40 min listen
SI132: Overcoming Recency Bias for Better Decision Making ft. Mark Rzepcyznski
SI132: Overcoming Recency Bias for Better Decision Making ft. Mark Rzepcyznski
ratings:
Length:
89 minutes
Released:
Mar 21, 2021
Format:
Podcast episode
Description
Mark Rzepczynski joins us today to discuss Jerome Powell’s recent speech and how central banks can often confuse markets, the potential of Artificial Intelligence in systematic investing, whether or not holding government bonds is a good idea, the recent rise in interest rates and what it means for the stock market, the relationship between correlations and volatility, why policy makers should avoid trying to engineer future expectations, how recency-bias affects our decision making, complexity versus complicatedness, robotic systematic investing versus human discretionary investing, how to tell the difference between a systematic and discretionary trader by looking at returns only, and why ‘low-cost’ funds can often end up being more expensive than normal.
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In this episode, we discuss:
Whether artificial intelligence has a place in systematic investing
Interest rates and their effects on the trading markets
How correlations can increase volatility
The benefits of a more 'hands-off' approach to policy-making
The common perils of 'recency bias'
Spotting a discretionary trader just by looking at returns
The hidden costs behind supposed 'low cost' funds
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Follow Niels on https://twitter.com/toptraderslive (Twitter), https://www.linkedin.com/in/nielskaastruplarsen (LinkedIn), https://www.youtube.com/user/toptraderslive (YouTube) or via the https://www.toptradersunplugged.com/ (TTU website).
IT’s TRUE ? – most CIO’s read 50+ books each year – get your FREE copy of the Ultimate Guide to the Best Investment Books ever written https://www.toptradersunplugged.com/Ultimate (here).
And you can get a free copy of my latest book “The Many Flavors of Trend Following” https://www.toptradersunplugged.com/flavor (here).
Learn more about the Trend Barometer https://www.toptradersunplugged.com/resources/market-trends/ (here).
Send your questions to info@toptradersunplugged.com
And please share this episode with a like-minded friend and leave an honest Rating & Review on https://www.toptradersunplugged.com/reviewttu (iTunes) or https://open.spotify.com/show/2OnOvLbIV3AttbFLxuoaBW (Spotify) so more people can discover the podcast.
Follow Mark on https://twitter.com/mrzepczynski (Twitter).
Episode TimeStamps:
00:00 – Intro
03:14 – Macro recap from Niels
06:36 – Weekly review of performance
57:46 – Q1; Mike: How useful do you find capture ratios when analysing performance?
1:08:29 – Q2; Andy: What do you think about utilising a CTA or Trend Following ETF?
1:14:42 – Q3; Craig: Do you think CTAs are missing out by not trading small-cap crypto, and do you think they will eventually?
01:24:03 – Benchmark performance update
01:12:25 – Recommended listening or reading this week: https://www.oaktreecapital.com/docs/default-source/memos/something-of-value.pdf%22%20%5Ct%20%22_blank (Howard Marks’ latest memo)
01:25:25 – Recommended listening or reading this week: https://www.macrovoices.com/954-macrovoices-263-juliette-declercq-why-equities-stand-on-much-stronger-ground-than-consensus-seem-to-believe (MacroVoices Podcast featuring Juliette Declercq)
Copyright © 2022 – CMC AG – All Rights Reserved
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PLUS: Whenever you're ready... here are 3 ways I can help you in your investment Journey:
1. eBooks that cover key topics that you need to know about
In my eBooks, I put together some key discoveries and things I have learnt during the more than 3 decades I have worked in the Trend Following industry, which I hope you will find useful. https://www.toptradersunplugged.com/resources/ebooks/ (Click Here)
2. Daily Trend Barometer and Market Score
One of the things I’m really proud of, is the fact that I have managed to published the Trend Barometer and Market Score each day for more than a decade...as these tools are really good at describing the environment for trend following managers as well as giving insights into the general positioning of a trend following strategy!...
----
In this episode, we discuss:
Whether artificial intelligence has a place in systematic investing
Interest rates and their effects on the trading markets
How correlations can increase volatility
The benefits of a more 'hands-off' approach to policy-making
The common perils of 'recency bias'
Spotting a discretionary trader just by looking at returns
The hidden costs behind supposed 'low cost' funds
----
Follow Niels on https://twitter.com/toptraderslive (Twitter), https://www.linkedin.com/in/nielskaastruplarsen (LinkedIn), https://www.youtube.com/user/toptraderslive (YouTube) or via the https://www.toptradersunplugged.com/ (TTU website).
IT’s TRUE ? – most CIO’s read 50+ books each year – get your FREE copy of the Ultimate Guide to the Best Investment Books ever written https://www.toptradersunplugged.com/Ultimate (here).
And you can get a free copy of my latest book “The Many Flavors of Trend Following” https://www.toptradersunplugged.com/flavor (here).
Learn more about the Trend Barometer https://www.toptradersunplugged.com/resources/market-trends/ (here).
Send your questions to info@toptradersunplugged.com
And please share this episode with a like-minded friend and leave an honest Rating & Review on https://www.toptradersunplugged.com/reviewttu (iTunes) or https://open.spotify.com/show/2OnOvLbIV3AttbFLxuoaBW (Spotify) so more people can discover the podcast.
Follow Mark on https://twitter.com/mrzepczynski (Twitter).
Episode TimeStamps:
00:00 – Intro
03:14 – Macro recap from Niels
06:36 – Weekly review of performance
57:46 – Q1; Mike: How useful do you find capture ratios when analysing performance?
1:08:29 – Q2; Andy: What do you think about utilising a CTA or Trend Following ETF?
1:14:42 – Q3; Craig: Do you think CTAs are missing out by not trading small-cap crypto, and do you think they will eventually?
01:24:03 – Benchmark performance update
01:12:25 – Recommended listening or reading this week: https://www.oaktreecapital.com/docs/default-source/memos/something-of-value.pdf%22%20%5Ct%20%22_blank (Howard Marks’ latest memo)
01:25:25 – Recommended listening or reading this week: https://www.macrovoices.com/954-macrovoices-263-juliette-declercq-why-equities-stand-on-much-stronger-ground-than-consensus-seem-to-believe (MacroVoices Podcast featuring Juliette Declercq)
Copyright © 2022 – CMC AG – All Rights Reserved
----
PLUS: Whenever you're ready... here are 3 ways I can help you in your investment Journey:
1. eBooks that cover key topics that you need to know about
In my eBooks, I put together some key discoveries and things I have learnt during the more than 3 decades I have worked in the Trend Following industry, which I hope you will find useful. https://www.toptradersunplugged.com/resources/ebooks/ (Click Here)
2. Daily Trend Barometer and Market Score
One of the things I’m really proud of, is the fact that I have managed to published the Trend Barometer and Market Score each day for more than a decade...as these tools are really good at describing the environment for trend following managers as well as giving insights into the general positioning of a trend following strategy!...
Released:
Mar 21, 2021
Format:
Podcast episode
Titles in the series (100)
TTU10: The Fairest Fee Structure in the Industry ft. Marty Bergin of DUNN Capital Management – 2of2 by Top Traders Unplugged