Your latest Faulkner podcast is the single best explanation I have ever heard on why our modern political discourse is so divided, with Left and Right utterly unable to communicate. Incredible knowledge you are sharing!
The fracturing of language is such a great concept and it is accelerated in the modern world. Does so much to explain issues with group dynamics. I own a dance studio and actually told my Artistic Director to listen to it. It will help her understand why we just cannot get dance moms to understand our thinking. May not instantly change our issues with them but will help us be less frustrated when we just can’t get some of them to understand our program.
I have turned a number of non investors onto your podcast. At first they think you, and intern I, am crazy. But then it all comes together and they are hooked.
My guest today is Chris Ducker, a British businessman, the founder and CEO of Virtual Staff Finder and the Live2Sell Group of Companies. Chris’s new book is, “Rise of the Youpreneur: The Definitive Guide to Becoming the Go-To Leader in Your Industry and Building a Future-Proof Business.” His book branches out to all audiences – regardless of where someone might be in their journey of building a company or brand.
The topic is his book Rise of the Youpreneur: The Definitive Guide to Becoming the Go-To Leader in Your Industry and Building a Future-Proof Business.
In this episode of Trend Following Radio we discuss:
Building your business on your own domain
The ripple effect
Email campaigns
Starting a podcast
“Your brand is your reputation.” – Chris Ducker
“You must be seen to sell and to gain influence.” –Chris Ducker
I love listening to your podcast. I’m not sure I ever reached out before. I’ve been following along (no pun intended) for a number of years now. I don’t think I ever asked for your initial free trend following handouts. I’d love to see whatever you have to offer.
I’m writing now because I’m frustrated. I still try to work with financial planners some. Why? I still don’t fully trust myself to trade all of our funds, and yet, whenever they talk about years in the market and using mutual funds, I get scared. Scared isn’t really the right word. I get frustrated. They tell me my trading is more risky than what they are doing. We always end up talking around in circles. The problem is my trading still isn’t fully keeping up with our additional income needs. So I’m “stuck” and yet I’m not stuck.
Love the info and am really excited to be learning about this. I have to admit I wish I had learned this a month ago before the market dropped out of crypto. I should have listened to my same intuition when it was up as when I got into it. Have not been able to put the book down or stop listening to your podcasts. Its been hard to focus on anything else since I started the book.
Your podcast mentioned to send you an email. Keep up the great work.
The inevitable result of financial innovation gone awry, which it ALWAYS does, is that it ALWAYS ends up empowering the State. When too clever by half people misplay the meta-game, that’s all the excuse the State needs to come swooping in and crush them, just as they are with Bitcoin today they did with Bear and Lehman in 2008.
He adds:
Financial innovation is always and in all ways one of two things — a new way of securitizing something or a new way of leveraging something.
Securitization is a ten-dollar word that means associating something in the real world (a cash flow from a debt, an ownership interest in a company, a deed on a property, a distributed ledger mathematical calculation, etc.) with a piece of paper that can be bought and sold separately from that real world thing.
Leverage is a ten-dollar word that means borrowed money.
That’s it. There’s nothing new under the sun. Finding new ways to trade things (securitization) or new ways to borrow money on things (leverage) is what financial innovation is all about, and there are vast riches awaiting the clever coyotes who can come up with a useful scheme on either.
The biggest market disasters happen when both leverage and securitization get mixed up with the same clever scheme, as when new ways of leveraging and securitizing U.S. residential mortgages were developed in 2001, resulting in the creation of a $10 trillion asset class that utterly collapsed during the Great Financial Crisis. There were a lot of coyotes involved in so gargantuan an Idea That Changes Things, but most illustrative for these purposes is the Gaussian Copula formula published by David Li in 2000, the “technology” which allowed the securitization of pretty much any mortgage portfolio (prior to this most securitization was limited to “conforming” mortgages securitized by Fannie Mae and other government-sponsored mortgage agencies) and also the leveraging of those securities through tranching (splitting up the security into still more securities, each of which can be used as collateral for more borrowing, particularly those tranches with higher credit ratings). I wrote a bit about the Gaussian Copula in “Magical Thinking”, and if you want to learn more you can’t do better than Felix Salmon’s 2009 Wired magazine article — “The Formula That Broke Wall Street” — still my all-time favorite piece of financial market journalism.
Adding to the thinking I have assembled a treasure trove of insights into Wall Street’s Big Events.
But, alas, many will ignore the precedent and stay in la la land with Dorothy:
I wish to write this letter to thank you for your efforts, as it has benefited me greatly. I have worked for [name bank] Global Macro Index Trading business and last year, I left [name bank] to pursue my own [fund].
I was very much captivated by Statistical Arbitrage research papers of Stanford, and tried to implement [them]. It looked good on paper, but when I started running it on my own money, it made losses and I realized that the system was so complex, as it involved stochastic and other deep mathematical structures, that I couldn’t find a way to improve or adapt the system to the needs of [name] Market.
At some point, on deep introspection, I decided to give trend [following] a chance as it always appealed me for various reason. The biggest reason was, although it may not promise a mathematical proof, but logically and common-sense wise, trend following made sense and also the biggest reason was that I could improve it as I understand it.
[Over the] last few months I have got good results. Your podcasts helped me in a way as you brought the best of the best from the industry and listening to them I realized that I am not alone. People have done it in the past and I too will do it. Second thing, is that you provide these resources for free.
I cant say how much I really feel grateful for your efforts. Thanks once again.
Please enjoy my monologue Truth and Fantasy with Michael Covel on Trend Following Radio. This episode may also include great outside guests from my archive.
In this episode of Trend Following Radio:
Time series momentum
Cross sectional momentum
Definition of managed futures
Diversification
Trend following diversification
Drawdowns
“Win or lose, everybody gets what they want out of the market. Some people seem to like to lose, so they win by losing money.” – Ed Seykota
