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Ep. 99: Eric Crittenden Interview with Michael Covel on Trend Following Radio

Michael Covel's Trend Following

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The Importance of Risk Control at Longboard

Longboard has between 50 and 70 open positions at any given time. They come from four different asset classes, fixed income, equities, currencies and commodities. If every position in our portfolio became 100% correlated going against us for months, we would end up losing the full amount that we were risking on every single position simultaneously. This is what we call total open risk, which is the same thing as our risk budget.

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