Fahmy on The Greatest Trading Book Ever.

3. Napoleon Hill's Think and Grow Rich (e-book).

4. On the Invariant Nature of Investor…

Jim Rogers on Street Smarts and outsized investing returns

Jim Rogers has a new book out called Street Smarts and he's out talking about it, along with a few other favored subjects. 

Here are a few highlights from his recent interview with Open Currency

1. Asked about Germany's repatriation of gold from American vaults, Rogers says they're right to do it and he's surprised they haven't done it sooner. Recently, the Federal Reserve refused the Germans an audit of their own gold, and according to Rogers "it's clear some of that gold has been lent out, or something, as it will take 7 or 8 years to move the gold." 

2. Nearly all governments are printing money, for the first time in recorded history. All major banks are "printing" and debasing their currencies, which brings us to Rogers' favorite safe haven - hard assets. 

3. We are destroying all the people who save and invest. People are getting wiped out because interest rates are zero and below the rate of inflation. Those who borrowed huge amount…

Steve Jobs on failure

Steve Jobs on failure: "You've got to act... and you've got to be willing to crash and burn." 

Apply to entrepreneurship, trading (try to manage risk to avoid complete crash and burn of your account), talking to that pretty girl... life.

Related posts

1. Steve Jobs: Billion Dollar Hippy (BBC documentary).

2. Steve Jobs PBS interview from 1990, recently surfaced.