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by actsasbuffoon 2998 days ago
How has the investing gone? Seems like 2017 was a good year, but 2018 has been a little more challenging.

I have a large sum of money coming in later this year, and I'm thinking about investing it. Passive investment with an index fund is generally a good long-term strategy, though I strongly suspect we're in for a recession in the near future. I'd hate to lose 20-40% of my investment within a few months of putting it into the market.

On the other hand, the amount of money I'll have on hand will be enough to do some things that most people can't. For instance, I'd have enough money to execute an option without trading on the margin on fairly large stocks, as opposed to selling the options contract, which seems to be the more common strategy. If I understand this correctly, that should enable me to be able to make small but reliable returns with relatively little risk.

Hopefully I didn't mangle the terminology too badly. I'm researching all of this stuff somewhat frantically, and I'm new to it. I'll have to spend a couple months doing paper trades before I'm comfortable with putting real money into options.

1 comments

You might want to research Swan Global Investments for a strategy to reduce risk using puts to hedge.
I'm reading through it now. This sounds like really good advice. Thanks for the great share!