The Collective2 web site and Trading Systems Being offered

Hi All,

I have just recently registered with this site. Wish that i did that 12 months ago!!!!!!

The Collective2 web site which lists the results of various vendors trading systems seems to be what I am looking for. I am interested in doing End of Day trading only, and wondered if anybody has had any prior or current experience with the EOD trading system being offered by investing4all.com. I notice that there have not been any fairly recent EOD future trades for this vendor on the collective2 site. I have emailed investing4all directly asking about part performance etc, and await their response.

Many thanks,
Baz

I suspect that the Collective 2 site charges to display vendors' system results over time. If it doesn't look good a vendor is not going to keep paying the site to show their system up for the rubbish it may well be.

The only system current on the site as of a few days ago seemed to have an unbelievably good performance.

Caveat emptor and see the software guide on black boxes.

http://www.trade2win.co.uk/boards/sh...&threadid=8886

Does investing4all .com comply with the safeguards outlined there?
__________________

Thanks Rognvald. I still have not heard back from investing4all.com, so I expect like the rest whom I am emailed and asked specific information, their tounges have left them!

Just some background on myelf! I am very new to EOD trading, under 12 months. Spent a good 6 months looking, testing, and testing various theroies, with extremely small amounts of money using SB company. So irratic. Just so many organisations saying what I want to hear. Yes we can make you money.

But I have learnt allot studying some TA, and JP Candles, without losing much money.

I think that the best thing for me is to find a respected EOD trading course, hence I am on this site, looking for the right course for me, with reality checks built in!

I have to say that so far, I have been very impressed with Trade2win, in how open and responsive you seem to be.

Oh by the way. I see Goldline has been mentioned a few times on this site. My brother has personal experience with them and using their software. He has lost thousands!! All I can say is stay way way way clear of them. A total total rip off.

Thanks one and all.
Baz

Hi,

I am Matthew Klein, the programmer behind (and founder of) the Collective2 Web site. I just want to clarify a few things that were mentioned in this thread about Collective2. First, to answer Rognvald: no, we do not charge system vendors to "appear" on our site.

Instead, we have a very unique business model for making money on Collective2: we lose money on every transaction, but we make it up on volume!

Just kidding. Actually, we're sort of like Ebay, in that we take a small percentage of any "subscriptions" that get processed through the site. So if you find a trading system you like, and then you subscribe to it, and then you pay the vendor money, we take a small piece of that transaction. I assure you that this does not pay the bills for hosting and running the site! (I really operate Collective2 as a labor of love. I pay the bills through my own personal trading.)

Finally, I want to address one other issue. This is the fact that Collective2 often shows systems that demonstrate performance that is "too good to be true."

If you search through the Collective2 database looking for trading systems, you will always find some trading systems that have performance that seems too excellent.

This is a common problem - and one that affects the entire trading world - not just Collective2. If you assume that all trading system performance is essentially random - and that some will be good and some will be bad - then you will always be able to find the "good" systems... after the fact. The trick, of course, is to find the good systems before they post excellent performance!

Many people have written about this phenomenon. (A great book, if it hasn't been mentioned on this forum already, is Taleb's "Fooled by Randomness" - which may very well change your world view about trading.) As I said, this problem exists also in other trading venues, like the world of mutual funds, where a mutual fund vendor can always offer a fund that has had excellent performance in the past. All the vendor needs to do is make sure he keeps a stable of a dozen funds at all times, and then he can "fold" bad performers into excellent performers, and market only the good ones. Caveat emptor, indeed.

Anyway, I mention this not because I encourage us all to throw up our hands in disgust and walk away from the world of trading systems, but rather, to encourage people to make educated decsisions about the systems they use or subscribe to. The best thing you can do is have realistic expectations about what trading systems can achieve. The reality is that it is simply not possible to earn, say, more than 20% per year without large drawdowns and risk.