Trend Following Benefits

Decades of Precision in Systematic Trend Following

At Chesapeake Capital trend following isn’t one strategy among many, it’s the only one. We believe in doing one thing extremely well. That’s why we’ve spent decades developing, refining, and applying a systematic, rules-based approach to identifying and following trends in global markets.

Our goal is to deliver the best version of trend following without compromise, distraction, or dilution. Just a thoughtfully designed, evidence-based process that responds to real-time market behavior.

A Disciplined, Repeatable Process

Trend following works best when applied with consistency and discipline. Our investment process is entirely systematic, governed by clearly defined rules that remove emotion and subjectivity from decision-making.

We believe successful investing often means doing the hard thing, not the easy thing. That means sticking with a strategy through difficult periods, avoiding the temptation to chase short-term performance, and trusting in a well-designed process over time. Our system has been built, tested, and refined through decades of experience. It is robust, repeatable, and designed to adapt to changing market conditions.

Focused on Price,
Not Predictions

Everything we do starts and ends with price. We don’t rely on forecasts, macro narratives, or fundamental analysis. Instead, we respond to what the market is actually doing because we believe price is the most reliable and objective signal.

Our strategy uses multi-horizon trend signals to capture movements across short, medium, and long-term timeframes. The goal is not to predict the future, but to follow persistent moves in the market, whether they last weeks or months.

Long-Term Edge Through Asymmetry

The heart of trend following is simple: cut losses short and let profits run. We aim to preserve capital by exiting losing trades early, while staying with winners for as long as trends remain intact. This structure naturally creates the potential for asymmetric returns, where a few large, outlier trades can make a significant impact on performance.

By focusing only on trend following, we maximize our ability to capture these powerful moves. We don’t dilute our edge with other styles or second-guess the process. This is our investment engine. It’s in our DNA.

Built for Diversification

Our strategy is diversified by design. We trade across hundreds of liquid global markets, including equities, fixed income, commodities, currencies, and cryptocurrencies. Using futures, forwards, and other instruments, we construct portfolios that are long or short depending on the prevailing trend signals.

This broad market access and flexibility allows our portfolios to adapt and evolve as the opportunity set changes.

Risk Management and Capital Preservation

Staying Measured in Every Market

We place a strong emphasis on risk control. Our systems incorporate dynamic risk management tools that adjust exposure, monitor drawdowns, and manage volatility in real time.

We don’t chase performance. We build durable strategies that aim to endure through different market regimes, not optimize based on what worked in the past

One Strategy. Fully Committed.

Conviction Without Compromise

We believe trend following works, and it works best when applied with full conviction and without compromise. That’s why we remain committed to trend following plus nothing. No distractions. No overlays. Just a clear, focused strategy grounded in data, discipline, and decades of experience.

A Strategy with History and a Future

Honoring the Past, Evolving for Tomorrow

Our roots in trend following go back to some of the earliest pioneers of the strategy. The lessons and principles passed down through that history remain central to our work today. But we also know that markets evolve, and therefore so does our process. We continuously design, test, refine, and repeat, always with the goal of building something better.

Designed
Not Optimized

Built for Resilience

We focus on designing strategies that are robust and resilient, ones that can adapt to new environments rather than rely on conditions from the past.

Our approach blends quantitative research with practical trading insight, developed and honed over more than 30 years. From signal development to execution, we apply a thoughtful, hands-on process designed to deliver consistent results for our clients.

Contact Us

Is it time to begin your trend following journey? Our team is here to answer your questions and guide you through our investment approach. Contact the Chesapeake Capital team to learn more.