The Man From The Future
The Man Who Milks Markets
My Wall Street Friend and Hedge Fund Manager showed me this book which caused a Stir in Wall Street and Chicago this month . I showed him the book my founder wrote 9 years ago when Jim Simons was valued at 8 Billion.
Now He has 21 Billion .
We will reveal how it could be 210 B instead of 21 B later on .
Our boss and founder knew him very well , having been his student , having sparred with him many times , attended all his lectures and listened to all his theorems including the one Chern Simons Form Gauge Theory for which he is most famous for . My boss and founder , also a scientist himself, had scrutinized every word of intellectual grimace and remark from Jim Simons over the years.
Ultimately , we found that IT IS NOT MATHEMATICS that made Jim Simons Jim Simons.
Jim Simons , himself confirmed what we found below 2 times. And Jim Simons being a true , honest, intellectual and scientist , we believe him. One cannot be a true scientist if one is not honest. My boss , David Lee , being a data scientist himself could detect intellectual honesty and truth from another fellow scientist like Jim Simons.
David Lee worked as data scientist via a government grant from National Science Technology Board , Singapore, secured a Singapore Merchant Banking Scholarship from then Finance Minister Lee Hsien Loong , Current PM of Singapore , secured funding from Morningside Ventures and worked with Dr. Gerald Chan our first Chairman who went on to fund Xiao Mi ( aka Better Value Smartphones at 1/3 price of Iphone) and now Pony AI Self Driven Cars. For a fascinating look into Morningside Ventures watch this inspirational video on Dr. Gerald Chan after he gave 350 M to Harvard Public Health.
The fact that Jim Simons Says Time and Again IT IS NOT MATHEMATICS that made Jim Simons Jim Simons IS ACTUALLY VERY GOOD NEWS.
This is good news because it means anyone can become Jim Simons with some training and data science backing.No Need for High Level Maths to Succeed .
[In October 1996 on his first successes.]
Jim Simons Said : It had nothing to do with mathematics. Happily, more things went for us than against us.
Jim Simons again confirmed in 2000
[In November 2000 on whether there was a connection between the math he did and his trading.]
Jim Simons Said : Absolutely none.
My boss further revealed another shocking truth .
Jim Simons is Not Trading . He is Milking .
Jim Simons Track Record is almost Perfect . He returned 55 Billion in last 30 years , 30 percent Average a Year , 1 down quarter 0.5 percent and almost no losing day record .
He is The Man From The Future .
It is like: He Travelled to The Future , Came Back and Traded with Perfection .
We will describe later how our deep learning technologies allow us to do just that: Travelled to The Future , Came Back and Traded with Perfection. We do this with a predicted return each day before the trading day starts .
So , If Jim Simons Knows The Markets with 100 percent Certainty.
ITS NOT TRADING . ITS MILKING !
Jim Simons is like Edmund Hillary ,The First Man to Scale Mount Everest . Jim Simons like Edmund Hillary did not reach the Top ALONE. Edmund Hillary had a Sherpa mountaineer Tenzing Norgay to help him reach the top of Mount Everest. Jim Simons has his Tenzing Norgay to help him reach the Top of the Hedge Funds World .
So if You continue to read this story , You will find out
- How Jim Simons Milks The Markets with 100 percent Certainty . If it is 100 percent Certainty , ITS NOT TRADING .
2. You will also find out Who Can Be Your Sherpa , Your Tenzing Norgay Partner to help you or your Fund Milk the Markets.
3. Lastly A Revelation : If Jim Simons Trades Cryptos instead in 2010 when Predicting Jim Simons Book was published , he would be worth 210 B .
First Enjoy This Video .
Jim Simons is The Man from the Future . The Singularity Man . When Machine Intelligence Surpass Human Intelligence , Harnessing Machine Intelligence will produce Singularity Returns ,
1M 2M 4M 8M 16M 32M 64M 128M 256M 512M 1 B
In Jim Simons Case , it has been from 8 B to 21 B in 9 years close to Singularity returns but not quite either.
The Singularity Man . The Man From The Future . The Singularity has been espoused by Masayoshi Son , Soft Bank President ( VC behind Alibaba , Uber and Grab) And Ray Kurzweil, Google Lead AI Scientist Expert who says : The Singularity is Near https://www.amazon.com/Singularity-Near-Humans-Transcend-Biology/dp/0143037889
Jim Simons track record proves that the Singularity was already there in Renaissance Technologies Hedge Fund many years ago .
Jim Simons had a model for every single instrument in the Investment Universe , Apple , Facebook , Bitcoin , Ethereum. So if he has a model for every instrument , then he must have a Singular Method to Treat All Models. Does Jim Simons have A Single Magic Wand to Command All Markets for Risk Control Purposes ?
We will tell you what that Single Wand is likely to be later on.
For us , It turns out It could be more of a Tuning Device . A Simple Turning Knob to Fine Tune Markets.
So , Who is Jim Simons ‘s Tenzing Norgay ?
He is Robert Mercer, The Tenzing Norgay Who Took Jim Simons to The Top .
Ex IBM Scientist turned CEO of Renaissance Technologies. With AI and Big Data , He helped accelerate the election of Donald Trump and Brexit. So perhaps , in a wider perspective of things , Robert Mercer did helped the world by accelerating it down to the toilet faster so that we can all have a faster rebirth and recover from years of excess. This acceleration down the toilet must happen, must occur in the scheme of things or we will never recover.
You can research more about him but like all truly great scientists , Robert Mercer thinks very differently from others and not afraid of people laughing at him or his unconventional methods. Most artistic and scientific geniuses look mad or appear crazy because they think so differently from conventional people .
My favourite is Salvador Dali who famously said “The only difference between me and a madman is that I’m not mad.” — Salvador Dali Quote.
Like Steve Jobs and Jeff Bezos , Robert Mercer , thinks very DIFFERENTLY from everyone else , is extremely unconventional and may even appear mad to most people at first glance . He funded a company that makes urine therapy a cure for cancers and heart disease . On deeper research we found how Urokinase , extracted from human urine , cures cancers and unclogs heart arteries. Urokinase is a thrombolytic (THROM-bo-LIT-ik) drug, sometimes called a “clot-busting” drug. It helps your body produce a substance that dissolves unwanted blood clots. Urokinase is used to treat blood clots in the lungs.The science and chemistry of how Urokinase cures cancers and unclogs arteries found here : https://www.frontiersin.org/articles/10.3389/fonc.2018.00024/full
Moral of Story : Be Brave to Embrace the Difficult Sometimes Weird Path because that is “What Scientists Do to Make Ground Breaking Research .”
My boss , founder and scientist, David Lee said : “Being Unconventional is What Distinguishes US.” Having presence in US , Singapore , NZ and India , my boss resides in NZ deep in the mountains where he can store and serve as custodian for crypto assets. Just as Renaissance Technologies base their scientists in remote Long Island far away from the noise of Wall Street we house our servers remotely. Crypto assets are kept in secret locations in steel vaults rather than e wallets and totally isolated from any computer network.Our remote storage makes it ideal hideaway from governments for Alibaba, Tencent , JD.com early investors and execs who have retired to Queenstown NZ far away from Uncle Sam and Uncle Qing.
Our Machine Learning and Deep Learning Borne from Collaboration and Research with High Calibre Scientists from MIT and Carnegie Mellon and whose names we withheld to protect trade confidentiality and secrets . Our scientists have overcome 2 inherent weakness in Deep Learning Networks , One is of overlearning which makes it non plastic,non flexible unlike the human brain and second overcome Deep Learning Brittleness to make the learning robust and flexible like human intelligence .
Our Models are Unconventional . It could be a buy now Apple on one model and a sell Apple on another model in the next few seconds. Like Jim Simons, we do not question our models , we defer to them because we know they work in the past and will work in the future.
If we use this approach we are modelling , we are milking.
We are not trading .
If HFT firms like Citadel , Tower Research , Optiver and Tradebot Systems follow this milking approach Jim Simons Style , they can see their revenues multiply . If Virtu does this , they would be viewed less as a Trading Business and more as a Franchise Business with more stability and scalability. Their market cap would go up multifold 10x from current 3 B to 30 B and Singapore ‘s Temasek Stake would be worth billions and bear great news for all pensioners in Singapore . If Cooper Neff , our first consulting client and a world class Top 10 Program Trader utilise this milking method Jim Simons Style to BNP (Banque Nationale de Pari) Cooper Neff would be sold at 2 B instead of 200 M. The risk in milking is almost non existent just as Jim Simons firm has almost no losing day record .
Jim Simons Said : “I don’t want to have to worry about the market every minute. I want models that will make money while I sleep,” “ By deferring to models and the scientific method you don’t fall for things like behavioral biases.” “Efficient market theory is correct in that there are no gross inefficiencies. But we look at anomalies that may be small in size and brief in time.
What Jim Simons Said is Unconventional Investing Theory .
Classic Investing has not worked . Pension funds are in debt and pensioners in trouble because Classic Investing has failed. When stocks reach the IPO stage they are already so richly priced having been funded by several rounds of Angel and VC investing that to invest for the long term bears the greatest risk akin to Investing Suicide. How then to Save the pensioners and pension funds?
This reminds me of what a China Leader said which saved China .
Deng XiaoPing once said “it doesn’t matter whether a cat is black or white, if it catches mice it is a good cat.” That is unconventional wisdom similar to Jim Simons Style of Unconventional Investing . And this is wisdom we draw from. We do not need to explain the models or see whether it is buying or selling or what it is buying or selling. It is a good model so long as it makes money and if it does not it is being dropped. This shift in thinking to unconventional wisdom is so important that if China had not adopted this shift of thinking , Jack Ma of Alibaba says we would then not have Alibaba , Tencent or JD.com today and that also means we would have none of their assets to manage and custodian.
So how do you Trade like Jim Simons , Think like Einstein , and Focus like Warren Buffett ?
Jim Simons Said :[In 1999.] Efficient market theory is correct in that there are no gross inefficiencies. But we look at anomalies that may be small in size and brief in time. We make our forecast. Then, shortly thereafter, we re-evaluate the situation and revise our forecast and our portfolio. We do this all day long. We’re always in and out and out and in. So we’re dependent on activity to make money.
Think like Einstein , Albert Einstein Said “Look deep into nature, and then you will understand everything better”, he did not have Artificial Intelligence (AI) in mind.
Focus like Warren Buffett ,Warren Buffett Said : “The difference between successful people and really successful people is that really successful people say no to almost everything.”
So How do we combine the 3 geniuses of Jim Simons , Warren Buffett and Einstein?
If we Combine these 3 geniuses into one single activity and repeat and focus on that one activity day in and day out , we can become the Man from The Future . We can become Jim Simons . The Man who Milks Markets .
My boss showed this video and images of birds swarming in chaotic patterns akin to stocks moving randomly in markets . Jim Simons Said : It looks to be random but actually are partly comprised of non-random patterns and there are anomalous patterns that we would not expect to occur at random.
My boss Said : “Watch the Markets as if You are Watching the Birds and Learning from Nature as Einstein suggested . Focus on it like Warren Buffett and say NO to Everything else and use Machine Learning to Model IT Day in and Day out like Jim Simons. With data going back 40 years 1 method works throughout the 40 years and it’s unconventional. We filter and filter , replicate the birds flight patterns with price movements of stocks and monitor its every minute flight pattern with a 6 point prediction path.
6x5x4x3x2x1 A Maximum of 720 possible combinant models for Deep learning and Machine learning.
Do we even know or care when the birds or markets will turn or mean revert or will they persist in their flight patterns and result in TRENDS ?
Obviously we do not and we do not ask whether market is going up or coming down , which way the birds are flying .
All we care is whether our machines are generating 720 possible combinant models to capture whatever outcome and behaviour ,the birds or stocks exhibit.
All we care is the profits are coming in as expected with a minimum percentage of SL and a maximum Sharpe.
And because we have mastered the non linear dynamics of markets , we now control it via a Turning Knob to fine tune everyday . So we are not busy at all even though there are thousands and thousands of trades each day.
So , There is No Magic Wand to Command Markets.
Better Still we have a Simple Mechanical Knob .
A Mechanical Adjustable Knob for us to make our forecast, re-evaluate the situation and revise our forecast and our portfolio.
We Treat The Markets Just like Making Music . We hear a Melody Within and We Keep Turning the Knob until it Sounds Right . Until Sweet Music and Profits pour out . And there is only 1 Knob To Turn so it is very easy to turn .
As the Kiwis would say SWEETEST!
Turning that 1 Knob decides how many trades are generated like below .
Turning that 1 Knob made a bad equity line into a smooth equity line
Turning that 1 Knob made a Sharpe go from 0.11 to 10 . From unusable bad model to highly scalable model , Intraday and Interest Free to Execute .
Turning That 1 Knob turn Average Daily profit to double and hit ratio to drop adversely but we don’t care about hit ratio as Sharpe is UP
Turning that 1 knob made models made money 24/7 BTC ,ETH,BNB,LTC
If you are trading Cryptos , you will do 4 times better as Cryptos are 24 hours , and Volatility are 4 times as much . That is how Jim Simons 21 B can multiply to 210 B if Jim Simons Traded Cryptos in 2010 .
Everyday we have a Predicted Profitability Spreadsheet which we avail to customers before the Trading Day starts and as Jim Simons says : [In December 2005.] Past performance is the best predictor of success.
Predicted Performance for cryptos is 4 percent per day vs 9 percent for stocks per month below.
Cryptos Trades with Date and Time Stamp and Standard Entry and Exit Times for Better Predictability
Predictions On Left Vs Actual On Right . When Inverse ETFS , SDS, SPXU, SPXS Predict the Exact Mirror , Inverse Image of SPY , SPXL . We have PHD , Predictive High Definition
That 1 Knob , What IS That 1 Knob?
As Jim Simons would have said [In October 1996.] We don’t want to give away our big secrets here.
Its Time Now to Reveal to you the Reader .
If you the Reader are Trading , A Fund , A HFT Firm , A Hedge Fund , A Family Office or even a Stock Brokerage , Its Time to Tell you :
We are Your Tenzing NorGay Partner to help you scale higher and reach the Top ,
Contact US at firstname.lastname@example.org , with your details : Subject Line AUM , Size of Firm and Portfolio Constituents and sign on below .
We have developed Platforms www.hexchange.com and hexfunds.com to expedite this journey to the Top . We need your execution platforms to make our Models Sing .The models are just one side of the equation. When balanced by the other side of your great execution we get perfection .
If you think Robinhood and Revolut valuation of 5 B and 5 Million customers are amazing numbers , wait till you see even more amazing value created by www.hexchange.com and www.hexfunds.com . We leverage off Robinhood and Revolut free commission trading . They are the wheels that make us go faster and milk faster . The winner takes all and you ain’t see nothing yet in Fintech. If you are an Angel Investor , A VC and have ideas and advice for our expansion , please contact us email@example.com , with your details : Subject Line www.hexchange.com www.hexfunds.com and sign on below .
Truth be told . Investing is Hard , Very Hard . Traditional methods have failed. Pension Funds have failed . Jim Simons Style of Milking has proven and thrived in the last 30 years and pulled 55 B of returns with a 30 percent average and will thrive further in our climate of commission free trading and machine driven technologies.
Sign up and Sign An Agreement to Share Profits and We Will Share The Knob Turning Experience with you .
Let us be your Tenzing Norgay . Let’s get to the top together
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