This is interesting no matter what since I know a friend faced with this real problem and he is stopping his business at the end of this year which means he will come into position of an medium sized 8 figure account. I have been helping him somewhat on the side for his now smaller account. He has no lack of financial sharks checking him out with awfull proposals at this moment. So I am sure knowing him he can use all the good advise he can get. So despite the previous poster this IS a REAL problem for some people ...
How do very high net worth accounts trade?
- Thread starter arden123456
- Start date
They give money to me , I turn it into water and give it back in the form of a river of words.
Exceptions are there to confirm the rule.
If your friend is Belgian (you're from Belgium) and traded legally he will have paid about 50% of taxes, so he made twice a medium sized 8 figure account. To avoid these taxes he should be LT trader, at least 10-20 years, and even then avoiding taxes is not obvious. Creating a a medium sized 8 figure account is considered as an income in Belgium. It is professional, not "als een goede huisvader" which is necesarry for avoiding heavy taxation.
If the question is how does an ex-trader from SAC or Goldman who is retired and has a >20MM of networth trade his money? He opens a prime brokerage account with a bank like a small hedgefund would and he gets going.
Alternatively, he can open an account with Etrade, Schwab, IB, or anyone else. They can accommodate large accounts. Bob Morse probably has some accounts with that kind of capital in them.
Alternatively, he can open an account with Etrade, Schwab, IB, or anyone else. They can accommodate large accounts. Bob Morse probably has some accounts with that kind of capital in them.
These replies are funny, apparently am one of the few who's been around that type of net worth professionally and privately, it goes in a logarithmic curve. The higher the net worth the less percentage gains you need to live life, but it can be a hobby.
The less you work the more you earn, it's called productivity. Personally knew a partner for a top brokerage, they used Yahoo Finance for research at the weekends. Everyone has their own goals and uses the tools suitable to them.
The less you work the more you earn, it's called productivity. Personally knew a partner for a top brokerage, they used Yahoo Finance for research at the weekends. Everyone has their own goals and uses the tools suitable to them.
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When the sh$^t hit the fan , such as the Chf drama in 2015, now the Gbp drama: just call the retail brokers and ask what has been the biggest loss for one customer. One retail broker lost more than 20million £ on the CHF drama, with quiet a few customers losing their accounts of 2-5million£ each.
he is in a totally different business where he got his money from .... and it's not 50% it's 33% if you trade in the first six months ... you obviously heard 'de klokken luiden maar weet de klepel niet hangen' lol
97% of high nett worth clients lose huge amounts- from a reliable source
So he did not make 8 figures in trading. Maybe even cannot even make consistent profits.
33% is for occasional traders, not for frequent traders. And even this 33% is not correct as losses are not deductible. So real taxation depends of the losses you make. Taxation will raise quickly to over 50%. If he makes 100 euro profits in winning trades and loses 25 euro in bad trades, his real taxation will be already 44%. Nobody will be taxed at 33% as they should never have any loss for this taxation.
Frequent traders will be taxed as independant profession. Which means first social security and next around 50% of taxes. I don't say this, Dauginet says this. Maybe google that name and see who he is, and then we know who should laugh with who.
I know very well where "de klepel hangt" as I left Belgium as professional trader, for tax matters.