Apparently the LTCM guys have done the same thing over and over again. My understanding is that while Niederhoffer lost 100%, his investors ended up okay. While he was making money, he was returning all the gains back to them so they might have lost their "principal" they reaped massive coupons which made up for it.
I started with 26K in Oct. 2008. I have 850k now after paying 150k tax for the last two years. I have to pay about 200k tax this year for the profit I made this year so far. haha
I find this interesting. As a small retail trader, option indexes this year, can´t say I´ve made consistantly any money yet. Still dithering around trying things. One point though, if I do show a profit for the end of the year, how do I calculate the tax on option trading profit. I´ve read 30% to 40%, but never ever found a definitive number from anybody on the internet. Could you be so kind as to advise? Congratulations on doing something right though That is wonderful news.
Short-term gain is taxed as regular income. Long-term gain is fixed rate 15%. If you trade index options which can be treated as commodities, it should be 40% short term and 60% long term.
Don't start any type of fund to further shed blood and destroy other innocent traders' accounts. Those who tread on this path (personal trading and corporate hedge funds alike) walk towards perdition.
I bought lottery tickets consistently $50 a month for 6 years. I won 1.5 Mil last month. I would consider my % return track record quite good but I do not brag about it. Are there any well known lottery hedge fund globally?
Anyone know what happenned to this guy ???? Wondering how he weathered the summer storms and if he continued trading. Seems weird that comments just die off and no body asks this question.