Mr Brain
good idea for a thread; hope everyone stays on subject
first, a perspective
the last few months with the internut frenzy where a stock moves 10% in minutes or 30% to 500% in a day is like nothing ever seen before
and the over market for the last 4 years with 20-30%+ annual returns is also unique in market history
thise WILL change; just a matter of when
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you are 26; have a degree, Double Major: Computer Science & Math, which you say was a waste of time
my son is 24, graduated last year, honors, BA Economics/Math, BS Computer Science
he was hunted down like an animal by companies looking to hire him
started out at a salary at least twice the national average income, wears jeans to work, is on flex time, works a 4 day week during the summer, has unreal benefits
his 5 year education was not a waste of time
but being in the high tech field, he has no conception of what "reality" is in the work force by all traditional definitions
something like the lack of reality in this market
in Jan 1995 he got a modest trust fund when his grandmother died
a portion is sitting in INTC from a pre split cost of $15
some went into Magellen when it was in the dumps
and some into a S+P Index fund
I wonder how many full time daytraders have the same % returns over the last 5 years as he has enjoyed with NO time expended
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you say
>>>>You can ALWAYS go back or get another job, so it seems like its worth a try
well that is true in this low unemployment time, and in your field of Computer Science; but it is far from true for all; being "flippant" about a job can cost a price
and at 26 you have a good half century ahead of you that will require an income
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I posted this on another thread a while back; and think it is true
Jan 9, 1999>>>
everybody and their brother tries their hand at daytrading
30% lose all/most and quit
30% lose and keep on trying, throwing good money after bad
30% ebb and flow; make less than they would in a in a decent mutual fund; much less
5% do ok; maybe squeek out a living; less than a day job and an Index Fund for their funds, combined
5% do well, beat the market; make more than they would in a day job; have some fun and freedom; get a lot of grey hairs (those that they have not torn out)
1% take the fortune they made daytrading; put it an index fund and tax free muni's; kick back and enjoy life
and 80% lie about how they do
99% bitch about their broker and the market makers
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I am not trying to talk anyone out of trying their hand at this
maybe I'm just an old fashioned fuddy duddy who is over cautious
but I have dabbled in the market since your birth year give or take
so have a small concept of what this war is all about
I think there are two times in ones life when trying this makes sense
when you are young, can live on a shoestring; have little or no debt, few obligations, and no family depending on a weekly paycheck
or later in life, when you have set aside a resonable asset base and have most obligations behind you
I may post some more thoughts later; just wanted to toss out a few cents this morning
best of luck to all |
