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  #91  
Old 05-15-2018, 01:59 PM
snakeroberts snakeroberts is offline
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Originally Posted by yoyo View Post
sounds like they've traded one risk for another. is their entire retirement portfolio subject to your trading approach? do you trade your entire retirement portfolio with the same strategies? if not, why not?
He sounds like a Psychopath taking that much risk with his parents money. disinhibited and no remorse. Shame, Shame.
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  #92  
Old 05-15-2018, 02:38 PM
nonactuarialactuary nonactuarialactuary is offline
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He sounds like a Psychopath taking that much risk with his parents money. disinhibited and no remorse. Shame, Shame.
Bernie Madoff’s returns looked really good until they didn’t. Hopefully he’s willing to give his parents a spare bedroom in his house if/when the investments turn sour and he loses their life savings in the market.
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  #93  
Old 05-24-2018, 09:52 AM
MathGeek92 MathGeek92 is offline
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you all are cracking me up. I'm 57 and have been doing my trading for more than 20 years through boom and bust cycles. I've never lost material amounts of money. Comparing my active trading to Madoff stealing other peoples money in a Ponzi scheme is just absurd.

My parents are 83 and 85. I'm hanging up working to take care of them for medical reasons.

Best of luck trading/saving and planning for your future. Crap happens. prepare for the worst and hope for the best.
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  #94  
Old 08-14-2018, 09:13 AM
MathGeek92 MathGeek92 is offline
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Originally Posted by snakeroberts View Post
Looking at your trades it is extreme risk squared. MRO is highly variable, basically moves with oil (ive owned in past bought at 11 sold at 16) You will get burned its just a matter of when the Arabs do not cooperate with your guesses. What are you buying next 100% in PBR? chesapeak energy? insane.
You admit you bought it also (why?). Because it was a sweet value when oil was at 25 ish to 40. Oil will not stay that low. Too many countries depend on the revenue from it. Do the math and you will see its not all my portfolio. And MRO is a way better company than those companies you listed.

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Originally Posted by snakeroberts View Post
If your parents cannot live on 5 to 7% then they should be working as productive citizens or cutting expenses. If it were up to me I put huge short term taxes on this kind of thing.

Most seniors should be in safe dividend stocks or annuities
I never said they can't live on 5 to 7%. I never said I invest my parents cash in the same active strategies. I said i use my option writing strategy ( cash secured puts) on high quality names that i would buy for them if they dipped 10%. The Fed has destroyed retirees with their ZIRP. Inflation (especially those that affect retirees) has been low.

Whats a safe buy and hold dividend stock? GE? You would have said so 10 years ago. You can't spend capital appreciation reliably and make sure you have cash. Model it out. You're an actuary. Have you worked with a lifetime GMWB? Thats why insurance companies got burned. They underestimate volatility and draw down nature of the funds. It only takes one large correction for you to run out of cash.

You can out perform an annuity (presumably payout since you lacked specificity) easily. No liquidity in an annuity for when you get sick and have huge medical bills.

And what the F are you talking about. "No remorse". For what? For using my finance skills to take care of my parents. Because of what i've done for them over the past 15 years or so, they live very comfortably, have not wanted for anything (or if they did I bought it for them), have a nice cash nest egg for emergencies, and have preserved a large portion of their principal. When you get to be a senior and you don't have unlimited wealth, you need a strategy that places very little capital at risk. It's not like when your 80+ that you can rejoin the workforce. I wouldn't let them. I'd pay for what they need if it came to that.
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