SI361: The Four Faces of Trend Following ft. Richard Brennan
SI361: The Four Faces of Trend Following ft. Richard Brennan  
Podcast: Top Traders Unplugged
Published On: Fri Aug 15 2025
Description: Richard Brennan joins Niels for a conversation that redefines how trend following is understood. Behind the shared language lie four distinct archetypes - each built around a different purpose. Richard walks through them with clarity, then unpacks the trade-offs: static sizing vs. vol targeting, symmetry vs. asymmetry, speed vs. patience. A real-world portfolio test drives the point home... some strategies don’t just prefer diversification, they depend on it. This episode is about design, but more than that, it’s about alignment. Because in a field crowded with performance metrics, the most important question often goes unasked: what exactly is this built to do?-----50 YEARS OF TREND FOLLOWING BOOK AND BEHIND-THE-SCENES VIDEO FOR ACCREDITED INVESTORS - CLICK HERE-----Follow Niels on Twitter, LinkedIn, YouTube or via the TTU website.IT’s TRUE ? – most CIO’s read 50+ books each year – get your FREE copy of the Ultimate Guide to the Best Investment Books ever written here.And you can get a free copy of my latest book “Ten Reasons to Add Trend Following to Your Portfolio” here.Learn more about the Trend Barometer here.Send your questions to info@toptradersunplugged.comAnd please share this episode with a like-minded friend and leave an honest Rating & Review on iTunes or Spotify so more people can discover the podcast.Follow Rich on Twitter.Episode TimeStamps:01:58 - ChatGPT5 is on fire06:04 - The AI revolution could be the end of humanity14:23 - Industry performance update19:19 - An overview of what topics this episode will cover21:23 - The decisions that really matter in trend following27:10 - The 4 archetypes of trend following34:05 - Its not about facts, its about objectives40:09 - 1st debate: Diversification vs. concentration48:52 - 2nd debate: Absolute momentum vs. cross-sectional momentum50:21 - 3rd debate: Volatility targeting vs static small bits54:02 - What trend followers sometimes get wrong about volatility and position sizing57:48 - 4th debate: Symmetry vs asymmetry01:02:00 - 5th debate: Speed of execution01:08:01 - Why your approach to diversification is critical01:18:36 - Brennan's preferences in market diversification01:22:52 - Is ChatGPT5 actually a downgrade?01:25:27 - What is up for next week?Copyright © 2025 – CMC AG – All Rights Reserved----PLUS: Whenever you're ready... here are 3 ways I can help you in your investment Journey:1. eBooks that cover key topics that you need to know about In my eBooks, I put together some key discoveries and things I have learnt during the more than 3 decades I have worked in the Trend Following industry, which I hope you will find useful. Click Here2. Daily Trend Barometer and Market Score One of the things I’m really proud of, is the fact that I have managed to published the Trend Barometer and Market Score each day for more than a decade...as these tools are really good at describing the environment for trend following managers as well as giving insights into the general positioning of a trend following strategy! Click Here3. Other Resources that can help youAnd if you are hungry for more useful resources from the trend following world...check out some precious resources that I have found over the years to be really valuable. Click HerePrivacy PolicyDisclaimer