Yesterday, a subscriber came up to me and ask:
"Why do I not use options to bet on earnings? The potential payout is huge"
I did - and I learned my lesson the hard way
Betting on earnings with options is a feast or famine activity.
While you may make some large gains, you fall into the gambler fallacy where you just need to get the earnings right to make it big
I've investing / traded earnings for blue-chip many times and realized - earnings is mostly 50/50
You don't need to be right on earnings to make money.
In fact, our monthly passive income strategy avoids all earnings as much as possible.
We want the monthly passive income strategy to have a 90-95% success rate. And this means we want to avoid low-certainty events like earnings .
If you want to retire and generate predictable income, start with a 90-95% success rate trade - then figure out how much return you can get.
Cheers,
Eric
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Eric Seto
Chartered Professional Accountant (CPA)
Chartered Investment Manager (CIM)
In December, my goal is to help 20 people without a financial background to master investing through Investing Accelerator.
Investing Accelerator is designed for people without a financial background.
The goal is to achieve 30% return per year.
In the first phase, you will learn long term investing and targeting 30% for tax free compound growth. This will help accelerate your overall wealth.
In the second phase, you will learn monthly passive income to provide a more predictable cash flow (target 30% per year) which can cover your expenses. This will help accelerate your retirement goals.
If you are interested, then let's hop on a call to see if you can benefit from the strategies in Investing Accelerator and get 30% per year. During the call, we will map out exactly how you can achieve 30%, what you are lacking, how you can improve. If you have any questions about the program, you can ask during the call as well.
Remember to go to the Classroom tab for additional investing resources.
(If you want to be a shareholder of Investing Accelerator and get 20.5% dividend (monthly distribution), $200K investment would be $40K in dividends per year. you watch the investor presentation here: https://bit.ly/3CKVp0R)