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Michael Berger wrote:
>
> I'm considering using Rina, what are the flawed concepts
> they use?
>
> Thanks.
>
> ***************
> MT said on Sept. 2:
> Well... you are comparing MAJOR apples and oranges here,
> because TS+Rina *ISN'T* portfolio backtesting with dynamic
> money management. And I'm not talking about the inability to
> use your own betsizing strategy (which is limiting
> ofcourse), but the fact that RINA is based on FLAWED
> CONCEPTS.
Michael,
This has been discussed on several occassions in this list, but it was
always very vague and unclear. I guess that in a competitive game like
trading, a player should hardly expect to receive good advice from the
other players ;)
Have a look at
http://www.purebytes.com/archives/omega/2001/msg01716.html
but I found the text of that article hard to understand. What makes it
difficult is that the guy's perspective is from the RINA point of view.
Simply put, RINA doesn't size trades as they come up based on currently
available portfolio information. It's an equity curve splicer. Same with
all other similar software I've looked at.
Using a true dynamic money-management software makes the differences
very clear. And it's the only way to really learn this stuff IMHO, as
I've not found much in books (Vince, Jones, Balzara etc).
Regards, M.
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