How do Pro's finance their day to day?

M

matador04

1. You have capital that you 'can't' afford to lose, i.e. the machine made of money

2. You have p&l

3. You have mortgage pmt, credit card, student loan, food, etc

9-5r's also have something they can't afford to lose: jobs, but unlike a trader they can't (usually not) borrow against future earnings by dipping into the money machine. Do traders only draw out of their account enough to live on? Or do most draw a fixed amount every month?

Since I don't trade for a living, I simply leave the money in my brokerage account to earn some interest (the profits anyway)...
 
professionals dont pay for much they get what is called soft dollar money. now you know a trade secret. its like hey i will buy your lunch but much much bigger depending on how big you are.
its not talked about so often cause it could be - become a conflict of interest and no one wants to shake the boat when everyone is in it cept for the little fishes that know not better like you.

ps this is what i heard from someone in the business.

just like spydertrader and jack hershey getting paid to keep that trading journal up with followers. yet they claim they get no money from it.
 
Quote from matador04:

1. You have capital that you 'can't' afford to lose, i.e. the machine made of money

2. You have p&l

3. You have mortgage pmt, credit card, student loan, food, etc

9-5r's also have something they can't afford to lose: jobs, but unlike a trader they can't (usually not) borrow against future earnings by dipping into the money machine. Do traders only draw out of their account enough to live on? Or do most draw a fixed amount every month?

Since I don't trade for a living, I simply leave the money in my brokerage account to earn some interest (the profits anyway)...
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It's like any other type of business, depends on the individual. We have people who literally never draw money out, allowing accounts to grow to big dollars. We have those who draw money twice a week (I worry a bit about those guys, LOL). And some just take out a bunch every few months.

Not sure what "money machine" you're referring to however.

The "soft dollar" comment applies, in general, to retail type brokers and "information" type traders IMO.

FWIW,

Don
 
Quote from MarkBrown:

professionals dont pay for much they get what is called soft dollar money. now you know a trade secret. its like hey i will buy your lunch but much much bigger depending on how big you are.
its not talked about so often cause it could be - become a conflict of interest and no one wants to shake the boat when everyone is in it cept for the little fishes that know not better like you.

ps this is what i heard from someone in the business.

just like spydertrader and jack hershey getting paid to keep that trading journal up with followers. yet they claim they get no money from it.
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Thanks! I would have never known about insider trading.
 
Quote from damnit:

We make plenty to finance all activity and I personally set aside 5-10K a month in index funds.
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Damnit, you of all people have no clue what you're doing.

Your PM and responses to some of my posts prove that. You are a nut.
 
Quote from athlonmank8:

Damnit, you of all people have no clue what you're doing.

Your PM and responses to some of my posts prove that. You are a nut.
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I second that.
 
I give myself an allowance and cut a check for that amount every two weeks (bills/spending money). Whats left in my acct has to be enough for taxes (should be plenty after that as well if my budget is tight). I keep a 2g cushion always. Whats there at the end up the year less taxes is mine. Clean slate + 2g cushion starting jan. 1.
 
Quote from Reaver:

I second that.
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speaking of that, right on cue...damnit the stalker of ET himself, just sent me a PM talking trash.

I can post it if necessary.

Damnit.....you should seek help.

Seriously get a life. You chase people around sending vulgar PM's. I'm not your secret pal off the public forum. I am here to have fun, not engage in personal conversation and threat wars with losers like you.
 
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