Why are the Japanese day traders so rich?

pinetboltz · Mar 31, 2020

gaussian said:
My mom says that about me too.

naw....regardless we at ET still luv u

Pekelo · Mar 31, 2020

pinetboltz said:
why are the Japanese day traders so good?

Pachinko parlours. That is where they practice.

Pekelo · Mar 31, 2020

clacy said:
If you amass $370m USD why would you continue to day trade?

Gambling addiction. But you could ask lots of industrial leaders, why they still do what they do. Gives their lives meaning.

Pekelo · Mar 31, 2020

SanMiguel said:
It's because they use ichimoku charts

I disagree. They use Kagi charts.

d08 · Mar 31, 2020

pinetboltz said:
a few minutes earlier Bloomberg came out with a story about how one Japanese day trader had a $75mm drawdown

i thought it was CIS, but it turned out to be another guy

apparently the $75mm drawdown only represented 20% of his personal portfolio

so somehow he amassed at least US$370+ million

& there are at least a few others like him known to the public.

who knows how many in total there are across Japan

why are the Japanese day traders so good? ie. getting to fortunes of hundreds of millions USD as individual day traders, while still in the prime of their lives

it sure beats the randos making $3000 a pop on Tesla option plays

or the PMs grinding out 2% per annum while dealing with nyc rents

They have mastered discipline and unlike most traders in the US (from what I've seen in media), they don't start spending the money on stupid toys and partying. Didn't CIS still eat cup noodles for lunch? In US the standard seems to be buying a large house, sports cars and lavish travel...

clacy · Mar 31, 2020

Pekelo said:
Gambling addiction. But you could ask lots of industrial leaders, why they still do what they do. Gives their lives meaning.

This is true. There is a definite correlation between psychopathic/narcissistic traits and extreme levels of achievement, whether you're talking politicians, business executives, business owners, traders, athletes, etc.

wrbtrader · Mar 31, 2020

clacy said:
If you amass $370m USD why would you continue to day trade?

I doubt it was a day trader considering the article refers to him as an "investor" in contrast to the tile that uses the word "day trader".

https://www.bloomberg.com/news/arti...rader-dumps-japan-stocks-amid-75-million-loss

Thus, if true he's just some rich investor like any other rich investor...many investors have lost millions of dollars due to the Covid-19.

He refers to himself as a 27-year investment veteran that use to work for funds as an institutional manager (investor).

Thus, not sure why he's label as a day trader or that the investment positions were viewed as day trades.

Edit: Just discover why he's label in error as a day trader. His investment stakes are highly followed by day traders looking for something to day trade that has momentum.

wrbtrader

SunTrader · Mar 31, 2020

pinetboltz said:
uh --- if you look at the Bloomberg article, it specifically points out that:

1) He is a "prolific day trader" - the second line of the article

2) that it's his assets, in that his name "appears in mandatory shareholder filings" - as they did for guys like BNF / Takeshi Kotegawa, where apparently in the Japanese markets like in the west they have specific Record Dates where as long as you own the shares on that particular day, you'd be eligible for dividends -- to the best of my knowledge they don't write company employees' names as the actual shareholders if they are hired to run OPM, other peoples money

3) He says he "lost about 8 billion yen," equiv to USD$75 million in the last month, or around "20%" of his assets. Bloomberg updated the story about 4 hours after it was originally published, to show that he has around 45 billion yen in total (USD$420 million).

4) They reiterate again that it's his own money, in that after he worked as an employee overseas, but then returned to Japan "in 2013 to go it alone"

So what if he doesn't always sell at 3pm Tokyo time when the TSE closes every single day for every stock he owns

The fact is that as Bloomberg reports, he trades actively ("prolific day trader"), is not an employee of any firm & the hundreds of millions USD is all his

That Bloomberg or any other media says it doesn't make it a fact.
..
3) Somebody who trades their own money ONLY, does NOT say " .... Yamada told Bloomberg News, revealing that he manages about 45 billion yen in total." "His assets" meaning the assets he manages. Some of which no doubt are his own.

Also if it was his money only, he would said he lost 20% of ... "his net worth".

4) Again how Bloomberg insinuates something that they most likely are ignorant about does not make it a fact either.

Believe what you want. It fits the narrative the reporters are spinning and Asian stereotypes cast about in this topic.

BTW I believe Bloomberg is typical one of the best in business journalism of not too many good ones anymore.

Sig · Mar 31, 2020

d08 said:
They have mastered discipline and unlike most traders in the US (from what I've seen in media), they don't start spending the money on stupid toys and partying. Didn't CIS still eat cup noodles for lunch? In US the standard seems to be buying a large house, sports cars and lavish travel...

I don't know, they waste money on a lot of stupid shit in Japan as well. I mean how much do they spend on Hello Kitty alone every year

SunTrader · Apr 1, 2020

Sig said:
I don't know, they waste money on a lot of stupid shit in Japan as well. I mean how much do they spend on Hello Kitty alone every year

Or how about their key stock market indices topping out decades ago never to have set new highs while the rest of the world did. And first G8, G20, Gwhatever nation to use ZIRP.