OI19: The Trader Who Never Spoke...Until Now ft. David Druz

44 snips

Oct 29, 2025

In this intriguing conversation, Dave Druz, a veteran commodity trader and Ed Seykota's first apprentice, breaks his decades-long silence. He shares his unique approach to trading, emphasizing the importance of portfolio construction over following trends. Druz discusses trading against commercial hedgers, explains the psychology behind coping with volatility, and the practice of precise position sizing. He also reflects on his choice to run a small, investor-focused firm and the reasons behind its recent closure, offering valuable insights for traders and investors alike.

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ANECDOTE

How A Fraternity Brother Sparked A Trading Career

Dave learned trading as an undergraduate from a successful fraternity brother, Charlie, who became a floor trader.
That exposure and a summer job in Chicago sparked his passion while he stayed on a medical track.

ADVICE

Avoid Trading With 'Scared Money'

Build a non‑traded nest egg before risking personal funds in trading to avoid 'scared money' behavior.
Use stable income (medicine, job) so trading capital is discretionary and psychologically easier to risk.

INSIGHT

Edge From Hedgers, Not Trend Rules

Tactical's edge came from capturing hedgers' risk premia, not from trend identification.
That focus naturally correlates with trend-followers because hedger-driven moves often create trends.

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Dave Druz has never told his story... not like this, not anywhere. For over 40 years, he traded quietly, systematically, and on his own terms. No marketing, no headlines, no need to explain. Until now. In this unique conversation with Moritz Seibert, Dave - Ed Seykota’s first apprentice - shares how he built his approach, why he never identified as a trend follower, and what matters when your edge comes from standing opposite commercial hedgers. He explains why portfolio construction outranks entries, why volatility is the price of real risk, and why staying small was a choice, not a limitation. From medicine to markets, from apprenticeship to independence, this isn’t just how he traded - it’s why he stayed silent, and why he’s speaking now.

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50 YEARS OF TREND FOLLOWING BOOK AND BEHIND-THE-SCENES VIDEO FOR ACCREDITED INVESTORS - CLICK HERE

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