Michael Covel's Trend Following

My guest today is Leo Melamed, a pioneer of financial futures, currencies, and stock indexes. Melamed became Chairman of the Chicago Mercantile Exchange in 1969. In 1972, under his leadership, the CME created the International Monetary Market (IMM), the world's first financial futures exchange, and launched currency futures. He is currently Chairman Emeritus of CME Group (formerly the Chicago Mercantile Exchange). The topic is his book Leo Melamed: Escape to the Futures. In this episode of Trend Following Radio we discuss: Overcoming odds China's futures markets The middle class in China Melamed's experience meeting Milton Friedman and some of the lessons learned Melamed's early experiences escaping Nazi-controlled Poland, and eventually going to work for Merrill Lynch Stock futures The importance of speculation Jump in! --- I'm MICHAEL COVEL, the host of TREND FOLLOWING RADIO, and I'm proud to have delivered 10+ million podcast listens since 2012. Investments, economics, psychology, politics, decision-making, human behavior, entrepreneurship and trend following are all passionately explored and debated on my show. To start? I'd like to give you a great piece of advice you can use in your life and trading journey… cut your losses! You will find much more about that philosophy here: https://www.trendfollowing.com/trend/ You can watch a free video here: https://www.trendfollowing.com/video/ Can't get enough of this episode? You can choose from my thousand plus episodes here: https://www.trendfollowing.com/podcast My social media platforms: Twitter: @covel Facebook: @trendfollowing LinkedIn: @covel Instagram: @mikecovel Hope you enjoy my never-ending podcast conversation!

My guest today is John H. Cochrane, the AQR Capital Management Distinguished Service Professor of Finance at the University of Chicago Booth School of Business. The topic is Chicago school economics. In this episode of Trend Following Radio we discuss: Warren Buffett's quote that he "would have made a fortune" if the banks weren't bailed out Crony capitalism Why "a good Bear failure may have saved us from a bad Lehman failure" The cost of regulation Uber, taxi service, and regulation Why commodities keep getting cheaper and cheaper, but people with expertise keep getting more and more expensive The idea of discretion Healthcare Jump in! --- I'm MICHAEL COVEL, the host of TREND FOLLOWING RADIO, and I'm proud to have delivered 10+ million podcast listens since 2012. Investments, economics, psychology, politics, decision-making, human behavior, entrepreneurship and trend following are all passionately explored and debated on my show. To start? I'd like to give you a great piece of advice you can use in your life and trading journey… cut your losses! You will find much more about that philosophy here: https://www.trendfollowing.com/trend/ You can watch a free video here: https://www.trendfollowing.com/video/ Can't get enough of this episode? You can choose from my thousand plus episodes here: https://www.trendfollowing.com/podcast My social media platforms: Twitter: @covel Facebook: @trendfollowing LinkedIn: @covel Instagram: @mikecovel Hope you enjoy my never-ending podcast conversation!

My guest today is Meir Statman, the Glenn Klimek Professor of Finance at the Leavey School of Business, Santa Clara University. His research focuses on behavioral finance. He attempts to understand how investors and managers make financial decisions and how these decisions are reflected in financial markets. Meir's latest book, "Finance for Normal People: How Investors and Markets behave" has been published by Oxford University Press. The topic is his book What Investors Really Want: Know What Drives Investor Behavior and Make Smarter Financial Decisions. In this episode of Trend Following Radio we discuss: How we make decisions, and how these decisions are reflected in markets What investors want besides the utilitarian aspect of money Philanthropy and status Why Madoff's clients' own greed helped them fall into a trap Envy and happiness The fear of losing and the fear of missing out Mental accounting Statman's drivers and early influences Libertarianism vs. paternalism Social Security and mandatory retirement savings Jump in! --- I'm MICHAEL COVEL, the host of TREND FOLLOWING RADIO, and I'm proud to have delivered 10+ million podcast listens since 2012. Investments, economics, psychology, politics, decision-making, human behavior, entrepreneurship and trend following are all passionately explored and debated on my show. To start? I'd like to give you a great piece of advice you can use in your life and trading journey… cut your losses! You will find much more about that philosophy here: https://www.trendfollowing.com/trend/ You can watch a free video here: https://www.trendfollowing.com/video/ Can't get enough of this episode? You can choose from my thousand plus episodes here: https://www.trendfollowing.com/podcast My social media platforms: Twitter: @covel Facebook: @trendfollowing LinkedIn: @covel Instagram: @mikecovel Hope you enjoy my never-ending podcast conversation!

My guest today is Terry Burnham, an economist who studies the biological and evolutionary basis of human behavior. He has a Ph.D. in Business Economics from Harvard University, a Masters from the MIT Sloan School with a concentration in finance. Terry was a professor at the Harvard Kennedy School, the University of Michigan, and the Harvard Business School. His non-academic experiences include working briefly for Goldman, Sachs & Co., being the chief financial officer for Progenics Pharmaceuticals , a start-up biotechnology company, and being the director of portfolio management for Acadian Asset Management, a quantitative equity manager. The topic is his book Mean Markets and Lizard Brains: How to Profit from the New Science of Irrationality. In this episode of Trend Following Radio we discuss: Burnham removed $1 million from his Bank of America account and said "I don't trust the banks" The two ways to think about risk Separating the ideas of luck and skill The lizard brain and how it relates back to our choices A story about interacting with Paul Tudor Jones Why markets have momentum The great driver of conformity Rationality and irrationality Captive chimps vs. chimps in the wild and the differences in behavior Predicting when the Fed will step in Thinking of the worst case scenario for equities and looking to Japan for an example Negative interest rates Jump in! --- I'm MICHAEL COVEL, the host of TREND FOLLOWING RADIO, and I'm proud to have delivered 10+ million podcast listens since 2012. Investments, economics, psychology, politics, decision-making, human behavior, entrepreneurship and trend following are all passionately explored and debated on my show. To start? I'd like to give you a great piece of advice you can use in your life and trading journey… cut your losses! You will find much more about that philosophy here: https://www.trendfollowing.com/trend/ You can watch a free video here: https://www.trendfollowing.com/video/ Can't get enough of this episode? You can choose from my thousand plus episodes here: https://www.trendfollowing.com/podcast My social media platforms: Twitter: @covel Facebook: @trendfollowing LinkedIn: @covel Instagram: @mikecovel Hope you enjoy my never-ending podcast conversation!

My guest today is Andy Puddicombe, the founder of Headspace, an award-winning digital health platform that provides guided meditation sessions. Puddicombe is a former Buddhist monk with a degree in Circus Arts. The topic is meditation. In this episode of Trend Following Radio we discuss: Puddicombe's background and how he came into the position he is in today Some traumatic events which may have had an influence on Puddicombe's decision to become a monk Covel's own meditation experience Comparing mindfulness and meditation The importance of a daily practice Stress and the science behind meditation Neuroplasticity The wandering mind and unhappiness The idea of the present moment, and how traders that embrace the present moment have an advantage Intuition Jump in! --- I'm MICHAEL COVEL, the host of TREND FOLLOWING RADIO, and I'm proud to have delivered 10+ million podcast listens since 2012. Investments, economics, psychology, politics, decision-making, human behavior, entrepreneurship and trend following are all passionately explored and debated on my show. To start? I'd like to give you a great piece of advice you can use in your life and trading journey… cut your losses! You will find much more about that philosophy here: https://www.trendfollowing.com/trend/ You can watch a free video here: https://www.trendfollowing.com/video/ Can't get enough of this episode? You can choose from my thousand plus episodes here: https://www.trendfollowing.com/podcast My social media platforms: Twitter: @covel Facebook: @trendfollowing LinkedIn: @covel Instagram: @mikecovel Hope you enjoy my never-ending podcast conversation!

My guest today is Sally Hogshead, a New York Times bestselling author, National Speakers Association Hall of Fame speaker, chief executive officer of How to Fascinate (Fascinate, Inc) and a former advertising executive. The topic is her book How The World Sees You: Discover Your Highest Value Through The Science of Fascination. In this episode of Trend Following Radio we discuss: Fascination and paying attention The seven different categories of things that fascinate us What those who fascinate have in common Developing a personality assessment that shows how the world sees you Understanding your own personal branding Analyzing Michael Covel's own fascination survey Not being a commodity Why if you're not generating a negative reaction from someone, you're probably not fascinating anyone Why you don't want to be vanilla ice cream Jump in! --- I'm MICHAEL COVEL, the host of TREND FOLLOWING RADIO, and I'm proud to have delivered 10+ million podcast listens since 2012. Investments, economics, psychology, politics, decision-making, human behavior, entrepreneurship and trend following are all passionately explored and debated on my show. To start? I'd like to give you a great piece of advice you can use in your life and trading journey… cut your losses! You will find much more about that philosophy here: https://www.trendfollowing.com/trend/ You can watch a free video here: https://www.trendfollowing.com/video/ Can't get enough of this episode? You can choose from my thousand plus episodes here: https://www.trendfollowing.com/podcast My social media platforms: Twitter: @covel Facebook: @trendfollowing LinkedIn: @covel Instagram: @mikecovel Hope you enjoy my never-ending podcast conversation!

My guest today is Bucky Isaacson, one of the early pioneers of managed futures. In 1969, he helped to develop one of the first computerized trading systems. He's been involved in the managed futures industry ever since, particularly in Asia and the US. The topic is managed futures. In this episode of Trend Following Radio we discuss: Fractured state of conferences these days What it was like to be involved with a group developing a computerized trading system in 1969 Being with one of the earliest incarnations of a managed futures firm Trading attitudes Marketing and doing business in Asia Differences in business practices between Asian countries Refco, MF Global, PFG and other aberrations that have damaged the Chicago futures brand Madoff as a marketer Raising the initial capital to start a trading venture How to differentiate yourself from a marketing perspective Growth in the managed futures industry Jump in! --- I'm MICHAEL COVEL, the host of TREND FOLLOWING RADIO, and I'm proud to have delivered 10+ million podcast listens since 2012. Investments, economics, psychology, politics, decision-making, human behavior, entrepreneurship and trend following are all passionately explored and debated on my show. To start? I'd like to give you a great piece of advice you can use in your life and trading journey… cut your losses! You will find much more about that philosophy here: https://www.trendfollowing.com/trend/ You can watch a free video here: https://www.trendfollowing.com/video/ Can't get enough of this episode? You can choose from my thousand plus episodes here: https://www.trendfollowing.com/podcast My social media platforms: Twitter: @covel Facebook: @trendfollowing LinkedIn: @covel Instagram: @mikecovel Hope you enjoy my never-ending podcast conversation!

My guest today is Megan McArdle, a Bloomberg View columnist who writes on economics, business and public policy. She founded the blog "Asymmetrical Information". The topic is her book The Up Side of Down: Why Failing Well Is the Key to Success. In this episode of Trend Following Radio we discuss: "Trophy kids" and taking the monkey bars away The idea of a regulator out there trying to guarantee our safety Why the companies that make it aren't the ones with the best strategic plan–it's the ones that execute (and fail well) The power of experimentation Nobel winner Vernon Smith and experimentation The idea of learning in crisis How sunk costs are difficult for a large part of the population to grasp Van Halen, errors, and M&M's Normative error Small, manageable risks Forager morality vs. farmer morality A story about Kentucky Fried Chicken (KFC) Jump in! --- I'm MICHAEL COVEL, the host of TREND FOLLOWING RADIO, and I'm proud to have delivered 10+ million podcast listens since 2012. Investments, economics, psychology, politics, decision-making, human behavior, entrepreneurship and trend following are all passionately explored and debated on my show. To start? I'd like to give you a great piece of advice you can use in your life and trading journey… cut your losses! You will find much more about that philosophy here: https://www.trendfollowing.com/trend/ You can watch a free video here: https://www.trendfollowing.com/video/ Can't get enough of this episode? You can choose from my thousand plus episodes here: https://www.trendfollowing.com/podcast My social media platforms: Twitter: @covel Facebook: @trendfollowing LinkedIn: @covel Instagram: @mikecovel Hope you enjoy my never-ending podcast conversation!

My guest today is Cullen Roche, the founder of Orcam Financial Group, a financial services company based out of San Diego. He also runs a very well-known blog called Pragmatic Capitalism (pragcap.com). The topic is his book Pragmatic Capitalism: What Every Investor Needs to Know About Money and Finance. In this episode of Trend Following Radio we discuss: Entrepreneurism Investing in yourself The advantages of starting a blog Why the word "pragmatic" is a word that has become central to Roche's universe Eliminating your biases Why the US going bankrupt is a myth The myth that central banks exist to enrich bankers Dr. Laurie Santos and her work with monkeys Bringing risk down to something we can measure Warren Buffett Hedging your bets Jump in! --- I'm MICHAEL COVEL, the host of TREND FOLLOWING RADIO, and I'm proud to have delivered 10+ million podcast listens since 2012. Investments, economics, psychology, politics, decision-making, human behavior, entrepreneurship and trend following are all passionately explored and debated on my show. To start? I'd like to give you a great piece of advice you can use in your life and trading journey… cut your losses! You will find much more about that philosophy here: https://www.trendfollowing.com/trend/ You can watch a free video here: https://www.trendfollowing.com/video/ Can't get enough of this episode? You can choose from my thousand plus episodes here: https://www.trendfollowing.com/podcast My social media platforms: Twitter: @covel Facebook: @trendfollowing LinkedIn: @covel Instagram: @mikecovel Hope you enjoy my never-ending podcast conversation!

My guest today is Mike Harris, the President of Campbell & Company (3B+ AUM), the systematic trading firm started by Keith Campbell (Campbell was featured in Covel's first book Trend Following). The topic is Trend Following. In this episode of Trend Following Radio we discuss: Systematic trading in the early 70's Education about managed futures Correlation with other markets and managers Trading diverse markets Focusing on data rather than the fundamentals Why "commodities" and "CTA" are misnomers Why Harris wouldn't fly down to Brazil to investigate fundamental information on the coffee market Risk management, drawdowns, and taking small losses; dealing with uncertainty and helping clients to understand the uncertain nature of trading How human emotion often gets in the way of profitable trading The efficient market hypothesis and behavioral finance Continuity and how that has been thought through at Campbell & Company The Sharpe ratio and why it isn't the best way to look at systematic traders Why being defensive is central to being a great absolute return trader Jump in! --- I'm MICHAEL COVEL, the host of TREND FOLLOWING RADIO, and I'm proud to have delivered 10+ million podcast listens since 2012. Investments, economics, psychology, politics, decision-making, human behavior, entrepreneurship and trend following are all passionately explored and debated on my show. To start? I'd like to give you a great piece of advice you can use in your life and trading journey… cut your losses! You will find much more about that philosophy here: https://www.trendfollowing.com/trend/ You can watch a free video here: https://www.trendfollowing.com/video/ Can't get enough of this episode? You can choose from my thousand plus episodes here: https://www.trendfollowing.com/podcast My social media platforms: Twitter: @covel Facebook: @trendfollowing LinkedIn: @covel Instagram: @mikecovel Hope you enjoy my never-ending podcast conversation!