I recently sent an email to Satori regarding this topic, and I believe it may also be a concern for many copiers. Therefore, I would like to share it here so others can see my perspective in the message below.
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Hello Satori,
I am currently evaluating how to allocate my trading capital between your Satori strategy and Golden Instant Cash. Based on the available statistics, Golden appears to deliver higher returns with lower drawdown compared to Satori.
Before finalizing my allocation decision, I would like to better understand the rationale for diversifying between the two strategies instead of allocating fully to Golden.
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From your previous responses, my current understanding is as follows. Please let me know if I have interpreted anything incorrectly.
1. Key differences in trading logic and risk management
My understanding is that:
Golden Instant Cash opens relatively larger lot sizes and adds DCA positions at shorter price intervals. Positions are usually closed quickly once profit is reached.
Satori starts with a much smaller initial lot (e.g., 0.01 cent) and uses both DCA and hedging to help control and reduce drawdown risk.
2. Market conditions where Satori may perform better
As I understand it, in strongly trending markets where price moves significantly in one direction, Satori may have a better chance of staying stable (“surviving”) due to its smaller lot sizes and hedging capability.
Golden, on the other hand, tends to perform better in normal or ranging market conditions, where its larger position sizing can generate a higher profit percentage.
3. Strategy behavior and correlation
Both strategies appear to use DCA as a core component, but they differ in risk structure:
Satori
Uses hedging
Smaller lot sizes
Lower but more conservative profit profile
Golden
No hedging
Larger lot sizes
More aggressive DCA entries after small price movements in gold
4. Capital allocation perspective
From your explanation, it seems the allocation decision depends mainly on the investor’s risk tolerance:
Investors seeking higher potential returns may prefer allocating more to Golden.
Investors prioritizing capital safety and drawdown control may prefer Satori.
Alternatively, capital can be split between the two strategies for diversification.
Question: If possible, I would also appreciate your view on what allocation ratio you typically recommend for investors who want a balance between growth and risk control. :
Answer: SATORI do not want to specify a number of percentage, but you can share your capital into 2 strategies.
Thank you for your time and clarification. This will help me make a more informed portfolio allocation decision.
Best regards,