Even the best lose sometimes.

farmerjohn1324 · Jan 8, 2020

https://www.bloomberg.com/amp/news/...lpha-ii-loses-money-for-first-time-since-2000

I've also read stories about Soros losing at times.

The difference is that they control so much money that even if they make 15% on the year, that amounts to billions in profits.

SunTrader · Jan 8, 2020

% is all matters - even to the big guys "who have more money than god".

farmerjohn1324 · Jan 8, 2020

SunTrader said:
% is all matters - even to the big guys "who have more money than god".

If you control a fund with $160 billion in assets, and you make 20% on the year, then you made $32 billion that year.

Perhaps you or I could make 20% on the year (especially in a year where the S&P does well), but we don't have $160 billion of other people's money to use.

SunTrader · Jan 8, 2020

farmerjohn1324 said:
If you control a fund with $160 billion in assets, and you make 20% on the year, then you made $32 billion that year.

Perhaps you or I could make 20% on the year (especially in a year where the S&P does well), but we don't have $160 billion of other people's money to use.

Yes that is the math.

And neither of us have a spare $160 billion of OPM laying around.

?

Peter8519 · Jan 8, 2020

Losing is part of the game. Cut loss and move on. It's painful but after a few times, we will get use to it. :sneaky:

Nobert · Jan 8, 2020

Peter8519 said:
. It's painful but after a few times, we will get use to it.

After few times,.. let's just average down ;D

SunTrader · Jan 9, 2020

Nobert said:
After few times,.. let's just average down ;D

Yes please keep doing that. And encourage others as well.

Nobert · Jan 9, 2020

SunTrader said:
Yes please keep doing that. And encourage others as well.

Done

(not yet tho, collecting shots for part #2)
https://www.elitetrader.com/et/threads/why-so-serious-1.337597/#post-4957474

ironchef · Jan 9, 2020

Nobert said:
After few times,.. let's just average down ;D

SunTrader said:
Yes please keep doing that. And encourage others as well.

Actually not a bad thought, especially in special situations.

I don't day trade but for swing traders it sometimes pays off big time if you average down. Go look at BMY or ABBV.

SunTrader · Jan 9, 2020

ironchef said:
Actually not a bad thought, especially in special situations.

I don't day trade but for swing traders it sometimes pays off big time if you average down. Go look at BMY or ABBV.

Actually I was being facetious, but I should made it more obvious than I thought I did.