If you had ten million dollars...

Discussion in 'Politics' started by garfangle, Nov 9, 2003.

  1. If you had ten million dollars that you were given to trade (for that purpose alone) would you be more cautious with it, less cautious with it, or be the same in regards to how you trade now? Aside from the consequences of having to put the money to "work" would your trading outlook change given an increase in money you had to trade with? And why would this be so.

    Another caveat, assume the outcome of trading the money was irrelevant to your future income.

  2. Ebo


    What is the purpose of your question?
  3. To know whether the pressure of money changes people. Why so many successful traders who can manage their own account often fail when given large sums of money.
  4. Garf' because it is the weekend and the board is somewhat quiet, we can have fun with this today, but later this evening it is going to Chit Chat.

    I woouldn't trade the same only in the sense that I wouldn't look only to stocks. Diversification is still rule number one, so I'd have a much more diversifed portfolio from an instrument class, ie., bonds, equities, commodities.
  5. I never said that one could only hold equities. Just that you couldn't park the money into a CD.
  6. I didn't say you said one could only hold stocks. I only hold stocks. So I wouldn't only hold stocks.
  7. If I had 10 million dollars, I'd probably be a lot less nervous. That way, if I lost 4 points on one ES contract, I would then buy or sell 10,000 ES contracts just to cause a 15 point spike and teach the market not to mess with my money anymore. Then I'd call Globex and tell them one of my "associates" accidently hit too many 0's and have them bust the trade.

    Then I'd log on to ET that night with some popcorn and watch the fun begin.

    It wouldn't be about the money for me -- it would be those anger management issues I had with the market when I would take a trade and always wind up giving my money to someone else on ET.
  8. Pabst


    I'd be a distant memory on ET.
  9. My guess is that no one really knows. Similar to asking, what would you do if you won a lottery? "Wow, if I had 10 million, I'd, like, you know, share it with my friends, and, you know, invest some, and, travel everywhere, and buy a Hummer...".....

    You've all seen and heard those type responses....and then when they win...."...unlisted phone number....hire attorneys...hide out...."....."It's Mine, ALL MINE" yahaha!!

    As far a putting together some money to simply trade with.....most people seem to think that they deserve something just because they were able to talk people into investing with them. I think it's pretty funny....."oh, hi...here's $10 Million, be sure to take 2% for yourself first, and then if we make money, be sure to keep 20% more"....But, some people have more money than brains....for a while anyway.....

    Now it someone puts up their own money, and risks it first and foremost, then others might be more inclined to backup this person....and share in the profits. This makes sense in any business.

    Whenever Bob and I are given the latest "you gotta invest in this" prospectus, new venture, private placement, or whatever.. The very first thing we look at is whether or not the people running this "venture" (in progress) are expecting to pay themselves before becoming profitable. Some are shocked when we say....first off, eliminate all salaries to yourselves, and then we'll talk.

    Look at it from our side....why would we fund someone's project, their "dream" their "passion" their "sure thing" and then pay them to do it? Oh sure, here's a $Mil, take a couple hundred grand in salary while you're spending our money to see if your "dream" will hold water.

    (Better approach...) "I have a great idea, business, venture, trading plan, etc." and I am so sure that it will work that I am putting up all my money, leaving only enough to live on, and will not take a penny in profits until all investor's get theri initial capital back....and then we split the profits accordingly." Trust me, you'll go a lot further with that approach.


  10. Hilarious!
    #10     Nov 9, 2003