Thu, 28 December 2017
Anthony Saliba, an original Market Wizard, was first on episode 107. On that episode, we mostly discussed Tony’s life as a trader and related subjects. But one area we didn’t get into too much, was his life as a parallel entrepreneur and an investor.
So, I mentioned to Tony, this time around, it’s something I’m keen to hear a lot more about. Because his success extends far beyond trading alone…
For example; LiquidPoint, an options execution and technology firm which Tony founded, was acquired in 2007 for a sum of mid nine-figures. He’s also invested in upwards of 100 companies—in a whole range of sectors, owns a golf resort, shopping centers and other real estate. And that’s not all.
The underlying theme throughout this episode is not how to become a better trader, but how to build generational wealth!
Direct download: 155__Anthony_Saliba__The_trader_s_guide_to_building_generational_wealth.mp3
Category:trading -- posted at: 7:22pm EST
Fri, 15 December 2017
Andreas Koukorinis lives in London and in 2013 he co-founded Stratagem Technologies—a tech startup using AI and machine learning to trade sports as a financial product. These sports predominately include; football, tennis and basketball.
But for Andreas, his roots are in trading instruments and markets that most of us are more accustomed to. He’s worked for the likes of Morgan Stanley and Deutsche Bank, and before Strategem came to be, he was trading at DeepValue.
From listening to this episode, you’ll soon notice that Andreas is passionate about applying rigorous trading principles to nascent markets, as well as the broader applications of AI as a technology.
Direct download: 154__Andreas_Koukorinis__When_a_quant_trader_enters_the_world_of_sports_betting.mp3
Category:trading -- posted at: 5:48pm EST
Thu, 7 December 2017
Xiao Qiao is a research analyst for a Connecticut-based hedge fund, focused on trading commodity futures. He graduated with a PhD in Finance—and was a teaching assistant to renown economist Eugene Fama.
Notably, Xiao has also worked directly with trading legend Blair Hull on two quantitative research projects, which concern market timing and return predictability.
The main objective of this episode with Xiao, is to learn how a research analyst thinks about things directly related to research, and ways that you can do better market research for yourself.
On top of this, Xiao, based on his experience, shares a few tips for those who have an urge to study something—but are unsure about what to study, and some of the differences he's observed between the world of academia and working as a practitioner.
Direct download: 153__Xiao_Qiao__Research_analyst_shares_practical_ways_to_do_better_research.mp3
Category:trading -- posted at: 2:04am EST
Thu, 30 November 2017
Kory Hoang is not a veteran trader—he’s not someone who has been doing this 10-20 years. He’s someone who has been doing this for only a few years, yet he’s begun to make decent gains on his trading capital.
Kory is also not a full-time trader …well, at the time of recording this—a few weeks ago—he wasn’t! Kory was a private equity analyst for Pitchbook, who traded on the side. But he’s since informed me that he’s handed in his notice and taken the leap to focus on trading (plus a couple startup projects).
In terms of how he trades; Kory is a retail systematic trader. He’s running numerous algorithmic strategies, which he’s developed (all of which are fairly simple). These run on various ETFs, ETNs and even some cryptocurrencies.
During our chat, we cover quite a bit; but mostly his journey and how he’s progressed to this point!
Direct download: 152__Kory_Hoang__A_beginners_foray_into_part-time_systematic_trading.mp3
Category:trading -- posted at: 6:16am EST
Thu, 16 November 2017
Rick Lane is the current CEO of Trading Technologies—a software provider that develop high-performance trading platforms which are used by; proprietary traders, hedge funds, CTAs, brokers and banks etc.
The reason why I asked Rick to appear on this episode is because, as we know, not everyone is cut out to be a trader. And that’s fine! I’d like to highlight, there are many other roles in the world of trading where you can have a great impact by leveraging skills which you may have already attained…
Prior to teaming up with his cousin, a large interest rate trader, who anticipated the inflection point of automated trading, Rick was modelling combat scenarios for the military and he also did a short stint at Google as a product manager.
Direct download: 151__Rick_Lane__Perspective_from_a_trading_technologistattacking_unique_problems.mp3
Category:trading -- posted at: 3:53pm EST
Wed, 8 November 2017
Following on from Episode 149, here’s part two of the interview with Aaron Brown.
To refresh your memory, Aaron is highly regarded as an authority on the subject of risk taking. For the past 30-years he’s worked as a dedicated risk manager, and for the past decade, Aaron was the risk manager for renown quant fund, AQR.
Coming up on this episode, you’ll gain deeper insight to how you can better understand and manage risk for yourself—we go over: Questions traders should be asking themselves, how to leave less money on the table, high win rate verse low win rate strategies, black swans, killing opportunity while trying too hard to prevent disaster. And that’s certainly not all!
Direct download: 150__Aaron_Brown_Pt._2__A_lesson_in_risk_takingwith_the_former_risk_manager_of_a_200B_fund.mp3
Category:trading -- posted at: 6:25pm EST
Wed, 1 November 2017
Aaron Brown is highly regarded as an authority on the subject of risk management. Although he originally started out as a poker player and sports bettor (then a trader and portfolio manager), for the past 30-years Aaron’s been a dedicated risk manager. And for the past 10-years, he was the risk manager for quant fund, AQR.
Aaron has also authored several books (ranging in topics from poker to finance and risk), contributes to Bloomberg View and writes a column for Wilmott Magazine.
On this episode, part one, we talk about: Aaron's early days playing poker, unconscious influences on decision making, the goals and objectives of a risk manager, how Aaron managed the quant equity crisis of August 2007, and much more too.
Direct download: 149__Aaron_Brown_Pt._1__A_lesson_in_risk_takingwith_the_former_risk_manager_of_a_200B_fund.mp3
Category:trading -- posted at: 7:42pm EST
Wed, 25 October 2017
John Grady is an independent futures trader from Florida, who primarily trades Treasury bonds. His trading is purely discretionary, based upon his read of order flow. Essentially, he’s a scalper.
Throughout this episode we talk all things order flow; the basics, the value of an order book, some of John’s trading methods, order types and managing positions, how to build skill at reading order flow, as well as, the impact of HFT and what’s commonly known as spoofing.
Direct download: 148__John_Grady__The_order_bookwhat_traders_must_know_about_supply_and_demand.mp3
Category:trading -- posted at: 8:22pm EST
Wed, 18 October 2017
Dr Thomas Starke is a Physics PhD who once designed microchips, worked as an engineer for Rolls Royce and lectured at University of Oxford, before applying his know-how of modelling to financial markets…
As a trader, Thomas has contracted to various funds and up until recently, he was a Quantitative Developer at a well-regarded Sydney prop trading firm.
Thomas was great to chat with—not only did we talk about things related to quant trading, strategy development and robustness, but also his infatuation with disruptive technologies; artificial intelligence and quantum computing.
Direct download: 147__Dr_Thomas_Starke__Detective_work_leading_to_viable_trading_strategies_and_the_rise_of_AI.mp3
Category:trading -- posted at: 9:08pm EST
Wed, 11 October 2017
On this episode, I’m joined by three traders from a data-driven, options trading, performance based fund, Blackpier Capital…
Ryan Moffett, the Lead Investment Manager—and a prior guest on Episode 83. Tyler Michalove, who plays a key role in trade execution. And Wayne Klump, who heads up research and strategy development.
We discuss mentoring, the benefits of working in a team, the upside to trading options, the unique edges which can be gained from the multiple dimensions inherent to options, an example of how options could potentially improve an existing strategy and plenty more.
Episode sponsored by TradeStation – A trusted online broker geared towards active traders. Discover the benefit’s of trading with TradeStation: tradestation.com/traders
Direct download: 146__Ryan_Moffett_Tyler_Micalove__Wayne_Klump__When_trading_becomes_a_team_sport....mp3
Category:trading -- posted at: 7:24pm EST
Wed, 4 October 2017
Here’s the first episode in the history of Chat With Traders podcast, where I don’t have a guest with me. That’s because, this episode is the recording of a talk I gave at Noosapalooza 2017—a trading conference hosted by Nick Radge, here in Australia.
Throughout the talk I pull upon many lessons and snippets of wisdom which have been learned through conversations here on this podcast. So, I’ve appropriately titled the talk; Six Ways to Emulate Talented Traders…
Sponsored by Scoop Markets: Use a powerful algo to analyse 1000’s of tweets every second—identifies breaking news, before it breaks → Learn more
Direct download: 145__Aaron_Fifield__Six_ways_to_emulate_talented_traders.mp3
Category:trading -- posted at: 9:24pm EST
Thu, 28 September 2017
Since 2013, Tim Steenstrup has been a cross-border arbitrage trader at Conventus Capital. Though markets have been a part of his life going back to 1994; Tim’s been part of a brokerage firm in Japan, a hedge fund—which was featured in The Big Short movie, and a prominent New York trading firm.
As you’ll soon hear, we skim through Tim’s backstory and then spend a large part of this episode going into the mechanics of how a cross-border arbitrage strategy works. Tim does highlight, this strategy may be difficult to implement as a retail trader, but regardless, I think it’s valuable for you to hear about the various approaches of how professional traders trade…
Episode sponsored by TradeStation: A trusted online broker geared towards active traders. Discover the benefit’s of trading with TradeStation.
Direct download: 144__Tim_Steenstrup__Learn_an_arbitrage_strategy_used_by_professional_stock_traders.mp3
Category:trading -- posted at: 11:05am EST
Wed, 20 September 2017
You’re about to hear a first-hand account from someone who’s been on a wild ride through the U.S. justice system. My guest is Michael Kimelman; a former prop trader and hedge fund manager who was convicted (and served time) for insider trading…
You’ll hear about the series of events leading up to his arrest, details about the trial, revelations of a rogue judge and the dim reality of life while incarcerated.
If you get through this episode and you’re curious to know more, then you might be pleased to know Michael has also written a book—the title: Confessions of a Wall Street Insider: A Cautionary Tale of Rats, Feds and Banksters.
Direct download: 143__Michael_Kimelman__Convicted_of_insider_tradingfrom_suburban_life_to_prison_life.mp3
Category:trading -- posted at: 7:43pm EST
Wed, 13 September 2017
It was exactly 100-episodes ago when I first had Bert Mouler on the podcast. This week, I’m joined by him again for a second interview…
Bert is an algorithmic trader with a serious focus on machine learning. His trading decisions are driven purely by data, and he goes to great lengths to remove human bias and flaws through the use of automation.
So, coming up over the next 60-minutes or so, you'll hear about:
While listening, I encourage you to keep an open mind and mull over Bert’s creative thoughts!
Direct download: 142__Bert_Mouler__Using_creative_thought_and_automation_to_bypass_human_flaws.mp3
Category:trading -- posted at: 7:01pm EST
Wed, 6 September 2017
Featuring on this episode is former software entrepreneur turned hedge fund manager, Erik Townsend. I’m sure some will already be quite familiar with Erik—in particular the macro investing crowd, as Erik also hosts the Macro Voices podcast.
After selling his company in 1998, Erik made a few lifestyle and investing decisions which he soon began to question, but took ownership of his situation and the discovery of global macro set him sailing in a new direction…
Major talking points we cross off, include; how Erik uses the concept of The Fourth Turning and major cycles to guide his macro outlook. And one possible scenario for the future of cryptocurrencies—I'm sure some of you won't like what you hear, but I think it's well worth listening to!
Direct download: 141__Erik_Townsend__Software_millionaire_fooled_by__the_dream__and_saved_by_global_macro.mp3
Category:trading -- posted at: 6:55pm EST
Wed, 30 August 2017
My guest on this episode is Jimmy Soni—who, with his co-author Rob Goodman, recently wrote the biography of Claude Shannon, titled; A Mind at Play.
Shannon was born in 1916 and became one of the foremost intellects of the twentieth century, before passing away in 2001. He was a mathematician, a scientist, an inventor and also, a stock market investor…
Although he’s widely unknown by the general public, Shannon is responsible for Information Theory—a revolutionary method of measuring information which stands behind much of the technology we use all day everyday.
Shannon’s other achievements, discoveries and inventions range from artificial intelligence to cryptography and fire breathing trumpets to chess playing machines and the world’s first wearable computer, and that’s not all!
Direct download: 140__Jimmy_Soni__The_life_and_times_of_genius_problem_solver_Claude_Shannon.mp3
Category:trading -- posted at: 9:15pm EST
Wed, 23 August 2017
Bobby Cho is a cryptocurrency trader at Cumberland Mining—which is a company of DRW Trading. Ever since getting involved in financial markets, during 2008, he has gravitated towards mostly illiquid/difficult-to-trade products…
So, in some ways, it was inevitable that Bobby would begin to explore Bitcoin and other cryptocurrencies. This was around 2013, while Vice President at SecondMarket.
In 2014, Bobby became Director at Bitcoin exchange, itBit, and then in 2016, joined Cumberland Mining—one of the largest institutional liquidity providers in cryptocurrency markets (predominately Bitcoin and Ethereum).
During the episode, Bobby and I got speaking about some pretty interesting topics, which ranged from; the infrastructure of crypto markets to the curiosity and entrepreneurial mindset which powers DRW, and the challenges of exchange arbitrage to the real world value of Blockchain technology.
Direct download: 139__Bobby_Cho__Making_way_for_the_whales_of_cryptocurrency_markets.mp3
Category:trading -- posted at: 8:10pm EST
Wed, 16 August 2017
During the 90’s, Kevin Muir was a proprietary derivatives trader for RBC Dominion Securities. In 2000, Kevin branched out to begin trading independently, and since 2014, he’s been writing a daily blog, The Macro Tourist.
Kevin’s unique in the sense that he fits the bill of two largely different trading types; an intraday trader and a global macro trader. He also doesn’t specialize in one particular thing, or certainly not to the extent that many traders do…
Kevin can be quoted as saying, “I never know where I’m going to make money next year.” And that’s because he’s someone who’s continually seeking out the next great trade. In the past, Kevin’s great trades have come in the form of; risk arbitrage, mining Bitcoin, convertible bonds and day trading futures—amongst many other things!
Direct download: 138__Kevin_Muir__In_search_of_the_next_great_tradewith_The_Macro_Tourist.mp3
Category:trading -- posted at: 8:27pm EST
Wed, 9 August 2017
Dr. William Ziemba’s an academic, a practitioner, gambler, trader and an author. He’s worked with and consulted to many well-respected names in the field, such as; Edward Thorp, Blair Hull and the very successful horse bettor, Bill Benter.
In the beginning, horse betting was William’s field of expertise (he even published a book titled, Beat The Racetrack!) And in many ways, for William, horse betting worked as a gateway to trading financial markets—which he’s been doing since 1983.
Now in current times, William manages a fund; Alpha Z Advisors—which started trading in July 2013 and as of May 2017, has returned 527%.
Much of William's trading revolves around calendar anomalies, arbitrage strategies and behavioral biases. We spend a good amount of time discussing these few things, plus William shares one anomaly he's been trading for many years.
In the later part of this episode, we also talk about position sizing, the Kelly Criterion and finally, horse racing.
Direct download: 137__Dr._William_Ziemba__The_horse_bettor_exploiting_anomalies_in_financial_markets.mp3
Category:trading -- posted at: 7:37pm EST
Wed, 2 August 2017
I first interviewed Mike at CWTNYC, in May 2017. The 100-listeners (give or take) who attended, will already be very familiar with Mike and there may be a few moments of déjà vu throughout this episode. But for everyone else…
Mike came into trading around 20-years ago, beginning at Chicago prop firm, TransMarket Group, where he ultimately spent 12-years of his career. Over the course of his time there, Mike became one of their largest 30-year Treasury basis traders, both in terms of volume and performance.
Now days, Mike is trading a relative value strategy through his own book, and building out a track record with the aim to launch a hedge fund in the coming years…
But you’ll hear more about all of this, the things which have helped Mike get to where he is now, and how he trades bonds using a relative value strategy during this episode.
Direct download: 136__Mike_Agne__Take_care_of_the_short_term_take_care_of_the_long_term.mp3
Category:trading -- posted at: 9:39pm EST
Wed, 26 July 2017
Sheelah Kolhatkar is a writer at the The New Yorker, who was previously a journalist at Bloomberg Businessweek, and prior to that, a hedge fund analyst.
She’s also the author of New York Times bestseller, Black Edge: Inside Information, Dirty Money and the Quest to Bring Down the Most Wanted Man on Wall Street.
Of course, the most wanted man being referred to, is the ultra-wealthy hedge fund legend, Steven Cohen of S.A.C. Capital Advisors—someone who Sheelah has become very familiar with, through much of her own tireless and strenuous research…
During our conversation, Sheelah gives color to; where Steven started out in life and how he became an ultra-wealthy multi-billionaire—with, might I add, an elaborate art collection, how S.A.C. became the target of one of histories greatest insider trading investigations, and ultimately, how it all played out...
Direct download: 135__Sheelah_Kolhatkar__How_mastermind_trader_Steven_Cohen_bent_rules_and_made_billions.mp3
Category:trading -- posted at: 6:58pm EST
Wed, 19 July 2017
On this episode, I have a returning guest—who first appeared on episode 53. His name is a mystery, but he goes by the handle: @BTCVIX
Episode 53 was the first time I covered Bitcoin on this podcast, and that was at the very end of 2015. As you’re probably aware, the cryptocurrency markets have evolved a lot since then, so BTCVIX is here to fill us in on what’s been happening and, potentially, what lies ahead…
We also cover how to acquire various cryptocurrencies, best practises for protecting your coins, is Bitcoin in a bubble, the frenzy surrounding ICO's, and much much more.
Direct download: 134__BTCVIX__Bitcointhe_magic_internet_money_you_can_no_longer_ignore.mp3
Category:trading -- posted at: 5:16pm EST
Wed, 12 July 2017
Up until recently, James King was the Performance Director at a commodity trading firm in London, Mandara Capital. And it was here that he implemented scientific methods to stack probability in the favour of success—by using techniques he learned from his education in Applied Sports Science and Performance Psychology.
Now, James is setting out on a new venture, Project Thor, which aims to support talented retail traders with extra capital and other beneficial resources—which we discuss briefly towards the end of the episode.
But for the most part, we discuss; principals for success, testing for resilience, ensuring you’re motivated and focusing on the right things, how ‘stretch goals’ can be used to massively multiply results, routines and heaps more.
Direct download: 133__James_King__Using_sports_science_to_stack_probability_in_favor_of_trading_success.mp3
Category:trading -- posted at: 7:02pm EST
Wed, 5 July 2017
Mark Gardner began working in the field at 17-years old, straight out of high school. Initially he began with back office duties, before broking on the floor of the Sydney Futures Exchange (SFE). Then later he was picked up by a large Bank Bills trader to exclusively execute trades, and who he learned a great deal from.
Around 2005, Mark started trading his own book. Over the 10-years that followed, Mark had only two losing months—and to date, he’s never encountered a losing year. Though in 2015 he did suffer a substantial blow, losing months and months worth of gains in the space of just a few short hours.
Today, Mark is also a partner and the chairman of Genesis Trading (one of the larger prop firms in Australia). He’s also leading a new venture, 42Trading, as a foray into quantitative trading. And to top it off, Mark is the president of the Australian Securities Traders Association too.
Throughout this episode we speak about Mark's insane work ethic (and no, that's not exaggeration!) We also get into lessons from his past, why he sees a future in quantitative trading and more...
Direct download: 132__Mark_Gardner__Still_adapting_after_80000_hours_of_screen_time.mp3
Category:trading -- posted at: 7:49pm EST
Wed, 28 June 2017
Morgan’s career as a trader and portfolio manager began 20-years back, and since then he’s worked at many prominent firms and funds—to name just a few; Millburn Ridgefield, Merrill Lynch, Citadel and Allston Trading.
He’s currently the CEO of CloudQuant, a cloud-based algo development platform and fund.
During our conversation, Morgan explains why he feels as though the ‘common’ approach to strategy development can be counter intuitive, and he gives an alternative 3-step formula. We also spend time discussing how machine learning fits into a traders toolbox
Direct download: 131__Morgan_Slade__Strategy_development_powered_by_machine_learning.mp3
Category:trading -- posted at: 7:53pm EST
Wed, 21 June 2017
Ben Mallah is a trader of a different kind—he doesn’t trade stocks and bonds, he trades in real estate. You could probably call him a property developer, although he doesn’t build from scratch; he buys distressed apartment buildings, hotels and shopping centers, fixes them up, and then sells to make a profit.
He grew up in one of the roughest areas of New York and had a very tough upbringing, but Ben is the true definition of a ‘rags to riches’ story…
During his early 20’s, as a side hustle while working in the military, Ben began getting into real estate. Thirty years have since passed, and in that time, he’s built up a real estate empire worth (approximately) $200,000,000.
Direct download: 130__Ben_Mallah__How_to_own_100_s_of_millions_of_dollars_of_real_estate.mp3
Category:trading -- posted at: 6:58pm EST
Wed, 14 June 2017
Victor Haghani began his career at Salomon Brothers in 1984, starting out in a research role before joining their prop trading desk. In 1992, Victor left Salomon to become one of the founding partners of Long Term Capital Management…
LTCM was an incredibly successful hedge fund, up until 1998, when it failed in a spectacular fashion. Causing the Federal Reserve to step in and organize a bailout, in order to prevent the possibility of a collapse in the global financial system.
Victor took a ten year sabbatical after the dust settled, and in 2010 he founded an active index investing fund, Elm Partners.
For this episode, much of our discussion is in reference to an experiment Victor carried out (with some involvement from Edward Thorp), on the patterns of how 61 participants would bet on a biased coin.
Sponsored by TradeStation: Very few online brokers offer the services, the tools and the technology (all-in-one!) – for active traders – like TradeStation do. Learn more and get started here.
Direct download: 129__Victor_Haghani__Optimal_bet_sizinglessons_from_a_biased_coin_flip_experiment.mp3
Category:trading -- posted at: 7:10pm EST
Wed, 7 June 2017
Andy has been an active stock trader since the early 90’s, and in 2001 he founded Kershner Trading Group—a proprietary trading and technology firm in Austin (Texas) and, through a partnership with SMB Capital, Kershner Trading have a second office in Midtown (Manhattan) too.
So, what did we talk about? Andy's ability to take pain on adverse positions, whether or not this has been a key ingredient to his trading success, and do traders with higher risk tolerances make more money. Andy also shares his daily habits and critiques a trade which didn't go so well from the session prior to recording this episode. And naturally, we cover a few other things too...
Sponsored by TradeStation.com: Very few online brokers offer the services, tools and technology (all-in-one!) – for active traders – like TradeStation do.
Direct download: 128__Andy_Kershner__Risk_tolerance_daily_habits_and_trade_critiques.mp3
Category:trading -- posted at: 6:35pm EST
Thu, 1 June 2017
Though not a trader herself, Nell Sloane has been in and around markets and exchanges for roughly 30-years, mostly working in roles that assisted commodity traders and brokers in one way or another.
Then since 2006, Nell has been the Principal of Capital Trading Group—a Chicago investment firm, which she co-founded with Patrick Lafferty. And this is the reason why I asked Nell to come on the podcast; because the role of CTG is to support traders who wish to expand their operation by managing money for others as a CTA.
CTG do also offer services to professional and individual investors to help them navigate managed futures. But for this episode, we focus on…
What does it mean to be a CTA, the incentives to become a CTA and where to begin, fee structures, the requirements and regulations, how to attract capital from investors, and other related subjects.
Direct download: 127__Nell_Sloane__Becoming_a_CTAhow_to_begin_managing_money.mp3
Category:trading -- posted at: 7:15pm EST
Wed, 24 May 2017
Jonathan (@HF_Trader) got into trading after a sports-related injury changed his life trajectory. He was fortunate enough to meet and be mentored, early on, by one of the first people to be hired at Steve Cohen’s S.A.C. Capital Advisors—where this person ran a multi-billion dollar statistical arbitrage fund.
After getting a dual degree in economics and quantitative finance, Jonathan landed a job within a hedge fund and was promoted to head trader within the space of about 6-months. Over the course of several years, while Jonathan worked at the fund, their assets under management grew by several billion dollars.
In 2014, Jonathan cashed out and began trading for himself. He loaded $260,000 into an account and has since compounded this amount into more than $2,000,000. Using an intraday system he’s developed, Jonathan trades Crude Oil and E-Mini S&P 500…
Sponsored by TradeStation: Very few online brokers offer the services, tools and technology (all-in-one!) – for active traders – like TradeStation do.
Direct download: 126__Jonathan_HF_Trader__The_demeanor_of_an_unstoppable_futures_trader.mp3
Category:trading -- posted at: 8:29pm EST
Wed, 17 May 2017
Matthew Hoyle was once a trader, or more specifically, an options market maker. And he started at a very young age, on the exchange floor in Amsterdam. But since 2003, he’s been in the headhunting (or recruiting) business. His firm, Matthew Hoyle Financial Markets.
Essentially, Matthew finds the best candidates for hard to fill roles. He’s contracted by banks, hedge funds and all sorts of trading firms—for example; Tibra, Optiver, Tower Research, Citadel, Millennium Partners, amongst many others.
Matthew’s deeply knowledgeable on the industry, and he’s won many awards for doing what he does…
During this episode we get talking about; tips for getting hired, the skills which are most in demand, what firms are looking for, also, how firms attempt to attract and retain talent, various compensation structures – and everything in between!
Direct download: 125__Matthew_Hoyle__Getting_hiredwho_trading_firms_and_hedge_funds_are_seeking_out.mp3
Category:trading -- posted at: 7:29pm EST
Wed, 10 May 2017
Max got into trading about six years ago, after a co-worker pulled up in a brand new Lotus Elise—paid for with gains from trading BP stock. Working as an engineer at the time, with average pay, it wasn’t long before Max opened his first trading account and got to work…
Having now developed a unique style of his own, which he describes as a scalping method—focusing on NASDAQ listed stocks, Max has become very consistent and profitable. (If you’re interested, max regularly posts PnL on his Twitter account.)
To mention a few of the things we discussed; how traders can benefit from being independent thinkers, the nature of scalping strategies, optimizing your workflow, mindset and improving your psychological game, and plenty more.
Sponsored by TradeStation.com: Very few online brokers offer the services and technology (all-in-one!) – for active traders – like TradeStation do…
Direct download: 124__Max_Madaznfootballr__When_chasing_a_quick_buck_becomes_making_a_quick_buck.mp3
Category:trading -- posted at: 6:47pm EST
Wed, 3 May 2017
Darren Reed (@LiftTheOffer) has been a stock broker, the head trader at a $300M hedge fund, and an active prop trader at Australian firms, Propex, Aliom and Gensis. At the later two, he also mentored traders as part of his role in trader development.
But this year (2017), Darren has returned to Perth—on the west coast of Australia, to establish a new proprietary trading firm with a few partners; Cygnet Trading.
The main focus of this episode can be summarized with just a few words; grit, hustle and intent. Further, Darren speaks about paying your dues, why environment is everything, and a window into the life of a discretionary prop trader.
Direct download: 123__Darren_Reed__Grit_hustle_intentand_environment.mp3
Category:trading -- posted at: 8:15pm EST
Wed, 26 April 2017
Doug Cifu is the co-founder and CEO of Virtu Financial, one of the largest electronic market making firms in the world. Around the clock, Virtu are trading in 12,000 instruments, across 235 markets and 36 countries, with only 140 staff.
Virtu often trade more than 4.5 million times a day, and prior to their IPO in 2015, Virtu reported the firm had made a profit 1,277 out of 1,278 days—losing money just one day between 2009 and 2014.
And in recent news, Virtu made headlines 20th April (2017), after announcing their acquisition of rival, Knight Capital Group for $1.4 billion.
Doug is also the co-owner of NHL team, Florida Panthers—with the second owner, being none other than his Virtu co-founder, Vincent Viola.
Direct download: 122__Doug_Cifu__Virtu._Hitting_singles_all_day_longon_a_global_scale.mp3
Category:trading -- posted at: 4:02pm EST
Wed, 19 April 2017
Michael Mauboussin is a Managing Director and Head of Global Financial Strategies at Credit Suisse. He’s also a professor of finance at Columbia Business School, and the author of several books, such as; The Success Equation and More Than You Know.
Michael is widely-recognized as a thought leader on the subject of decision making, as well as thinking about things in the way of process over outcome, and skill vs luck.
And it’s these three things which are the over-arching theme of this episode. So hopefully, you’ll pick up a few good tips from Michael, that will help to improve your ability of making better decisions (and creating better processes) as a trader.
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Direct download: 121__Michael_Mauboussin__Tactics_for_better_decision_making_and_skill_versus_luck.mp3
Category:trading -- posted at: 8:18pm EST
Wed, 12 April 2017
Mebane Faber is the founder and CIO at Cambria Investment Management, where he manages Cambria’s ETFs, separate accounts and private investment funds. He’s also authored numerous white papers and five books now, on various investing subjects. Meb’s a budding podcaster too, his podcast; The Meb Faber Show.
The main reason why I asked Meb to join me for this episode, was to share some simple ways that active traders can capitalize on the opportunity and compounding effect that (somewhat passive) longer-term investing has to offer.
So, I ask Meb about; where to start out, how to set expectations, various types of portfolios, when to enter the market, what to do during drawdown, what things new investors struggle with most, so on and so forth…
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Direct download: 120__Meb_Faber__A_crash_course_in_long-term_investingfor_short-term_traders.mp3
Category:trading -- posted at: 7:24pm EST
Wed, 5 April 2017
Alex (@TAGRtrades) is a 27-year old day trader, from Texas. He’s been trading full-time for four years, and has really begun to hit his stride. Alex closed Q1 of 2017 with a $49,000 gain, after going into the year with an account balance of $32,000.
He’s a small-cap momentum trader, but unlike most guests who I’ve had on previously that play in this space, Alex takes the majority of his trades on the long side. So naturally, we chat about his reasons for this…
We also chat about; the leap into full-time trading, key lessons Alex learned in the early stages of his development, how he manages trades, and why journaling has been immensely helpful.
Direct download: 119__Alex_TAGRtrades__What_this_day_trader_learned_after_four_years_of_abandoning_a_secure_job.mp3
Category:trading -- posted at: 8:35pm EST
Wed, 29 March 2017
High-speed trading veteran, Manoj Narang, originally worked on Wall St for the likes of Credit Suisse and Goldman Sachs prior to founding Tradeworx, which became one of the larger trading firms in the U.S. (in terms of volume).
He’s since parted ways with Tradeworx to start MANA Partners—an innovative quant fund which raised almost one billion dollars for it’s launch in January this year (2017).
As a brief summary for some of the things we got to chat about; the value of technology which drives some trading operations, capitalizing on the explosion of data, plus why aspiring traders should be willing to buck the trend and think freely.
Sponsored by TradeStation.com – Open an account with online broker, TradeStation, to enjoy; low-cost stock trades, no software fees, free real-time data and free professional-grade scanning tools.
Direct download: 118__Manoj_Narang__Trading_technology_alternative_data_and_originality.mp3
Category:trading -- posted at: 7:11pm EST
Wed, 22 March 2017
Larry Alintoff was a prop trader for Paul Tudor Jones, before running the largest group of traders on the AMEX (at the time). When he later went over to the NYBOT, Larry became the largest trader in the Frozen Concentrated Orange Juice pit, and now days, he’s CIO of The Toro Fund.
During this episode, we cover; the thing which helped Larry to become consistent, why there’s great opportunity in knowing when things that “should” happen, don’t happen, and how he’s been able to successfully apply a similar trading style from the floor to the screens. Plus, how a market obsession has carried him this far…
Direct download: 117__Larry_Alintoff__Traders_opportunitywhen_things_that__should__happen_dont_happen.mp3
Category:trading -- posted at: 7:39pm EST
Wed, 15 March 2017
Sean Hendelman is the co-founder and CEO of T3 Companies.
T3 is one of the larger proprietary trading firms in the U.S. And incase you’re curious, the three T’s of T3 stand for; trading, training and technology.
A few of the things Sean and I spoke about, include; how he got his start, how he lost all his money twice—and why it was a worthwhile experience (in hindsight), and some of the great lessons he’s learned from the business of trading.
Even as CEO today, Sean is still very hands on with T3’s automated trading, so we also had an interesting conversation around this—some of his comments and views may actually surprise you. And hand traders, need not feel neglected, because there’s something in this for you to!
Direct download: 116__Sean_Hendelman__Taking_losses_ultimately_winning_and_keeping_pace_with_markets.mp3
Category:trading -- posted at: 6:30pm EST
Wed, 8 March 2017
Adam Grimes has been a trader for more than 20-years, he’s traded all major asset classes, across various timeframes. He’s traded independently, with a prop firm, and he’s run other trading businesses also.
The main focus of this episode is to explore some of the things which discretionary traders can adapt from quantitative traders, and vice versa—meaning, what things can quants take from those who rely on discretion.
Then in the later part of this episode, Adam lays out a solid framework which can help struggling traders to move forward. As well as, the types of questions you should ask when you don’t know what you don’t know.
Direct download: 115__Adam_Grimes__What_hand_traders_can_learn_from_system_traders_and_vice_versa.mp3
Category:trading -- posted at: 7:53pm EST
Wed, 1 March 2017
Brannigan Barrett is a futures day trader—who trades a total of eight markets, across; bonds, equity indices, currencies and commodities. He was previously a trader at prop firm, Futex, but is now part of Axia Futures.
The subjects we cover during this conversation, include; how to progressively become a bigger (and better) trader, how a “dogfight” attitude has helped Brannigan’s trading career, how he prepares going into major news announcements, his daily process for journaling and being ready for “one good trade.” Plus, how to think about and achieve your trading goals.
Direct download: 114__Brannigan_Barrett__The_process_of_becoming_a_bigger_and_better_trader.mp3
Category:trading -- posted at: 6:20pm EST
Wed, 22 February 2017
Benjamin Small is an electrical engineering PhD. He’s worked in quantitative research roles since 2006, at UBS, Citadel, Credit Suisse and the stock exchange, IEX.
Today though, Ben is head of market structure at Gemini—the world’s first fully licensed and fully regulated Bitcoin exchange, which is based in New York.
During this chat, we get into; payment for order flow and high frequency trading, why there’s an incentive to normalize Bitcoin, the cryptocurrency ecosystem, potential outcomes for the future of Bitcoin, and becoming a cashless society.
Direct download: 113__Benjamin_Small__Normalizing_Bitcoin_and_exploring_the_cryptocurrency_ecosystem.mp3
Category:trading -- posted at: 6:07pm EST
Wed, 15 February 2017
Jorge Soltero began as a floor trader in Chicago, where he was an options market maker. A few years into his career, he landed a position at Hull Trading Company (the renowned firm of legendary trader, Blair Hull).
After Hull Trading was bought by Goldman Sachs in 1999, Jorge became more of an institutional trader—not only working at Goldman, but later, UBS and Merrill Lynch too, where he specialized in options and ETFs.
Listening to this episode you’re going to hear about; the culture of trading pits, exactly what it was like to be a trader at Hull Trading Co., the transition to electronic trading, what makes ETFs an attractive product, and more…
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Direct download: 112__Jorge_Soltero__Reminiscences_of_a_trader_at_Hull_Trading_Co.and_a_sell-side_career.mp3
Category:trading -- posted at: 6:00pm EST
Wed, 8 February 2017
Returning to Chat With Traders for a second time is David Bush—first on episode 23.
David began as a discretionary trader, more than 20-years ago, but over time he’s developed into a quant trader. And he’s exceptionally good at what he does; David’s been the first place winner of two (real money) trading competitions in recent years.
Last time David was on we spoke fairly extensively about his path as a trader and a high-level overview of his process. This time around we covered plenty of new ground—exploring David’s process in greater depth. Also, I particularly liked David’s comments towards the end about, “Intensity, not time.”
Direct download: 111__David_Bush__Strategy_objectives_statistical_significance_and_market_behavior.mp3
Category:trading -- posted at: 5:13pm EST
Wed, 1 February 2017
On this episode, I’m joined by George—who goes by @RollyTrader on Twitter.
George is an Australian equities trader, with a momentum/swing trading type of approach. In the past, George has held a few finance-related positions, but since late-2009 he’s mostly traded independently.
During the interview, George and I got speaking about; lessons he learned early on, the effect that coaching and mentoring has had on his trading, specifics about the setups George trades, and also, his involvement with venture capital.
Sponsored by Gemini.com – The world’s first fully regulated and fully licensed Bitcoin exchange—for traders, investors & institutions.
Direct download: 110_Learning_to_trade_momentum_setups_and_becoming_a_venture_capitalist__George_RollyTrader.mp3
Category:trading -- posted at: 5:36pm EST
Wed, 25 January 2017
I’m not sure how to best say this, but Edward Thorp, is kind of a big deal…
Not only in the world of financial markets, but he’s also a household name amongst the gambling scene. He’s the man who beat the dealer, and later, beat the market.
It was during the late-50’s and early-60’s, when Ed, a math genius and professor at MIT, took on the challenge of discovering a way to get an edge playing gambling games such as blackjack, roulette and baccarat. Long story short; Ed won—and he’s now considered the father of card counting.
From there, the next obvious move for Ed was to take on financial markets—which he also did with a great degree of success. His first hedge fund, Princeton Newport Partners, achieved an annualized return of 19.1% (before fees) over a 19-year period, with 227 of 230 months being profitable—the worst monthly loss being less than 1%.
Ed’s most recent book, A Man For All Markets, is now available on Amazon.
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Direct download: 109_The_man_who_beat_the_dealer_and_later_beat_the_market__Edward_Thorp.mp3
Category:trading -- posted at: 2:50pm EST
Mon, 23 January 2017
Throughout this series, which has been a window into the workflow of professional quant trading firms, we’ve encouraged you to submit questions and requests for further clarification. So, in this episode, being the final installment, Delaney answers as many of these questions as possible (within 80-mins).
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Direct download: Q6_20Your20Quantitative20Trading20Questions20Answered20w_20Delaney20Mackenzie.mp3
Category:trading -- posted at: 6:05pm EST
Wed, 18 January 2017
John Netto, a former U.S. marine, describes himself as a high velocity, cross-asset class trader. He connects the ability to be versatile, adaptable, and interpret large amounts of information to be his greatest edge—for making lucrative returns.
These are all things we cover during the interview, which includes discussion about; process, research, strategy, macro, and market regimes. We also talk about the benefits of stepping outside of your comfort zone, why there’s a need to embrace growing pains, and when emotion can be an ally.
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Direct download: 108_Being_a_versatile_and_adaptable_trader_while_testing_your_comfort_zone_w__John_Netto.mp3
Category:trading -- posted at: 6:11pm EST
Wed, 11 January 2017
For the great, Anthony Saliba, his initial 13-years in the field were spent as a market maker on the CBOE floor, where he made approximately $9,000,000 before 30 years old (and that was during the 80’s). At which point, he was one of the traders featured in Jack Schwager’s first Market Wizards’ book.
Since then, Anthony’s continued to scale up—making major moves, both, through trading and through various business ventures.
We spoke for close to two hours; about his experience on the floor, a trader education company which he founded, some of the non-cliché traits of great traders, longevity, and how he’s grown wealth as a parallel entrepreneur, amongst other topics.
Anthony has also authored a new book for options traders; Managing Expectations.
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Direct download: 107_A_40-year_trading_career_fueled_by_necessitythe_mother_of_invention_w__Anthony_Saliba.mp3
Category:trading -- posted at: 5:44pm EST
Wed, 4 January 2017
Turney Duff was a hedge fund trader on Wall Street who lead a truly excessive lifestyle. In 2013 he released a book about his experiences—titled, The Buy Side. And currently, Turney is a consultant on the Showtime TV series, Billions.
On this episode we cover everything, from what it was like to trade more than one billion dollars at Galleon Group—which was the hedge fund run by Raj Rajaratnam, currently serving an 11-year prison sentence for partaking in one of the largest insider trading rings in U.S. history.
Following on from this, we discuss Turney’s relationships with the sell-side and the extreme measures they’d take to win his business. Which leads into the shenanigans which took place after-hours—the cocktail of drugs, alcohol, sex, money and power.
We finish up with Turney’s fall from the top, some of the greatest realizations he’s come to, and the life he leads today… Enjoy!
Sponsored by TradeStation.com – TradeStation connect traders with all the bell’s n whistles to better monitor and participate in markets.
Direct download: 106_A_Wall_Street_traders_tale_of_spectacular_excess_w__Turney_Duff.mp3
Category:trading -- posted at: 5:12pm EST