Comments on: Lessons from Bernie Madoff

By: robo lowe

robo lowe — Thu, 26 Jan 2012 23:15:48 +0000

Hi:
Appreciate the reference to the Madoff article.As I had posted to you yesterday, I am extremely analytical and look to understand and access the risk factors of any option trade,through your service.Once I have this understanding any investment I would make would be solely my decision and my responsibility,without recourse, win or lose!

Thanks,

robo L.

By: Stephen

Stephen — Fri, 30 Dec 2011 03:29:49 +0000

Greed is alive and well, and as people try to acheive a “short cut” to riches there will always be greed. As a former stock broker,I trade options to acheive a 30 – 40% annualized return. Time is you friend, always remember that! That is compound interest, dividend reinvestment and SELLING options. Do research, NEVER stop learning.

By: Monty Stricker

Monty Stricker — Sat, 03 Dec 2011 20:29:59 +0000

People are greedy, and you have to understand who you are investing with. People sometimes make mistakes and let greed get in their way. Bernie was giving alot of people good returns, and word got around. Don’t feel sorrow for all the investors, because of greed. Monty

By: Rex Webster

Rex Webster — Sat, 27 Aug 2011 23:53:48 +0000

Bernie was a bad person

By: Genius

Genius — Wed, 18 May 2011 16:21:01 +0000

Jeff,

Thanks for your comments! I am glad to see you are doing well and learning. We had to remove the names of the two companies you mentioned. We used to leave the names in the blog but then other’s threatened to sue us so we decided not to have any names or links in the blog.

There is lot of material in the members section about how I choose the trades and what I look for in a stock. Mainly I look to trade the same handful of stocks, etfs, indexes and become familiar with their movements over time. I want large, liquid, stable ones that dont jump around too much. Most DOW stocks are good candidates. Defensive stocks like consumer staples are also good ones to play. And we are working on more information on how to trade butterflies and calendars like you asked for.

By: Jeff

Jeff — Tue, 17 May 2011 21:50:09 +0000

Your site is the best I have been affiliated with since embarking on the Options trading journey. I became interested in spread trading via a course from (name removed). The videos were very informative, but like every other course, it seemed to pay too little attention to adjusting/managing trades (that was mentioned quite a bit, but not at all explained thoroughly enough). Then, I saw (name removed) site, which emphasized weekly options. Again, (name removed) failed to address adjustments and management.

Your site really does a great job in the trade set-ups, and you do well at letting us know when to pull the plug. I have done quite well with your advice, and ventured into my own trades as well each month. Would you provide some additional insight to us members (I know you once posted to a non-member about not revealing your trade selections for free) about specifically how you choose trades, and also some more examples of possible adjustments for vertical and iron condor trades? My worry is that when you decide someday not to do this, what am I going to do without that golden knowledge? Thanks, Jeff Ps. Keep it up!!!!

By: William Lenard

William Lenard — Thu, 07 Oct 2010 22:16:52 +0000

The most telling lesson from the Madoff sleaze is that, when dealing with pecuniary assets you can trust no-one. There were ‘friends’, investments made on ‘religious affiliation, close acquaintances and I think, even close family members who were scammed.

By: Genius

Genius — Tue, 15 Jun 2010 22:03:22 +0000

You dont need to limit yourself to 1% of your capital in one trade. I am not day trading and the money management does not work the same way. With the high probabilities it is very easy to invest $100k in a handful of trades. In fact I would not trade more than 5 or 6 a month no matter how much money I had. With options you can protect and hedge yourself.

As I heard Buffet say at one of the meetings “You can put all your eggs in one basket. I would. Just make sure you know what you are investing in and watch the basket.”

By: will

will — Tue, 15 Jun 2010 21:35:18 +0000

I would imagine that you (OG) can only make 10% on the amount of money you actually put at risk during a month – and that’s what the 10% figure really means (there is a difference).

If you had a $100k size account and were willing to risk 1% per trade and you did 10 trades during the month, you would earn $1000 which is only 1% not 10%. The reason for this is it is hard to find enough good setups to get your money working for you in full when you’re only willing to risk 1% but that’s smart money management.

Just think of it. With 100k account size and using 1% risk, you would need to do 100 trades during the month to make 10% on your total account balance. I doubt that ever happens. But what probably happens is you use a higher risk % like 5 or maybe 10. I don’t think that’s good either.

By: Conrad

Conrad — Sat, 24 Apr 2010 03:57:30 +0000

You are correct. Just lost $220K in 2 supposedly conservative investment plans.
Needless to say, I now trade/invest for myself.
Ponzi is alive and well!