Hi everyone,
I want to start a discussion on how to select the best combo of algo/strategies with ₹5 lakh capital, running each strategy at 1x quantity.
My main focus is long-term survival, low drawdown, and non-correlated strategy selection rather than only high returns.
What factors should we check before selecting the combo?
For example:
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Drawdown and recovery time
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Correlation between strategies
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Live performance vs backtest
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Risk per strategy
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Number of trades and execution quality
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Market condition suitability
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Whether all strategies fail together or not
For ₹5 lakh capital, if each strategy is run at 1x, how many strategies should ideally be included in the combo? Also, what would be a safe way to allocate risk across them?
Experienced members, please share your practical views on how to build the best and safest combo for long-term algo trading.
Hello Gita, welcome to our community!
We have specifically made a post on your query, please check this out: Which algos should you deploy? A cheat sheet — and the philosophy behind it - #3 by Nikhil_Bhandari
If things are still unclear, once you get our annual plan, you will get a dedicated wealth manager that will personally take care of all your algo portfolio related queries.
Happy Algo Trading!
I will share my plan damper on 2 lkah (not 1x bcoz charges eat almost all profits I validated live) curveture 1 lakh correlation is .14 or so , keep 2 lakh in buffer as this is start u need smooth curve with less stress as soon as profit crosses 60k which covers max dd for both algos add another un corealted cs on 1 lkah and keep scaling thisxway post 10 lakh u can add OB for 50k or 1 lakh
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It would be nice If suggest a balance portfolio for 20 lakhs, 10 lacs for cash and 10 from margin. draw down ok to 15%.
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Hey @Kritika_Singh,our wealth managers are specifically allotted just for this - to understand your risk and trading style and give you the right recommendations. Would love for you to try it!
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