SMALL-ACCOUNT TRADING WITH
ABERRATION, AZTEC AND ASCENDX

The Small-Account trader can diversify with ASCENDX to boost returns for very modest drawdown increases. The following shows the recommended Small-Account portfolios and the number of e-mini S&P contracts to trade with both the Daily-Bar and Hourly-Bar ASCENDX systems.

LARGE-ACCOUNT TRADING WITH
ABERRATION, AZTEC AND ASCENDX

The Large-Account trader should diversify with ASCENDX to boost returns for very modest, if any, drawdown increases. Once the Large-Account trader has found the risk level per trade they are comfortable with, they can use the Combine program and test levels of ASCENDX usage until they achieve the desired risk again. Corresponding return will be much higher. If for example, you are contemplating trading the Global One Mix with a risk per trade of 2 percent with Aberration and 1 percent with Aztec, your expected return would be:

Adding one ASCENDX S&P contract per signal will achieve a risk of 1 percent per signal. Adding another contract will yield a risk level of two percent. In this manner any level of risk can be tested. Going up to 5 percent of risk for ASCENDX yields the following results:

This analysis shows that as the percent of equity risked on ASCENDX is increased, the entire portfolio's level of risk actually moves down until 3 percent is risked. At the point where three percent of equity is risked on each ASCENDX trade, return is over 30 percent greater than without ASCENDX (126.7 versus 93.3), and risk is actually less (14.22 versus 14.92). Again, the large-account trader can select the mix that meets his risk tolerance.

The same comparison is shown below for the Global Two Mix:

These results show that for about the same risk as the baseline without ASCENDX, you can trade 3.9 percent of equity on each ASCENDX signal and achieve a 146 percent annual average return, over 45 percent greater return per year than the baseline.

NOTICE: “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.”