Temporary stumble but no break in the strategy. 📉📈
We were earning from the strong side of the portfolio while giving the weaker side some time to bounce back. However, when the profitable trades started becoming weak and the price for liquidation started getting closer, rebalancing became inevitable.
This choice came at a price which is a part of our profits which have been earned so far. This loss may be a reality, but a lesson has been learned from it – profitability without strong risk management and balancing of the whole portfolio is meaningless.
This is a speed breaker and not the destination. Strategy will continue to evolve and risk management framework will keep on improving to become resilient to volatility.
The intention here wasn’t to avoid losses altogether. We had planned to create a strategy which would evolve and learn through the process.
Trust the process. Improve the system. Let the numbers speak. 📊
We were earning from the strong side of the portfolio while giving the weaker side some time to bounce back. However, when the profitable trades started becoming weak and the price for liquidation started getting closer, rebalancing became inevitable.
This choice came at a price which is a part of our profits which have been earned so far. This loss may be a reality, but a lesson has been learned from it – profitability without strong risk management and balancing of the whole portfolio is meaningless.
This is a speed breaker and not the destination. Strategy will continue to evolve and risk management framework will keep on improving to become resilient to volatility.
The intention here wasn’t to avoid losses altogether. We had planned to create a strategy which would evolve and learn through the process.
Trust the process. Improve the system. Let the numbers speak. 📊
