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94 Acknowledging Risk on a Daily Basis with Bill Dreiss of Dreiss Research Corporation – 2of2

“Correlations have increased over the years in every market.” – Bill Dreiss (Tweet)

In our continued conversation with Bill Dreiss, we dive into why he built his model the way that he did, and how he deals with factors like risk, drawdowns, and investor relationships. You’ll discover what he has learned from the drawdowns he has gone through, how the market has changed since 2009, and what the future looks like for Dreiss Research.

Thanks for listening and please welcome back Bill Dreiss.

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In This Episode, You’ll Learn:

  • How he thinks about succession planning
  • What people should be aware of in his long track record as a firm
  • What has changed in the markets since 2009

    “Once one segment of the market gets volatile, it tends to drag a lot of other segments along with it.” – Bill Dreiss (Tweet)

  • How markets are more interrelated than they ever have been before
  • How he describes what he is trying to achieve for his investors
  • Why you shouldn’t be investing if you can’t live through a 50% drawdown
  • What the choppiness index is
  • Why it is so difficult for people to see the advantages of CTAs and trend following

    “The client is its own worst enemy – they are inclined to come in at the top and leave at the bottom.” – Bill Dreiss (Tweet)

  • How many commodities he trades
  • How diversified his trading program is
  • What differentiates Dreiss Research from other trend following CTAs
  • How he measures volatility
  • How he defines risk and manages risk

    “Risk is out there, and your worst drawdown is always in the future.” – Bill Dreiss (Tweet)

  • Why you can over-manage risk and how to weather the drawdowns

    “On an ongoing basis, I’m realizing risk – I’m aware of it and I’m recognizing it.” – Bill Dreiss (Tweet)

  • What he has learned from the drawdowns he has gone through
  • How to manage a relationship with clients so that they trust the firm during drawdowns
  • The biggest challenges in his long career
  • What it takes to be a good trader

    “It requires a level of persistence – but it is certainly entertaining and it keeps me engaged in the world.” – Bill Dreiss (Tweet)

  • Why the world is too full of quants and people should use their talents in other fields

Resources & Links Mentioned in this Episode:

Connect with Dreiss Research Corporation:

Visit the Website:

Call Dreiss Research: +1 (407) 399-2567

E-Mail Dreiss Research:

“People tend to pick a trading approach that fits their personality.” – Bill Dreiss (Tweet)