Richard Dennis is considered to be a trading legend. He reportedly turned a borrowed $1,600 into $200 Million in a period of 10 years trading commodities. He is famous for his Turtle Trading Experiment. Turtle Trading Experiment revolved around the idea whether great traders are made or born. You can read about Richard Dennis in great detail here. It was the system that made Richard Dennis rich and famous. The interesting fact about Turtle Trading System was the fact that it won only 40% of the time meaning it’s average winrate was only 40% winning only 4 trades out of 10 trades. Many traders focus on systems that have a high winrate yet they never make it. Why? It all boils down to the average size of the win and the average size of the loss. The average size of the win was something like 10 times average size of the loss for the Turtle Trading System. Ratio of the average size of the win to the average size of the loss is also known as the Reward to Risk ratio. So if you have a system that has a very high reward to risk ratio something like 10:1, you will always win.