!!!EURJPY, XG and IWM are short-term trades!!! Duration : 2-7 days

Paciencia (patience) - as the name says, this is not the system for making the quick money.
But if one, as a medium-term investor, wants to diversify his portfolio with a futures-basket-system and dont has got the time to be a daytrader, this system could be one part among other EOD-Systems.

All trades are based on end of day prices, signals are given after the close of the trading day. As the futures traded are very liquid the Realism Factor should be near 100 % !

The results with 4 x Margin were 119% in 2004, 56% in 2005 and 149% in 2006 .

APD was 2.42 in 2004-2006 , Profit Factor 2.77 . (Trade by trade)

Due to the diversification of risk over Currencies, Stockindex, Financials, Energies and
Precious Metals the Profit Factor (on a monthly basis) of the whole basket in 2004-2007 was 13.7 .

Download Paciencia.xls and see the performance with the unchanged parameters
from 2004 - 2007.

http://www.file-upload.net/download-212834/Paciencia.xls.html

How to start the basket ?
That is not easy to answer ! Personally, I would prefer to wait until the single signals are
coming up.
But one can look at the K-column in the Paciencia.xls.
There one can see from month to month the results of starting the whole basket at the first trading day of the month.

Caused by Risk Management I choosed to take only 4 x margin here in the trades by C2.
No preference is taken for special futures contracts. The margin used for the single futures contracts will be more evenly contributed as the C2-account grows.

!!! In 2005 there were 3 monthes with drawdowns : February, September and December !!!

Portfolio Diversification !!!
4xmargin also means only to be invested with 25% in this system and to be invested
with 75% of the portfolio in other assets like stocks-portfolio, moneymarket etc.
Never put all the eggs in 1 basket if you want to be a successful investor in the long run !!!

See comparision of 4 diversfied portfolios (Paciencia C "Commodities", Paciencia "8 liq. futures" , Stocks and ES-ER2-Spread) in 2004 - 2007 in Paciencia.xls from row 65-113.
The more diversified, the better the monthly Profit Factor of the whole portfolio !!!

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For better comparison of futures-basket-systems, here some links to successful diversified systems :

http://www.superfund.net/us/start.asp?lg=EN&disc=1&country=US&partnerId=

http://www.portfolioconcept.de/derivate/portfoliofactsheet.php?sy=Five%20Markets&style=2


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 OF 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 WHICH CAN ADVERSELY AFFECT TRADING RESULTS.