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Frequently
Asked Questions
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- What Contracts
may I select?
As a general rule, any electronically traded
contract which is available through your
Clearing House/Broker or available contracts can be viewed
in StrategyBot software. Click on Contract
on the menu to get the list of all contracts
available.
- How much does “Paper Trading” or “Virtual
Link to StrategyBot” cost?
It is available to anyone as a trial period
for 30 days free of charge. See above.
- How to add
a new fully automated Strategy to a Contract?
From the upper left corner of StrategyBot
3rd pop up menu is “Strategy”.
Please click inside the menu to “Add
Strategies”. Choose the desired fully automated strategy(ies)
and click on “add” at the bottom.
- How to pay
for a new fully automated strategy?
Please visit the website www.strategyland.com.sg and pay through Credit Card.
- When may
I watch StrategyBot running?
Certainly not during week ends and local
holidays for each particular Contract and
you may watch only during the working hours
of each Stock Exchange. So depending on which
Contract and its fully automated strategies that you wish
to watch, please consult the time at the
local exchanges either in Europe (Germany
and London) or in New York and Chicago. Be
aware that “out of these open hours,
the computer servers of the Clearing House
that you are using may not be On Line”.
In that case you will get an error message “Cannot
Connect”.
- How to activate
a new fully automated Strategy?
Please provide the name of the fully automated strategy
to your broker for activation upon paying
the money on line.
- How much
money do I need to activate the fully automated Strategy?
It depends on the margin required by the
brokers which margin is set regularly by
the CME or CBOT or other exchanges. See
the bottom text of the report “Best
Strategy of the day”. This report
does list the amount of money (Margin) needed
to run a fully automated strategy depending on which Contract
the strategy belongs to.
- Upon adding
a fully automated Strategy, when it will run? today or tomorrow?
It will run immediately upon clicking on “Run Strategy” in the menu.
This is provided that the strategy’s
run time is not over for the day. Check
“start time” and “end
time” in the details of that particular
Strategy. If the time is over an error message
will be generated.
- How may I
select which fully automated strategy(ies) to include in
my portfolio?
Simply by double-clicking the name of the
strategy in the StrategyBot menu, you can
view the strategy’s description, as
well as statistics and data about its performance.
This can help you decide which fully automated strategies
to use. The strategy details can also be
viewed by clicking on Strategy Details in
pop up menu.
- How may I
run a fully automated Strategy which I’ve stopped?
If you stopped it while it was in Standby
mode you can resume it before its Start
Time.
- May I remove
a fully automated Strategy from my portfolio?
If it’s in Running or Standby mode,
first you need to stop it. Go to “Strategy
Menu”, click on “Stop Strategy”.
After it’s in Stopped mode, you can
delete it by clicking on “Delete Strategy”
in your toolbar. Remember to save changes
when you exit the program. Or go to “Portfolio”
in the menu and click on “Save”.
- May
I modify fully automated Strategy(ies)?
Yes. In StrategyBot Enterprise addition
you may modify the parameters of a fully automated strategy.
Please send email at support@strategyland.com.sg for further details.
However in StrategyBot Professional version
you cannot modify fully automated strategies.
- Can you
recommend me which Contract and fully automated Strategy
to select ?
No, we are not legally
supposed to recommend to anyone but we
are checking daily the performance of each
fully automated strategy and we publish their
statistic report daily, weekly and monthly.
From these reports you are
supposed to make you own choice.
- What
is the overall minimum cost to start
?
A new user would
1st have to buy the StrategyBot software
(its local cost is S$1,709 including
GST), then buy as
many fully automated strategies as his investment
amount may allow. The step by step
procedure is provided On Line. The lowest
cost of a single fully automated strategy is US$49
monthly. As per the present margin amount
required by each Exchange., an indication
would be that for a US$10,000
investment, up to 3 fully automated strategies could
be rented, and for a US$100K investment
between 30 to 40 fully automated strategies could be
rented.
Fully automated strategies could be rented as a
group minimizing the cost of $49 monthly
per strategy. See
our offer on eStore on our web site for
Group of
fully automated Strategies.
- How do I
buy a Contract ?
There is no
need to buy a Contract. Contract(s) only
have to be selected by
you. Only fully automated Strategy(ies) need to be rented. As an example, you could activate
one single strategy in 5 different contracts
or activate 5 fully automated strategies in one single
contract. The number 5 being an example.
- How may I know
what determines a Conservative, versus
a Medium risk, versus an Aggressive Strategy?
Standard Deviation,
Sharpe ratio and Probability determine
the Risk factors that are mentioned in
the Statistics report of each fully automated strategy.
i). Standard Deviation: Standard Deviation is probably used more than any other measure to describe the risk of a fully automated strategy (or of a portfolio). It provides a precise measure of the amount of variation in any group of numbers (like the returns of a Hedge Fund) that make up an average. The most common formula of Standard Deviation is as follows;
In the real world, the larger the swings in a Futures return, the more likely it is to dip into negative territory. Though standard deviation measures volatility on both the upside and the downside, it's a good proxy for measuring the risk of loss with any fully automated strategy. Hedge Fund examples bear this out. The range of standard deviations for ultra-short term is a mere 0.14 to 1.32, with an average 0.67. The standard deviations for precious metals funds range from 17.58 to 37.23, with an average of 25.74.
Standard Deviation is generally calculated for monthly returns over a specific time period (commonly 36 months).
ii). Sharp Ratio: Sharp ratio measures the returns over the risk-free rate divided by the volatility/Standard Deviation of those returns. A fully automated strategy that has a good success ratio, but its losses tend to be disproportionate with its gains; will not have a high Sharpe Ratio over long periods of time. Having a fully automated Strategy with a success ratio of 40%, even with a positive spread between gains and losses of say 0.50%, will generate consistent, but also very tepid returns. So if the volatility “perks up” and/or the fully automated strategy goes through one of its “poor periods” it may have a small and even negative Sharpe ratio.
iii). Probability: The Probability of an event is the measure of the chance that the event will occur as a result of an experiment. The Probability of an event A is the number of ways event A can occur divided by the total number of possible outcomes. The Probability of an event A, symbolized by P(A), can be a number between 0 and 1, inclusive, that measures the likelihood of an event in the following way:
If P(A) > P(B) then event A is more likely to occur than event B.
If P(A) = P(B) then events A and B are equally likely to occur.
For more details please email to sales@strategyland.com.sg.
- Looking
at the statistic report of a fully automated strategy,
which
criteria’s are
the most important?
The
fields in “Return Statistics” shall
better suite a trader’s decision
(keeping in mind that bigger the return
= biggest the risk). In the “Risk
Analysis” table “Worst Drawdown” as
well as “Max Daily DrawDown” both
in $K and in % shall be considered. This
helps to understand the “Stop Limits” of
the parameters of a fully automated Strategy. Once the
largest expected or unexpected loss is
known then the 3rd step is to consider
the “Profitable Percentage” in
the “Return Statistics” table.
In all 3 cases (Conservative, Medium or
Aggressive Strategy) it has to be above
50%. The higher the “Profit Percentage” the
better the Strategy performs.
A trader may get
additional information from StrategyLand
support team about the
statistics. Alternatively, one can join
our Online Course. For more details please
email to sales@strategyland.com.sg.
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