{"id":206022,"date":"2024-05-03T10:45:00","date_gmt":"2024-05-03T14:45:00","guid":{"rendered":"https:\/\/ibkrcampus.com\/?p=206022"},"modified":"2024-05-03T12:59:41","modified_gmt":"2024-05-03T16:59:41","slug":"the-double-edged-sword-of-trend-following","status":"publish","type":"post","link":"https:\/\/www.interactivebrokers.com\/campus\/podcasts\/contributor-podcasts\/the-double-edged-sword-of-trend-following\/","title":{"rendered":"The Double-Edged Sword of Trend Following"},"content":{"rendered":"\n

In this episode of Two Quants and a Financial Planner, we dive deep into the world of trend following investment strategies. We explain what trend following is, discuss the potential benefits such as downside protection during bear markets, and explore some of the challenges involved, including false signals, whipsaw risk, and the difficulty of sticking with the strategy during underperforming periods. We also talk about how trend following can be incorporated as one component of a diversified investment portfolio and why the sizing and blending of strategies is so important.<\/p>\n\n\n\n

Watch on YouTube<\/a><\/p>\n\n\n\n

Subscribe on Apple Podcasts<\/a><\/p>\n\n\n\n

Subscribe on Spotify<\/a><\/p>\n\n\n\n

—<\/p>\n\n\n\n

Originally Posted April 22, 2024 – The Double-Edged Sword of Trend Following<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

In this episode of Two Quants and a Financial Planner, we dive deep into the world of trend following investment strategies. <\/p>\n","protected":false},"author":186,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":"","jetpack_post_was_ever_published":false},"categories":[455,13857],"tags":[789,460,5761],"contributors-categories":[13819],"class_list":["post-206022","post","type-post","status-publish","format-standard","category-contributor-podcasts","category-podcasts","tag-investing","tag-podcast","tag-trend-following","contributors-categories-validea-capital-management"],"pp_statuses_selecting_workflow":false,"pp_workflow_action":"current","pp_status_selection":"publish","acf":[],"yoast_head":"\nThe Double-Edged Sword of Trend Following | IBKR Podcasts<\/title>\n<meta name=\"description\" content=\"In this episode of Two Quants and a Financial Planner, we dive deep into the world of trend following investment strategies.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.interactivebrokers.com\/campus\/wp-json\/wp\/v2\/posts\/206022\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The Double-Edged Sword of Trend Following | IBKR Campus US\" \/>\n<meta property=\"og:description\" content=\"In this episode of Two Quants and a Financial Planner, we dive deep into the world of trend following investment strategies.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.interactivebrokers.com\/campus\/podcasts\/contributor-podcasts\/the-double-edged-sword-of-trend-following\/\" \/>\n<meta property=\"og:site_name\" content=\"IBKR Campus US\" \/>\n<meta property=\"article:published_time\" content=\"2024-05-03T14:45:00+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2024-05-03T16:59:41+00:00\" \/>\n<meta name=\"author\" content=\"Contributor Author\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Contributor Author\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"1 minute\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\n\t \"@context\": \"https:\\\/\\\/schema.org\",\n\t \"@graph\": [\n\t {\n\t \"@type\": \"NewsArticle\",\n\t \"@id\": \"https:\\\/\\\/www.interactivebrokers.com\\\/campus\\\/podcasts\\\/contributor-podcasts\\\/the-double-edged-sword-of-trend-following\\\/#article\",\n\t \"isPartOf\": {\n\t \"@id\": \"https:\\\/\\\/www.interactivebrokers.com\\\/campus\\\/podcasts\\\/contributor-podcasts\\\/the-double-edged-sword-of-trend-following\\\/\"\n\t },\n\t \"author\": {\n\t \"name\": \"Contributor Author\",\n\t \"@id\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/#\\\/schema\\\/person\\\/e823e46b42ca381080387e794318a485\"\n\t },\n\t \"headline\": \"The Double-Edged Sword of Trend Following\",\n\t \"datePublished\": \"2024-05-03T14:45:00+00:00\",\n\t \"dateModified\": \"2024-05-03T16:59:41+00:00\",\n\t \"mainEntityOfPage\": {\n\t \"@id\": \"https:\\\/\\\/www.interactivebrokers.com\\\/campus\\\/podcasts\\\/contributor-podcasts\\\/the-double-edged-sword-of-trend-following\\\/\"\n\t },\n\t \"wordCount\": 117,\n\t \"commentCount\": 0,\n\t \"publisher\": {\n\t \"@id\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/#organization\"\n\t },\n\t \"keywords\": [\n\t \"investing\",\n\t \"podcast\",\n\t \"Trend Following\"\n\t ],\n\t \"articleSection\": [\n\t \"Contributor Podcasts\",\n\t \"Podcasts\"\n\t ],\n\t \"inLanguage\": \"en-US\",\n\t \"potentialAction\": [\n\t {\n\t \"@type\": \"CommentAction\",\n\t \"name\": \"Comment\",\n\t \"target\": [\n\t \"https:\\\/\\\/www.interactivebrokers.com\\\/campus\\\/podcasts\\\/contributor-podcasts\\\/the-double-edged-sword-of-trend-following\\\/#respond\"\n\t ]\n\t }\n\t ]\n\t },\n\t {\n\t \"@type\": \"WebPage\",\n\t \"@id\": \"https:\\\/\\\/www.interactivebrokers.com\\\/campus\\\/podcasts\\\/contributor-podcasts\\\/the-double-edged-sword-of-trend-following\\\/\",\n\t \"url\": \"https:\\\/\\\/www.interactivebrokers.com\\\/campus\\\/podcasts\\\/contributor-podcasts\\\/the-double-edged-sword-of-trend-following\\\/\",\n\t \"name\": \"The Double-Edged Sword of Trend Following | IBKR Campus US\",\n\t \"isPartOf\": {\n\t \"@id\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/#website\"\n\t },\n\t \"datePublished\": \"2024-05-03T14:45:00+00:00\",\n\t \"dateModified\": \"2024-05-03T16:59:41+00:00\",\n\t \"description\": \"In this episode of Two Quants and a Financial Planner, we dive deep into the world of trend following investment strategies.\",\n\t \"inLanguage\": \"en-US\",\n\t \"potentialAction\": [\n\t {\n\t \"@type\": \"ReadAction\",\n\t \"target\": [\n\t \"https:\\\/\\\/www.interactivebrokers.com\\\/campus\\\/podcasts\\\/contributor-podcasts\\\/the-double-edged-sword-of-trend-following\\\/\"\n\t ]\n\t }\n\t ]\n\t },\n\t {\n\t \"@type\": \"WebSite\",\n\t \"@id\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/#website\",\n\t \"url\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/\",\n\t \"name\": \"IBKR Campus US\",\n\t \"description\": \"Financial Education from Interactive Brokers\",\n\t \"publisher\": {\n\t \"@id\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/#organization\"\n\t },\n\t \"potentialAction\": [\n\t {\n\t \"@type\": \"SearchAction\",\n\t \"target\": {\n\t \"@type\": \"EntryPoint\",\n\t \"urlTemplate\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/?s={search_term_string}\"\n\t },\n\t \"query-input\": {\n\t \"@type\": \"PropertyValueSpecification\",\n\t \"valueRequired\": true,\n\t \"valueName\": \"search_term_string\"\n\t }\n\t }\n\t ],\n\t \"inLanguage\": \"en-US\"\n\t },\n\t {\n\t \"@type\": \"Organization\",\n\t \"@id\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/#organization\",\n\t \"name\": \"Interactive Brokers\",\n\t \"alternateName\": \"IBKR\",\n\t \"url\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/\",\n\t \"logo\": {\n\t \"@type\": \"ImageObject\",\n\t \"inLanguage\": \"en-US\",\n\t \"@id\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/#\\\/schema\\\/logo\\\/image\\\/\",\n\t \"url\": \"https:\\\/\\\/www.interactivebrokers.com\\\/campus\\\/wp-content\\\/uploads\\\/sites\\\/2\\\/2024\\\/05\\\/ibkr-campus-logo.jpg\",\n\t \"contentUrl\": \"https:\\\/\\\/www.interactivebrokers.com\\\/campus\\\/wp-content\\\/uploads\\\/sites\\\/2\\\/2024\\\/05\\\/ibkr-campus-logo.jpg\",\n\t \"width\": 669,\n\t \"height\": 669,\n\t \"caption\": \"Interactive Brokers\"\n\t },\n\t \"image\": {\n\t \"@id\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/#\\\/schema\\\/logo\\\/image\\\/\"\n\t },\n\t \"publishingPrinciples\": \"https:\\\/\\\/www.interactivebrokers.com\\\/campus\\\/about-ibkr-campus\\\/\",\n\t \"ethicsPolicy\": \"https:\\\/\\\/www.interactivebrokers.com\\\/campus\\\/cyber-security-notice\\\/\"\n\t },\n\t {\n\t \"@type\": \"Person\",\n\t \"@id\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/#\\\/schema\\\/person\\\/e823e46b42ca381080387e794318a485\",\n\t \"name\": \"Contributor Author\",\n\t \"url\": \"https:\\\/\\\/www.interactivebrokers.com\\\/campus\\\/author\\\/contributor-author\\\/\"\n\t }\n\t ]\n\t}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"The Double-Edged Sword of Trend Following | IBKR Podcasts","description":"In this episode of Two Quants and a Financial Planner, we dive deep into the world of trend following investment strategies.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.interactivebrokers.com\/campus\/wp-json\/wp\/v2\/posts\/206022\/","og_locale":"en_US","og_type":"article","og_title":"The Double-Edged Sword of Trend Following | IBKR Campus US","og_description":"In this episode of Two Quants and a Financial Planner, we dive deep into the world of trend following investment strategies.","og_url":"https:\/\/www.interactivebrokers.com\/campus\/podcasts\/contributor-podcasts\/the-double-edged-sword-of-trend-following\/","og_site_name":"IBKR Campus US","article_published_time":"2024-05-03T14:45:00+00:00","article_modified_time":"2024-05-03T16:59:41+00:00","author":"Contributor Author","twitter_card":"summary_large_image","twitter_misc":{"Written by":"Contributor Author","Est. reading time":"1 minute"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"NewsArticle","@id":"https:\/\/www.interactivebrokers.com\/campus\/podcasts\/contributor-podcasts\/the-double-edged-sword-of-trend-following\/#article","isPartOf":{"@id":"https:\/\/www.interactivebrokers.com\/campus\/podcasts\/contributor-podcasts\/the-double-edged-sword-of-trend-following\/"},"author":{"name":"Contributor Author","@id":"https:\/\/ibkrcampus.com\/campus\/#\/schema\/person\/e823e46b42ca381080387e794318a485"},"headline":"The Double-Edged Sword of Trend Following","datePublished":"2024-05-03T14:45:00+00:00","dateModified":"2024-05-03T16:59:41+00:00","mainEntityOfPage":{"@id":"https:\/\/www.interactivebrokers.com\/campus\/podcasts\/contributor-podcasts\/the-double-edged-sword-of-trend-following\/"},"wordCount":117,"commentCount":0,"publisher":{"@id":"https:\/\/ibkrcampus.com\/campus\/#organization"},"keywords":["investing","podcast","Trend Following"],"articleSection":["Contributor Podcasts","Podcasts"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/www.interactivebrokers.com\/campus\/podcasts\/contributor-podcasts\/the-double-edged-sword-of-trend-following\/#respond"]}]},{"@type":"WebPage","@id":"https:\/\/www.interactivebrokers.com\/campus\/podcasts\/contributor-podcasts\/the-double-edged-sword-of-trend-following\/","url":"https:\/\/www.interactivebrokers.com\/campus\/podcasts\/contributor-podcasts\/the-double-edged-sword-of-trend-following\/","name":"The Double-Edged Sword of Trend Following | IBKR Campus US","isPartOf":{"@id":"https:\/\/ibkrcampus.com\/campus\/#website"},"datePublished":"2024-05-03T14:45:00+00:00","dateModified":"2024-05-03T16:59:41+00:00","description":"In this episode of Two Quants and a Financial Planner, we dive deep into the world of trend following investment strategies.","inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.interactivebrokers.com\/campus\/podcasts\/contributor-podcasts\/the-double-edged-sword-of-trend-following\/"]}]},{"@type":"WebSite","@id":"https:\/\/ibkrcampus.com\/campus\/#website","url":"https:\/\/ibkrcampus.com\/campus\/","name":"IBKR Campus US","description":"Financial Education from Interactive Brokers","publisher":{"@id":"https:\/\/ibkrcampus.com\/campus\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/ibkrcampus.com\/campus\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/ibkrcampus.com\/campus\/#organization","name":"Interactive Brokers","alternateName":"IBKR","url":"https:\/\/ibkrcampus.com\/campus\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/ibkrcampus.com\/campus\/#\/schema\/logo\/image\/","url":"https:\/\/www.interactivebrokers.com\/campus\/wp-content\/uploads\/sites\/2\/2024\/05\/ibkr-campus-logo.jpg","contentUrl":"https:\/\/www.interactivebrokers.com\/campus\/wp-content\/uploads\/sites\/2\/2024\/05\/ibkr-campus-logo.jpg","width":669,"height":669,"caption":"Interactive Brokers"},"image":{"@id":"https:\/\/ibkrcampus.com\/campus\/#\/schema\/logo\/image\/"},"publishingPrinciples":"https:\/\/www.interactivebrokers.com\/campus\/about-ibkr-campus\/","ethicsPolicy":"https:\/\/www.interactivebrokers.com\/campus\/cyber-security-notice\/"},{"@type":"Person","@id":"https:\/\/ibkrcampus.com\/campus\/#\/schema\/person\/e823e46b42ca381080387e794318a485","name":"Contributor Author","url":"https:\/\/www.interactivebrokers.com\/campus\/author\/contributor-author\/"}]}},"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/ibkrcampus.com\/campus\/wp-json\/wp\/v2\/posts\/206022","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ibkrcampus.com\/campus\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ibkrcampus.com\/campus\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ibkrcampus.com\/campus\/wp-json\/wp\/v2\/users\/186"}],"replies":[{"embeddable":true,"href":"https:\/\/ibkrcampus.com\/campus\/wp-json\/wp\/v2\/comments?post=206022"}],"version-history":[{"count":0,"href":"https:\/\/ibkrcampus.com\/campus\/wp-json\/wp\/v2\/posts\/206022\/revisions"}],"wp:attachment":[{"href":"https:\/\/ibkrcampus.com\/campus\/wp-json\/wp\/v2\/media?parent=206022"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ibkrcampus.com\/campus\/wp-json\/wp\/v2\/categories?post=206022"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ibkrcampus.com\/campus\/wp-json\/wp\/v2\/tags?post=206022"},{"taxonomy":"contributors-categories","embeddable":true,"href":"https:\/\/ibkrcampus.com\/campus\/wp-json\/wp\/v2\/contributors-categories?post=206022"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}