If I were Rondo, I'd be filthy rich

[TitleMaster]

The reason for it is that the league, in itself, is a source of free marketing.

For example, right now, if I wanted to start a private investment fund, I'd be limited to a few friends/family who'd want to see many years of a profit/loss statement before they even commit to giving me $10K.

On the other hand, if I were in Rondo's shoes, I'd first of all, have my own first million to trade with. And in a short time, I could make some $400K-$500K, with it, spread the word to reporters, etc, and a lot of well heeled individuals would want to invest in Rondo Capital Partners. Then, when my max contract is up, I'll already be making some $10 million a year, w/o a Nike deal, and I could re-sign with the C's at veteran's minimum and bring more and more rings as I play alongside Durant, Stoudamire (off the bench), and others.

[BballTim]

The reason for it is that the league, in itself, is a source of free marketing.

For example, right now, if I wanted to start a private investment fund, I'd be limited to a few friends/family who'd want to see many years of a profit/loss statement before they even commit to giving me $10K.

On the other hand, if I were in Rondo's shoes, I'd first of all, have my own first million to trade with. And in a short time, I could make some $400K-$500K, with it, spread the word to reporters, etc, and a lot of well heeled individuals would want to invest in Rondo Capital Partners. Then, when my max contract is up, I'll already be making some $10 million a year, w/o a Nike deal, and I could re-sign with the C's at veteran's minimum and bring more and more rings as I play alongside Durant, Stoudamire (off the bench), and others.

  If you can take a million and quickly make $400k-$500k you don't need to worry about anything else. You'll be filthy rich just off of that skill.

[Roy Hobbs]

The reason for it is that the league, in itself, is a source of free marketing.

For example, right now, if I wanted to start a private investment fund, I'd be limited to a few friends/family who'd want to see many years of a profit/loss statement before they even commit to giving me $10K.

On the other hand, if I were in Rondo's shoes, I'd first of all, have my own first million to trade with. And in a short time, I could make some $400K-$500K, with it, spread the word to reporters, etc, and a lot of well heeled individuals would want to invest in Rondo Capital Partners. Then, when my max contract is up, I'll already be making some $10 million a year, w/o a Nike deal, and I could re-sign with the C's at veteran's minimum and bring more and more rings as I play alongside Durant, Stoudamire (off the bench), and others.

  If you can take a million and quickly make $400k-$500k you don't need to worry about anything else. You'll be filthy rich just off of that skill.

Probably so.  There are a lot of very intelligent and very rich people who have invested their money only to see it depreciate, rather than increase. 

[TitleMaster]

If you can take a million and quickly make $400k-$500k you don't need to worry about anything else. You'll be filthy rich just off of that skill.

Good S&P or currency futures traders can make that kind of mint esp when they control their own shop. It's generally because options and futures have built in leverage. Of course, it might take a year or two to get a handle on stops and reversals, etc, however, when you make Rondo's salary, a few $50K pullbacks don't scare too much.

[TitleMaster]

There are a lot of very intelligent and very rich people who have invested their money

Investors are generally not traders. They usually have bullish or bearish sentiments and tend to focus on their pet projects like biotech, insurance, or telecom. One of the reasons why even Warren Buffet lost a ton of money shorting the dollar back in '04 is that although the dollar had weak fundamentals, it had already been oversold by that time period. And for the most part, China and the Petrol states were still settling their accounts in dollar denominated sources. Futures, being leveraged, was not a good play for Warren. His best is when he focuses on buying beaten up companies and then working with their management to turn 'em around like he did with Coca-Cola back in '88.
 

[the_Bird]

You don't even know what you don't know....   

The fact that you make assumptions that 40% - 50% profits are easy tells me that you need to keep studying. 

Besides that, the BIG money, the people who actually have $$ to invest, aren't going to give a rats' ass about your playing for the Celtics. 

[MattG12]

You don't even know what you don't know....   

This reminded me of one of my favorite quotes...

"To know that we know what we know, and that we do not know what we do not know, that is true knowledge." - Confucius

I read that in Walden by Henry David Thoreau, he also liked that quote.

[BballTim]

If you can take a million and quickly make $400k-$500k you don't need to worry about anything else. You'll be filthy rich just off of that skill.

Good S&P or currency futures traders can make that kind of mint esp when they control their own shop. It's generally because options and futures have built in leverage. Of course, it might take a year or two to get a handle on stops and reversals, etc, however, when you make Rondo's salary, a few $50K pullbacks don't scare too much.

  If it was that easy there would be a lot of people whose fortunes dwarfed that of Bill Gates. Give one of them a million, wait 10-20 years and they'll turn it into a trillion, right?

[TitleMaster]

The fact that you make assumptions that 40% - 50% profits are easy tells me that you need to keep studying.

I make ~30% with my existing futures acct and I've done so consistently. And no, it's not easy but it is doable.

Here's an example... on late Tues, the Nasdaq hit ~2280, good time to go long on futures trade (with a tight stop loss at 2255 (if my bottom call was too soon), Wed, it rebounded, breaking 2310, a +30 pts move. With a futures contract, with 20:1 leverage on the Nasdaq contract, that's $30*20 or $600 against a position of $2280 or ~26% on a single trade of 24-30 hours. They'll be some 50 to 100 of these during the year, roughly ~52-60% are correct, the others results in hitting the stop loss.

The reason why I don't go higher is simply an issue of capitalization. With Rondo's existing pile of cash, this wouldn't be an issue.

At the same time, unlike LeBron, I don't worship Warren Buffet. Buffet gets to attend board meetings in private and thus, he's more knowledgeable than anyone else on beaten down companies.

[Fafnir]

Frankly I don't believe you Titlemaster, its not that simple to make such gains. Your risk is pretty high and you're going to be paying a lot into margin accounts when you're wrong.

As for the title thread, if I was Rondo I'd be flithy rich is absolutely true. Being paid 10,000,000 per year to play basketball is filthy.

[Fafnir]

Oh and if you can be 50% to 62% "right", you should immediately apply to be a trader and get paid for it. That'd put you into the top performers immediately, without the resources, tools, and support those places can give you.

[TitleMaster]

If it was that easy there would be a lot of people whose fortunes dwarfed that of Bill Gates.

Jesse Livermore was a poor guy from Acton who came pretty close back in the 1920s and he even profited, by shorting during the '29 crash. He was $120-150 million by his time frame or ~$2 billion in today's cash.

The reason why he couldn't reach let's say Gates' overall wealth was the size/volume of the trade, in itself. At a certain size, you become a market maker and no longer just a retail trader.

So even Rondo would probably peak out at a few hundred million per year.

[Fafnir]

If it was that easy there would be a lot of people whose fortunes dwarfed that of Bill Gates.

Jesse Livermore was a poor guy from Acton who came pretty close back in the 1920s and he even profited, by shorting during the '29 crash. He was $120-150 million by his time frame or ~$2 billion in today's cash.

The reason why he couldn't reach let's say Gates' overall wealth was the size/volume of the trade, in itself. At a certain size, you become a market maker and no longer just a retail trader.

So even Rondo would probably peak out at a few hundred million per year.

So one guy doing it proves that anyone can?

[TitleMaster]

Your risk is pretty high and you're going to be paying a lot into margin accounts when you're wrong.

You don't seem to understand, there's no such thing as a non-leveraged futures contract. It's the nature of the CME. One buys a contract of pork bellies in the 40,000 lbs, not in a package of bacon. And there are requirements of the margin when you first place an order with your broker and you never get into a position w/o an exit in place. When the market turns and it hits your exit, you get out. There's no riding around like a rodeo here.

[TitleMaster]

Oh and if you can be 50% to 62% "right", you should immediately apply to be a trader and get paid for it.

Well, once I get a two year auditable account, I can do just that.