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/biz/ - Business & Finance

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19653039 No.19653039 [Reply] [Original]

How do you cope with a
-21.5% dip in portfolio.

>> No.19653048

by jerking off to feet, ideally korean

>> No.19653058

>>19653048
This
>>19653039
And buy more

>> No.19653063

You must be new here. Come back when you're getting liquidated every week, kid.

>> No.19653089

>>19653039
You done fucked up, kid
Think of it as a learning experience. Some people just arent meant to be investing.

>> No.19653112

>>19653039
OG here. I’ve suffered +80% dips three times so far. 21.5%? Yawn.

>> No.19653128

>>19653039
I don’t know, how do you cope with a Tuesday?

>> No.19653240

>>19653089
Everyone is meant to me investing.
some (most) people aren't meant to be trading actively though.

>> No.19653482

>>19653039
I had 50% portfolio.
Naturally 20% is a joke for me

>> No.19653568

>>19653039
you'll feel right at home here

>> No.19653584

>>19653039
by studying the LOKI fundamentals
I am unwavering

>> No.19653996

>>19653112
this

>> No.19654026

>>19653039
just be patient and don’t sell at a loss

if you aren’t confident enough in a trade to ride it to $0, you probably shouldn’t be making it in the first place

>> No.19654039

>>19653039
buy more stocks

>> No.19654122

>>19653039
My portfolio is constructed entirely under the rule of the Kelly criterion.
No regard is payed to variation or metrics like Sharpe ratio because they are meaningless.
A Kelly optimal portfolio will have much higher growth rate and a much higher variance than a Sharpe/Markowitz optimal portfolio.

Portfolio value falling will result in me having adjust almost all my positions because they are a fraction of the total.

>> No.19654291

>>19653039
If you are not leveraged and you are still convinced by your positions ride it out. If not sort out and sell losers.

>> No.19654325

>>19653039
>>19654122
Oh, I forgot to make my point.

I have a system responsible for prediction, the output is a probability distribution for each instrument, for a few different time scales. (Ignoring the portfolio/position sizing system for now.)
So, I find myself in a situation where my portfolio has lost a lot of money. What is my action from here?
It's possible this was entirely within the prediction of my model.
I constantly test statistical significance of my model. I haven't had a drawdown yet which said my model was wrong.

If my model ever becomes statistically significantly wrong, then the new data will be incorporated and the model retrained.

Though this method is quite risky because because of the high degrees of freedom of my models, it takes a lot of data to prove statistical significance. I may end up holding a view for far longer than I should.

>> No.19654461

>>19653039
Buy more

>> No.19654970
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19654970

ooops i guess i meant - 30% haha...

>> No.19655009

>>19653039
I've taken 75% losses. I get stoned, think about how I fucked up, think about how I would react now knowing what I know now, then I go back to trading

>> No.19655094

>>19653039
If you need to 'cope' with some bullshit like that you need to get out of this game.

>> No.19655106

>>19653039
By not being a brainlet and investing in RSR. And I'm 20% up btw, cope