• support@madhedgefundtrader.com
  • Member Login
Mad Hedge Fund Trader
  • Home
  • About
  • Store
  • Luncheons
  • Testimonials
  • Contact Us
  • Click to open the search input field Click to open the search input field Search
  • Menu Menu

March 29, 2010 ? Enter the Golden Age for Hedge Funds

Diary

Featured Trades: (HEDGE FUNDS)

2) Enter the Golden Age for Hedge Funds. I think we are entering a new golden age for hedge funds. I haven't seen as many visible, easy to understand growth differentials since the eighties since the last golden age, when we all made fortunes going long high growth markets and currencies, like Japan and the yen, and shorting low growth ones, like those for US stocks and the dollar. Today, China is growing at 9% a year, the US 2.5%, and Europe 1%, so you buy the FXI and short the euro. Think of it as a race between a Porsche, a '56 Chevy, and a Trabant, that you can bet on, without handicapping. How hard is that? I'm sorry, but I don't have armies of PhD's in math and computer science running warehouses full of Cray computers, like Renaissance does. I have to rely on really simple trading strategies, like sell high and buy low. This is why so many of the currency trades I have been recommending this year have been working so well, like shorting the euro against the dollar, the yen against the dollar, the Ausie/euro cross, and the loonie/euro cross. There are also a huge divergences in industries within single countries. In the US technology and commodities firms are enjoying true 'V' shaped recoveries, while great swaths of the economy, like the auto makers, commercial and residential real estate are comatose, with 'L' shaped recoveries at best. Get the macro and sector calls right, and single stock picks become almost an afterthought. Perhaps this explains why money has been flooding into hedge funds this year. The financial crisis rightly cleaned out a couple thousand wanabees chasing marginal returns with super leverage, and the survivors are certifiably bomb proof.

Trabant.jpg

Porsche.jpg

Share this entry
  • Share on Facebook
  • Share on X
  • Share on WhatsApp
  • Share on Pinterest
  • Share on LinkedIn
  • Share by Mail
https://madhedgefundtrader.com/wp-content/uploads/2019/05/cropped-mad-hedge-logo-transparent-192x192_f9578834168ba24df3eb53916a12c882.png 0 0 DougD https://madhedgefundtrader.com/wp-content/uploads/2019/05/cropped-mad-hedge-logo-transparent-192x192_f9578834168ba24df3eb53916a12c882.png DougD2010-03-29 15:45:212010-03-29 15:45:21March 29, 2010 ? Enter the Golden Age for Hedge Funds

tastytrade, Inc. (“tastytrade”) has entered into a Marketing Agreement with Mad Hedge Fund Trader (“Marketing Agent”) whereby tastytrade pays compensation to Marketing Agent to recommend tastytrade’s brokerage services. The existence of this Marketing Agreement should not be deemed as an endorsement or recommendation of Marketing Agent by tastytrade and/or any of its affiliated companies. Neither tastytrade nor any of its affiliated companies is responsible for the privacy practices of Marketing Agent or this website. tastytrade does not warrant the accuracy or content of the products or services offered by Marketing Agent or this website. Marketing Agent is independent and is not an affiliate of tastytrade. 

Legal Disclaimer

There is a very high degree of risk involved in trading. Past results are not indicative of future returns. MadHedgeFundTrader.com and all individuals affiliated with this site assume no responsibilities for your trading and investment results. The indicators, strategies, columns, articles and all other features are for educational purposes only and should not be construed as investment advice. Information for futures trading observations are obtained from sources believed to be reliable, but we do not warrant its completeness or accuracy, or warrant any results from the use of the information. Your use of the trading observations is entirely at your own risk and it is your sole responsibility to evaluate the accuracy, completeness and usefulness of the information. You must assess the risk of any trade with your broker and make your own independent decisions regarding any securities mentioned herein. Affiliates of MadHedgeFundTrader.com may have a position or effect transactions in the securities described herein (or options thereon) and/or otherwise employ trading strategies that may be consistent or inconsistent with the provided strategies.

Copyright © 2025. Mad Hedge Fund Trader. All Rights Reserved. support@madhedgefundtrader.com
  • Privacy Policy
  • Disclaimer
  • FAQ
Link to: March 29, 2010 ? The Skinny on Batteries With John Petersen Link to: March 29, 2010 ? The Skinny on Batteries With John Petersen March 29, 2010 ? The Skinny on Batteries With John Petersen Link to: March 29, 2010 ? The Mad Hedge Fund Trader?s Global Strategy Update Link to: March 29, 2010 ? The Mad Hedge Fund Trader?s Global Strategy Update March 29, 2010 ? The Mad Hedge Fund Trader?s Global Strategy Update
Scroll to top