POLL: What do you do with your excess daytrading profits?

Discussion in 'Trading' started by candletrader, May 10, 2003.

POLL: What do you do with your excess daytrading profits?

  1. 1) Attempt to spend it all regardless

    10 vote(s)
    66.7%

  2. 2) Transfer the excess into a bank account

    36 vote(s)
    240.0%

  3. 3) Put the excess into longer term stock market or derivative instruments

    17 vote(s)
    113.3%

  4. 4) Invest the excess into real estate, in order to generate rental income

    11 vote(s)
    73.3%

  5. 5) Plough the excess into a business unrelated to that of 3) or 4) above

    5 vote(s)
    33.3%

  6. 6) Accumulate the excess to help pay off the IRS at the end of the tax year

    8 vote(s)
    53.3%

  7. 7) Other

    16 vote(s)
    106.7%
  1. zf trader

    zf trader

    You would think that a group of traders would actually have some good ideas about what to do with excess cash. Instead I'll I have heard is to do the same dumb things that retail investor do-way over pay for yield. Real Estate is not a good investment when you think about paying $5000 commission to get exposure to interest rates.

    So if you so smart what to you think should be done? Use you trading skills to create synthetic bond at above the cost of capital returns. For example you could buy the qqqqs and when they get to your target sell the single stock future to create a short term bond like position. If you rates of return are higher than what you pay on a line of credit or mortgage then you can draw down those funds if your successful in using your margin to create a higher rate of return.
     
    #41     Nov 14, 2006
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