A Time-Tested Trading Method Finally Revealed!
The Turtle trading program started by Richard Dennis is, by any measure, one of the greatest success stories in the entire history of trading. If you’ve read Jack Schwager Market Wizards you will know the story
Here’s a brief background:
Richard Dennis was a successful (he turned a $400 family loan into $200 million!) Chicago trader and money manager who firmly believed that successful trading methods could be taught. His partner disagreed. Dennis then went out and recruited 14 people - some of whom had NO trading experience - and taught them his trading methods. He called them his “Turtles” and, after a brief training period, they went on to become masters of the markets.
By one estimate, the Turtles made Richard Dennis over $200 million in profits, while earning $35 million for themselves. But that was then and this is now. What have they done lately?
In 1989, an article was written by Stanley Angrist in the Wall Street Journal, pointing out that the Turtles as a group for the past five years (meaning 1984-1989) had earned $35 million dollars for themselves, as their percentage of the $175 million they made for their employer (Richard Dennis). The author thought that was a lot of money back then, and really spoke to superior performance by these young traders, compared to all the rest of the financial industry. Was this just a few years of lucky trading, or would this famous ‘experiment’ continue to stand the test of time?
Well, let’s fast forward almost 25 years later. According to Autumn Gold, an independent rating service of money managers there are eight members of the original famous Turtles group of traders registered as C.T.A.’s who are still managing public money. Their cumulative assets under management are currently over two billion dollars of customer money.
Here are some recent trades one of the Turtle Traders has supplied us with
Please note: The performance results of the other turtle traders are not necessarily indicative of “The Turtle System” being offered for sale on this website. Rather, the hypothetical trading results found by visiting the link to the System Performance page are a better indication of how the Turtle System may have performed as a whole. The Turtle Course as taught and sold here is NOT a completely mechanical system, and does allow for a certain amount of discretionary judgment by users. Clients who purchased and traded the Turtle system have had widely varying results, including both better and worse than the returns posted. Please also note that all trading is risky, and past performance is not indicative of future results…
This brief statement does not disclose all of the risks and other significant aspects of trading in futures and forex. Trading in futures and forex is not appropriate for many members of the public. You should carefully consider whether trading is appropriate for you in light of your experience, objectives, financial resources and other relevant circumstances.
Effect of “Leverage” or “Gearing”
Transactions in futures carry a high degree of risk. The amount of Initial margin is small relative to the value of the futures contract so that transactions are ‘leveraged’ or ‘geared’. A relatively small market movement will have a proportionately larger impact on the funds you have deposited or will have to deposit: this may work against you as well as for you. You may sustain a total loss of initial margin funds and any additional funds deposited with the firm to maintain your position. If the market moves against your position or margin levels are increased, you may be called upon to pay substantial additional funds on short notice to maintain your position. If you fail to comply with a request for additional funds within the time prescribed, your position may be liquidated at a loss and you will be liable for any resulting deficit.
This website may make certain references to the use of stop orders as means of limiting losses or protecting profits. Please note that there is no guarantee that any stop loss order will be executed at the stop price. Therefore, there can be no guarantee that placing a stop order will limit losses or protect profits. Accordingly, no representation is being made that the trading in customers’ accounts will be profitable or will not result in losses as the result of placing stop orders.
“Market” conditions (e.g., illiquidity) and/or the operation of the rules of certain markets (e.g., the suspension of trading in any contract or contract month because of price limits or “circuit breakers”) may increase the risk of loss by making it difficult or impossible to effect transactions or liquidate/offset positions. If you have sold options, this may increase the risk of loss.
You should familiarize yourself with the protections accorded money or other property you deposit for domestic and foreign transactions, particularly in the event of a firm insolvency or bankruptcy. The extent to which you may recover your money or property may be governed by specific legislation or local rules. In some jurisdictions, property which has been specifically identifiable as your own will be pro-rated in the same manner as cash for purposes of distribution in the event of a shortfall.
Before you begin to trade, you should obtain a clear explanation of all commission, fees and other charges for which you will be liable. These charges will affect your net profit (if any) or increase your loss.
Most open-outcry and electronic trading facilities are supported by computer-based component systems for the order-routing, execution, matching, registration or clearing of trades. As with all facilities and systems, they are vulnerable to temporary disruption or failure. Your ability to recover certain losses may be subject to limits on liability imposed by the system provider, the market, the clearing house and/or member firms.
Trading on an electronic trading system may differ not only from trading in an open-outcry market but also from trading on other electronic trading systems. If you undertake transactions on an electronic trading system, you will be exposed to risks associated with the system including the failure of hardware and software. The result of any system failure may be that your order is either not executed according to your instructions or is not executed at all.
This website contains references to hypothetical trading results.
HYPOTHETICAL PERFORMANCE RESULTS HAVE MANY INHERENT LIMITATIONS, SOME OF WHICH ARE DESCRIBED BELOW. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN. IN FACT, THERE ARE FREQUENTLY SHARP DIFFERENCES BETWEEN HYPOTHETICAL PERFORMANCE RESULTS AND THE ACTUAL RESULTS SUBSEQUENTLY ACHIEVED BY ANY PARTICULAR TRADING PROGRAM.
ONE OF THE LIMITATIONS OF HYPOTHETICAL PERFORMANCE RESULTS IS THAT THEY ARE GENERALLY PREPARED WITH THE BENEFIT OF HINDSIGHT. IN ADDITION, HYPOTHETICAL TRADING DOES NOT INVOLVE FINANCIAL RISK, AND NO HYPOTHETICAL TRADING RECORD CAN COMPLETELY ACCOUNT FOR THE IMPACT OF FINANCIAL RISK IN ACTUAL TRADING. FOR EXAMPLE, THE ABILITY TO WITHSTAND LOSSES OR TO ADHERE TO A PARTICULAR TRADING PROGRAM IN SPITE OF TRADING LOSSES ARE MATERIAL POINTS WHICH CAN ALSO ADVERSELY AFFECT ACTUAL TRADING RESULTS. THERE ARE NUMEROUS OTHER FACTORS RELATED TO THE MARKETS IN GENERAL OR TO THE IMPLEMENTATION OF ANY SPECIFIC TRADING PROGRAM WHICH CANNOT BE FULLY ACCOUNTED FOR IN THE PREPARATION OF HYPOTHETICAL PERFORMANCE RESULTS AND ALL OF WHICH CAN ADVERSELY AFFECT ACTUAL TRADING RESULTS