Hamer Trading Inc. was founded in 1998 with the goal of producing significant long term investment returns through the development of systematic trading programs using historical research and statistical analysis. Our belief is that consistent long-term investment returns can be delivered regardless of economic conditions.
The core trading method is a proprietary trend following system, which captures trends in a diversified group of U.S. and international futures markets with an average holding period of 100 days. The program has been refined over the past years from a multi-system / multi-time frame approach to a return back to longer-term trend following methods. The return to longer-term methods (2008) has provided consistent returns while reducing volatility, and beating the industry benchmarks.
Our belief in choosing a broad market selection of futures markets to trade comes from our desire to have exposure to any trending sector that might develop from year to year. This broad exposure, combined with good trend following techniques has given the program more consistent returns compared to our benchmarks and our competitors. The system trades seven different market sectors: interest rate, currency, energy, metal, grain, stock index, and softs (cocoa, coffee, etc) trading over 30 different individual futures markets.
There is a clear and undeniable advantage investing with Hamer Trading. Our strong performance is based on principles refined over the last twenty-five years. Continual testing of the model assures us that we remain at the forefront of changing markets and trends. We believe our advantage comes from the following:
Simplicity - After trying multiple strategies and multiple models, our best and most consistent returns have been achieved through a single and rather simplistic trend following model.
Diversified - We do not know where the next trend will develop, but by allocating across multiple markets, we are ready when it does.
Controlled - Each trade we make is backed with a strict risk control measure, we initially allocate less than 1% of our portfolio to any one market. When a trade does not go our way, we get out.
Balanced - Our portfolio is spread across seven sectors, from agricultural products, to currencies. These sectors are uncorrelated and help provide steady and less volatile returns than our peers.
Transparency - We provide daily third-party trade reconciliation and full performance and risk analysis reporting through our administrator. Ongoing due diligence and manager monitoring is also performed.
Patience - Our belief is this is a major key to our success. A staggered entry and exit approach provides confirmation of trends before our full positions are placed. We do not “bet” on the markets with full positions from the start.
Potentially attractive returns.
Superior reward/risk ratio through diversification beyond traditional stocks and bonds, reducing portfolio volatility.
Strong performance during stock market declines.
Exposure to all major asset classes around the globe including interest rates, equities, currencies,
energy, agricultural commodities.
Managed Futures exhibit low correlation to traditional asset classes, such as stocks, bonds, cash and real estate.
Successful pension plans, endowments and foundations have long used Managed Futures.
Invest with confidence that the industry is regulated and trades largely on regulated futures exchanges.