The Original Turtle Traders Today – Careers, Successes & Failures

The Great Trading Experiment

In 1983, commodity trading legend Richard Dennis made a bet with his business partner William Eckhardt. Dennis believed that great traders could be taught, while Eckhardt argued that trading was an innate skill. To settle the debate, Dennis decided to recruit complete novices and teach them his trading methods.

Dennis placed newspaper ads seeking applicants, eventually selecting 23 individuals from over 1,000 candidates. These recruits became known as the "Turtle Traders" - named after turtle farms Dennis had visited in Singapore, representing the idea that traders could be "grown" like turtles.

The Stakes:

Dennis gave each Turtle between $500,000 to $2 million to trade, with the agreement that they would follow his rules exactly and split the profits.

The Turtle Rules

System 1 (S1)

Enter on 20-day breakout, exit on 10-day breakout in opposite direction

System 2 (S2)

Enter on 55-day breakout, exit on 20-day breakout in opposite direction

Position Sizing

Risk 2% per trade using True Range-based position sizing

The Turtle Timeline

1983

The Recruitment

Richard Dennis places newspaper ads and selects 23 candidates from over 1,000 applicants. The chosen few include college graduates, a security guard, and even an auditor.

1984

Training Complete

After two weeks of intensive training, the Turtles begin trading with real money. Each receives between $500K-$2M in capital to manage.

1987

Experiment Ends

The official Turtle program concludes after four years. The group collectively earned over $175 million, proving Dennis's theory correct.

1988

Going Independent

The Turtles scatter to pursue their own trading careers, fund management companies, and various business ventures across the globe.

Where Are The Original Turtles Today?

CF

Curtis Faith

The Star Turtle

Youngest Turtle at 19, earned over $30M for Dennis. Now runs Accelerated Trading and wrote "Way of the Turtle." Active in algorithmic trading and system development.

Status: Author, Trading System Developer

JP

Jerry Parker

Most Successful Alumni

Founded Chesapeake Capital in 1988, managing over $2.5 billion at its peak. One of the most successful CTAs using trend-following strategies derived from Turtle methods.

Status: Hedge Fund Manager (Retired)

PR

Paul Rabar

The Steady Performer

Founded Rabar Market Research, providing systematic trading strategies to institutional clients. Known for his disciplined approach to risk management.

Status: Systematic Trading Consultant

LC

Liz Cheval

First Female Turtle

Started EMC Capital Management, focusing on managed futures. Pioneered risk parity approaches in commodity trading before retiring from active management.

Status: Retired Fund Manager

MC

Michael Cavallo

The Innovator

Founded Cavallo Trading, adapting Turtle principles to modern electronic markets. Specializes in currency and fixed-income systematic strategies.

Status: Systematic Trading Firm CEO

HS

Howard Seidler

The Educator

Transitioned to trading education and consulting. Teaches systematic trading principles at various institutions and provides training to hedge funds.

Status: Trading Educator & Consultant

Other Notable Turtle Alumni

Russell Sands

Became a prominent trading educator, wrote several books on Turtle trading methods, and conducted seminars worldwide before retiring.

Michael Shannon

Founded multiple trading firms and became a successful private equity investor, applying systematic approaches to various asset classes.

Tom Shanks

Started Hawksbill Capital Management, focusing on managed futures and commodity trading advisors using trend-following systems.

Jeff Gordon

Left trading to pursue business ventures in technology and real estate, applying the risk management principles learned as a Turtle.

The Turtle Legacy

$175M

Total Profits

Combined earnings during the 4-year experiment period

80%+

Annual Returns

Average annual compound return achieved by top performers

15+

Still Active

Number of original Turtles still involved in financial markets

The Proof Is in the Performance

The Turtle experiment conclusively proved that trading can be taught. Most Turtles significantly outperformed the S&P 500, and many went on to manage billions in institutional capital using systematic trend-following approaches.

Turtle Principles in Modern Trading

Systematic Approach

Modern algorithmic trading firms still use Turtle-inspired breakout systems, adapted for electronic markets and higher frequencies. The core principle of following trends remains unchanged.

Risk Management

The Turtle position sizing methodology based on volatility (True Range) is now standard practice in institutional trading. Many risk management systems trace their origins back to Turtle principles.

Managed Futures Industry

The $340 billion managed futures industry owes much to the Turtle experiment. Many CTA firms today use variations of Turtle trading rules as their core strategies.

Timeless Lessons from the Turtles

✅ What Made Them Successful

• Strict adherence to systematic rules
• Disciplined risk management (2% rule)
• Emotional detachment from trades
• Focus on trend-following principles
• Patience to let winners run
• Quick acceptance of small losses
• Diversification across markets

❌ Common Failures

• Deviating from the original system
• Emotional interference with trades
• Inadequate capitalization
• Lack of psychological preparation
• Overconfidence after early success
• Failure to adapt to changing markets
• Ignoring risk management rules

The Ultimate Turtle Lesson

"Good traders can be made through proper training, but they must have the discipline to follow systematic rules and the emotional control to execute without hesitation. The markets will always provide opportunities - the question is whether you have the skills to capture them."

- Richard Dennis

The Original Turtle Traders