Once again, I get a message on Instagram about some trader trying to convince me to join his course. It drives me nuts because half of these people or bots don’t understand how investing works, or they don’t have a deep understanding and respect for the art of investing. They also make very bold claims in regards to returns they generate. I just want to share the exchange between myself and this person or bot, and follow up with more of my remarks on the matter below.
IG Trader/Bot: “Hey bro.”
Me: “What can I do for you?”
IG Trader/Bot: “I’m Jack from Florida a Trader and I’m amazingly good at it. You can check my IG to see proof. I have an account management proposal for you (copy trading). It’s a platform that will empower you and let you EARN income even while you’re BUSY.
I can put you through a Trade to make a ROI of 160% Bi-weekly.
What do you say?”
Me: “No thanks.
I decided to share my frustrations with some of my followers via my Instagram story:
Me: “Tired of bots and people messaging me about this stuff. Most people have not done any thorough research and analysis, on how investing or trading works. They just try to gamble and think they can entice others. I barely know enough about finance & I spend 20hrs a week learning, writing and thinking about it. 160% ROI means your money would literally double in less than a year.
Compounding money at that rate for 30 years would put you at billionaire status and beyond. GTFOH! (Get the fuck out of here!). Let’s not forget the fees generated through short term selling of securities. Oh not to mention the taxable implications of realized gains or losses, as well as any taxes on qualified dividends. People get on my fucking nerves with their ignorance, and arrogance on investing and trading.
It’s not easy to generate good returns on invested capital at a consistent clip over time. Especially in an interest rate/inflationary environment like today. It’s not impossible to earn 160% on an investment or a trade. However….the the risk profile on that would probably be pretty substantial. Not to mention the discipline it would take, as well as the ability to execute nearly perfect trades, depending on the asset class. (God forbid it’s crypto 😫).
Whenever I begin assessing short term trading, I’ll see for myself if the hype is real. Tired of these heathens. I gotta get this run in and hit legs. Sick of the internet already. 😤 People start investing and think they’re Jim Simmons, Stanley Druckenmiller, Carl Icahn, or Warren Buffett. Sit your ass down and read.
Learn how some of it works before you go around “presenting investment opportunities” in which you have zero understanding. I say it almost every episode…when you invest in the stock market you become a business owner. You own a fractional piece of a publicly traded business. It’s far better to think like a business owner as opposed to a gambler. And no trading and investing are not mutually exclusive or synonymous, or the same.
Although the terms are often used interchangeably, for the sake of convenience. And that’s no knock to short term traders. I find trading interesting enough to have potential in terms of a speculative/separate strategy.”