198: Hedge Fund Level Trading: A Retail Traders Journey w/ Cas Daamen
Oct 26, 2022
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Experienced hedge fund level trader Cas Daamen shares his journey into trading, transitioning to full-time trading, finding and following rules of a proprietary trading firm, reporting during a drawdown, starting a hedge fund, and impressive trading challenge results. Learn how to get in contact and watch trading videos.
Having a written trading plan and sticking to it is crucial for success as a trader.
Transparency and openness in communicating your track record and results are essential for attracting investors.
Deep dives
Transitioning to Full-Time Trading and Managing Other People's Money
In this episode, host Cam Hawkins interviews Cass Darmon, a trader who successfully transitioned from part-time to full-time trading. Cass shares his journey of becoming a full-time trader, including how he attracted personal investors and began trading for a hedge fund. He emphasizes the importance of having a written trading plan and sticking to it, as well as the benefits of being transparent and open about your trading results. Cass also discusses the realities of being a full-time trader, highlighting the need for continuous improvement, the potential income fluctuations, and the importance of managing investor expectations.
Building a Track Record and Attracting Personal Investors
Cass explains how he built a track record by backtesting his trading strategy over 10 years and thousands of trades. He shares that his simple and mechanical strategy, combined with his transparent and open approach on LinkedIn, attracted personal investors who were interested in investing in him. Cass emphasizes the need for confidence in your trading strategy and the ability to clearly communicate your track record and results to potential investors.
Working for a Hedge Fund and Scaling Up
Cass discusses his experience of working for a hedge fund and the need for his trading strategy to fit within their trading style. He highlights the importance of finding a prop firm or hedge fund that aligns with your trading approach and the significance of having a written risk and trade plan. Cass also shares his plans for the future, including scaling up his trading, partnering with others to establish a fund, and potentially bringing on other traders in the future.
The Realities of Being a Full-Time Trader
Cass provides insights into the realities of being a full-time trader, including the need for continuous improvement, the potential income fluctuations, and the importance of managing investor expectations. He stresses the importance of having a structured and organized approach to trading, maintaining a written trading plan, and being transparent with investors during drawdown periods. Cass also emphasizes the need for confidence in your trading strategy and the ability to adapt to market conditions while sticking to your plan.