I am about to be laid off from an insurance job in April. With a combination of severance and a company 401k, I could come up with about 20k. I am considering pursuing my dream of a full time trading life starting with this 20k. I have six months of unemployment to cover expenses while I learn and try to grow my account. I am not new to the world of finance and markets having previously been a series 7 licensed broker years ago. I have lived the market for the past 5 years trying to learn as much as possible. I know it 's a huge risk but I won't forgive myself if I don't try. My question is, given the 20k and my desire to start slowly and methodically, and having expenses covered for six months, do you think it's realistic? Finding another insurance job in my city will be tough as I'm not in sales but on the carrier side. Any thoughts or advice would be greatly appreciated...
Trading after a job layoff
- Thread starter dfuang
- Start date
I think it's very tough but do-able. It's really a personal question and I doubt anyone here can give you the RIGHT answer. But like you said yourself, you wouldn't forgive yourself if you didn't try it so go for it!
-Fast
-Fast
congrats. sometimes a kick in the butt is what it takes to start again. i would rec you starting at a prop firm where you can put up 5-10k of your capital and trade the firms money. there are several firms on ET who are good.
best wishes,
surfer
just to clarify, I wouldn't be trading the 401. I'd cash it out and the combination of immediate vesting on the match and it's performance would leave me not taking to bad a hit with the taxes and 10% penalty.
A prop firm isn't a bad idea. I'm just starting to look into that. Although I must say, the idea of doing it on my own seems satisfying even if it's a longer shot.
I wouldn't be under any huge pressure to cover expenses for close to a year. This just feels like a crossroad in my life and the idea of coming back to the corporate world is depressing. I've always been a risk taker at heart and the action of the market calls to me.
I just know that from the standpoint of capital, I'm behind the eight ball.
A prop firm isn't a bad idea. I'm just starting to look into that. Although I must say, the idea of doing it on my own seems satisfying even if it's a longer shot.
I wouldn't be under any huge pressure to cover expenses for close to a year. This just feels like a crossroad in my life and the idea of coming back to the corporate world is depressing. I've always been a risk taker at heart and the action of the market calls to me.
I just know that from the standpoint of capital, I'm behind the eight ball.
I agree with Marketsurfer. If youv'e been watching the markets for 5yr and are not a trader by now, having people next to you might be that extra boost. You would also have their leverage and get your learning curve down alot. You could also try the emini which you also have leverage and you'd only have to learn 1 market/index. If you want to do it, it can be done. Rember all great things began with a dream. It's the people with the heart and discipline that can make it come true.
well, the 5 years have been while I'm working as an Insurance Underwriter. The stability of the job and having a family have just kept me on the sidelines. But now, given the layoff I think it just might be a sign to get in. And I'll be leaving with around 12k that's really free money from my company. That's the why now answer.
