Real-Time Track Record Accounts

Hypothetical performance can only tell so much about a system. Because of the dangers of curve- fitting, the only real test of a system is it's real-time performance. In addition to real-time monitoring by groups like Futures Truth, TradeSystem, Inc. trades a track-record account. The summary of that account, instructions to the broker trading that account with our systems, and actual brokerage statements are contained in this section.

Note that the account is traded by a System Assist broker, just as you can have done. That arrangement ensures that the account is traded exactly as prescribed (no inputs from TradeSystem personnel), and that the same results could have been attained by anyone trading these systems.

The following breakout shows monthly returns on three "Track Record" accounts. The accounts are traded by different brokers, and the accounts range from small to large. Each account was traded exactly as specified by our portfolio/money management rules. Across all three accounts, there are 66 monthly returns, over five years of real-time trading. The average monthly return was 5.15 percent. A monthly return of 5.15 percent compounds to an annual return of 83 percent.

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.”