Register for FREE ACCESS to the CTA Database, Research Reports and In-Depth Qualitative Analysis

click here
Submit your Managed Futures program, update your monthly performance

click here

Rip Tide Energy

  • CTA Name : The Chesapeake Family, LLC
  • Program Name : Rip Tide Energy
  • Start Date : 2004-01-01
  • Trading Strategy
  • Systematic : -
  • Discretionary : 10%
  • Fundamental : -
  • Technical : -
  • Diversified Market Strategy : -
  • Sector Specific Strategy : Yes
  • Trade Duration
  • Long-Term : -
  • Mid-Term : -
  • Short-Term : -
  • Multi-Term : -
  • Markets Traded
  • Stock Index : -
  • Interest Rates : -
  • Currencies : -
  • Metals : -
  • Energy : Yes
  • Grains : -
  • Meats : -
  • Softs : -

The Chesapeake Family, LLC

Rip Tide Energy

There is no performance data for this program

Program Description: The objective of the Advisor's Ripe Tide Energy Program (hereinafter the "Program") is to achieve absolute returns on an investment using a disciplined approach to commodity risk while exceeding a client's expectation in the areas of reporting of account information, market updates, and performance reviews. The Program employs statistical and quantitative analyses derived from examining historical price data for the purpose of finding asymmetrical risk/reward trades in the energy sector which have been historically attractive opportunities. The primary commodity interests will be electricity, oil, and gas. As part of this process, two methods of technical analysis are used in parallel to seek profits in the markets: Variations on Moving Averages and Chart Pattern Recognition. These analyses are consistently evaluated and further model development is continually performed to seek optimal returns for the Program. Based on such data, the Program scans energy markets "at the open" and on hourly periods to initiate directives (orders), to rebalance portfolio composition, or to place entry or exit orders. Futures are the primary vehicles for trading and historical data is mined for trends in price and relative price. Options are used to augment or mitigate risk in outright commodity positions and options data is scanned for opportunities that will complement our existing portfolio hierarchy. Further, the Program uses cross commodity spreads and calendar spreads. Cross commodity spreads are broken down to a common Btu factor so that substitutable commodities are price referenced against one another on a common basis. Statistical methodologies are applied across the data and model-based trading decisions are created for execution in the open market during trading sessions. Logical code is embedded in the evaluation functions of the Program to determine if the data stream has been corrupted and automated and manual fail-safes are maintained to prevent "false triggers." It is estimated that the percentage of the a client's assets normally committed as margin for commodity futures contracts will average approximately ten percent (10%) to twenty percent (20%), but under certain circumstances may be higher. The average holding period of a trade is twenty-five (25) calendar days. Trades have been held for as little as two (2) days and as long as sixty-two (62) days. To limit losses, the Program follows strict trailing stop-loss rules to either lock in existing profits or quickly terminate losing trades during trading sessions. The Program is a systematic approach in that trading recommendations are generated from a system. The only human interaction is for the closing of positions, but never to override the models' directional directives. Since the trading methodology incorporated in the Program is proprietary and confidential, the above discussion is of a general nature and is not intended to be exhaustive.

Return to the T Index Page

Return to the Info Index Page

Copyright 2004-2008 | Managed Account Research Inc. - All rights reserved
No part of this website may be copied or reproduced except for personal use without obtaining prior written permission from Managed Account Research, Inc.

Home | About Us | Services | Research | Investments | Resources | Risk & Policies | Login | Contact Us