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The Derivative

The Derivative

By RCM Alternatives
Welcome to The Derivative by RCM Alternatives, where we dive into what makes alternative investments go, analyze the strategies of unique hedge fund managers, and chat with interesting guests from across the investment world. Hosted by RCM Managing Partner, Jeff Malec, join us to take a ride through the world of alternative investments.
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Crude Oil goes Negative… What^%$#

The Derivative

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Sowing the Seeds of AI Strategies with Howard Siow of Taaffeite Capital Management
Artificial Intelligence is a hot topic in every walk of life, and perhaps no more so than in the world of hedge funds and alternative investments. Howard Siow, Founding Principal and CEO at Taaffeite Capital, joins The Derivative to discuss how AI is used in the hedge fund world, and how everyone wants AI to predict every move in the market, but that’s not actually what AI does well. Howard talks how AI can be used as an incremental change agent, chicken farming, being a venture capitalist, the effect of human biases, the dirty little secret holding AI back, trying to solve complex problems, being an engineer, launching Taaffeite, opportunities in China, and growing up down under in Australia. Chapters: 00:00-02:47=Intro 02:48-10:51=AI = Getting the small things right 10:52-22:25=The most complex system we have? 22:26-26:49=Launching Taaffeite 26:50-47:15=The Strategy 47:16-01:10:04=Is AI getting closer to solving the market problem? 01:10:05-01:16:08=Humble Adjustments 01:16:09-01:22:47=Favorites Learn more about Taaffeite Capital and their strategies here: http://taaffeitecm.com/ And last but not least, don't forget to subscribe to The Derivative. Follow our host Jeff Malec on Twitter and RCM on Twitter, LinkedIn, Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:22:47
June 17, 2021
Carefully Constructing a Cockroach (portfolio) with Mutiny Funds Jason Buck and Taylor Pearson
Who in their right mind would name an investment strategy after cockroaches?  Well, probably the guys who view themselves as staging a mutiny against traditional portfolio construction and the investment business = Jason Buck and Taylor Pearson of Mutiny Funds.  We're digging in deep with the two wunderkids in this episode on what exactly the Cockroach strategy is, what the first year for Mutiny looked like, Jimmy Buffet lyrics, AustinTexasville, applying e-commerce process and principles to asset management, living through the largest vol crush in history (as a long vol fund), the four quadrant model, gold and crypto as fiat protection, the modern hedge fund manager as a social media personality, Pretty Woman, growth stocks, inflation, deflation, diaspora, going full Kelly, and more...  Chapters: 00:00-02:29=Intro 02:30-17:04=Jimmy Buffet & Going from 0 to 1 17:05-27:00= Playing the Orchestra Not the Instruments 27:01-36:44=The merging of Social Media and Investing 36:45-52-12=The Cockroach Fund: Nuclear Winterizing Your Portfolio 52:13-01:05:19=Solving Multi-Generational Wealth  01:05:20-01:09:04=Who in their right mind would name an investment strategy after a Cockroach 01:09:04-01:15:12=Favorites Follow along with Jason and Taylor on Twitter and learn More about the New Cockroach Strategy here = https://mutinyfund.com/cockroach And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:15:12
June 10, 2021
Blame it on the Bossa Nova with New Market Wizard Tom Basso
How do you get included in a Market Wizards book? How do you get a whole Michael Covel book written about you? You move from charting markets on graph paper to point and figure charts to running systematic models on an IBM computer in 1980, to running $600mm plus via Trendstat. We’re talking Havalinas and Bassanovas with none other than Tom Basso in today’s episode. Tom is a New Market Wizard as identified by Jack Schwaeger, and now semi-retired, trading his own money in between dancing and wine making. We’re covering trend following, Arizona, raising money, enjoying the ride, making money, risk management, the mistakes big investors make chasing returns and bailing on drawdowns, facebook, trading red bean futures, chemical engineering, slippage, golf, and more. Chapters: 00:00-02:18=Intro 02:19-11:09=Arizona Pastimes 11:10-20:36=Back into Trading 20:37-36:00=How the Legend Started 36:01-01:02:12=150 Meetings 01:02:13-01:08:56=Mike Covel 01:08:57-01:17:15=Favorites Follow along with Tom on twitter and on his website, https://enjoytherideworld.odoo.com/ From the episode: Aaron Fifield Interview Trend Following Mindset: The Genius of Legendary Trader Tom Basso And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:17:16
May 27, 2021
WTF ^%$# is Happening With Crypto??
We’re talking with two ‘in the crypto weeds’ traders/asset managers, Ben Upward of Synchronicity and Gary Basin, about crypto’s -30% one day drop, coinbase, the most surprising (& scariest) things about the recent crypto crash, size and action in futures, options, and non-futures, “what if” bitcoin had blown up, the right to a free market, bitcoin as beta?, new Bitcoin offers (like bitcoin micros), the negatives and positives of volatility in the space, leverage upon leverage upon leverage, bitcoin as a portfolio diversifier, a VC model, Portnoy picking, risk metrics, and the future costs of production for cryptocurrencies. Chapters: 00:00-02:28=Intro 02:29-15:12=Bitcoin falls -30%, what broke? 15:13-26:30=Bitcoin Futures & Unstable Bets 26:31-39-50=Farming, Staking, Embracing Volatility 39:51-53:30=The crypto hype machine, and new tech devaluing old coins? Follow along with Ben Upward on LinkedIn and Gary Basin on Twitter at @garybasin. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
53:30
May 20, 2021
Allocating Assets and Attracting Allocators with Ted Seides
From actual capital allocator to branding his book and podcast “Capital Allocator,” Ted Seides has one of the biggest banks of knowledge in the capital allocation game. He’s a well-known author of two books, host of the podcast Capital Allocators, and in his “free time” invests his own money in some of the best and brightest hedge funds around. In today’s episode, we’re talking with Ted about Capital Allocators (the podcast & the book), the transition of talking to managers for an allocation -> to talking to allocators about managers on the pod, the Yale endowment and incredible opportunity to learn from Dave Swenson, bias in capital allocation, rebalancing without emotion, illiquidity premiums, base rates, allocator’s reaction to competition, blackbox of quants, portfolio construction, “Netflix” allocator selection, and Ted’s favorite guests & favorite quotes. Chapters: 00:00-01:42=Intro 01:43-28:16=Learning from David Swensen 28:17-48:55=Is Private Equity Too Big? 48:56-57:47=Base Rates, AI advancements & Fees 57:48-01:09:20=The Show or Allocators Podcast 01:09:21-01:22:23=Part of the Equation 01:22:23-01:28:39=Favorites (The Buffet Bet) Follow Ted on Twitter at @tseides, listen to Ted’s podcast on your preferred platform here, and purchase his books here. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:28:39
May 13, 2021
The NON-Wisdom of Crowds with Nigol Koulajian of Quest Partners
In through the nose – out through the mouth. In through the nose – out through the mouth. You’ve now joined a headspace where we think you’re prepped to focus in and become one with today’s guest. He’s a well known CTA, expert researcher, meditation and yoga practitioner, and Founder & CIO of $1.8 Billion in AUM = Quest Partners. Today’s guest is none other than Nigol Koulajian, he’s been in the business since the early 1990’s and has grown to become one of the leading voices in alternative investments. Today, we’re talking with Nigol about Covid New York, Nigol’s quest to becoming a CTA, what it’s like managing more than a Billion dollars of people’s hard earned money, assessing price & risk in a portfolio, gaming Sharpe ratios, applying meditation to Quest’s quests, how easy it is to replicate hedge fund and CTA performance, Nigol’s favorite whitepapers, gaining convexity relative to skew, 30,000 ft view of Quest’s programs, “playing the players, not the game,” prioritizing meditation and mindset, and The Quest Indicator Book. Chapters: 00:00-02:03=Intro 02:04-16:51=The Quest to Becoming a CTA 16:52-28:22=Meditation Mindset: Priming the Mind 28:23-51:42=The Power of Positive Skew Models 51:43-01:07:07=Gaming the Sharpe & Playing the Players 01:07:08-01:28:20=The Quest Book 01:28:21-01:31:47=Favorites Follow along with Quest on LinkedIn and on their website, and keep up to date with Nigol here. From the episode: Access Quest’s whitepapers and research here Sign up for monthly access to the Quest Book here Don't forget to subscribe to The Derivative, and follow us on Twitter at @rcmAlts, and our host Jeff at @AttainCap2, or LinkedIn, and Facebook, and sign-up for our blog digest. And visit our sponsor, the CME Group at www.cmegroup.com to learn more about futures and options. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:31:47
May 6, 2021
Turning the Tables: Trading Pits and Dip Spits with RCM’s Jeff Malec
Today’s guest is one you’ve heard many times before if you’ve listened to The Derivative,  but may not necessarily know all that well. He’s and alts/managed futures veteran, having started his career in Chicago’s famed trading pits, founded a futures investment firm, and continued on to become a partner at RCM Alternatives. ,And, of course, when not doing his day job, steps in as the dynamic host of our podcast. We’re talking Jeff Malec. We thought today’s podcast would be a great opportunity to get him from behind the host side of the mic to the guest side to get a little more familiar with his background, have a chance for him to share some of his own knowledge, and for all our listeners to see a different side. It is his birthday afterall – so what better episode? Jeff is interviewed by the team at Mutiny Fund in today’s episode where they’re talking about the differences between the New York traditional equity-based markets and Chicago’s futures markets and the pros and cons for investors, why Chicago’s approach did much better in 2008 and what investors can learn from that to apply to their own portfolios as well as the cash efficiency of futures, how investors should think about correlations, the common traits of the most successful investors, and why low volatility often means hidden risk and how to spot it in your portfolio. *Please note - this was previously recorded and reposted for this episode* Chapters: 00:00-01:50=Intro 01:51-16:16=Harley Davidson & Philosophy 16:17-39:07=Chicago Futures vs New York Stocks 39:08-47:54=RCM Alternatives 47:55-01:03:17=Portfolio Construction 01:03:18-01:13:39=Gold What is it Good For Follow Jeff on Twitter at @AttainCap2. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:13:39
April 29, 2021
A Crude Oil Cornucopia: Covid, Crack, CSOs & Contango with Brent Belote of Cayler Capital
COVID affected a lot of ways that we interacted with the world – it changed how we worked, how we socialized, how we entertained ourselves….and if you’ve been tuned into the markets over the past year, it also changed our expectations on how in the world Oil prices could have ever gone NEGATIVE. Last year this time we put out our “Crude Oil Goes Negative…WTF ^%$#?! Pod” and were talking with veteran trader Brent Belote about the sticky situation. In today’s episode, we brought Brent back on to take a walk down memory lane about how last year really happened, what’s changed over the year since, how oil traders are taking different approaches since then, and how is the industry ensuring that we don’t head back into the treacherous red zone. In addition to all of that, we’re also digging in further with Brent about his shift from NY to WY, demand bounce back (or lack there of) for oil, flashback to negative prices 1 year ago, the physicality of oil commodities, background on the oil markets, fly fishing, starting out at the JP Morgan desk, effects of COVID on the oil industry, alternative energy and electric cars, oil storage & capacities, and Cayler Capital’s continuing success. Chapters:  00:00-01:52=Intro  01:53-08:38=No Space & Plenty of Space  08:39-25:55=The Physical Oil Trader  25:56-40:15=Oil Goes Negative: One Year Later  40:16-01:00:30=The Cayler Models  01:00:31-01:11:05=Oil Inflation, Alternative forms of Energy & Drill/Collect  01:11:06-01:16:27=Favorites Follow Brent Belote on LinkedIn and Twitter and check out Cayler Capital’s website. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:16:27
April 22, 2021
Yep, She's Opening Up Option Eyes with NOPE It's Lily
*We apologize for potential audio issues with this episode – please see the transcript HERE or go to the episode blog on rcmalts.com to download.* NOPE - we’re not just going to be talking to our typical vol guest. NOPE – we’re not going over the usual trend following or strategy. NOPE we definitely (did) find today’s guest off of VolTwit. @nope_it’s_lily is Head Researcher at Salience Capital and the creator of NOPE (Net Options Pricing Effect), a proprietary metric used to measure the notional impact of options hedging on underlying liquidity. In addition to NOPE, we’re also talking with Lily about The Bay, PHDs, birth of NOPE from the market crash, Robinhood, GEX and squeezemetrics, bioinformatics and COVID-19, gamma, Salience Capital, and the future use cases for NOPE. Chapters: 00:00-02:04=Intro 02:05-11:45=Grad School & the Vaccine Pirate 11:46-27:28=Launching NOPE & The NOPE measurement 27:29-41:09=NOPE Products / Salience Capital 41:10-49:02=Liquidity in the Markets 49:03-53:25=What's next? 53:26-01:02:21=Favorites Follow along with Lily on Twitter and on her blog. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:02:21
April 15, 2021
Asian Markets, American Investments, & Accessing (Chinese) Futures with Alvin Fan of OPIM
We’ve said it before and we’ll say it again – the opportunities in the Asian investment landscape are nuanced, emerging, and incredibly attractive. But on top of the excitement around the opportunities, there’s also gated access and a general list of unknowns that can make investors think twice; so, in this episode we’re joined by Alvin Fan, CEO of OPIM to check off the list of questions and give you more clarity on investing in the Asian markets.  Today, Alvin is giving you the inside scoop on OPIM, alternative investment demand, health hacks, manager standpoints from Asia, cap intro events, E/W W/E investment opportunities, OPIM structure for investment opportunities, QFII updates, more hedge funds than Taco Bells, Chinese A-shares, futures markets in Asia, Clone Wars, growth of investor class, and the Asian investment landscape.  Sign up for OPIM’s Cap Intro event here. From the episode: Dell Stock Chart Chinese futures volumes getting big…like, a billion contracts big  And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, LinkedIn, and Facebook, and sign-up for our blog digest.  Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:29:10
April 8, 2021
eSports, ETFs, and Enormous Deals with the Sports Pomp, Joe Pompliano
The world of sports and finance have continually meshed together – and the Covid-19 pandemic has fast tracked that even further. Between the growth of analytics, to financiers making their way into the pro sports arena, I think we’re past a future where these two worlds will ever depart. Today’s guest is the culmination of these two worlds in one with the background (and family name) to prove it. Joe Pompliano, founder of Huddle Up – a daily newsletter breaking down the business and money behind sports – has joined us on The Derivative to talk about just that. We’re talking with Joe about his new venture – MVP ETF, team income sharing agreements, valuations ballooning, the billion-dollar athletes, analytics importance in sports & valuation, expansion teams, the entire Pompliano family, paying college athletes, hedge funds making their way into sports, growth of the eSports brand, and the beginning and expansion of the Huddle Up newsletter. Chapters: 00:00-02:21=Intro  02:22-12:36=A Fast Start with a Big Idea  12:37-21:19=The MVP ETF & Sports as Investment   21:20-41:54=Engaging the Fans, Expansion Losses, & Sports Revenue Impact from COVID  41:55-59:44= Athletes to Break a Billion & are they Worth the Payout?  59:45-01:18:47=Top Threads & Investing in Athletes  01:18:48-01:26:23=Favorites Follow along with Joe on Twitter and subscribe to his newsletter, Huddle Up, here. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:26:24
April 1, 2021
Making Market Music with Roy Niederhoffer with Roy Niederhoffer
How many families have two brothers who’ve been in the hedge fund game for 30+ years, much less on polar opposites of the long vol/short vol spectrum. We’re talking with the volatility loving, positive skew seeking brother in our episode today, Roy Niederhoffer. Roy is the founder and President of the eponymous R. G. Niederhoffer Capital Management, which has been coding, trading, analyzing, and investing in futures markets since before most of us had a future. We’re talking with Roy about 100-screen backdrops, delivering what’s best for the whole portfolio, not just the fund manager, crisis performance, predicting risk, short-term is the best “-term”, the start of RGN, jazz music, human bias (all the way to 100s of millions of years ago), superstars vs teamwork, the potentially huge difference between getting interest rate trend right and actually making money doing that, playing the lottery in reverse,  bitcoin/crypto performance in crisis, and building business around identifying similarities across asset classes. Chapters: 00:00-02:27= Intro 02:28-17:39=A Musical Dilettante’s path to Hedge Funds 17:40-29:19= Having a Short Vol Brother 29:20-49:20= The Flagship Strategy / My Job’s to Help the Whole Portfolio 49:21-58:11= Yield Curves, Bond Carry and Trend Following 58:12-01:11:28= Talking Sharpe Ratio’s, a Possible Rate Driven Crisis & Markets Moving Forward 01:11:29-01:17:21= Favorites Follow along with Roy and RGN on their website. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:17:22
March 25, 2021
Modeling Markets and Accessing AI with Robert Rotella and Jag Prakasam
When you hear news about artificial intelligence (AI), it might be easy to assume it has nothing to do with you. But if you use face recognition on your phone? Check. Google auto-fills your search bar? Check. And increasingly – the asset manager you may have managing your money is using some combination of machine learning and AI. Today’s guests were early adopters of that tech and applying it to trading algorithms. Jagdeesh Prakasam, Chief Executive Officer and Robert Rotella, Founder & Chairman of Rotella Capital Management have been in the game for a combined 50+ years. Today we’ll be getting into all the mechanics behind AI and Machine Learning as well as Robert’s beginning at Commodities Corp, mass customizing machine learning, how a lot can go right and a lot can go wrong in AI evolution, weak learners, early machine learning models, human bias in machine models, machine learning natural limits, systematic trend following, the balance of math and art in AI, Rotella’s models, and trying to stay on the leading edge of technology. Chapters: 00:00-02:39 = Intro 02:39-32:28 = Two Chemical Engineers Walk into the Trading World 32:29-48:16 = Rotella as a Whole 48:17-01:08:20 = Digging into the Models & Flight to Safety 01:08:21-01:18:10 = Q-Deck 01:18:11-01:35:15 = Machine Learning & A.I. 01:35:16-01:39:48 = Favorites Check out the COVID 19 charts mentioned in the podcast and follow along with Rotella Capital Management here. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:39:48
March 18, 2021
Taming the Tails with LongTail Alpha’s Vineer Bhansali
Forget fat tails, left tails, even tall tales. We’re going into extracting value from long tails of the distribution on the pod in this episode. Vineer Bhansali is a 29-year industry veteran, previously at PIMCO, a Forbes columnist, author of four books on finance, and is currently the founder and CEO of longtail alpha. In today’s episode, we’re talking with Vineer about abstract physics = finance, what constitutes a tail event, negative yielding debt, identifying outlier risks, option-based trend following framework, bond temper tantrums, the start (& current work) of LongTail Alpha, is it the monetization is getting quicker = shorter lived or is it shorter lived = quicker monetization?, figuring out the known unknowns of market nature, and including asset prices in inflation. Chapters: 00:00-02:23=Intro 02:24-17:33=Physics to Finance & Risky Recreation 17:34-35:06=Action in the Tails 35:07-42:09=Monetization 42:10-58:38=Negative Yield & Debt – How it Could End 58:39-01:12:06=Inflation Protection & Identifying Future Tail Events 01:12:07-01:01:18:23=Favorites Follow along with Vineer on Twitter and check out LongTail Alpha’s strategies here. Buy Vineer’s books here. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:18:23
March 11, 2021
Crazy Commodity Cycles (and cross-continent motorcycles) with Jim Rogers
The king of Commodities has entered The Derivative ring. You know his name, you’ve read his books, you’ve probably utilized his index, and now you’re listening to him in this most recent podcast episode. Jim Rogers is an American investor and financial commentator and was there at the start of the Quantum Fund and Soros Fund Management. In today’s episode, we’re talking with Jim about peanut sales, commodity supercycles, global debt reset,  creation of the RICI, reweighting for renewables, commodities vs commodity companies, Jim’s ability to identify the next world trend, Guinness Book of World Records, Chinese commodities, preferring shares of Google over Gold, potential of innovation outpacing demand, Hot Commodities 1998 vs 2021, cross country trips, probability of a Chinese supercycle, and Jim’s thoughts about the next bear market and market dislocation being the worst we’ve ever seen. Chapters: 00:00-02:02 = Intro 02:03-15:35 = An Extraordinary Background 15:36-39:57 = COMMODITIES: Indexes, Energies & China    39:58-59:27 = Money Printing, Simple Observations & Global Debt Reset 59:28-01:06:49 = Now & Then: Comparing & Contrasting Commodities 01:06:50-01:16:25 = Favorites Check out this list of Jim’s books (translated into many languages) and read up on all of his interesting stories here. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:16:25
March 4, 2021
The VOLvengers: Wayne Himelsein (Iron Man) & Mike Green (Captain America)
We’re bringing out the cake & ice cream for this pod because it’s The Derivative’s 1 year anniversary! If you’ve been with us since the beginning – you may fondly remember our inaugural episode The Human Behind The Hedge Fund with Wayne Himelsein. So, in today’s episode, we brought back Wayne, President and Chief Investment Officer at Logica Capital Advisers, and as a special anniversary bonus – his business partner Michael Green, Chief Strategist at Logica.  We’re talking with Mike and Wayne about running a hedge fund and helping clients through the trials and tribulations of 2020, the “two star” problem, Twitter fitting into the business model, straddling volatile calls, inception of the Iron Man (Wayne) and Captain America (Mike)partnership, dynamic of the macro overlay logic, value vs momentum, staying power of the Wall Street Bets model, COVID due diligence, and failure not being part of the Logica vocabulary. Chapters: 00:00-02:25 = Intro 02:26-22:44 = One Year Anniversary! 22:45-39:35 = Value vs Momentum – when the system needs to breathe / Noise Traders 39:36-50:45 = The Tony Stark/ Captain America Dynamic  50:46-58:58 = The Two-Star Problem 58:59-01:09:05 = Hard-Hitting Tweets 01:09:06-01:21:04 = Favorites Follow along with Mike (@profplum99)and Wayne (@WayneHimelsein) on Twitter and check out the Logica Capital Advisers website. Check out our past episode with Wayne here; and our past episode with Mike here.  And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:21:04
February 25, 2021
Playing like a Poker Pro in Life/Investments/Career with Chris Sparks
Talking this week with Poker Pro Chris Sparks on everything from game strategy to deciphering A.I. capabilities and catching bots. With Founder, CEO, and Performance Coach of The Forcing Function we’re taking it back to the beginning where we dive in with Chris about an interesting online alias “GoMuckYourself”, grabbing seats at poker tables in Vegas, exploring his latest paper “Play to Win: Meta – Skills in High Stakes Poker” and using behavioral science and system thinking to lead a new generation in the game and the investing world with Peak Performance Architecture. Chapters: 02:36-19:10 = Gambling for a Living 19:11-28:27 = Data is Power 28:28-50:37 = Playing to Win 50:38-59:00 = Sizing Bets & Catching Bots 59:01-01:13:34 = Peak Performance Architecture 01:13:35-01:20:20 = Playing the Investment World 01:20:21-01:32:34 = Favorites Read Chris’ Play to Win: Meta-Skills in High-Stakes Poker and his honorable mention to check out  Fortune’s Formula: The Untold Story of the Scientific  Betting System that Beat the Casinos and Wall Street Follow along with Chris (@SparksRemarks) on Twitter, and check out the forcingfunction.com website. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:32:45
February 18, 2021
Vol - Benn There, Done That with Benn Eifert of QVR Advisors
Why can't vol managers tell good jokes? Bad timing? Buh dum tsss. All jokes aside, we’re excited to be back talking Volatility on The Derivative with the Professor, the DJ, the Han Solo of Vol trading, the one and only Benn (with two N’s) Eifert. Benn is Founder and CIO of QVR Advisors and joined us to talk about VIX and options and the overall volatility space. We’re digging deep in this episode about matching hoodies, delta hedging driving gamma flows, hedge funds ability to be aggressive, quantimental approaches, big players & flow dislocation, what the VIX highs really mean, structural patterns in flows, tail risk vs absolute return, the force being out of balance, DJ D-Vol, retail call buying, QVR Advisors, institutional pension volatility sellers, FinTwit, and what professional vol traders are overlooking. Chapters: 02:40 = Friday Interview Questions, Good Seats, & Prop Desks 27:51 = QVR – Market Neutrality & Managing Tail Risks 49:29 = Players & Flow 01:11:31 = Are We Seeing a VIX Echo? 01:24:36 = Favorites Follow along with Benn (@bennpeifert) on Twitter, and check out the QVR Advisors website. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:31:27
February 11, 2021
The Bull and Bear Cases for Bitcoin with Meltem Demirors & Nic Carter
Bitcoin started the year with a bang, rising up above $41k before falling back into the 20ks, and settling in the mid 30ks lately. It was at $5k in March 2020! Yet it feels way different, and dare we say – less volatile – this time. How are we supposed to interact with bitcoin, how do you capitalize on the volatility, and where does it fit into investor portfolios overall? We have two big-time bitcoiners on with us today to go over it all – Meltem Demirors, Chief Strategy Officer at CoinShares, and Nic Carter, Partner at Castle Island Ventures and Cofounder at Coinmetrics. In this episode we’re talking about: finally not being the most volatile asset, bitcoin futures contract, crypto buyers jumping to options & vice versa, ethos of decentralization, your digital footprint, capturing volatility, risks in owning bitcoin, bitcoin as a trading game, adding bitcoin to your portfolio, is bitcoin too expensive right now?, the future of crypto regulation,  the bitcoin price ceiling, bear case of bitcoin, and whether the opportunities are in the coin or the peripheral services. Chapters: 02:14 = The Strange Digital World 16:32 = Backgrounds, Booms, and Busts 32:08 = The Next Iteration of Crypto & Bitcoin Nation 46:56 = Bitcoin as an Investment 01:06:10 = Defi, Crypto & The State of Bitcoin Success 01:23:04 = Favorites Follow along with Meltem at @Melt_Dem and CoinShares and with Nic at @nic__carter, Castle Island Ventures, and CoinMetrics. Here’s the Star Wars infographic mentioned. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:26:48
February 5, 2021
Wallstreet Bets Busts Wallstreet? WTF ^%$#
If you’ve been on the internet, watched TV, or talked to anyone outside of yourself in the past week and a half you can’t have missed it. GameStop stock ($GME) went from trading at a low of $3/share to +$400/share thanks to a masterful subreddit trolling from retail traders. And it’s not stopping at just GameStop, shares from Blackberry ($BB), AMC ($AMC), Express ($EXP) and Nokia ($NOK) are quickly following suit – and its leaking over into S&P futures and options. So how does this happen, why is it busting the billionaires, and how does it end? We’re joined by The Derivative veterans Cem Karsan and Kris Sidial to get the low down on all this and more in our newest WTF ^%$# installment, coving all things r/wsb, GME, gamma hedging, short squeezing, rates, AI, and even inequality. *BONUS SECTION: After the “official wrap up” we continued to riff a little, so make sure to stick around at the end for some additional Cem, Kris, and Jeff convo.* Get more information on the funds at Ambrus Group here and at Aegea Capital here. Chapters: 00:00-01:46 = Intro 01:47-15:54 = GAMMA, Risk, Flows & Squeezes 15:55-29:03 =Leverage cuts both ways 29:04-36:15 = How Does This End? More Sex? 36:16-53:24 = BIGGER, FASTER, BETTER 53:25-01:05:19 = Passive, Inequality, and Rates 01:05:20-01:21:28 = Final Thoughts Follow Kris (@Ksidiii) and Cem (@jam_croissant) on Twitter to keep up with all of this and much, much more. Check out our other WTF^%$# episodes here: No President Yet, So Market Rallies Huge What ^%$#?, Market Up/Vol Up, Market Down/Vol Down…WTF Episode, $TVIX gets Terminated – What^%$#, Crude Oil goes Negative… What^%$#. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:21:29
January 28, 2021
Wisdom from the Wizard Maker with Jack Schwager
Welcome to the Wizarding World of Market Wizards – and today’s special guest is head wizard who wrote the actual books on market wizards, Jack Schwager. Jack has written 6 books on the markets including his original: Market Wizards and the newly released: Unknown Market Wizards. In addition to his authoring (is that even a word?) Jack has served as a Director for futures research - meaning he knows soybean contract from a Spac. In today’s episode, we’re covering all things Market Wizard books, along with some fun conversation including Colorado, FundSeeder, favorite interviews, and more. Chapters: 00:00-02:00= Intro 02:01-15:45= Fundamental Analyst to Author 15:46-32:14= The Market Wizards Interviews 32:15-47:45= Unknow Wizards 47:46-01:00:26= You Can't Train Talent 01:00:27-01:14:57= Favorites & Words of Wisdom Purchase Jack’s books here including his new book: Unknown Market Wizards, and follow along with him on Twitter. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:14:57
January 21, 2021
Gold, Gas, and Global Inflation with Diego Parrilla of Quadriga Asset Managers
2020 was ruled by global macro events – are we looking at the same fate in 2021? Our guest today can talk not only global macro, but also volatility, bond yields, correlation, oil, metals and more. To ring in the new year we’re joined by Diego Parrilla, Managing Partner at Quadriga Asset Managers and Author of "The Energy World is Flat" and "The Anti-Bubbles.” Diego isn’t just a global macro manager, and in today’s episode we’ll be talking about Spain, quoting complex options, the switch from gas to renewable energy, Beckenbauer bonds, the double digital, inflation on inflation, what’s happening at Quadriga, soccer, becoming an author, sometimes it’s better to be vanilla, privatized inflation, and what’re we going to do with gold? Chapters: 00:00-02:24=Intro 02:25-17:48=Spain & Soccer 17:49-32:33=The Energy World is Flat 32:34-01:04:17=Inflation-on-Inflation vs Privatized Inflation 01:04:18-01:36:56=What’s Happening at Quadriga 01:36:57-01:39:15=Favorites Follow along with Diego on Twitter & LinkedIn and check out Quadriga on their website. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:39:15
January 14, 2021
Butler and Buck Back to Bookend 2020
We’ve already covered the first three months of 2020 with Part I of our 2020 review. We’re now heading into Part II with Jason Buck, CIO at Mutiny Fund and Adam Butler, CIO at ReSolve Asset Management discussing how the fall out of the first three months of 2020 dictated the ending 3/4 of the year. Tune into this next episode to hear more on the possible bond fallout, stimulus holding US markets hostage, the future of the traditional 60/40 portfolio, ReSolve’s Riffs, do deficits matter?, commodity’s role in inflation, “am I a socialist?,” technology improvements in commodity production, the Mutiny Podcast, and the VIX at all-time highs – and what that really means. Chapters: 00:00-01:44 = Intro 01:45-16:05 = Where do Bonds belong? 16:06-40:13 =(MMT) Acronym of 2020, Inflation & a Dystopian Outlook 40:14-48:12 = Why we NEED Commodities      in our Portfolios 48:13-52:37 = Back to the VIX 52:38-59:16 = Favorites Follow along with Adam on Twitter and LinkedIn, and with ReSolve on their websiteand their ReSolve’s Riffs series. Follow along with Jason on Twitter and LinkedInand with Mutiny Fund on their website and the Mutiny Fund podcast. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
59:16
December 30, 2020
2020’s Best Strategies, Styles, and Stories with Adam Butler and Jason Buck
2020 has been a year for the books – be it the fastest every market sell-off or a just as amazing tech rally from the lows. Whether you’re looking at it from a social/emotional/fiscal lens, it probably didn’t pan out the way you imagined based on your New Years Resolution. And in today’s podcast, we’re focusing out with the long lens to take a look back at the year that was 2020 to investigate what strategy types got it right, which got it very wrong, and more. We’ve brought on two of our favorite people in the space to add some vol/macro viewpoints to the conversation, Jason Buck, CIO at Mutiny Fund and Adam Butler, CIO at ReSolve Asset Management. To get rolling on part 1 of this 2-part series, we’re covering the early part of 2020 including: Early convexity through Jan/Feb, Cheap protection in the beginning of the year, How Corona blew up the markets in March, The craziest stats during the third week of March, Risk parity, Trend following & volatility strategy performances, The unbelievable rally that followed the crash, and The societal question of big corporations dictating the market. **Don’t miss out on Part II coming out on Thursday, December 31. Subscribe to us on Apple, Spotify, Stitcher, and/or YouTube to be the first to listen next week!** Chapters: 00:00-02:07 = Intro 02:08-21:27 = 2020: Pre-Pandemic 21:28-47:19 = The Third Week of March 47:20-53:40 = Let’s Talk Trend, Risk Parity, and Volatility 53:41-01:21:06 = The Rally Follow along with Adam on Twitter and LinkedIn, and with ReSolve on their website and their ReSolve’s Riffs series and the Gestalt University podcast. Follow along with Jason on Twitter and LinkedIn and with Mutiny Fund on their website and the Mutiny Fund podcast. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:21:07
December 23, 2020
Cover to Trend Legends Cover with Michael Covel
It’s hard to get too far into the words Trend Following without running into the name Michael Covel. If you’ve ever looked into the strategy type, his name is there. From speeches to his many books, the aptly named Trend Following Radio and his trend following twitter thread, Michael has been digging into the philosophy and people in and around trend following for nearly 24 years. And as our guest on today’s pod, we cover a large span of topics including: living in Vietnam, first COVID flight, market wizard to turtle traders, the Jerry Parker inspiration, great stories from legends like David Harding, Tom Basso, Ed Seykota, Mike Shannon; history of turtle trading, Michael’s array of trend books, Trend Following Radio, all-start guests, the different (unfair) standard for managed futures and trend following, trend following battles, what’s what of trend following, long vs short term trend following, the Chinese and Vietnamese markets, and becoming an investment personality. Chapters: 00:00-2:39 = Intro 02:40-10:56 = A life Abroad 10:57-26:19 = Move to Trend Following & Successful Author 26:20-46:39 = Legendary Stories 46:40-01:02:01 = Drawdowns & Figuring out the Philosophy 01:02:02-01:08:33 = What’s the Asia Investor Mentality? 01:08:34-01:12:49 = How New Managers can Navigate the Social Media World 01:12:50-01:26:20 = Favorites From the episode: The Whipsaw Song – Ed Seykota Get updates on Michael and his work by listening to Trend Following Radio, following him on Twitter and checking out his website.  Order his books: Trend Following, The Complete Turtle Trader, Trend Commandments, and The Little Book of Trading.  And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:26:20
December 10, 2020
Really? Real Estate? Right Now? with Matt Lasky and Darren Kottle
Many investors look at commercial real estate as a high-risk, confusing, and sometimes scary way to invest. Our guests today show us why this isn’t the case. From commercial real estate, to mortgage-backed securities, pandemic affects, and hedging risk, Matt Lasky of Equity LLC and Darren Kottle of Caddo Capital Management are on today to go through it all. Take a listen to learn more about private investments, hedging real estate with trading models, mortgage-backed securities, favorite investing books, levels of leverage, basic income effects on real estate, real estate debt, yield solo, deflationary periods, Maple & Ash, hedging fixed income, negative rates but not negative mortgages?, the future of large retail real estate, eating in the East Bay, and pandemic effects on future of real estate & mortgages. Bookmarks: 00:00-02:37 = Intro 02:31-27:23 = The current state of Real Estate and Lasting Effects of the Pandemic 27:24-40:40 = Is Another Stimulus underway? Inflation vs Deflation 40:41-48:23 = Malls: Quality of the Dirt 48:24-01:02:04 = The Ultimate Real Estate Hedge = Having Volatility Model 01:02:05-01:08:04 = Favorites Follow along with Matt on LinkedIn, Twitter, and the Equity LLC website. Follow along with Darren on LinkedIn or click here to learn more about Caddo Capital Management’s ACXIX fund. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:08:05
December 3, 2020
Overheard at a Vol Conference, breaking down EQD Global 2020
One of the leading volatility trading and derivatives investing events of the year wrapped up last month and we have lots of thoughts. From new vol dispersion products to  portfolio design, tail-risk management and structural vol; if it’s been a hot topic in 2020 – Global EQD covered it. We’re joined by Jim Carroll, Senior Vice President at Toroso Advisors and John Cummings, Director of Research at RCM Alternatives. There were sessions we agreed with, opinions from some of our favorite finfluencers,  and even some sessions that straight up made us scratch our head. So what was talked about by the likes of Benn Eifert, Chris Cole, Vineer Bhansali, PIMCO, the CBOE, and more?  Take a listen and find out. Chapters: 00:00-02:45 = Intro 02:46-14:21 = Quick Takeaways that Caught Attention 14:22-29:54 = Learning 2020s Lessons / Tail Hedge Protection 29:55-35:20 = Largest Risks for 2021 / What Possible Grenades could be Coming? 35:21-59:56 = Vol Strategies in a Mad World Follow along with Jim (@vixologist) & John (@cummingsjohnb) on Twitter, and make sure to keep up with the team at EQDerivatives (@EQDerivatives) so you don’t miss their next great event. Here’s the event page over at EQD = https://eqderivatives.com/events/global-eqd-2020 And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
59:56
November 27, 2020
The Mysteries and Makings of Machine Learning with Dr. Ernie Chan of QTS Cap
Does all this Machine Learning stuff really work? If it’s so good, why aren’t AI powered hedge funds printing money? And what is the difference between AI, machine learning, deep learning, machine trading, and more. Today’s guest is one that’s been at the center of the AI/MT/ML universe for over four decades. Ernie Chan runs a machine learning hedge fund at QTS Capital management, has authored 3 books – with the 4th on the way - and is the creator of PredictNow.ai. Ernie is joining us on The Derivative to talk about machine learning, decision trees, factors, and more factors, Niagara-on-the-Falls, bells & whistles becoming commonplace, Tim Hortons, the basics of machine learning, Les Miserable, ensemble approaches (diversification), classification vs regression, random forest techniques,  the merging of AI and Machine Learning, PredictNow.ai, supervised vs unsupervised learning, Harry Potter (instead of Star Wars), and the effects of machine learning on the market. Chapters: 00:00-02:45 = Intro  02:46-22:38 = Complicated Machine Learning - Going Back to Basics 22:39-38:45 = Basics of Machine Learning, ML vs AI + Unsupervised Learning  38:46-46:34 = PredictNow.Ai  46:35-01:06:07 = Take Us to QTS / You can Still Gain an Edge  01:06:08-01:10:46 = Favorites You can view and download Ernie’s QTS performance track record via the links below: QTS Capital Management, LLC. Tail Reaper, QTS Capital Management, LLC. QTS Partners, L.P. (QEP Only), QTS Capital Management, LLC. VIX Timer (QEP only), QTS Capital Management, LLC. (Chimera QEP only) Follow along with Ernie by checking out his published work, following him on LinkedIn, and taking a look at PredictNow.ai & the QTS website. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:10:47
November 19, 2020
Don’t Buy the Narrative (and It’s All Narrative) with Epsilon Theory’s Ben Hunt
Our guest today is somewhat of a modern philosopher, mapping out how the investing world sees the real world, while at the same time questioning his own place in that world and how he can change it for the better. Ben Hunt, Co-Founder of Second Foundation Partners and creator of the Epsilon Theory blog, joins us on The Derivative, offering up his fresh perspective and novel insights into market dynamics. Today, Ben is sharing his knowledge on identifying narrative patterns, how to be authentic in the hedge fund world, new trading strategies, living on the “farm” (depending on whose definition), starting a software company, Tom King comic books, models based on narrative research, the market being a bonfire,  returning investor $$, the beginning of Epsilon Theory, narrative maps, AI vs AP, the investing industrial complex, being authentic, FANG diminishing the narrative approach, aggregating N-95 masks & raising a million dollars for COVID, Ben’s affinity for goats, and the “game” of markets. Take a look at a few examples of Ben’s narrative maps of all articles published on CNBC website, Central Bank Omnipotence, and building the narrative machine. Chapters: 00:00-02:16 = Intro 02:17-27:55 = From a farm in Connecticut, Philosophy, to Figuring out “The Patterns” 27:56-51:40 = The Investing Industrial Complex, is the Market a Bonfire? Narrative Structure not Sentiment 51:41-1:03:28 = Dealer Gamma Hedging and Creating a Story 1:03:29-1:09:53 = N95 Masks - Let us feel Good about the world 1:09:54-1:15:39 =Favorites Follow along with Ben Hunt on Twitter (@EpsilonTheory), the Epsilon Theory & Second Foundation Partners website, and connect with him Twitter on LinkedIn. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer dedicated to the improvement of both the investment industry and human-kind through the lens of authenticity and morality – and for that, we tip our hats.
01:15:40
November 12, 2020
No President Yet, So Market Rallies Huge What ^%$#?
Votes are being counted, CNN and Fox are on 24-hour reporting cycles, and Tweets/FB Posts/Texts are still being sent out at lightening speeds. What happens if a winner isn’t announced for 2 or more days? What happens if President Trump remains in power? What happens if former Vice President Joe Biden takes over as POTUS? In today’s U.S. Election – What^%$# Episode we’re joined by Matt LaViolette, Founder & Principle at Breakout Funds, and Kris Sidial, Vice President at Ambrus Group talking about avoiding blue waves, election shell shock events, and volatility rallies. Chapters:  00:00-01:40 = Intro 01:41-21:23 = Backgrounds, Avoiding Blue Waves & Possible Shell-Shock Effects 21:24-35:38 = Are We in a World When Vol Rallies? Reflation? and Thoughts on Energy 35:39-49:09 = The Fed, Are They Out of Bullets? + Final Thoughts & Shocks Follow along with Kris Sidial on Twitter, LinkedIn, and The Ambrus Group website. Follow along with Matt LaViolette on his previous The Derivative episode, Twitter, LinkedIn, and the Breakout Funds website. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
49:10
November 5, 2020
Who Would Want to SELL Options, with Mark Adams of Warrington Asset Management
For every option buyer, there is a seller. The brave souls who are accused of picking up pennies in front of a freight train. But are they dumb? Crazy?  Or just better at timing the market than the rest of us? Understanding option strategies which involve collecting premium seems easy, but there’s way more that goes into this recipe. As Jeff Malec asked our guest in this pod “Give it to me straight, partner” (41:25 mark) in the world of options selling. Mark Adams, Assistant Portfolio Manager and Chief Quantitative Officer at Warrington Asset Management is here to break down exactly what means to be an options specialist and the struggles and successes of operating options-based strategies. We’re talking with Mark about Dallas Cowboys, Volmageddon, stock buying for COVID, FANG+ as part of the index, short gamma trades, free put options, moving from the Federal Reserve to Warrington Asset Management, short vol developing a short or long bias, equity replacement strats, top TX BBQ spots, where the market makers are hedging, explaining complex strategies to RIAs, and the biggest mistakes people make when selling options. From the episode: LJM – the autopsy blog. 00:00-01:42 = Intro 01:43-11:17 = Background Texas Bred to Internship turned Partnership 11:18-25:26 = Digging into the Fundamentals 25:27-47:34 = Volmageddon – Tactical vs Strategic 47:35-57:34 = Everything from Greek Indicators to Calls & Puts 57:35-01:00:01 = Terminal Breakevens 01:00:02-01:03:36 = Testing Strategies 01:03:37-01:11:04 = Favorites Follow along with Warrington & all of their funds at warringtonasset.com. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:11:04
October 29, 2020
Debunking Trend Following’s Dead Theories with Kathryn Kaminski
Is trend following too big? Can managed futures do it without the bond tailwind they’ve had for 30 years? Does globalization take away diversification? We’re debunking these trend following myths/truths (?) in today’s podcast – and today’s guest is ideal to take us through the ins-and-outs of these trend following theories. We’re joined by Kathryn Kaminski, PHD, CAIA, and Chief Research Strategist & Portfolio Manager at AlphaSimplex who has written the literal book and research papers on these theories and more. We’re also talking with Kathryn about AlphaSimplex, COVID puppies, the Nashville predators, diversifying across trends,  Dr. Andrew Lo, research papers & books, pure risk premium, crisis alpha, trend following “doesn’t work” theories, alternative data, being an MIT professor, homemade Swedish meatballs, risk/volatility targeting, and being an alternatives person in a stock town. 00:00-01:43 – Intro 01:44-13:18 = An Impressive Background with a touch of Sweden 13:19-35:03 = Alpha Simplex, Trend Models, & Crisis Alpha 35:04-53:19 = Debunking Trend Following’s Dead & Inflation Environments 53:20- 01:09:51 = Risk Targeting & 2020: A year in review 01:09:52-01:13:29 = Favorites Follow along with Katy on LinkedInand check out the AlphaSimplex website. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:13:30
October 22, 2020
Vol Curves and Vanna Charm with Cem Karsan
Today’s pod is all about word play playing into alternative investment. How does Jam Croissant relate to Cem Karsan? What about Vanna Charm and options definitions? Or the forever popular “there’s no such thing as a free lunch” evolving to “nothing is ever risk free”? To get together the definitions, explanations, and educated facts on all these nuances, we have FinTwit VIP & Founder and Senior Managing Partner of Aegea Capital Management, Cem Karsan. On top of alternative investment word witticism we’re also talking with Cem about how to actually pronounce Cem Karsan starting out as a market maker, Hagia Sophia, vanna informing trend following, buying options, twitter debates, Cem’s favorite jam & croissant, active to passive moves, the election pushing October, November, and December higher, how nothing is ever risk free, winner takes all mentality for market makers, market down/vol down market up/vol up, volatility retail call buying growth versus value, and all of the Greek/options definitions. Follow along with Cem on Twitter (@jam_croissant) and LinkedIn and check out Aegea Capital Management’swebsite. Chapters: 00:00-01:50 = Intro 01:51-14:04 =  A Globetrotting Background and the road to Aegea 14:05-30:06 = Market Makers Business Models 30:07-41:22 = Delta, Gamma, Vega, Vanna, Charm 41:23-52:55 = Playing the Players, Loving the Game 52:56-1:00:22 = Talking Aegea Capital & Getting an Edge 1:00:23-1:16:25 = Momentum vs Value, ProfPlum vs Jam 1:16:26-1:27:04 = Vol Surface & the Election 1:27:05-1:32:24 = Favorites And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:32:23
October 15, 2020
Super Storms, Mathematical Modeling, and Hurricane Hunting with Dr. Jeff Masters
With storms named Gamma and Delta making their way to US shores – we really couldn’t have timed this release better from a hurricane-content-meets-alts-investment podcast; it’s the: perfect storm (buh-dum-ch). Today’s guest is creator of Weather Underground and the Cat 6 blog, a person who has flown through an actual hurricane, and a whiz at modeling weather data in a way that us non-meteorologists can understand – Dr. Jeff Masters. In today’s podcast we’re talking with Jeff about hedging commodities based on storms, water futures contracts, the Cat 6 blog, historical context of extreme weather events, the transformation of weather modeling, heat output dissipating from WFH, fat tails based on 1-in-100-year events, economic fragility around climate change, hurricane Hugo, weather data inputs that matter, starting weather underground, Jeff’s upcoming book Eye of the Superstorm, hedge fund world catastrophe bonds, Jeff’s most dangerous storm experience, and the impact of COVID on weather modeling. Follow along with Jeff and subscribe to his content at Yale Climate Connections. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer Chapters: 00:00-01:29 = Intro 01:30-20:35 = Background, “The Final Flight”, & Weather Underground 20:36-32:19 = Building Weather Models 32:20-57:35 = Storm Financial Impacts, Catastrophic Bonds & Fat Tails ( It’s a complex system) 57:36-1:04:10 = Water Shortages & What We Need to Do 1:04:11-1:14:02 = Favorites
01:14:02
October 8, 2020
Bull Markets, Behavioral Biases, and Blogs with Baird’s Michael Antonelli
If men are from Mars and women from Venus, it often feels like stock/bond investors are from Earth and us Alternative Investment folks are from Vulcan.  We’re digging in with the Bull and Baird blog’s author and Baird market analyst Michael Antonelli to hear how the earthlings (aka wealth management clients) actually think about investments, direct from the guy who is serving up what a whole bunch of them read week in and week out. How is he explaining this crazy investment world to them? In this episode we’re talking about appetite for alts investments, fee-based advisors, institutional equity trading, Culver’s custard, Patagonia vests, Star Wars fan-boying, the world breaking, portfolio diversification, wealth management, Robinhood & FANG driving gamma, what the rest of 2020 looks like, Wisconsin badgers,  Baird in retail trading, “golden age” of options trading, gamifying retail trading, if bonds are a flight to safety, investor patterns, election volatility, pelotons, Milwaukee’s best brewery, & starting a blog & popular Twitter handle. Chapters: 00:00-1:41 = Intro 01:42-10:30 = Background, Blog & Baird 10:31-25:09 = Investments & the World Today 25:10-36:48 = Passive vs Active 36:49-49:48 = Fee Based Models & Talking Retail Traders of Robinhood 49:49-01:01:29 = The Rest of 2020, the Election & Moving into 2021 01:01:30-01:10:40 = Favorites Follow along with Michael on Twitter and LinkedIn, and subscribe to his blog Bull & Baird. & of course we said we’d provide Joe Biden’s ice cream/custard clip here. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:10:40
October 1, 2020
Sequencing, Skew, and (Option) Strikes with Hari Krishnan
We’re joined by option guru and author of ‘The Second Leg Down’ in this episode to talk through the real-time test of market crashes and volatility dynamics we’ve witnessed since February. Is our guest’s theory on volatility sequencing proving its worth in this environment of bigger VIX spikes, oil going negative, and retail trader flow? Hari Krishnan has all the insight on how to survive during volatile periods. Our conversation with Hari also includes: hobby jogging marathoning, basic income options trading checks, gamma driving prices, San Sebastian, selling unlimited retail, the gamma phenomenon, window dressing/skew/& monetization inside Hari’s strategies, Hari Krishnan cult movement, the new effects of VIX spikes, a broken fly, chaos theory,  panic options trading, if we actually saw a second leg, option selling accessibility for everyone, the temptation of selling options, hedge funds bailing on office real estate, fractals, and market crisis in stages rather than single events. Chapters: 00:00-02:01 = Intro 02:02-17:24 = Background 17:25-36:34 = The Rotation of Hedges 36:35-54:13 = Real-time Thesis Test & Broken Fly’s 54:14-1:07:44 = Is This the Golden Age of Options? 1:07:45-1:12:45 = Favorites Follow along with Hari on the SCT Capital Management website & LinkedIn, and read his book Second Leg Down. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:12:45
September 24, 2020
A Professor, Prop Trader, & Risk Manager walk into a bar, with Victor Canto
The “bar” we walk into in this episode is one that specializes in blending the unique flavors of beta and alpha, and our mixologists are Victor Canto, Chief Economist of Cadhina & Co, and Donn Stobierski & Jim Kleinops, the Founders and Managing Members at Black Bear Capital Advisors joining us to talk about convexity and rebounds, and adding equity to global macro. Today’s podcast delves into the Dominican Republic, the secret sauce behind how the tail works, the ability to stick with your beta, convexity risk profiles, Paso Fino horses, diversifiable risk, nimble strats taking advantage of regulations, US bonds going negative, modeling based on the election, a world defined by liquid assets, commodity trend inflation hedge, the poor man’s tail risk, the Boilermakers, volatility-based weighting, and the cost of risk mitigation. Chapters: 00:00-01:39 = Intro 01:40-14:39 = Background 14:40-34:00 = A Unique Investment Strategy 34:01-49:01 = What's responsible for the movement? 49:02-1:02:47 = The upcoming election & Sizing Volatility 1:02:48-1:10:05 = Favorites Follow along with our guests: Donn      Stobierski on LinkedIn,      Jim      Kleinops on LinkedIn, and Black Bear Capital on their website. Victor      Canto on Linkedin,      check out his book Cocktail      Economics, and connect with Cadhina      & Co. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:10:05
September 17, 2020
Market Up/Vol Up, Market Down/Vol Down…WTF Episode
So – what’s happening in the wide world of volatility? The market moved to new all time highs and the VIX actually went UP. The market then mini-crashed lower and VIX barely budged?  WTF indeed? Is it Robinhood traders?  It is market makers?  Is it sustainable?  To break it down we’re doing another of our WTF episodes, and are joined by two VOL pros, Matt Thompson – Managing Partner at Thompson Capital Management, and Pat Hennessy – Head Trader at IPS Strategic Capital to talk about volatility, VIX, and options trading inside the market dislocation. Chapters: 00:00-01:36 = Intro 01:37-31:46 = The VIX in the past month 31:47-46:11 = The Elevating of the VIX & The reasons behind the curve 46:12-54:47 = Strategy Impacts 54:48-1:00:05 = Where do we go from here? Follow along with Matt(@dynamicvol) and Pat(@pat_hennessy) on Twitter, and check out their websites for more info on their strategies at Thompson Capital Managementand IPS Strategic Capital. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:00:05
September 10, 2020
Canadian Commodities and Building Business with Tim Pickering of Auspice Capital Advisors
In today’s episode we’re pushing the boundaries of traditional alternative investments and getting into oil trading, trend following, and taking risks (both in business & with your strategy) with Lead Portfolio Manager and CIO at Auspice Capital Advisors, Tim Pickering. From trading shell oil to striking out on his own – Tim’s expansive experience in the alts world is about as big as the Canadian Wilderness he hails from. Today we’re talking with Tim about Lewis and Clark, Tim’s background in oil, willingness to fail, commodity market benefits, Canadian oil production, what a product suite entails, providing alpha and diversification as a trend follower, Canadian beer, striking out on your own, discovering new (profitable) ventures, Calgary rodeos, oils negative àrally movements, strategy evolution, Chicago or Miami, and Lake Louise. Chapters: 00:00-01:27 = Intro 01:28-25:47 = TD, Shell, Enron to Two Men & a Dog 25:49-53:36 = Trend Following, Commodity Volatility & Aspects of Momentum 53:37-1:18:49 = Focusing in on Auspice 1:18:50-1:23:02 = Favorites Follow along with Tim on Twitter and LinkedIn and make sure to check out Auspice Capital Advisors. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:23:02
September 3, 2020
Straddles, SVXY, and (Gamma) Scalping with Logica’s Mike Green
With a Top Gun-like bio of working with billionaires and big hedge funds, Michael Green is one of the top prospects in the alternative investment game. BUT, all we hear him talking about these days is his passive thesis, to the point where he jokes – that may end up on his tombstone one day.  We’ve heard all that elsewhere, so wanted to get into more – like what he has going on at Logica, if he loves straddles as much as Wayne Himelsein, how he views the current volatility landscape, his killer SVXY trade, The Princess Bride, adding fragility into the market, the tail wagging the dog, Coit Tower, Twitter business partners, opportunity cost vs covering the bleed, Zoom due diligence, and Gamma scalping. Chapters: 00:00-1:34 = Intro 01:35-38:01 = An Epic Beginning 38:02-58:54 = Talking Strategy 58:55-1:30:50 = Passive Investing, the Fed & What’s going on right now 1:30:51-1:35:54 = Favorites Follow along with Michael on Twitter and LinkedIn And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:35:54
August 27, 2020
Expect the Expected and Control the Controllable with Russ Rausch of Vision Pursue
We’re leaving the fire of hedge funds and jumping headfirst into the frying pan of……performance mindset? Yep, from pro athletes to pro traders, everyone needs a performance mindset, and  today’s guest founded his firm to help get those who need to perform, ready to perform. Russ Rausch (former Trading Technologies/Emil Van Essen exec) refocused his passion from the trading arena into training automatic thought and emotional patterns to improve; performance, resilience, and engagement to anyone from the Atlanta Falcons to Chicago prop firms. In today’s broadcast we’re digging in with Russ about Kansas life, how hedge funds influenced Vision Pursue, changing your thought pattern, working with big names from finance to the NFL, Balboa Island, highs and lows of the hedge fund business, expecting the expected, “coming across” neuroscience, background of Vision Pursue, controlling their controllable, the life experience test, paddle boarding, separate – embrace – evaluate, fish tanks, and how Vision Pursue can help you perform better. Chapters: 00:00-1:20 = Intro 01:21-14:44 = Background 14:45-30:59 = Transitioning & the Development of Vision Pursue 31:00-49:06 = Clientele & The Three Pillars 49:06-1:03:30 = The Takeaways from VP Training 1:03:31-1:08:32 = Favorites Follow along with Russ on LinkedIn and with Vision Pursue on Twitter, LinkedIn, and Facebook. Or – book Russ for your next keynote speaker or town hall here. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:08:33
August 20, 2020
Debt, Dollars, and Deficits with CME's Blu Putnam
It’s a job all in itself to be able to look at data – especially data that affects all of us on a daily basis – and be able to interpret that to make sense to yourself. Take that and have to turn it into something that makes sense to everyone else – well that’s a gift. And we’ve got the most gifted of them all joining us on The Derivative – CME Group’s Chief Economist Blu Putnam. We’re lucky enough to have Blu on today's episode breaking down all that’s going on in the craziness of what we’re living through in 2020.  We’re getting outside the charts and into the conversation surrounding sailing in the Chesapeake, the U.S. dollar trending, the future of technology and small businesses, inflation during and post-corona, fed funds rate to ZERO, effects of printing more money, “coordinated” monetary policy, the outlook on the remaining 2020 economy, gold rallies, the fed’s pandemic reaction, trading Bitcoin futures, signposts of inflation returning, and Blu’s favorite Chicago pizza – his wife’s. Follow along with Blu on Twitter and LinkedIn. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:10:39
August 13, 2020
Trend Following Turtle Tails (and Tales) with Jerry Parker
Legend time. We’re hearing straight from the mouth of well-known Turtle Trader – Jerry Parker – on this episode to talk all things trend following. Becoming a leading voice in the alternatives investment and trend following space – Jerry has turned his Turtle Trader experience into a trend following career (perhaps at the expense of some other things in life, as he mentions…) Join us for this talk with Jerry about new remote CTAs, the hidden gem of Tampa, the famous Wall Street Journal ad, what’s enough risk to make it work, pet birds, trading components instead of an index of components, fed limits on trend, volatility targeting, portfolio construction, trend following impatience, the lack of power in diversification, and trend following as an inflationary hedge. Chapters: 00:00-01:38 = Intro 01:46-12:12 = Background / Turtle Trading 12:18-23:34 = Diversification 23:41-40:16 = Risks of Trend Following 40:23-1:15:15 = Insight into Chesapeake / Trading Systems 1:15:22-1:22:15 = Favorites Follow along with Jerry on Twitter and LinkedIn and check out the Chesapeake website to learn more. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:22:16
August 6, 2020
Do Hedge Funds Suck? With Max Nissman, Olivier d’Assier, and Scott Treloar
We sat down with three different legs of the hedge fund stool who (feeling the currently hedge fund investment landscape is a bit broker) are partnering on bringing some disruption to the hedge fund space with a new platform/fund of funds approach to analyze and allocate to different strategies.  This three-way conversation touches on the perception that hedge funds suck in light of their stock market underperformance, and what investors can do about it. We’ve got Managing Member at Linnis, Max Nissman, Noviscient’s CIO, Scott Treloar, and Managing Director at AXIOMA, Olivier d’Assier. Are hedge funds outdated? Do they still provide the value that their known for? Are we being too hard and we shouldn’t “fix what isn’t broken”? Can AI help identify the poor performers. Take a listen. Follow along with our guests: Max Nissman on LinkedIn and the Linnis website. Scott Treloar on Twitter, LinkedIn, and the Noviscient website. Olivier d’Assier on LinkedIn Chapters: 00:00-01:50 = Intro 01:51-14:41 = Origins 14:48-29:21 = Hedge Fund Space 29:28-52:56 = Secret Sauce & A.I. 53:04-58:02 = Favorites And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
58:03
July 30, 2020
Seeking (VIX) Certainty with Certeza's Brett Nelson
In a #ThrowbackThursday of sorts, we’re bringing you an episode recorded pre-pandemic where we hit the road and traveled to Utah to interview the brain behind Certeza Asset Management, Founder and CIO – Brett Nelson. Brett is another guest deserving of the moniker VIXpert – having been trading the VIX since it first entered the game, literally trading VIX back when there were a few dozen contracts a day changing hands. We’ll be covering everything VIX (along with non-VIX topics) including: skiing in Salt Lake, pure volatility futures, being a math nerd, the left and right tail, 19 y/o quant financing, the Spanish pronunciation of Certeza, trading the VIX since inception, term structure, gaming the VIX, proprietary algos, and the best resorts in Utah. Follow along with Brett on LinkedIn and check out the Certeza website to learn more. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Chapters: 00:00 - 1:37 = Intro 01:38 - 17:20 = Background 17:26 - 30:18 = Genesis of Certeza 30:26 - 44:42 = The Strategy 44:49 - 58:18 = Term Structure 58:25 - 1:08:36 = Research/Strategy 1:08:44 - 1:15:40 = Favorites Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:15:40
July 23, 2020
BLNDX[ing] Trend Following and Global Equity with Standpoint’s Eric Crittenden
How do you get investors to stick with an asset allocation that’s good for them in the long term, but maybe doesn’t taste so good over shorter timer periods?  Today’s guest has designed a new mutual fund to attempt just that, giving investors the whole meal instead of letting them fumble around with the ingredients. Eric Crittenden, Co-Founder and CIO of Standpoint Funds joins us today to talk about Standpoint’s new $BLNDX fund. We’ll be getting into the weeds on this unique fund, as well as talking about Witchita State basketball, a zero sum game, 2,554 days of surfing, building Standpoint from the ground up, a “mystery asset class,” the new ETF dilemma, structural risk premia, losing money on purpose, open interest, a fundamental death of trend following, averaging correlations, moving in a mutual fund vs private funds, the antithesis of mutual funds, never playing golf, and Star Wars character Salacious B. Crumb.  and Follow along with Eric on LinkedIn and check out the Standpoint Funds website. And last but not least, don't forget to subscribe to The Derivative, follow us on Twitter, LinkedIn, Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:29:12
July 16, 2020
Why Charts and What Data with Sean Brown of YCharts
In today’s episode, we’re passing by all the players and calling in the head coach – the head coach of Ycharts that is. Sean Brown – CEO of Ycharts joins us to talk about how this FinTech SAAS focused company is helping investors and advisors make the complex easy, and the easy look good! Listen to the entire podcast to learn more about: Notre Dame vs Stanford, fundamental charts, a home chef’s best grilled cheese, Ycharts easy consumer interface, human support for a technical product, taking over Bloomberg, the Dave Portnoy Portfolio benchmark, adding COVID data streams, getting clean data (not from China), and what’s next for Ycharts. *Special for The Derivatives listeners – contact Ycharts& mention The Derivative, and you’ll get 15% *Valid only until 8/31/2020 Follow along with Sean on LinkedIn & Twitter, and follow Ycharts on LinkedIn, Twitter, Facebook, and the Ycharts website. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:04:45
July 9, 2020
5 Asia/China Focused Hedge Funds, 1 Podcast!
We recently wrapped up our virtual conference: “Capitalizing on China’s Growth: Opening the Door for Investors and Managers” where we had some great one-on-one interviews with hedge fund managers operating in Asia and live in mainland China markets, including futures. We pulled the best nuggets from each individual manager and mashed them into the ultimate pod on different strategy nuances across AI models, fixed income trading, stock picking A Shares, systematic trading of China futures markets, and more. Hear from the pros with boots on the ground in Hong Kong, Shanghai, and the rest of Asia – as they unpack tips and tricks for these unique markets. Podcast Chapters: 2:37: Stephan Zhou – Partner, Shanghai Mingshi Investment Management 18:21: Desmond How – Head of Fixed Income, GaoTeng 48:15: Michelle Leung – Chief Executive Officer, Xingtai 1:11:02:  Alison Zhao – Head of Business Development, AP Capital Management 1:29:07: Brent Belote – CEO & Portfolio Manager, Cayler Capital & if the mashup wasn’t enough, you can listen to the whole interview with each manager here:   Mingshi Investment Mangement  Gaoteng   Xingtai   AP Capital Mangement   JinZhiShang Strategy 21 (Cayler Capital) If you’re an accredited investor and you’re interested in having a one-on-one or group session Q&A with one of the managers below, register for OPIM Connect: Cap Intro Event. Register here. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:40:16
July 2, 2020
$TVIX gets Terminated – What^%$#
Similar to how we quickly grabbed some experts to discuss Crude Oil going negative, we grabbed some VIX experts as soon as the news hit this week that Credit Suisse was pulling the plug on one of the biggest VIX tracking exchange traded products. What will this do to VIX futures volume, liquidity, and the curve. What does this mean for traders and firms using these VIX products to tweak their exposure. Our guests today are two of our favorite VIX twitter follows Jim Carroll and Patrick Hennessy. In this episode, we’re talking about the differences between ETPs, ETFs, and ETNs, what Credit Suisse was probably thinking (Hint: RISK), how VIX futures will react, and who are the players that might fill this void. Follow along with: Jim Carroll on Twitter Pat Hennessy on Twitter Don’t forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
58:13
June 25, 2020
Noodling on Ensembles, Trend, & Convexity with Newfound’s Corey Hoffstein
Our guest today is the Co-founder & CEO of Newfound Research, host of the popular podcast Flirting with Models, and FinTwit “influencer” – Corey Hoffstein. In this episode, we’re talking with Corey about the impact of “data”, the juvenile meaning behind Flirting with Models, 1000s of flavors of trend, hitting the gym, the founding of Newfound, suicides in Ithaca, sticking to your strategy through investor unrest, alts vs equities firm, the value of managed futures, implementing an ensemble approach, the mismatch between expected and market convexity, is trend actually dead,  applying AI and machine learning – in alts & the world, and Corey’s favorite Boston restaurants. Follow along with Corey on LinkedIn& Twitter. Check out Newfound Research’s website & blog, and listen to Corey on his podcast, Flirting with Models. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:30:12
June 18, 2020
Allocating to Alts with RPMs Alexander Mende
In this episode, we’re flipping the script of our usual hedge fund manager and drilling down on the allocation side. Alexander Mende is a Senior Investment Analyst and Head of Investment Research at RPM Risk and Portfolio Management. We’re covering a lot of ground with Alexander including herd immunity in Stokholm, an allocator’s due diligence, billion dollar AUMs, picking managers with higher risk adjusted returns vs higher absolute returns, being a lead singer in a punk rock band, trend following from an allocator’s POV, fund rebalancing, and AI and machine learning in an allocator’s world. Follow along with Alexander Mende on LinkedIn, and on RPM’s website and LinkedIn. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:02:10
June 11, 2020
Navigating Market Volatility with CBOE’s Kevin Davitt, Wayne Himelsein of Logica Capital Advisers, Jason Buck of Mutiny Fund, and Bastian Bolesta of Deep Field Capital.
In this episode, we’re joined by a powerhouse group of volatility experts consisting of Kevin Davitt, Wayne Himelsein, Jason Buck, and Bastian Bolesta – moderated by our very own Jeff Malec discussing Navigating Market Volatility. Providing more than just witty banter, you’ll be listening to us talk about how crazy volatility was during March/April, why the VIX is more than just for tail risk, is it too late for long volatility protection, why straddles & strangles, what everyone gets wrong about options, and the volatility landscape looking ahead. Follow along with our guests: · Kevin Davitt on Twitter and LinkedIn · Bastian Bolesta on LinkedIn and the Deep Field Capital website · Jason Buck on Mutiny Fund Twitter and the Mutiny Fund website · Wayne Himelsein on Twitter, LinkedIn, and the Logica Captial Advisers website. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:17:29
June 4, 2020
Black Swans, Gray Rhinos, and Tigers..Oh My with Michele Wucker
The financial world seems to have a fascination with zoomorphism – the attribution of animal names, emotions, or intentions to non- animal occurrences like market shocks. Black Swans are the famous one, but there’s also been White Moose and Gray Rhino added to the lexicon. This episode we sit down with the creator of the Gray Rhino risk metaphor, Michele Wucker, author of Gray Rhino. In today’s episode we’re talking about what a gray rhino is (and why it’s spelled with an ‘A’), assigning probabilities to risk, what constitutes a gray rhino event, why we’re so bad at preparing for a known risk before it happens, studying actual rhinos in Africa, was/is Coronavirus a gray rhino event, a Chinese obsession with the book, cultural reactions to these events and tips for those aspiring to write a book of their own. Follow along with Michele Wucker on LinkedIn, Twitter, and her website and purchase the Gray Rhino here. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:14:18
May 28, 2020
Tagging a Value to Pro Sports Teams with Bob Reif and Josh Moscot of TAG
70 days without sports – seems unbelievable, right? The COVID-19 pandemic has affected us all in more ways than one, and while no sports for 2+ months is at the top of the “first world problems” list, it’s a void left unfulfilled for many people. So we were excited to take a new twist on the Alternative Investment road in today’s episode and talk sports; particularly professional sports team/eSports investing and team valuations. So to help us dive deep on this, we’ve got CEO, Bob Reif, and COO, Josh Moscot of The Audible Group (TAG), to talk about purchasing part of a sports team, LA surfing, Jerryworld, if the pandemic is good/bad for sports, Arnold Palmer as the GOAT, how in the hell eSports works, Wayne Gretzky trivia, what league comes back first, what happens to salary caps, and building a Quant factor model to value a pro franchise. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer Notes: · Follow along with Bob Reif and Josh Moscot on LinkedIn. · Check out The Audible Group on Instagram, LinkedIn, and their website. · Mentioned in pod: RCM-X podcast
01:15:37
May 21, 2020
Uncovering the Known Unknowns of the Pandemic with Chief Economist Blu Putnam, ReSolve's Rodrigo Gordillo, and Teza's Dan Deering
In today’s episode, we have a little different structure and three unique guests to bring a fresh twist on The Derivative podcast. Blu Putnam of the CME Group, Rodrigo Gordillo of ReSolve Asset Management, and Dan Deering of Teza Technologies join us to discuss the economic & strategy impacts of the COVID-19 pandemic. Listening today you’ll hear some of the craziest economic stats since the Great Depression, how markets and physics share phase shifts, oil going negative, rallying gold now vs 2007/08, ski shops selling bicycles, AI in the investment process, asset allocation & pricing, quant vs human advantages, and strategy pivots in the world of COIVD-19. Follow along with our guests: Blu Putnam on LinkedIn & Twitter. Dan Deering on LinkedIn and the Teza Technologies website. Rodrigo Gordillo on LinkedIn & Twitter and the ReSolve Asset Management website, along with some docs mentioned in the pod: ReSolve Pandemic Portfolio, Adaptive Asset Allocation Global Risk Parity with Macro Factors.pdf, The Pandemic Portfolio Podcast, & 12 Days of Wisdom Podcast.  And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:14:06
May 14, 2020
Tackling Trading Technologies and (lower case t) technology with Guy Scott of TT
Futures traders take clicking a price to generate an order on their PCs for granted these days, much less the instant delivery of every tick, order book data, and trade fills. How’s it all work?  How did it all used to work? In this episode we talk with Guy Scott of Trading Technologies about the early days of screen trading to the evolution of modern electronic trading, to what it takes to power the trading of hedge funds, trade desks, big banks, and the little guys, We’re covering professional volleyball, the early days of screen trading, trading volumes, the original order book view on trading screens, the evolution of electronic exchanges, Scottish rugby, optimal screen layouts, managing human error, the English countryside, international expansion, surveillance technology (the good kind!), and the future of Trading Technologies (the company) and trading technologies (the tech). Follow along with Guy Scott on LinkedIn, follow Trading Technologies on LinkedIn, Facebook and Twitter, and check out their website for more info. Show note highlights: Karch Kiraly & Marble Racing And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:12:50
May 7, 2020
Texas Style Trend Following with Salem Abraham
This episode’s guest, Salem Abraham, is a bit of a legend in the trend following/managed futures space, with his 30+ years of knowledge and experience making for some of the best stories in the industry (and one of our most entertaining guests to date). In today’s episode we learn more about tiny Canadian, Texas; how you have to noodles and red sauce if in a contest to make the best spaghetti, the turtle traders, the tourist boat capsizing in front of the nude beach, talking how low oil can go, being buddies with Boone Pickens, honeybees, sending the first ever computer-generated orders electronically to the CME, trend following (of course), apple salads not equaling fruit salads, bonds at zero, and pecan & apple orchards. Abraham Trading Company is a research-driven investment management company managed by Salem Abraham that now runs the Fortress Fund for endowments and institutional investors. Since 1988, Abraham Trading Company has managed alternative asset portfolios on behalf of families, individuals, foundations, endowments, and institutions. Check out Abraham Trading’s website, and follow along with Salem himself on LinkedIn. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:19:29
April 30, 2020
Valuing VIX and Volatility with Joe Tigay
VIX and volatility guru (who also sidelines as CBOE & CNBC contributor and an RIA and CFO) Joe Tigay is on our pod to share some nuggets of VIX and vol expertise with our listeners. In addition to vix & vol, we’re also talking about Michigan sports teams, the early days in the pit, Equity Armor’s four strateiges, SPX vs S&P, the risk behind options, Pequod’s pizza, trading volatility through EAVOL, negative return expectations, gamma scalping, panic selling, Moneyball, and poker to trading parallels. About Equity Armor Investments: Equity Armor Investments is a wealth management firm offering advisory services to both retail and institutional investors. Their goal is to provide superior risk-adjusted returns through effective and efficient risk management. EAI seeks to provide investors and institutions with low volatility consistent advisory solutions. Our products and strategies seek to reduce many of the convexity issues plaguing investors. Follow along with Joe Tigay LinkedIn and Twitter, and check out the four strategies highlighted in this podcast by visiting the Equity Armor website. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:14:07
April 25, 2020
Crude Oil goes Negative… What^%$#
Yesterday was a historic day for crude……and the trend continues today. With crude oil going negative for the first time ever. That’s right – May Crude Oil futures went to -$37/barrel. Essentially saying you would get paid $37 per barrel to own  this Oil. This has left seasoned, new, and non-futures traders scratching their heads wondering how something like this could even happen. We turned to two of the top energy guys we know – Emil van Essen of Emil van Essen, LLC and Brent Belote of Cayler Capital, LLC to get some expert opinions on how and why something like this has happened, and what the future looks like after this. In today’s episode we’re covering oil storage, whether anyone’s actually out there getting paid to own oil, very large tankers, whether brokers can even process negative prices, Russia vs Saudi Arabia vs US Shale, demand for oil, and will we ever get back to $100/barrel? Follow Brent Belote on LinkedIn and Twitter and check out Cayler Capital’s website & fund tear sheet; and follow Emil van Essen on Twitter and LinkedIn And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
47:59
April 21, 2020
Exchanging Intellectual Assets with $TAIL, $SYLD $GVAL ETF-icionado Meb Faber
In this episode we chat with an ETF creator, financial book author, and host of the popular Meb Faber Show podcast. We're talking with Meb Faber about Colorado sports teams, trend following, skiing vs surfing, farmland investments, interesting pod guests, how most asset managers are out of business already but don’t know it, how Meb invests his own money, IN-N-OUT orders, and naming ETFs as the last thread of creativity in investing. Meb Faber is a co-founder and the Chief Investment Officer of Cambria Investment Management, where he creates the investment process behind their ETFs and separate accounts. Meb is the host of a popular podcast and has authored numerous white papers and actual hold in your hand books. He is a frequent speaker and writer on investment strategies and has been featured in Barron’s, The New York Times, and The New Yorker. Mr. Faber graduated from the University of Virginia with a double major in Engineering Science and Biology. Follow Meb on Twitter and LinkedIn, check out his website & the Cambria Investments website, download his free books, and take a listen to his podcast. And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:29:23
April 17, 2020
The principles of VIX trading with Alex Orus of Principalium
In this episode we're diving deep into VIX futures and using that instrument to gain convexity in a portfolio, we chat with Swiss hedge fund manager Alex Orus of Principalium who have a three pronged approach to trading volatility as an asset class. Our topics include  Swiss country music, personifying your trading models, the volatility of volatility, Roger Federer, negative interest rates hurting Europe’s youth, Jeff’s pop-up helmet invention, the good old days (2010) in the VIX, and why convexity matters. Take a Listen! Principalium Capital AG’s Volatility Strategy operates across three facets of the volatility trade:  1. collecting the roll yield premium present in the VIX futures curve, 2. Positioning the portfolio for spikes in volatility during a market crash, and 3. Capturing the mean reverting properties of volatility. The strategy systematically adjusts exposure to these different concepts dynamically, by combining 25 different individual models on different time frames applied to each of the three facets. Follow Alex on Linkedin Follow Principalium Capital AG on Linkedinand check out their website And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:15:28
April 9, 2020
Trading Chinese Futures Markets with Abingdon Global
Chickity China the Chinese chicken futures. Between strict regulations, gated access, mainland-based employees, and more seemingly difficult roadblocks, the Chinese Futures Market can feel untouchable. But with abundant growth possibilities and highly volatile (= good for trading) markets, some firms are leading the charge in accessing this growing marketplace. In this episode, we talk with Fred Schutzman and Stephen Klein about their Chinese-launched Abingdon fund and dive deeper into liquid Chinese futures markets, NY sports alliances,  moving strategies into Chinese markets, testing systematic models, the best pizza places in THE city, Fiberboard futures, black metals, tricking dogs into volunteering, and the process of taking strategies live in a new marketplace. On top of their individual U.S. ventures, the team on the Abingdon fund has over 50 years of combined experience in managing portfolios, and for the China-specific ventures, they focus on a classical systematic multi model strategy with directional trades in futures grounded by technical analysis. Notes:  Technical Analysis of the Financial Markets: A Comprehensive Guide to Trading Methods and Applications Stephen Klein LinkedIn Donate to Village Care here Donate to Gilda's Club here And last but not least, don't forget to subscribe to The Derivative, and follow us on Facebook, Twitter, or LinkedIn, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
55:60
April 2, 2020
Trading Commodity Volatility – A Woman’s Perspective
Take a listen to our latest podcast to hear why we think trading in and out of different volatility regimes in the commodity markets “like a woman” is a big PLUS. We talk with Kimberly Rios, portfolio manager of the Catalyst Hedged Commodity Strategy Fund about: the CFHIX mutual fund, meeting Muhammad Ali, being a woman in the male dominated asset management world, where commodity option liquidity is, OJ and Nicole Simpson, why buy and hold commodity investing sucks, missing senior prom, seasonality in Corn futures, why female hedge fund managers outperform males, working the Sydney Olympics, and navigating high and low volatility periods with vol as an asset class. The Catalyst Hedged Commodity Strategy Fund seeks to provide positive returns in most market conditions with low correlation to the global equity and commodity markets by investing in dynamic option strategies using physical commodity futures contracts on Crude Oil, Gold, and Corn. Trades focus on volatility, seasonality, technical analysis and price; rather than attempting to forecast where the markets will be in the future. Episode Links: Catalyst Hedged Commodity Strategy Fund page Catalyst Funds Twitter Catalyst Funds LinkedIn Kimberly Rios LinkedIn and email RCM blog post “Asset Class Scoreboard: The Decade” And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:01:47
March 26, 2020
Capturing the Global Sell-Off with Bastian Bolesta of Deep Field Capital
This timely episode gets into just what kind of investment strategy you would have needed to have to capture the huge down move in markets recently and huge spike up in volatility. We talk with Bastian Bolesta, founder and CEO of Swiss-based hedge fund Deep Field Capital, about: designing and implementing effective tail risk strategies, how most of the sell-off has happened in overnight hours, paddle boarding on the Hudson River, whether the “boy” is controlling the machine or the “machine” controlling the boy, Red Cross founder Henry Dunant, the theoretical upper bound of the VIX, squashing the sombrero, and of course…the Coronavirus/COVID-19 pandemic. Deep Field Capital AG is a purely systematic shop based in Zug, Switzerland trading highly reactive intraday and short-term systematic programs in global futures and equity markets with a positive skew, convex profile in a top-tier institutional setup. They also run a Volatility Arbitrage strategy composed of four different “pillars”: Calendar spreads in the VIX VIX/SP spreads Intraday capture in equity indices Intraday capture in VIX futures Note: If you want to skip straight to strategy/market talk, fast forward to 34:37. Links: Deep Field Materials Deep Field Capital: Quantitative Intraday and Short-term Trading Solutions Deep Field LinkedIn Contact Deep Field Books The Invention of Hugo Cabret Book The Behavioral Investor by Daniel Crosby       And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:37:38
March 19, 2020
Crypto & Bitcoin Lending with Tom Anderson of Drawbridge Lending
A little different than our usual “hedge fund strategy manager” we chat with Tom Anderson – journalist turned trader turned broker turned entrepreneur – who is now President and Chairman of the Board at DrawBridge Lending; a Chicago fintech company focused on lending in the digital asset space. We’ll be talking about loans against crypto and Bitcoin – covering both sides of the (proverbial) coin with lender and investor needs – risk-based financing, “tape recorder Tom”, why having more kids increases your opportunities to live in Australia, crypto term definitions (cold storage, hot walls, custodians,…), and how to access the Bitcoin and crypto space. DrawBridge Lending is a digital asset management company coordinating USD loans on a blockchain, and protecting borrower assets and lender capital using a third-party, qualified and insured custodians, and advanced risk management strategies [video explainer here]. Touted the “next evolution for lending”, DrawBridge is a entrepreneur in the crypto/Bitcoin lending space with low risk and easy access, designed to avoid the hassle of margin calls, hidden fees, and high rates. Episode Links DrawBridge Lending Website DrawBridge Twitter DrawBridge Facebook DrawBridge LinkedIn Tom Anderson LinkedIn And last but not least, don't forget to subscribe to The Derivative, and follow us on Twitter, or LinkedIn, and Facebook, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:06:32
March 12, 2020
Asset Allocation, AI, and the Alpha Process with Resolve Asset Management
We sit down with the three Canadian founders of Resolve Asset Management to talk zebras walking amongst horses, mid-frequency trading (move over HFT), how the Chicago Bears don’t add Alpha, extracting structural market flaws, low carb diets, regulatory and structural arbitrage,  Peru and the Shining Path terrorist group, orthogonal carry, fasting,  winning the content game, and economic reasoning to appease the complex thinker. Resolve Asset Management is a systematic asset manager out of Toronto focusing on unique and advanced ways of implementing global asset allocation. They operate managed account, private funds, and a mutual fund (RDMIX); using varying automated investment and allocation strategies; including flavors and ensembles of trend following, carry, seasonality, skewnewss, behavioral arbitrage (think trading around a big fund needing to rebalance at end of quarter), and AI/machine learning informed “alpha buckets”. Episode Links:  Rodrigo Gordillo Twitter & LinkedIn Adam Butler Twitter & LinkedIn Mike Philbrick Twitter & LinkedIn Gestalt University Podcast Resolve Website Rational/Resolve Adaptive Asset Allocation Fund  And last but not least, don't forget to subscribe to The Derivative, and follow us on Facebook, Twitter, or LinkedIn, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
55:43
March 4, 2020
Staging a Market Mutiny with Jason Buck and Taylor Pearson of Black Pearl
In this episode exploring the many facets of long volatility and tail risk exposure, we pick the brains of the founders of the Mutiny investment program, which invests in half a dozen VIX and volatility trading programs in a multi-manager, multi-strategy approach. Our topics include why the whole world is short vol, If squirrels and deer are the natural buyers of forest fire insurance, why Jason hates sports, debit card investing, the interesting idea of an entrepreneurial put option, and what in the world a Brazilian SuperBowl champion is. Enjoy! Black Pearl’s Mutiny investment program is an ensemble approach focused on providing investors tail risk protection across three different buckets of volatility exposure: Volatility Arbitrage, Straddles/Strangles, and Short Term Down Capture.  With each bucket containing its own ensemble of multiple investment managers focused on providing convex returns during a market sell off, with an eye towards limiting the bleed. Jason Buck: Email; Taylor Pearson LinkedIn, Twitter, Book: The End of Jobs, & his blog. Mutiny Website & Podcast. And last but not least, don't forget to subscribe to The Derivative, and follow us on Facebook, Twitter, or LinkedIn, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
01:39:38
February 27, 2020
Decoding Execution Algos with Joe Signorelli & David Don
This episode dives deep into the math and people behind what most people take for granted or don’t even know they need to improve their trading – execution algorithms. We cover Orlando as a favorite vacation spot (What&^%),  what/who is a quant, working with students at Notre Dame, UCLA, and Illinois, how even a slow trader can benefit from fast execution, algos named Prowlers, Snipers, Leggers, and….R2-D2 as a vacuum cleaner. RCM-X is a trading technology and risk management services company, and as you might guess from  the name, a subsidiary of RCM Alternatives. We sit down and chat with their top two people - Joe Signorelli, RCM-X Managing partner, and David Don, COO/Head of Algorithmic Trading – and dive into the background of RCM-X, what execution algorithms really are, how they're implemented in modern day trading firms, and why they're important for more firms than you might think. We also discuss the RCM-X University program, which is a cool way this innovative group is bridging the gap between academia and professional trading firms to help build a solid base of future talent of the industry through top college programs. How to follow along with RCM-X: RCM-X website, Twitter, & LinkedIn Joe Signorelli LinkedIn & Contact David Don LinkedIn & Contact And last but not least, don't forget to subscribe to The Derivative, and follow us on Facebook, Twitter, or LinkedIn, and sign-up for our blog digest. Disclaimer: Due to industry regulations hosts and participants will not discuss any company funds on this podcast. All opinions expressed by podcast participants are solely their own opinions and do not reflect the opinions of RCM Alternatives or any of their affiliates. This podcast is for informational purposes only and should not be relied upon for investment decisions. Visitors should not act upon the content or information found here without first seeking appropriate advice from an accountant, financial planner, lawyer or other professional. For more information, visit rcmalternatives.com.
01:04:43
February 4, 2020
The Life of a Discretionary Trader with Breakout Funds’ Aaron Larkin & Matt Laviolette
This fun conversation talks with two guys who have chosen a life of monitoring the markets on a near real-time basis, covering serious strategy components, as well as whether a Bulls game or trading Asian markets overnight is more fun for a trader in their 20s, trading Trump tweets, what ‘you can’t lose money’ actually means, Indiana Hoosier basketball, going from global war to blooming peace in 45 minutes,  and being a dinosaur Breakout Funds is one of the more unique strategies that we collaborate with as they focus on being a bit more discretionary, more short-term, and approach the market with more convexity than your average manager - sometimes leading to interrupted vacation time. Aaron Larkin, CEO & Co-Founder, and Matt Laviolette, Founder, CIO, & Principal of Breakout Funds join us on this episode to discuss their backgrounds and how their unique approach works. Follow along with the Breakout Fund team through LinkedIn with Aaron Larkin & Matt Laviolette and the Breakout Fund website.  And last but not least, don't forget to subscribe to The Derivative, and follow us on Facebook, Twitter, or LinkedIn, and sign-up for our blog digest. Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer
48:07
February 4, 2020
Wayne Himelsein: The Human Behind the Hedge Fund
Wayne Himelsein is a hedge fund manager, President, and Chief Investment Officer at Logica Capital Advisers. Beyond that Wayne is a 25-year veteran in the trading space, and we're talking about hedge funds, his quantitative investment strategies, and even his own non-profit, Informed-by-Nature.  On this episode we're covering the oddity of a volatility trader living somewhere where there is no volatility (in the weather), reading the world’s longest book, hoping this is the big one when your car is in midair, J-Curve the rapper, and overpaying by 1000% for out of the money options. Make sure to follow Wayne on Twitter and LinkedIn, and check out the Logica Capital Advisers and Informed-By-Nature.  Don't forget to subscribe to The Derivative, and follow us on Facebook, Twitter, or LinkedIn, and sign-up for our blog digest.  Disclaimer: Due to industry regulations hosts and participants will not discuss any company funds on this podcast. All opinions expressed by podcast participants are solely their own opinions and do not reflect the opinions of RCM Alternatives or any of their affiliates. This podcast is for informational purposes only and should not be relied upon for investment decisions. Visitors should not act upon the content or information found here without first seeking appropriate advice from an accountant, financial planner, lawyer or other professional. For more information, visit rcmalternatives.com.
54:06
January 27, 2020