BOARD

Fine-tuning our algorithms

17 August 2016

As you may have noticed already, we are not resting this summer but are working hard to polish our algorithms. Below you can find the main improvements to our algos introduced this week.

1. Minor bugs (Levels & Performance)

First of all, we have removed minor bugs that were reported by some of our traders.

As you may recall, there are different paths to level up in Darwinex (click here for further info on the different paths). In certain cases, the algorithms were not picking the “right” path to level up. We have found the root of this issue and have fixed it so it won’t happen in the future.

Further, we were reported that the Performance attribute included a minor gap when certain strategies reached 6 D-Periods experience. This has now been fixed, too.

2. VaR Simulations

We are working hard to introduce a major improvement in the way our risk manager replicates trading strategies on behalf of investors. The first step towards that goal has been introduced this week: VaR simulations have been improved significantly. The way we were simulating VaR in the past used to have an effect on the D-Periods’ calculation. This used to cause a delay in the accounts’ analysis that has now been fixed. VaR simulations are now independent from D-Periods, which makes it easier (and faster!) for our algorithms to analyse trading strategies.

This is only the first step in a series of substantial improvements to our risk manager that are underway, we’ll keep you duly posted!

3. Consistency Attribute & swing trading

The main improvement introduced this week relates to the Consistency Attribute.

We have received several complaints from swing traders who felt penalised by the way the Consistency Attribute addressed their trades. In a way, achieving good scores in the Consistency Attribute used to be harder for traders who trade in longer timeframes (e.g. underlying strategies of DARWINS TSB or PGH). With this in mind, we have introduced a major change in the way weight is assigned to each trade in the Return Consistency & Duration Consistency charts.

Snip20160817_11

In the past, Weight used to be calculated as follows:  Weight = Trade’s Leverage* VaR(20%) / VaR of the strategy at trade’s close.

Going fwd, the weight assigned to each trade will contain a correction that takes into account the trade’s duration. The new weight is now calculated as follows: Weight = Leverage * (Square root of trade’s duration) * VaR(20%) / VaR of the strategy at trade’s close.

This improvement has given rise to changes in our traders’ Consistency Attribute score (in general, our community’s score in this Attribute has improved with the amendment introduced).

As a rule of thumb, traders who trade shorter timeframes and keep a specific trade open for longer time than usual will be more penalised on their Consistency Attribute than in the past. On the other hand, traders who trade longer timeframes and close a trade earlier than they usually do won’t be as penalised as much as they used to.

Further improvements to the Consistency Attribute are in the pipeline. In the coming months, we’ll introduce a big improvement in the way “hedging” is assessed by the Consistency Attribute.

4. Upcoming Improvements

Further improvements to our algorithms are underway. In addition to the changes mentioned above,  the main improvement we are working on will affect the risk manager: the way it works today, our risk manager is being too conservative when replicating strategies that trade very frequently and keep several trades open all the time (e.g. QNR). We’ll keep working hard to have this fixed ASAP, we’ll keep you duly posted.

As always, please do not hesitate to contact us at info@darwinex.com should you need assistance. Please accept our apologies for the effects this week’s changes may have caused in DarwinIA’s standings, we promise we do our best to avoid changes halfway of the month!

 

Last News
apalancamiento esma

Upcoming closure of demo investments in DARWINs not present in any live portfolio

27 May 2020

Starting today we will gradually close demo investments in those old risk DARWINs that aren’t present in any live portfolio.

Related to the pivot we announced earlier this week, starting today we will gradually close demo investments in old risk DARWINs that aren’t present in any live portfolio. Throughout the coming weeks we will close all demo investments in these DARWINs. Closed investments in old DARWINs won’t be automatically replaced with investments in the new DARWIN. You will need to buy the new version to continue demo investing in the DARWIN again.

To open the investment in the new DARWIN with the same risk/return level you had with the old DARWINs, multiply the old investment amount by 1.54.

FCHI40 and SPA35 Equity Index CFDs Available for Shortselling Again

20 May 2020

As France and Spain have lifted the shortselling ban introduced in March, we’ve enabled the opening of short positions in the FCHI40 and SPA35 Equity Index CFDs.

As France and Spain have lifted the shortselling ban introduced in March, we’ve enabled the opening of short positions in the FCHI40 and SPA35 Equity Index CFDs.

US Memorial Day & UK Spring Bank Holiday on 25th May 2020

19 May 2020

Please note the amended Darwinex trading hours for the upcoming US Memorial Day & UK Spring Bank Holiday on Monday 25th May 2020. All times are in UK (BST) time.

Please note the amended Darwinex trading hours for the upcoming US Memorial Day & UK Spring Bank Holiday on Monday 25th May 2020. All times are in UK (BST) time.

Important: if you open / close an investment in a DARWIN that has an open trade in an asset with the market closed (see amended trading hours in red below), the transaction will not be carried out immediately. The operation will show up in your investor portfolio once it has been executed by our system when the index/commodity resumes trading on Monday night.

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

Commodities   Monday 25th May 2020
Gold 23:01:00 Sun – 17:44:00 Mon
Silver 23:00:01 Sun – 17:59:50 Mon
US Crude 23:00:01 Sun – 17:44:50 Mon
US Natural Gas 23:00:01 Sun – 17:44:50 Mon
Indices
UK100 CLOSED
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.

apalancamiento esma

XTIUSD trades enabled again

8 May 2020

After disabling XTIUSD trades last month, we’ll enable it again at Monday’s market open (11 May 2020).

After disabling XTIUSD trades last month, we’ll enable it again on Monday’s market open (11 May 2020).

Please note that, given the current market situation, the following conditions will apply to XTIUSD trades.

  • Margin requirement will be 20% both for Retail and Professional Clients.
  • If the hypotethical case of the price dropping below $5.5, we’ll be closing all client positions in the market. We’ll do this at the last price received from our Liquidity Provider which might be not exactly $5.5. This measure is due to the fact that MetaTrader’s and our Liquidity Provider’s infrastructure is not designed to support negative pricing.

Do not hesitate to contact us at info@darwinex.com should you need assistance in this regard.

Margin increase for the Turkish lira (TRY) starting today

We’d like to inform you that our margin requirement for the Turkish lira will be increased today for both Retail and Professional Clients.

We’d like to inform you that our margin requirement for the Turkish lira will be increased today for both Retail and Professional Clients.

The new margin requirement will be 20% as opposed to 10% before.

This change is a security measure due to an increase in market uncertainty surrounding the TRY with liquidity expected to be extremely thin over the following days. Swaps are expected to widen as well.

The change will take effect today May 8th 2020 5 after pm BST and will apply to both existing and new positions.

Kindly make sure you have enough available margin and equity in your account for the new margin levels.

Need help? Please don’t hesitate to contact us at info@darwinex.com.

apalancamiento esma

Upcoming Holiday in Japan resulting in the possibility of wider spreads and thinner liquidity

29 April 2020

Please be aware that there are public holidays in Japan on 4 May, 5 May and 6 May. Please kindly note that during this time spreads may be wider and liquidity may be thinner.

There are public holidays in Japan on May 4, 5 and 6. Kindly note that during this time spreads may be wider and liquidity may be thinner.

Bank holidays may also give rise to changes in the applicable swap rates.

Don’t hesitate to contact us at info@darwinex.com if you have any questions regarding the above.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. -- % 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.