Previously, Futu invited fund manager Cai Jiamin to share. He is a quant fund manager with an annualized rate of over 20%. I believe everyone is very interested in his high rate of return. I watched the eighth session's charts on investment strategy sessions and summarized some of his views.
But first, let's introduce what exactly his algo investment is about.
Next, he shared the three key points of surviving in a stock market crash.
How to survive in a stock market crash
Neutral Thinking - Investors should change their mindset, using neutral thinking can more effectively navigate adjustments.
Diversification Strategy - You can't just use one strategy, such as only buying dividends, only looking at charts, only focusing on news, and so on.
Adequate historical data is used to backtest investment strategies.
So what is BackTesting? Let's take a look at the chart.
Next are his views and recommendations on the market (representing the personal opinions of the guest)
1. The global asset decline is attributed to QE.
2. When choosing investment targets, pay attention to the Sharpe Ratio. It is best for the Sharpe Ratio to be greater than one. This indicator can determine whether investment can seek higher returns with lower volatility. From the chart, it can be seen that the green line with a higher Sharpe Ratio has less volatility, so products with higher Sharpe ratios should be selected as much as possible.
3. The larger the Calmar Ratio of the symbol, the better the performance. This indicator can...