Expectations so Out of Whack so as to be Considered Delusional (At Best)

Posted on Oct 26 2016 - 11:53am by Sharpe Trade

Sharpe Trade, LLC offers many free and premium educational materials for new and aspiring traders.

So we are somewhat interested in what we could refer to as “The General State of Investing and Trading Education“.  Which leads us to peruse the ol’ interwebs for materials made available to new traders from other websites.

Which in most cases, causes us to start laughing.

Out loud.

We find crazy, pie-in-the-sky delusional garbage designed to sell you information that isn’t worth the dedicated website hosting on which it’s presented.  Claims that you can (and I’m not kidding, I just recently saw a case example of this by someone claiming to be a professional) quit your 9 to 5 job (Let’s call that, what?  A $95,000 a year income for the sake of example?) and start trading for a living.  And while trading for a living, they are going to show you life-style material items; such as jet-planes, super-cars and mansions on private islands all worth well over $200,000,000.00.

So let’s think this through logically.  With some semblance of sanity.

Trading for a living, can earn you great money.


If you have a 9 to 5 job that you want to quit, and you actually leave that job, that means you are going to have to replace that $95,000.00 income.  That’s just to break even, with what you were making prior to your ‘quitting’ to trade for a living.  And I can tell you I have never met a trader that begins trading and makes $95,000.00 every year, from the time they begin into perpetuity.  I would lay good odds that I have never witnessed this happening is … gee … I don’t know … because it’s never happened.  It takes some time to build up to that level.  And you need a base of assets with which to take that $95,000.0 a year.  In other words, you need a base of $1,000,000.00 to $2,000,000.00 in assets, in order to pull out that $95,000.00 income out of the markets.  We have discussed this concept many, many times in past entries.  Without that base … you won’t be pulling in the $95,000.00 a year income in order to quit your 9 to 5 job.

Let me let you in on a little secret.

A million dollars just isn’t what it used to be.

A little simple mathematics would demonstrate, that due to ongoing “Yield Starvation” pushing the Fixed Income ‘needle’ past redline; you need $800,000 in assets, with which to pull a $36,000 a year income.

But for the sake of example, let’s say you grind up to $2,000,000 in assets (and within our short-term trading course supplementary library, we describe a process to grind your first $100,000.00), and you manage to pull in $80,000.00 a year from those assets.

Well, I hate to explain this to the so-called “Trading Educators” out there, but even with $2,000,000 in assets …

You are still $198,000,000 shy of buying a couple of said Jet planes, super-cars and mansions !!!

Call me silly, but I think $2,000,000 in assets, pulling in a nice respectable income is not a bad position in which to find yourself.  All we’re saying, is that you should avoid the Crazy, pie-in-the sky delusional garbage … designed to sell you information that isn’t worth the dedicated website hosting on which it’s presented …

2 Comments so far. Feel free to join this conversation.

  1. Larry October 27, 2016 at 12:22 pm - Reply

    What they are selling is an education. The education you receive may help you manager your portfolio. If what they say was true they would not be selling education. They would be living the dream. But alas the only way to live their dream is to sell you one.

    I heard a Multi Level Marketer sorry once about a guy that wanted a refund for the product they were selling. They told him your not suppose to drink it, your suppose to sell it.

    I’ll admit I have fallen victim to these flashy sales videos before. Don’t drink the Koolaid sell it! 😎

  2. mappy October 27, 2016 at 2:33 pm - Reply

    We’ll……I’m outta my uwti position. I have learned that if I go out to lunch, put a stop loss in place! haha!

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