It's not about sides. I understand buy and hold just fine...but I don't think you can advocate yourself as a great trader or stock picker if as an individual you only return 25%(paper mind you) and you never sell to find better opportunities. His naivete regarding why hedge funds can't return in such large percentage exhibits the point I've been trying to make. That's all. Cheers.
It is true that the less money you have to manage the easier it is to move it higher due to liquidity. The largest 10+ billion dollar funds aren't nearly as nimble as a tiny fund. However, I don't think that many people here even with the use of options and hedging and other sophisticated trading strategies are doing exceptionally well. I can turn 4K into 8K with options. Good job, but care to risk your whole portfolio (200K or more) on that same trade? Probably not. But would you divide that 200K into quality , market beating stocks like AAPL, GOOG, and MA? Probably since it isnt nearly as risky as options. So lets assume you make 40% YTD on your AAPL, MA, and GOOG that would be 80k in pure profit and you don't have to pay capital gains tax so you keep most of it. How our options trader will have to make lots of smaller trades to make 80K, and he will probably takes a lot of losses as well. In addition he will have to pay capital gains taxes. When someone says they made 1000% or 'doubled their money' did they double their WHOLE PORTFOLIO or just a small portion of it. That is key.
You don't think people are doing exceptionally well...that's your guess. I wouldn't divide me portfolio into stocks like AAPL and GOOG at all. I'd divide it into stocks that I think will show much much better than 15% return this year. I'm looking for at least 100% on the bulk of my portfolio. I've probably already done about ...actually, looking back, I've already done over 100% this year with a good play. You can't be joking criticizing others for their gains...you haven't even made any if you haven't sold. And little buddy, you still pay taxes on those gains, only 15%, but you still pay. And if you're so worried about taxes it means you don't make enough money to realize that taxes are part of the game...if you make $2M this year do you really quibble over paying taxes or do you realize you made a lot of money? If you do you're an idiot. And I've done 100% in returns yearly on stocks that I held for more than a year thus paying lower taxes.
You have made it abundantly clear your a very successful trader and investor. Why not go work for a hedgefund or something? I didn't say no one is doing very well but it is impossible that everyone here is achieving huge market crushing returns. The statistics just don't support that. 80% of daytraders fail and most investors fail to beat the market. However it seems that on forum everyone is a market wizard. We're all savvier than the street. Thats just not true.
Looks like google crapped out today BUT it will go higher later. The fact it hit 500 again is a very good sign but the sellers decided that it was time to take profits and thats their choice. However, thats how the stockmarket works.
You're using "everyone" as a copout to back away from the original point that you're just assuming how people are doing. The fact is that you don't know, you've not even made the gains you claim because you haven't sold, and you're not a trader because you just buy and hold. Why would I go work for a hedge fund when I can make great gains, do whatever I want, and work at home?
Neither do I...but you think buying and holding is gaining and that's not true. You actually have to sell something to realize a profit. You don't trade anything, get it through your head silly kid.
Yea but I'll sell when I feel like it and i'll let you guys know when. I make the majority of my trades public. But by your logic bill gates is worth only a few billion cause he has 45 billion in unsold stock.