Potential Unlimited LLC's Global Macro Counter-Trend program returned 20.8% in May, placing it first among the top 20 trading advisors and beating returns from prominent firms like RG Niederhoffer's Diversified program and John W Henry's Dollar program. The program's gains were mainly due to positions in the energy complex. Potential Unlimited is looking to launch new currency and trend-following programs in the coming months to expand its offerings.

1. PUL's returns tops in May
June 20, 2006
San Francisco-based Potential Unlimited LLC's Global Macro Counter-Trend program
returned 20.8% in May.
This performance was good enough to place the program first out of the top 20 trading
advisors last month, beating out industry heavyweights such as RG Niederhoffer's
Diversified program (+10.2%) and John W Henry's Dollar program (+11%), according to
The Barclay Group.
The energy complex (unleaded gas) was the main contributor to the program's gains,
according to Brett Schlapfer, who founded Potential Unlimited LLC (PUL) in October
2003. Schlapfer had previously headed the Pixley Group, an independent introducing
brokerage firm.
Global Macro Counter-Trend is a systematic program that trades currencies, commodities
and debt instruments through the futures markets. The systematic approach is technically
based on a proprietary model that evaluates price over time combined with market
consensus to create a system signal, and both must be met before taking a position.
Since inception in July 2005, the program has achieved a compound annualized return of
53.8%, and currently has some $500,000 under management. It charges fees of 2/20 with
a $30,000 minimum investment requirement.
In other news, PUL is looking to launch a currency program, PUL FX, sometime in
September or October , according to Schlapfer. "A lot of people are starting to look at
FX, and the asset class is getting really hot," he said.
"We're trading currencies in the PUL Counter-Trend program now, but there are things
we're currently doing that we want to do in a different type of model. However, we don't
want to launch another program without getting the assets in this program up
substantially, to between $5 million and $10 million."
The firm recently hired an in-house marketer to tackle that hurdle, he said.
PUL FX will trade a mixed basket of spot and futures currencies as well as options
contracts. The major currencies will include Swiss franc, Canadian dollar, yen, euro and
sterling. The program, which will be 75% systematic and 25% discretionary, will be
managed by Terry Haggerty, former FX prop trader at Bank of New York and Wells
Fargo.
It will charge fees of 2/20, and have a minimum investment requirement of $50,000 to

2. $100,000.
Schlapfer also mentioned that the firm is looking to introduce a trend-following program
in January 2007, but declined to provide any specifics.
Do you wish to purchase a reprint of this MARHedge.com article? Contact Keisha
Morgan at 646-274-6224 or kmorgan@marhedge.com
###
Do you wish to purchase a reprint of this MARHedge.com article? Contact Keisha
Morgan at 646-274-6224 or kmorgan@marhedge.com