Trading Systems Performance for October 2020
Below is a performance summary for our trading strategies for the month of October 2020, net of transaction costs. To learn more about the strategies and to follow along in real-time with their signals, please visit the Trading Systems page.
System performance for October
| Strategy | October | Year to Date |
|---|---|---|
| Merlin | -0.20% | -4.30% |
| Lamorak | +2.21% | +25.93% |
| 60/40 Benchmark | -2.05% | +5.73% |
See Performance Disclosures: Monthly Performance.
Merlin closed trades in October
| Closed Trades | Return on Signal | R-Multiple |
|---|---|---|
| INSG | -13.64% | -1.01 |
| DRD | 8.63% | 0.50 |
| PETQ | 6.68% | 0.50 |
| RGR | 4.51% | 0.46 |
| CCXI | 6.71% | 0.50 |
| CVM | 11.11% | 0.50 |
| AAXN | 27.19% | 1.5 |
| VRTX | -12.06% | -1.0 |
| ABBV | -7.50% | -1.0 |
| TWLO | 38.85% | 1.5 |
| CHGG | 17.34% | 1.5 |
| PAYC | 16.85% | 1.5 |
| CDNA | 28.57% | 1.5 |
Merlin varies position size based on the individual stock, so R-Multiples are important measures of account impact.
Introducing a new trading system
This month we debuted an our new trading strategy, Lamorak. Private access was granted to Merlin members throughout October and we’ll be opening up public access in November. To be notified when Lamorak registration opens, jump on the waitlist here.
Lamorak closed trades in October
| Closed Trades | Return on Signal |
|---|---|
| CDNS | -0.61% |
| CHTR | -1.75% |
| LRCX | 3.30% |
| NFLX | 3.76% |
| INTU | -1.08% |
| PDD | 4.40% |
| MS | -0.06% |
| ADSK | -5.92% |
| MU | 0.04% |
| DLTR | 0.59% |
| MRNA | 4.70% |
| GOOGL | 0.61% |
| EA | 0.76% |
| BKNG | 7.86% |
| FISV | 5.17% |
| MET | 2.69% |
| GM | 0.68% |
| ADP | -1.34% |
| BK | -0.74% |
| ROST | -0.35% |
| SO | 0.05% |
| EXC | -4.90% |
| DOCU | 2.24% |
| CDW | -2.42% |
Lamorak equal weights position size across all trades, so no R-Multiple are necessary to compare signal profitability.
Performance commentary
Merlin started off the month hot, posting strong gains and reaching profit targets in a number of its holdings. However, during the second half of October the bulk of its unrealized gains were given back and it closed down basically flat on the month (which was still ahead of its 60/40 benchmark down -2.05%).
Lamorak has been having a blockbuster year and it continued to post strong gains throughout October. It was very active throughout the month closing 24 trades which included longs and shorts.
If you’re looking for professional evidence-based strategies for trading individual stocks and ETFs, visit our Trading Systems page.
