Engineer Cashes Out 401k; Grows $17k to $300k in 1 Year | Rising Star
Vložit
- čas přidán 12. 06. 2024
- 🏦 Get Up to $3,000* Cash When you Fund Your tastytrade Account: info.tastytrade.com/tasty-off...
Earn up to $3000 terms and conditions apply. Void where prohibited. See info.tastytrade.com/tasty-offer for full details. Offer expires 9/30/23
tastylive Inc. and tastytrade Inc are separate but affiliated companies.
📝 Description
Meet Matt! A trader who took $17,000 in 2022 and saw 1,666% returns. To understand how he was able to do it, and the story behind his trading journey, be sure to tune into this very special episode of Rising Star.
00:00 $17k to $300k
00:40 Matt Discovers Trading
03:54 Opens $10,000 Account in 2020
10:32 Cashes out 401k
12:59 Strategies for $17,000 to $300,000
17:16 Strategy for Rolling
18:33 Able to keep profits?
19:41 Trading While Working Full Time, Repeatability
🐕 Top Dogs $100k Portfolio Strategy: • Best and Worst $100k+ ...
======== tastylive.com ========
tastylive is a real financial network, producing hours of live programming every day. Follow along as our experts navigate the markets, provide actionable trading insights, and teach you how to trade. With over 120 original segments, and over 25 personalities, we’ll help you take your trading to the next level, whether you are new to trading or a seasoned veteran.
Subscribe to our Second Channel: @tastylivetrending
Check out more options and trading videos at www.tastylive.com!
Follow us on Twitter: tastyliveshow
Check out our Instagram: tastyliveshow
He sells SPX credit spreads to collect $1K with $4K in risk. He obviously takes big risks. This is how he grew his account. Even with 80% POP, anything can happen, and it often does with today's conditions. I've had 9-10 delta spreads go completely against me.
He grew his account by taking positions.
He also said that you take positions with market awareness, not just taking any position just because. So that plus small position size in regard to his total capital is what makes it work for him. So on your point, of course not just any 10-20 delta spreads are just gonna work, if it is that easy, everyone can do it
@@nw6091 LOL I take positions constantly and can't grow my account nearly as much. I don't risk a lot or do earnings anymore (those were some of my biggest losers). I realize some successes now from mostly ETF options trades.
@@lewisdaddy I'm sure there's a lot more to his success. He may even be putting in a good amount of money every week/month.
It's almost impossible to lose your max lost with credit spreads. If your short strike is breached you can do an iron butterfly , that reduce your max lost significantly. If it continue moving against you, you can invert the position, and your max lost at that point is almost zero.
For that reason it's better to trade futures / index if you are gonna trade spy ETF, because the futures are European style and not American style. Your deep in the money short options are not in risk of being assigned before expiration.
Love tasty, but feel like it’s a bit ethically questionable to have people on who clearly used irresponsible risk management and a lot of luck to 20x an account. As others mentioned, these numbers are mathematically impossible with proper position sizing and risk according to Tasty’s own education.
When a new trader watches this, there’s definitely the implication of “you can do this too, and you should try to!” When you probably can’t, and you shouldn’t.
They are showing us the possibilities. This is good overall.
“ Fortune favors the Brave “
@@francoiso.5341 The possibility of risking blowing your account and getting lucky? Everyone knows that’s possible. But not with tasty mechanics.
Point is, this show should feature traders who used tasty risk management to grow their account. Not feast or famine directional traders.
I have great respect for Tom and especially Tony.
But yeah. These "rising stars" are all outliers. Ie your 3+ stdev tail risk folks! I get what you say. !
i did 400% on my account with short micro futures also.
Then I lost it all with short mnq, short FRC puts and a lean hogs naked short strangle that went south, a lot, lol
Spencer. I listen to this show because it is interesting to hear how someone was able to grow his account legitimately from five figures to 6 figures in 2022 and willing to take a lot of risk which he has done time and time again. Even Tom asked him “does he still have the $300K now? Would I personally use his strategy? No, but as you mentioned a new trader might. And who knows the new trader may be a “trust fund baby”who can afford to risk it and wants to know how someone was able to make $300,000 in a year.
13:00 his strategy trading a $17,000 margin account and growing it to $300K.
Congratulations to both of u... Appreciate this type of content. Please make more frequently
Love these videos!❤
That was a terrific interview and enjoy when traders share their strategies.......really helpful, this trader although not articulate, helped quite a bit in me studying an alternative direction...
Like many of these interviews, Tom asks him specifics on what he did in his big year (17k to 300k) and I was left asking "What did he do?" No specifics. Too many of these trader interviews are like that.
I think he mentioned he sold credit spreads. It was kind of clear tbh.
A very inspiring interview!
As a soon-to-be retiree, keeping my 401k on track after a bumpy 2022 is a high goal. I've read about investors generating up to $250k ROI in this present sinking market; any suggestions for increasing my ROI before retirement would be greatly appreciated.
there are strategies that could be put in place for solid gains regardless of economy or market condition, but such executions are usually carried out by investment experts or advisors with experience
A lot of folks downplay the role of advisors until being burnt by their own emotions. I remember couple summers back, after my lengthy divorce, I needed a good boost to help my business stay afloat, hence I researched for licensed advisors and came across someone of utmost qualifications. She's helped grow my reserve notwithstanding inflation, from $275k to $850k.
Please can you leave the info of your investment advisor here? I’m in dire need for one.
The decision on when to pick an Adviser is a very personal one. I take guidance from ‘Natalie Lynn Fisk‘ to meet my growth goals and avoid mistakes, she's well-qualified and her page can be easily found on the net.
Thank you for the lead. I searched her up, and I have sent her an email. I hope she gets back to me soon.
Good interview
These guys need to show screenshots of their portfolio and walk us through the thought process of their trades and how they reacted at each time point. Or it needs to be reconstructed from their 1099 or brokerage records. Otherwise any guy can sit in a chair and talk about their wins.
You can backtest for yourself and see if it works!
You sound like you need to be spoonfed.
Inspiring. It is lonely being a trader. You have to so that you can listen to yourself.
Love the videos I wanna move to Chicago and work with you guys!
Bro, my name is Mike Affholter. Lol had to have a double take on your name. Very close. 😂
@@mixxndj that's awesome though.
Nice
So what was the repeatable strategy here? Selling Call Spreads and Rolling out?
17:47 This advice from Tom to not add risk to an already losing trade has changed the way I trade for the better (I don't trade options, but I'm a daily Equity Index Futures Trader)
Got to be careful with this headline, this is an extreme outlier and highly unlikely to be repeatable. I appreciate the content though, I'll keep pushing with my own tasty strategies 🎉
"... an extreme outlier...".
Lol. My exact sentiments!
+3 stddev / tail risk territory! 💀💀💀
so this guy was basically blowing up his account sustaining massive drawdowns hoping and praying everything. And then finally he got lucky. Not a real strategy
What’s the link to the book please?
For every one of these success stories there’s a hundred other stories of dudes who ended up getting margin called and ens up broke. Too much risk for me but I won’t judge those who go this route (as long as they understand the risk).
This particular rising star doesnt seem to really know how he got there himself. This is a stark contrast to the guy they had on a few days ago
Agreed. Lol
What the book they talked about I missed the title? Julia authored it.?
Tasty, can you post a link to the Top Dog portfolio he’s talking about? It doesnt come up in search. Thx
Here ya go! czcams.com/video/whDUysN2XYc/video.html
@@tastyliveshow great, thank you 💪🏽
Please bring back “You a Shining Star” song 😊😊😊as the intro.
Yeah. I thought it was only me. I always do a mini dance when it comes up
Thank you, great video. Trying to be a full-time trader. Tom, I remember you back in the early 2000's when I got my education from investools in Salt Lake City. Last year I made a discission to be a full-time trader. Doing spread trades and doing well. Have to put together some more capital so I can make it count. Love you channel and going to move our corporate account over to tasty.
@ 14.05 , he rolls out in time the tested side and he expands the width of spread , by rolling up or down the long leg , collecting a credit ,wishing for a price reversion.
im wachting all video to learn and start doing option trading, maybe one day i will be in one of your video mister Tom.
We understand the mechanics of rolling up or down the untested side , or even inverting the positions if needs to !
Yet, @ 6.15 he said you can roll out the long side with these ' left over positions' citing the anatomy of a trade segment !
Can someone share with us , the long side rolled ? Of the tested or the untested one ?
Thank you tasty
Widening the long strikes out in time as his spreads got near the money when he bank rolled his entire strategy on a rising market just so he could still pull a credit sounds counter productive. Sounds like he does not know how to cut a loss. He’s a lucky guy it worked out. It will not be repeatable considering he technically didn’t manage it properly, its fortunate the market took care of him.
Would love if Tasty could offer a service to connect new traders to mentors. All the Rising Stars would make great mentors
Not all. I wouldnt take advice from this guy personally. I feel like this was more luck than persistence.
They do. They do everything live all day.
You can email any of them and they will email you back. You can also call into the shows.
They also have 1000s of hours of free video.
If you don’t understand the fundamentals. It’s pointless in having a mentor.
No need for a mentor. Just sell 5 delta SPX calls and puts.
@@i486DX66 lol and then get banged by jpow
When i heard he was rolling the tested wings back in time as well as widening the wings, I spit out my coffee and had a good ol' belly laugh 😂
whenever you hear someone bragging doing this within a single year - know that they don't know basic math and statistics, because there is no "organic" growth in a year, by definition, to prove that his strategy didn't just fit a certain year, you have to do this for 5 years, but yea in this business its all about grabbing titles and making money from the titles, not from the market.
your next rising star will be there because they do the opposite of me lol
Did he say he doesn’t believe in mean reversion to price? Their whole thing is shorting vega when volatility’s high relative to its mean. IV is pretty much an inversion of price. Even though they talk about beta weighted delta neutrality, they still are short Vega which is indirectly correlated to the underlying price. So they do mean reversion of price.
Great info,, does being short mean ,selling a put, thanks
Short on the options means selling the options. Short on the underlying means buying puts or selling calls.
How do you do that with 17 K and call spreads in 1 year ? I don't get it.
He looks like Tim Sykes Jr
He took really high risk trades and made a killing. Great interview
A true wallstreetbets "analyst" 😂
@@r.alexander9075 his trade all is in YOLO. Wendy is the place he belongs to
Is it me or all these Rising Star people are very vague when are asked how exactly they made those huge returns ? Who jumps like 2 years of trades and when asked about his strategy he starts talking about trading futures ? Something is off. I feel like either they got really lucky with 2-3 trades and made the bulk of their money and don't want to share that because obviously it is not reproducible with vertical spreads.
Exactly. These guys should show a presentation with their 1099 or logged into their brokerage and go over the entire timeline of their biggest wins and losses.
What books are they referring to ?
1) Options as a Strategic Investment by Lawrence G. McMillan
2) Option Volatility and Pricing: Advanced Trading Strategies and Techniques,
by Sheldon Natenberg
3) The Unlucky Investor's Guide to Options Trading by Julia Spina
Options volatility & pricing, McMillans Options as strategic (both of which are informative but a waste of time tbh) & Julia Spina’s Unlucky investors book which is what they recommended. I don’t really like her book either. You get a better understanding watching their videos & focusing on 1-2 at a time then building. But the books are good to have in the shelf. There is an unauthorized Tastytrade book that is strictly the strategies, when to use them, when to roll, etc. Like a desktop quick reference. Hands on beats books every time
@ Jay can you give me a practical options book i can start out. Been on stocks a few years buying n selling stocks but never been in options and it scares the shit on me. Any start up practical options guide from your experience be helpful. Just dont want to start on wrong path. Thanks.
@@jaysteve4442 Is that the pizza book(s) you're refering?
@@jmj48 all of the beginner options books are really the same. But they cover everything. You don’t need everything starting out. It hinders you to look at everything. I would just read about puts and calls, Delta, and IV. Once you feel decent on those, move on to a spreads. It’s just buying 2 puts or 2 calls. From there you can move on to almost any option strategy because they’re built off of single legs (puts & calls) & double legged (spreads). All of the crazy names are just meant to make it sound difficult. It’s not. & you don’t even need to know all that shit. Once you get the basics down you’ll find that you like trading a few different strategies & that’s all you need. I feel you though. It seems overwhelming in the beginning. I have literally bought every book, listened to every podcast, every audiobook, signed up for every service…& by far the #1 method I learned from was just placing trades & watching them. I wasted 2 years trying to master everything while sucking at mostly everything. If you trade live $$ just keep your risk super small, or paper trade them on TOS. The books might confuse you. Get the basics down & maybe buy Julia’s book or something later if you like Tasty’s methodology (selling premium) but again it’s not necessary. Dr. Jim has some great series on Tasty site. You could watch those on the areas I mentioned above & be way ahead vs reading a book. I still go back & watch his managing trades videos all of the time. Option Alpha has good videos too. Just focus on one area at a time. Don’t move forward until you feel relatively competent. You’ll be competently trading basic options in a few weeks. Maybe not making $$ but you will understand what is going on. You can get paid nicely off of being good at 1-2 strategies. Just focus on that & build. Good luck bro
6:44
@6.15 rolling out the long leg of the tested spread will be very expensive , because now the delta of that long is higher ,more $ .
Is that not the logic , higher delta higher risk higher premium!?
So he might have meant rolling out the long side of the untested side as Karen did when she would sell iron condors !
Please someone help verify any fault in my thinking
Take everything with a grain of salt. Or learn the hard way like me. This guy did well, but it’s not sustainable and he will lose it if he doesn’t use solid principles and risk management. It’s that simple. Follow my journey to 100k from 2k if interested
Sounds like if the TSLA calls stayed in the money (he got ‘scared’ ) it would’ve wiped him out. Bit of luck there then. Wonder what the Sharpes ratio is on his account.
If I were him, I would take out 200k and put it into risk free
let's interview some traders that failed and still fail
Taking a lot of risk that isn't discussed here
so was the 401k cashout only $17k
Too short we need longer videos
I have AD, keep them short and sweet.
You have more chances winning the lottery than doing this ultra leveraged strategy works.
We appreciate the eye open return, yet is not repetible..
risk management was terrible, terrible, not a good interview..
He got lucky.. no pattern no methodology..cash in and size down mate
17Xing your money in a year is "repeatable scale"???
What I don't understand is he said "he rolled out the long wing" (to next expiration) "to collect more credit".
How does selling front month long option collect credit by buying a future month long wing. I think he mentions it at 06:20.
Not knocking anything but I don't quite get that.. buying any longer dated option costs you more premium. Maybe I'm being thick?
I'm also British so I'm being very polite in saying I smell BS !
Only if it helps, and just my interpretation of what he says, I think he says sometimes on the tested side of the iron condor he rolls the long leg of the wing (sells the long one that became more expensive and buys a cheaper one at a higher strike (for calls, lower for puts) that gives you some credit. But as many are noting in the comments, that also increases your risk. This, let's call it "widening roll" helps only if the move doesn't continue going against you or if it reverses a bit. Many of the defensive moves rolling the profitable wing closer to the tested wing does the same / similar thing. It gives you more credit, it moves the breakeven in your favor but it increases the overall risk. To me all of these defensive moves are a bit like Martingaling or like doubling down. It's possible that statistically speaking they give you some advantage on the long run if we have to take what tt are constantly saying.
Giving credit where credit is due, Tom, after he himself, asked to understand if he is doing widening of the wing / spread, he did emphasized that he doesn't like that.
@@kiwihello2 thanks very much for your comprehensive responses.
I started to think that adds to the risk by widening that long wing on the iron condor and then you mentioned that also!
Yep totally understand now.
I also re-watched the segment and indeed he elaborates on it and as you also mention Tom questions it.
That style is not for me I must confess!!
But... Each to their own :-)
So he got lucky.
This just isn't possible you really shouldn't be spreading lies like this just to get people to use your platform, it's just not on...
I watch some of these videos and it seems like these people are lying. As someone who has watched your videos for years, almost 10 years now and is incredibly familiar with your methods I can say there is a 0% chance that this guy made 300k with such a small principle tasty trading. It's like mathematically impossible.
This is equivalent to selling 5 0 DTE straddles in the SPY every day and making 100% profit of all of them. This guy was either getting massively directional, or taking an enormous amount of risk in single products and got extraordinarily lucky.
This guy does not talk like someone who is confident in their own strategies.
He said he bought puts in 30 year bonds, I thought? Maybe I misunderstood.
😂 ofcourse all markets is fake
I disagree. Just because you’re not successful does t mean others aren’t. Compounding works. Selling naked works. Anything works when done using your brain & risk management…But why do you keep watching these videos for years if they’re fake? Seems like a huge waste of time.
@@jaysteve4442 you successful? 🤣make video
@@mygoalcrash8077lol. What?? I trade. I make some $$, I lose some $$. But yes I’m relatively successful. I don’t care what u broke trolls online think. I’m not making a f’n video 🤣🤣🤣🤣 If you stop hating on those who are winning, focus on your own process & your own p&l…you will be successful. No magic formula little fella
Why do these traders show up for an interview without some notes? Painful to watch at some points... With just a little effort, this could be so much more awesome. Up to Tom to prepare these folks before filming....
this is really ridicolous. the idea to bring a person on who probably failed for years prior only to now succeed is what should be mentioned. the dollar value doesnt matter.. that should never be discussed IMO
Repeatable? So winning the lottery twice is possible, but it is not very doable.
Could’ve also blew up his account. This is not for most people.
Dumb money buys options and smart money sells them lol
Those strategies are a recipe for disaster... Interview the guy again in 5 years time 😂
my losses probably went into this guys account
Nobody to listen to. Too much risk, trading on hope.
is he broke yet ?
I will forever be indebted to you you've changed my whole life contiune to preach about your name for the world to hear you've saved me from a huge financial debt with just little investment thanks so much Mrs Pamela Willett
Wow, amazing to see others trading with Ms. Pamela Willett, I am currently on my 5th trade with her and my portfolio has grown tremendously.
l also invest with mrs Pamela Willett, she charges a 20% commission on the profit made after each trading session, which is fair compared to the effort she put in to make huge profits.
You can communicate with her on TELEGRAMS with the user below
INVESTWITHWILLEETT💯
I have traded with many individuals but I have never met anyone as good as Mrs. Pamela Willett , just by applying her strategies I now trade independently. she is the best i would advise any investment newbie to trade with her
0:40 Trend/technical analysis
4:55 $10k account in 2020
10:20 Growth to $30k+
13:00 Growth to $300k (strategy)
19:30 Day job
Oh... all the rising stars' stories happened in a specific period of FY Yr. LOLOLOLLL NO BIG F DEAL.
Just SHOW ME THE MOST UPDATED CURRENT MARKET GAMBLER'S JOURNEY in FY 23, then That would be counted....
I would never never trade again. It is not worth it. I hate to admit. Buffet is right. If you are not willing to hold your position for 10 years do not even bother trading that stock for 10 seconds.
Buffet was smart in some areas, but he's dead wrong in what he says....I know investors to how have held positions in good companies for 10 years plus and the investments are either less than they were initially or haven't really moved much..... Plus, what happens if the dollar suddenly collapses? then what are all of those investors going to do? People who hate on trading usually just suck at it, and they just haven't studied hard enough and put in the hundreds or even thousands of hours of screen-time that's required to get really good.
Selling naked options and futures with a 30K account is degenerate gambling. Case in point of another degenerate gambler who got lucky.
Hope he’s not the new Karen the Supertrader (she was a fraud) 😉
This guy is all over the place. Didn't learn one thing. He spoke in circles just like the other guy they had on. He lost half his money how? Explain so someone can learn.
No, he lost "50% of 50%"
These strategies are fake
Shame on tasty for advocating dishonest and unrealistic returns. It's been proven time and again that 99.8% traders lose money. The only way to profit long term is to DCA into the broad market ETF such as SPY or VOO
They aren't advocating this kind of risk management but having a different perspective on. They specifically caution against this kind of risk in the majority of thier content.
Note true! I constantly trade and make money!
The only way? Don't think so, my tasty account does multiples of spy cagr and I'm fairly conservative. Dream big
Obviously you have no idea about what is option trading.
Lol, cute you don't know what you are talking about.
@tastylive how could I get in touch with Tom? Please reply.☺️
He doesnt want to talk you.
“Working and growing your account from 17k to 300k is very doable” @ 20:26 😂😂
EDIT: @BPMASegmentTraining pointed out this trader was most likely referring to strategy and mechanics. If that is the case then I agree that it is doable and repeatable... Just not growing 17k to 300k..
Well, it is doable….over the course of years 😂 not 1 year like this dude did
@@Timocraat Hrmm... if that is the case then I made a mistake and assumed more and furthermore I would agree. It is very doable and repeatable