You’ve heard that quote before right?
Well there’s a reason for that. It’s because for the most part it’s true.
It’s 100% true when it comes to trading. The only exception is the rare individual who is currently a fund manager or used to be a fund manager that now teaches for fun.
All of the traders I work with, and 99% of the ones that I’ve considered raising funds for, don’t teach.
No disrespect to school teachers, that’s not who I’m talking about. In fact, hats off to them for working so hard for so little pay. I’m especially grateful because they’re teaching my 4 kids right now.
Ok, back to the rest of the teachers who wish they could trade.
Doing the simple math will prove my point.
First, here’s the bottom line; we all do what we do for the money. Teachers and fund managers alike. I’m no different. That’s why I’ve gone outside my private network of fund raisers and set up this website and these articles.
You’re the same too. Why do you go to work each day?
The trading gurus are the same as well, no matter what they say.
So, if over a one year period of time a teacher sells 200 courses at $1,000 each, that’s equal to $200,000. Subtract $100,000 for refunds, advertising, webmaster, etc. and you still get an above average income. You could even double that to $200,000 and it’s still nothing compared to what I’m about to show you.
Now, if that same trading guru could actually do what he says he could do, he could make so much more being a fund manager.
This is assuming he’s just an average fund manager and generating a modest 15% profit per year (my traders have consistently done much better), and that they’re in this for the long haul. Meaning that over time they raise 10 million to trade and charge the average 2/20 fees (2% management fee and 20% performance fee, FYI; my traders and I never charge a rip off management fee).
This would generate a 1.5 million profit per year, times 20% = $300,000 in performance fees.
Don’t forget to add on the management fee which is another $200,000, which equals half a million per year income with no overhead, no webmaster, no refunds, and no headache.
Also, don’t forget that most of these teaching guru’s claim to generate a lot more than 15% profit per year. So generating their supposed “150% per year return” would put about 5 million per year in their pocket.
Now, why would anyone who is “such an amazing trader” decide to teach for a few hundred thousand or even a million a year, when they could be trading and making the kind of money I’ve just described?
I know exactly why.
Because they can’t trade!
Ed Seykota, a very famous trader, said it best when asked the most important advice he could give to the average trader. His answer was this: “He should find a superior trader to do his trading for him, and then go find something he really loves to do”.
Trading is just a vehicle for people to get where they want to be. Ninety-nine percent of them don’t really want to learn a trading system, or be required to have the discipline of a Navy Seal or Green Beret in order to be successful in trading. They just want to quit their job or fatten up their retirement accounts.
If that’s you, call me today.
If that’s not you, then I publically challenge you to compare your trading results, or the results of any of your gurus who are trading real money (which is very few of them), to the results of my traders for the next 12 months. After 12 months you should be able to appreciate what Ed Seykota and I are saying. And yes, I will say “I told you so”, but after that I’ll be happy to help you out if we have a fit.
Lastly, you can always do both at the same time. Keep trading for now and fund an account with one of my traders at the same time.
In less than six months you’ll stop your own personal trading and never buy another trading guru’s product again.
Let me know.