Overview
| Managed Account Program: |
MCEL E-CYCLES/Forex-Retail |
| Account Manager: |
McElhannon Group, Inc. |
| Inception: |
January 2001 |
| Currencies Traded: |
G-7 |
| Minimum Investment Size: |
$10,000 |
| Leverage: |
10:1 |
| Maximum Drawdown: |
(12.04%) Two months to recoup |
| Results To Date: |
308.21% |
Performance
| Month |
2005 |
2006 |
2007 |
2008 |
January |
14.88% |
6.92% |
9.32% |
6.91% |
February |
3.44% |
(10.96%) |
5.00% |
(0.20%) |
March |
14.20% |
16.72% |
(0.36%) |
(2.04%) |
April |
7.92% |
8.44% |
(0.24%) |
8.63% |
May |
5.24% |
(3.52%) |
3.35% (F) |
0.00% |
June |
(1.28%) |
19.84% |
(5.50%) |
(5.07%)
|
July |
2.28% |
21.12% |
17.67% |
|
August |
4.15% |
(2.60%) |
(5.30%) |
|
September |
(0.01%) |
4.12% |
0.00% |
|
October |
18.36% |
(7.16%) |
0.00% |
|
November |
(0.32%) |
(2.24%) |
3.01% |
|
December |
(0.01%) |
(2.64%) |
20.24% |
|
TOTAL |
68.88% |
48.04% |
47.19% |
13.30% |
| |
|
|
GRAND TOTAL |
+308.21% |
|
Month
|
2001
|
2002 |
2003 |
2004 |
|
January |
42.03% (A) |
(1.50%) |
3.12% |
17.64% |
|
February |
1.15% |
7.31% |
(0.00%) (D) |
(9.48%) |
|
March |
10.95% |
(1.92%) |
(0.00%) (D) |
13.40% |
|
April |
9.65% |
(5.08%) (C) |
(0.00%) (D) |
13.84% |
|
May |
(5.35%) |
(1.43%) |
0.67% |
(6.20%) |
|
June |
10.96% |
1.00% |
0.56% |
2.55% |
|
July |
4.69% |
2.54% |
4.52% (E) |
(0.38%) |
|
August |
(4.54%) |
(3.67%) |
15.16% |
(2.56%) |
|
September |
12.40% |
4.08%* |
(8.28%) |
5.95% |
|
October |
(2.29%) |
(1.01%) |
8.60% |
7.35% |
|
November |
(4.10%) (B) |
(2.26%) |
(0.92%) |
7.97% |
|
December |
(3.52%) |
(2.84%) |
(9.96%) |
(0.00%) |
|
TOTAL
|
72.03%
|
(4.78)% |
13.47% |
50.08% |
NO REINVESTMENT OF PROFITS.
PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS.
READ OUR FULL DISCLAIMER BELOW.
A. January 2001 forward all returns are net of research subscription fees and commissions. September 2002 forward all returns are gross returns. $25,000 trading units. There is no reinvestment of profits.
B.
November 2001 includes a 10.64% equity loss due to the American Airlines crash 11/12/2001, Queens, New York.
C. PAMM transition period.
D. U.S. pre-war and war with Iraq.
E. FX5 Program begins
F. May 2007 forward all returns are net of research subscription fees and commissions. $5,000 trading units.
Background of Philip M. Worley
Philip M. Worley is President of McElhannon Group, Inc., which is a commodity futures and Forex research and consulting firm offering equity enhancement strategies, research, and consulting on a global basis to institutional and professional money manager clients, major brokerage firms, energy companies, and retail customers. Mr. Worley has been a federally licensed investment broker since 1973. He serves 20 years as President of GCCF, Inc., previously a guaranteed Introducing Broker of ED&F Man, based in Burnet, Texas. He has been President of McElhannon Group, Inc. for 15 years. Additionally he has served as a Commodity Futures arbitrator for the NASD in Houston, Texas. Philip M. Worley and McElhannon Group, Inc. are registered with the Commodity Futures Trading Commission (CFTC) and the National Futures Association (NFA) as a Commodity Trading Advisor.
The E-CYCLES - MACK STACK METHODOLOGY
The MACK STACK trading technique was developed in 1996 by Philip M. Worley in order to address the increasing volatility in global markets. The MACK STACK technique is a unique tool that places trades closer to market highs and lows once the timing window has been identified for a market position. MCEL E-CYCLES identifies the event timing, MACK STACK finalizes the order placement, and Momentum Acceleration yields the opportunity potential. Both MCEL E-CYCLES and MACK STACK have very specific money management rules that dictate exactly where the initial risk point should be while adjusting to changing market conditions. These are all controlled by the three-prong risk management techniques, which have to date yielded small individual losses and low peak to valley drawdowns. This market approach seeks profit opportunities from market discrepancies in the U.S. Dollar versus G-7 currencies and in G-7 currencies versus each other.
Opening An Account
All accounts are traded through firms which are Futures Commission
Merchant (FCM) registered with the Commodity Futures Trading Commission
and are members of the National Futures Association. Each of these firms
must be pre-approved by McElhannon Group, Inc. All funds are held in
segregated accounts, where clients have sole deposit/withdrawal rights.
McElhannon Group, Inc. has limited power of attorney to trade the account
only and does not have deposit/withdrawal authorization.
To open an account with one of these FCMs, it is necessary to complete
their account opening documents. You will also need to complete a limited
power of attorney form, which must be signed by both the client and
McElhannon Group, Inc. McElhannon Group, Inc. also requires the
completion of additional paperwork.
Investors who are interested in having their funds managed by McElhannon
Group can contact them using the information below. The necessary
paperwork can be sent by email or fax.
Risk Warning Disclosure
RISKS OF FOREX TRADING
Trading in foreign exchange is speculative and may involve the loss of principal; therefore, assets placed under management should be risk capital funds that if lost will not significantly affect one’s personal financial well being. This is not a solicitation to invest and you should carefully consider your financial situation as to the suitability to your situation prior to making any investment or entering into any transaction.
PAST PERFORMANCE
Past performance is not indicative of future results, as returns may vary according to market conditions. Forex trading involves substantial risk.
The trading systems herein described have been developed for sophisticated traders who fully understand the nature and the scope of the risks that are associated with Forex trading. Should you decide to trade any or all of these systems’ signals, it is your decision.
No representation is being made that following a system’s suggested signals will necessarily lead to profit. Investors may incur a series of consecutive losses and substantial equity-draw-downs that can deplete their assets before the occurrence of any meaningful profit accumulation.
Please take note that all the figures shown herein (unless otherwise noted) represent a computer back-test of trading systems-logic and NOT an actual trading record. Results from May 2007 through the most current month posted are real time trading results at Saxo Bank.
HYPOTHETICAL PERFORMANCE
Hypothetical performance results have many inherent limitations. No representation is being made that any account will or is likely to achieve profits or losses similar to those shown. In fact, there are frequently sharp differences between hypothetical performance results and the actual results subsequently achieved by any particular trading program.
One of the limitations of hypothetical performance results is that they are generally prepared with the benefit of hindsight. In addition, hypothetical trading does not involve financial risk. Variables such as the ability to adhere to a particular trading program in spite of trading losses as well as maintaining adequate liquidity are material points which can adversely affect actual real trading results. For example, the ability to withstand losses or to adhere to a particular trading program in spite of trading losses are material points which can also adversely affect actual trading results. There are numerous other factors related to markets in general or to the implementation of any specific trading program that cannot be fully accounted for in the preparation of hypothetical performance results and all of which can adversely affect actual trading results.
