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Darwinia Contest – 15 months on

28 January 2016

The monthly Darwinia contest rewarding DARWIN providers is now just over 1 year old.

1 year is early days in the bigger scheme of things, but long enough to reflect on pros and cons, and respond to feedback – both positive and negative – received from fellow users (and non-users).

So – what’s the verdict thus far? Should Darwinia continue going forward? What changes have been done, and ought to be expected going forward?

Here’s our take – we sincerely hope you’ll also give us an opinion!

Darwinian purpose

Darwinex’s mission is to democratise financial markets. We believe empowering the crowd is a cause worth backing, and a win-win for (most of 🙂 society.

 

(R)evolution at work!

We won’t get there without changing trader mentality. Far too many traders blow their (Darwinex and other brokers’) accounts not because their strategies are bad – but by trading with very high VaR. We’re convinced that there is a better leverage – investor leverage. That’s the thinking behind listing DARWINs at the DARWIN Exchange.

Further,  analysing over 20.000 track records has highlighted that strategies exhibiting high grades for certain attributes (Experience, Risk Management, Consistency, Timing, Performance and Scalability) seem to, over a statistically significant sample of strategies and time, exhibit better returns than those who don’t.

With that information & algorithms available to us, we thought – what better way to prove to traders that Darwinex breathes evolution – than putting our money where our mouth is?

Thus Darwinia was born, serving three core purposes:

  • Helping existing customers: focussing on improving IA grades helps acquire healthy habits. These in turn help them live, and learn, for longer. This is good for them, for us and for future investors
  • Attract talented traders: which other broker backs their customers with capital, paying 20% success fees?
  • Test if/how strategies react upon receiving investor capital. Does investor backing condition their trading? This is something we’re keeping a close eye one as we gear up the DARWIN investor platform with AuM

On the plus side

1 year ago, as a broker (in addition to an asset manager) we wondered how to grow. The most obvious option was to advertise.

IG spends GBP 900 to 1100 for each first trade

IG spends GBP 900 to 1100 for each first trade

Then we thought: rather than advertise to trade against customers (the way most do)… wouldn’t it make more sense to deploy capital with our customers? Wouldn’t this prove to sceptics – even if still at a relatively modest scale – that we mean business when we talk about investors backing them?

From a Public Relations stand-point – Darwinia is a good story. The Darwinia URL is one of the most recurring visits on all of Darwinex 🙂

As a by-product, it has resulted in IPOs of ever more investable DARWINs that we “cherry picked” from other brokers around the world – which is just bonus 🙂

It’s also been great in testing the investor platform and DARWIN scalability by trading medium AuM sizes with some of the more leveraged DARWINs. We’ve learnt valuable lessons when it comes to optimising investor execution which will come in handier as AuM in the platform mount.

Scope for Improvement

Not all PR has been good. Somehow, we gave the impression that Darwinia is Darwinex’s way to implicitly recommend which traders investors ought to back … which was NOT the point.

Firstly, because as a matter of principle, we’re a neutral venue. All we’re trying to do with levels / Darwinia etc. is improve the quality of DARWINs on offer, for everyone’s sake. This does somewhat break our neutrality –  but we think investors appreciate that trying to improve what’s on offer is a win-win for all involved. We just wouldn’t be credible if we didn’t invest ourselves.

Secondly, because as explained above Darwinia is partially a Public Relations exercise.

And thirdly, because investing in Darwinia winners  is NOT necessarily the best way to make the most out of DARWINs. Don’t get this wrong, we stand by the power of the diagnostic algorithms over a statistically significant sample of strategies and time. 

The question is: is a 1 month end-of-month snapshot of the top 20 strategies statistically significant? Is the difference between number 21 and number 12 so big as to justify picking one over the other because it happened to be on top at the cut-off time? Is the difference between 1 and 21 so big that it warrants an all or nothing outcome? Are there enough investable DARWINs at Darwinex to guarantee that the best 20 on any given end-of-month will be good enough over 6 months?

These, and other thoughts were what made us change Darwinia from:

  1. Cash-prize only (remember, initially, we couldn’t do capital allocations as the investor platform wasn’t ready!)
  2. Cash + Invested Capital: this had the downside that some cash winners got paid more up-front cash than DARWINs delivering performance over 6 months
  3. Invested Capital only: which is our preferred long term option, as it’s aligned with the core “trade as a fund manager” educational message & purpose

So overall, we need to communicate better.

More investable traders are welcome, too. There’s still not enough “depth of bench” to guarantee that all Darwinia prize winners will yield 6 month returns – even if this wasn’t an isn’t our goal, as discussed above… which is just as well.

Darwinex has other means to generate ROI from Darwinia (as a broker!) not available to investors. Plus there’s product improvements on their way for investors to make the most of the algorithms… but more on that on this webinar.

Your take?

Anything else you feel belongs in this post? What can we do to communicate Darwinia better? Which changes would make it “fairer”?

Any thoughts highly welcome!!!

Last News

Trading Hours for US Presidents’ Day on 18th February 2019

12 February 2019

Please note that the following trading hours will apply on Monday 18th February 2019.

Please note that the following trading hours will apply on Monday 18th February 2019. All times are in GMT+0 (London) time.

Commodities   Monday 18th Febuary 2019
Gold 23:01 Sun – 18:00 Mon
Silver 23:00 Sun – 18:00 Mon
Platinum 23:00 Sun – 18:00 Mon
Palladium 23:00 Sun – 18:00 Mon
US Crude 23:00 Sun – 17:45 Mon
US Natural Gas 23:00 Sun – 17:45 Mon
Indices
J225 23:00 Sun – 18:00 Mon
SPX500 23:00 Sun – 18:00 Mon
NDX 23:00 Sun – 18:00 Mon
WS30 23:00 Sun – 18:00 Mon
US Stocks
All US stocks CLOSED

 


The rest of the assets will trade according to their usual trading time.

As always, at info@darwinex.com we’ll be happy to assist you!

Trading Hours On Australia Day on 28th January 2019

22 January 2019

Please note that the following trading hour will apply to the AUS200 asset on Monday 28th January 2019 due to Australia Day.

Please note that the following trading hours will apply on Monday 28th January 2019. Times in GMT+0 (London) time.


 

Indices  Monday 28th January 2019
AUS200 06:10 – 22:00

 


The rest of the assets will trade according to their usual trading time.

As always, at info@darwinex.com we’ll be happy to assist you!

Trading Hours for the US Martin Luther King Day on 21st January 2019

15 January 2019

Please note that the following trading hours will apply on Monday 21st January 2019. All times are in GMT+0 (London) time. Commodities   Monday 21st January 2019 Gold 23:01 Sun – 18:00 Mon Silver 23:00 Sun – 18:00 Mon Platinum 23:00 Sun – 18:00 Mon Palladium 23:00 Sun – 18:00 Mon US Crude 23:00 Sun – 17:45 […]

Please note that the following trading hours will apply on Monday 21st January 2019. All times are in GMT+0 (London) time.

Commodities   Monday 21st January 2019
Gold 23:01 Sun – 18:00 Mon
Silver 23:00 Sun – 18:00 Mon
Platinum 23:00 Sun – 18:00 Mon
Palladium 23:00 Sun – 18:00 Mon
US Crude 23:00 Sun – 17:45 Mon
US Natural Gas 23:00 Sun – 17:45 Mon
Indices
J225 23:00 Sun – 18:00 Mon
SPX500 23:00 Sun – 18:00 Mon
NDX 23:00 Sun – 18:00 Mon
WS30 23:00 Sun – 18:00 Mon

 


The rest of the assets will trade according to their usual trading time.

As always, at info@darwinex.com we’ll be happy to assist you!

Navidad

Darwinex Trading Hours for the 2018 Christmas & New Year Holiday Period

18 December 2018

Christmas is around the corner! Please find below the Darwinex Trading Schedule for the 2018 Christmas and New Year Holiday Period (all times are displayed in UK time and changes to regular trading hours are highlighted in red). Also note that during the Cristmas and New Year holiday period spreads may widen and swaps may […]

Christmas is around the corner!

Please find below the Darwinex Trading Schedule for the 2018 Christmas and New Year Holiday Period (all times are displayed in UK time and changes to regular trading hours are highlighted in red).

Also note that during the Cristmas and New Year holiday period spreads may widen and swaps may be affected by the ‘turn’ effect. The ‘turn’ effect is a phenomenon that exists in financial markets which is caused by supply and demand for funding over key dates such as year or quarter-end. This can create anomalies in the forward curves for certain currencies, and we are already beginning to see this priced into the year-end swap points that we receive from our liquidity providers.

Christmas 2018

DARWINs Monday 24th December Tuesday 25th December Wednesday 26th December
All DARWINs 22:05 Sun – 18:45 Mon Closed 22:05 Tue – 21:59 Wed
FX Monday 24th December Tuesday 25th December Wednesday 26th December
All FX Instruments 22:05 Sun – 18:45 Mon Closed 22:01:01 Tue – 21:59:50 Wed
Commodities Monday 24th December Tuesday 25th December Wednesday 26th December
Gold 23:01 Sun – 18:45 Mon Closed 23:01 Tue – 21:59 Wed
Silver 23:00 Sun – 18:45 Mon Closed 23:00 Tue – 21:50:50 Wed
Platinum 23:00 Sun – 18:45 Mon Closed 23:00 Tue – 22:00 Wed
Palladium 23:00 Sun – 18:45 Mon Closed 23:00 Tue – 22:00 Wed
US Crude 23:00 Sun – 18:30 Mon Closed 23:00 Tue – 22:00 Wed
US Natural Gas 23:00 Sun – 18:30 Mon Closed 23:00 Tue – 22:00 Wed
Indices Monday 24th December Tuesday 25th December Wednesday 26th December
AUS200 23:00 Sun – 03:30 Mon Closed Closed
STOXX50E Closed Closed Closed
FCHI40 23:00 Sun – 13:00 Mon Closed Closed
GDAXI Closed Closed Closed
J225 23:00 Sun – 18:15 Mon Closed Closed
SPA35 07:00 – 13:00 Closed Closed
UK100 23:00 Sun – 12:50 Mon Closed Closed
SPX500 23:00 Sun – 18:15 Mon Closed Closed
NDX 23:00 Sun – 18:15 Mon Closed Closed
WS30 23:00 Sun – 18:15 Mon Closed Closed
US Stocks Monday 24th December Tuesday 25th December Wednesday 26th December
All US stocks 14:31 – 17:59 Closed 14:31 – 20:59
Crypto Monday 24th December Tuesday 25th December Wednesday 26th December
All Crypto Instruments 22:05 Sun – 22:00 Mon 22:05 Mon – 22:00 Tue 22:05 Tue – 22:00 Wed


New Year 2019

DARWINs Monday 31st December Tuesday 1st January Wednesday 2nd January
All DARWINs 22:05 Sun – 21:59 Mon Closed 22:05 Tue – 21:59 Wed
FX Monday 31st December Tuesday 1st January Wednesday 2nd January
All FX Instruments 22:05 Sun – 21:59:50 Mon Closed 22:01:01 Tue – 21:59:50 Wed
Commodities Monday 31st December Tuesday 1st January Wednesday 2nd January
Gold 23:01 Sun – 21:59 Mon Closed 23:01 Tue – 21:59 Wed
Silver 23:00 Sun – 21:59:50 Mon Closed 23:00 Tue – 21:50:50 Wed
Platinum 23:00 Sun – 22:00 Mon Closed 23:00 Tue – 22:00 Wed
Palladium 23:00 Sun – 22:00 Mon Closed 23:00 Tue – 22:00 Wed
US Crude 23:00 Sun – 22:00 Mon Closed 23:00 Tue – 22:00 Wed
US Natural Gas 23:00 Sun – 22:00 Mon Closed 23:00 Tue – 22:00 Wed
Indices Monday 31st December Tuesday 1st January Wednesday 2nd January
AUS200 23:00 Sun – 03:30 Mon Closed 23:00 Tue – 22:00 Wed
STOXX50E Closed Closed 23:00 Tue – 22:00 Wed
FCHI40 23:00 Sun – 13:00 Mon Closed 23:00 Tue – 22:00 Wed
GDAXI Closed Closed 07:00 – 21:00
J225 23:00 Sun – 22:00 Mon Closed 23:00 Tue – 22:00 Wed
SPA35 07:00 – 13:00 Closed 07:00 – 19:00
UK100 23:00 Sun – 12:50 Mon Closed Closed
SPX500 23:00 Sun – 22:00 Mon Closed 23:00 Tue – 22:00 Wed
NDX 23:00 Sun – 22:00 Mon Closed 23:00 Tue – 22:00 Wed
WS30 23:00 Sun – 22:00 Mon Closed 23:00 Tue – 22:00 Wed
US Stocks Monday 31st December Tuesday 1st January Wednesday 2nd January
All US stocks 14:31 – 20:59 Closed 14:31 – 20:59
Crypto Monday 31st December Tuesday 1st January Wednesday 2nd January
All Crypto Instruments 22:05 Sun – 22:00 Mon 22:05 Mon – 22:00 Tue 22:05 Tue – 22:00 Wed

 


As always, if you have any queries, please feel free to contact us at info@darwinex.com.

The Darwinex Team wishes you a Merry Xmas and a Happy New Year!

apalancamiento esma

UK Parliament Vote on EU Withdrawal Bill (11 December 2018)

9 December 2018

We would like to remind you that the UK Parliament will vote on the EU Withdrawal Bill on 11th December 2018. There is a high degree of uncertainty as to the outcome of the vote and all GBP currency crosses are likely to experience significant volatility with increased risk of market gaps. It is important that you […]

We would like to remind you that the UK Parliament will vote on the EU Withdrawal Bill on 11th December 2018.

There is a high degree of uncertainty as to the outcome of the vote and all GBP currency crosses are likely to experience significant volatility with increased risk of market gaps.

It is important that you have sufficient margin coverage and are comfortable with the exposure on your account as our margin requirements may change going into the vote or depending on the outcome of the vote.

Please feel free to contact us at info@darwinex.com should you need assistance in this regard.

Amended Trading Hours US National Day of Mourning on December 5th 2018

4 December 2018

Please note the amended Darwinex trading hours for the upcoming US National Day of Mourning on December 5th 2018. All times are in UK (GMT+0) time.    Instrument December 5th 2018  INDICES    US SPX 500 23:00 Tue – 14:45 Wed  US Tech 100 23:00 Tue – 14:45 Wed Wall Street 30 23:00 Tue – 14:45 Wed […]

Please note the amended Darwinex trading hours for the upcoming US National Day of Mourning on December 5th 2018. All times are in UK (GMT+0) time.


 

 Instrument December 5th 2018
 INDICES  
 US SPX 500 23:00 Tue – 14:45 Wed
 US Tech 100 23:00 Tue – 14:45 Wed
Wall Street 30 23:00 Tue – 14:45 Wed
 STOCKS  
US Stocks CLOSED

 


The rest of the assets will trade according to their usual trading time. As always, at info@darwinex.com we’ll be happy to assist you!

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 77 % of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.