Just to be serious for a moment, the best advice I can give you is to go long Berkshire Hathaway. It's a very well run and managed business.
The Troll
The Troll
Need an Answer
- Thread starter LiL"C"
- Start date
Inflation-adjusted, Rich Dennis's $200 is something like 4x that today.
Quote from TRADERguy:
Keep your day job/business, have zero trading expenses (other than transaction costs), and open a retail forex account with Oanda or any other place that you can trade really small. Look at it this way--you only need to double your account about 12.3 times to become a millionaire.
btw- I wouldn't normally recommend retail forex but with your account size I can't think of anything else for you to trade.
"With OANDA which trades in units rather than lots/contract/shares, this is possible as one get the same spread (commission) as everyone else. With units one can do proper position sizing with any amount."
LiL "C,"
We have tried to tell you but I got the feeling that you thought I was messing with you so I will give it one more shot. With your account size any place that charges a set commission is unrealistic because it will gobble up you account. Even the $14.95 per month place discussed on previous pages is too expensive: you will need to make 7.475% per month or an annual return of 89.7% per year just to break even. Retail forex will charge you 2 or 3 pips (the spread) on the majors so your transaction costs will be proportionate to your account size. It's the only thing that you can do with with your account size where the odds will not be incredibly stacked against you because of transaction costs or fees.
TRADERguy
No you didn't miss anything. The foreign exchange spot market is a good market to trade: it trends and it has volatility. My reluctance to recommend retail forex is because of the retail part. Normally I tell someone to trade currency futures until they can afford an account that actually trades in the interbank market. The problem with retail forex is that the "broker" is the house. They take the other side of your trades. They also supply the prices and can get away with some manipulation of the prices. However they can't get away with too much because if they get too far out of line with the real (interbank) market, traders will arb them and cost them money. To protect yourself against the small scale price manipulation, avoid trying to scalp for a few pips (a pip is the smallest price movement, i.e. in the Euro 1/100th of a penny). If you are daytrading be very selective and seek to take a chunk of the middle of trend days. If you're swing or position trading their price manipulation shouldn't affect you.