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Retail trader doesn't believe in passive index funds, YOLOs life savings on Alibaba call options that tank, and blames Robinhood... Still doesn't believe in pas

by cl42 5y ago

Retail trader doesn't believe in passive index funds, YOLOs life savings on Alibaba call options that tank, and blames Robinhood... Still doesn't believe in passive index funds. This wasn't Robinhood's fault. You could do this with any brokerage. I hope the author gets help for his gambling addiction, because it sounds more like that than anything else.

detaro 5y ago
Could you do this with any brokerage, or would others tell you "no, not letting you do that"? E.g. if we accept the gambling comparison, in actual gambling we do regulate (admittedly to different degrees, and not necessarily successfully) what gambling providers can and can't do.
- cl42 5y ago
  You can definitely buy $400K worth of call options on other brokerages. Aside from the initial onboarding period + making sure you have the money (which he did), I don't think there's anything stopping you from doing this anywhere.
- geoduck14 5y ago
  I have a Merrill Lynch account. I signed up to trade options and they asked me to read and agree to a 80 pdf. I have this "thing" about reading things before I agree to them - so I read it. By the time I got to page 10, I had lost interest and moved on.
xupybd 5y ago
The guy goes straight from low interest savings in the bank to trading single stocks. Even after losing all in crypto he keeps going. Then buys call options on a Chinese company. Still doesn't Like index funds. I think this guy has trouble quantifying risk. I'm going feeling pretty smug about my index fund investments right about now... That said his income sounds incredible and he's young. He should land on his feet if he can stay away from the casino.
bell-cot 5y ago
A couple different friends of mine have family members who are bipolar, manic, or hypomanic. From their descriptions of the behavior they've had to deal with... this guy definitely needs to be evaluated by a professional.

by cl42 5y ago

detaro 5y ago

Could you do this with any brokerage, or would others tell you "no, not letting you do that"? E.g. if we accept the gambling comparison, in actual gambling we do regulate (admittedly to different degrees, and not necessarily successfully) what gambling providers can and can't do.

cl42 5y ago
You can definitely buy $400K worth of call options on other brokerages. Aside from the initial onboarding period + making sure you have the money (which he did), I don't think there's anything stopping you from doing this anywhere.
geoduck14 5y ago
I have a Merrill Lynch account. I signed up to trade options and they asked me to read and agree to a 80 pdf. I have this "thing" about reading things before I agree to them - so I read it. By the time I got to page 10, I had lost interest and moved on.

xupybd 5y ago

The guy goes straight from low interest savings in the bank to trading single stocks. Even after losing all in crypto he keeps going. Then buys call options on a Chinese company. Still doesn't Like index funds. I think this guy has trouble quantifying risk. I'm going feeling pretty smug about my index fund investments right about now... That said his income sounds incredible and he's young. He should land on his feet if he can stay away from the casino.

bell-cot 5y ago

A couple different friends of mine have family members who are bipolar, manic, or hypomanic. From their descriptions of the behavior they've had to deal with... this guy definitely needs to be evaluated by a professional.