Just so you know, I have seen traders make 5% per month selling naked options. To get to that return and higher, you need a prime broker that will allow that risk level. There are none left that will allow that type of tail risk anymore. My best guess after 2/20, the best you can average now is 18%per year.
C'mon! There's only like 3 interviews out there, do your homework. Hint, it's in the last, longest one. You can view it on Tasty Trade if you can't navigate through Google. Yeesh what BS.
So you are saying, it was possible in the past, but not anymore. Fair enough. Well, she did 27% last year so that is still way more than your 18% max....
You can make a quick 5% in less than 2 minutes betting sure thing horses to show. But you better be right nearly 100% of the time.
OK, I did find it but no, it isn't the last one (and that is why I asked for a link, but obviously, someone didn't do his homework). Her last video was in this February, just for your info... She is saying it in the 2012 video and I will link it here, because some of you are lazy: http://www.youtube.com/watch?v=BquDGE9KxZQ After the 41 minutes mark. OK, so she did make 53% in 2011, then what is the problem for you guys? She is obviously the best trader there is, eat your heart out VN!!!
I have 2 clients that did greater than 40% last year. They can't trade with that tail risk anymore. That might change......by summer. 1245
i hope i am not adding fuel to the fire. 2010 spy 10% ballpark.. someone doing similiar to karen pulled 20% 2011. spy flat he pulled 20 again 2012. spy 11%. he pulled 20 again 2013 spy 32.. he pulled 24 %. numbers are ballpark- but in the range. most important.. far OTM. and no black swan. but as the post by maverick75 somewhere says.. this is not sustainable.. one day black swan will hit. and karen and all her wannabes will be wiped from the face of the earth.. dont kid yourself. u cannot win in the long run. market will decimate tail end holders.. the more we have not seen a crash. the more likelyhood if this happening.
Sure, but just to be clear, what is YOUR definition of black swan? Because people are talking here like in the last 6 years there hasn't been any black swan sized events. 1. Out of the 40 largest % moves, 7 happened in 2008-09 and she survived it. http://en.wikipedia.org/wiki/List_of_largest_daily_changes_in_the_Dow_Jones_Industrial_Average 2. 2010 Flash Crash (second largest point swing), 9% intraday move, she survived it. http://en.wikipedia.org/wiki/2010_Flash_Crash 3. 2011 August, market moves up and down 5-6% daily, she loses only 4.5%.. So again, her approach has been tested, and now we know that up to 9-11% daily moves (2008 had 2 rallies, 10% and 11%) she is still staying in the States. The flash crash is specially important because it happened fast, and if she has time, she can adjust her position. Now you might say that 15+% move is the black swan (happened 3 times so far) and it could happen in a moment, instead of relative slowly during the whole day, but when that happens, we will worry about our canned food and ammo supply and not about our funds lost at her funds.... So maybe we should ask Sosnoff next time she is on the show, to ask her about the flash crash...Although even the flash crash had its warning, because 3% of the fall was from the morning and only 6% fell at the flash part...