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I need a good story....
- Thread starter windward
- Start date
Quote from windward:
I was under thirty and did my best to spend it. I figured I was REALLY smart and invested a ton of my time and commission dollars in building relationships with the sell-side. When they stopped making me money - I realized I was young and part of a trading bubble. I scaled down quickly. However, I can't live of my savings forever. I have zero skills outside of trading a 5 million dollar pad and have been laughed out of hedge funds. I was told I'd get a 10% payout at two funds. They also said my critical mass was probabyl 10 million in a volatile mkt. They gig is up....
Why don't you just sell the 5 million dollar pad,invest the money in various tax exempt municipal bonds and live off the interest which will bring you about $250,000 a year,if it's yielding 5%?
Quote from NasdaqTrader:
Why don't you just sell the 5 million dollar pad,invest the money in various tax exempt municipal bonds and live off the interest which will bring you about $250,000 a year,if it's yielding 5%?
He was referring to his trading book($5MM) not his residence.
wtf are you talking about? 5% in munis?! Not on this planet.
arb.
thank you arb- thanks for the insight- basically start over in a different angle of trading ie systematic/technical analysis. I've seen these brainiacs and you have to be incredibly computer saavy and mathematically inclined. I possess an edge in neither. My strategy was to pay the street X commission dollars and get service that produced X+. With the Reg FD my business got crushed. I also traded large blocks against the block desk and "clean up" flow. That gig is over as well with ECN's and the end of fractions. I learned to make money in the stock market consistently you have to possess and edge. I'm not confident that pulling up charts or tapping at some ocillator system is an edge. I'm looking for something else to do.
Quote from windward:
thank you arb- thanks for the insight- basically start over in a different angle of trading ie systematic/technical analysis. I've seen these brainiacs and you have to be incredibly computer saavy and mathematically inclined. I possess an edge in neither. My strategy was to pay the street X commission dollars and get service that produced X+. With the Reg FD my business got crushed. I also traded large blocks against the block desk and "clean up" flow. That gig is over as well with ECN's and the end of fractions. I learned to make money in the stock market consistently you have to possess and edge. I'm not confident that pulling up charts or tapping at some ocillator system is an edge. I'm looking for something else to do.
Your access to looks and order flow are gone, but that's not to say that's the only edge left, even in retail. I trade flat, but I've traded direction in the past and agree that oscillators are nigh on worthless for trading.
I trade with what I believe to be good edge -- if you're interested in trading retail from home/office I think a short gamma options methdology would be worth a look. Trade flat deltas, short gamma and watch your hedges. It's a phenomenal lifestyle and require 1/1000 of the turnover of daytrading. I'm in the market no more that 30 minutes a day.
I'd suggest you read Hull for theory and Baird(Option Market Making) for a practical approach. If you've zero options knowledge, look to get Natenberg's, "Option Volatility and Pricing"
Best,
arb.
Quote from windward:
I have zero option experience.... I'm not kidding myself that I can pick up a book and generate monthly p/l of 30-50k with low risk? on a couple million in BP?
Ever looked into spread trading? Trading seasonal spreads on commodities is a fairly low risk strategy and can give you several hundred percent on your margin in 3-6 months.