To get rich trading you MUST manage other people money?

[Jayford]

i think it all depends on your definition of rich.

the best day traders bring in 5 mil per year. Imagine what the best swing traders bring in?

Thats rich in my book.

 

[crgarcia]

Quote from Jayford:

the best day traders bring in 5 mil per year.

On a 100M account?
On 10M?

It all gets to %s.
Getting below 7% is worthless. You could almost get that with some nice bonds with much less risk, and almost no work.

 

[GermanTrader]

Quote from nokomisjeff:

I respectfully disagree, though it depends on your definition of rich. Rich, comfortable.....what does it matter as long as you make money in the long run.

Jeff

Agreed. A million dollars alone will not last a lifetime anymore in the western world, if you plan on living above poverty. Every trader's goals are different, as are their definitions of wealth, retirement, etc.

Few traders conquer stress to where fear and greed are no longer visible in their trading results, and it may be true that even fewer traders could bear also the additional loads of others' money as well. It would be difficult to substantiate the necessity of others' money to building wealth. The web is full of individual success stories from rags to riches, just as from money managers.

Perhaps it remains a matter of preference. Traders all know what we're good at, or what we would like to gain proficiency in. Some know they prefer to work alone, with their own money, never revealing their secrets. This is my camp. I never borrowed or solicited trading capital for fear I would fail and endure people after me for years to recover their money while I worked a day job. I started with my own money and now I have more, so I am prejudiced by having done it my way.

But there are some who feel the need or thrill to involve others in their trading, whether through hosting a chat room, managing others' money, or even posting their trading results in a public forum. Doing so gives them what they need to excel. Hey, if that is what works for them, kudos.

However, use caution when accepting such an absolute as other's money being a requirement to build individual wealth.

Success.

 

[drenaud]

If a traders pay plan was that he was to earn a percentage of the profits he generated, what percentage would be fair and reasonable?

 

[DHOHHI]

Quote from nokomisjeff:

I respectfully disagree, though it depends on your definition of rich.

Having spent the bulk of my career as a floor trader trading my own account, I only handled one account for a friend of mine, and didn't charge him any fees or percentages. While I might not be rich, I certainly am comfortable,

Rich, comfortable.....what does it matter as long as you make money in the long run.

I trade my money and also trade some money for a long time friend. I don't charge him anything. I get satisfaction from outperforming the indexes significantly. And he who has the most toys (i.e. $$$$) doesn't necessarily win. Being rich isn't all about $$$$. Being rich to me is knowing I'll make enough trading so that I can go volunteer with some inner city kids and help make a difference in their lives. I could make more $$$ trading instead of spending the hours I do with these kids but would I be happier? Nope .....