<<....Like anyone, I would like to spend less time at the office and more time enjoying life. It makes sense to try these techniques using a small portion of a portfolio (maybe 10 - 15%) of your stake and you can survive the consequences. Keep your day job until you build enough equity to have some $'s to fall back on.....>>
If this is part of your plan, then you should be able to learn as you go. You can afford to make mistakes & the big thing is that you will know if you have what it takes to act when your vehicle takes it on the chin. That is because you will still have your job to fall back on. For those who have decided to take the plunge & have no job to fall back on, it only makes sense to have some dry powder & cash reservesJUST IN CASE CHIT HAPPENS! Even if you do, you better be prepared to take action to preserve the vehicle & generate income, or be prepared to join the work force once again.
The worst thing that can happen is to take the plunge with no prior battle scars. How does one know how they will react when they see their equity go into the crapper & it may even get worse before it gets better.
It is so easy to be seduced into thinking that this is the easy life only to find out that you stand frozen in the headlights of margin call after margin call, too afraid to take action, or worse, taking the wrong action.
FWIW, I am not an expert on this subject at all. I have learned the process from many fine folks right here on the porch. Voltaire has provided the blueprints to success. RR, Jim Willie, legs, she, Dealer, Rose, Clappy, polvie, Jill, Greg, Venkie, Scott, Uncle Frank, Dutch, drenko, Joel, KG4, & a host of others (no slight intended to those not mentioned) have added greatly to my understanding of how to make it work.
However, we need to decide, on our own, what path we will take & what level of risk we will assume. Folks on the porch can provide some great insight, but we alone must decide what course of action to take. We need to be aware that we aren't Voltaire, or bonus, or Jim Willie.
I'd say that you have taken a much safer approach to learning what type of investor you will turn out to be than most folks, including me. You have allowed yourself the ability to experiment with an approach that you think will work, yet have kept yourself safe form catastrophe if it turns out you aren't capable of acting decisively when it counts most.
Please feel free to contribute to the porch. We don't bite.... well not very hard ;-) You seem to have good common sense & a plan. That sounds like a winning combo to me.
Regards,
Tim |
