Somehow, through the use of options, I have doubled my initial investment in 4 months. Yes, turning $2,000 into $4,000 isn’t a huge increase in terms of actual numbers but I’ll be hard pressed not to accept it and take my fiancee out for a nice evening on the town!
The tech sector has really been hitting its stride and as a result of not diversifying and playing dangerously, my results were amazing. However, I’ll be quick to point out things could have gone sour in a hurry. For now I’ll be locking in more profits as the coming options expiration week approaches. Some of the expiring calls may be rolled forward (rolling forward refers to taking an option that expires in month X, closing that option out, and purchasing a new one in a future month Y at the same strike) to November in anticipation of the earning season.
Wow, that is tremendous growth. My extremely conservative portfolio is only up about 7% in the same time period – thanks to a small stake in emerging markets and clean energy stocks. I regret selling some of the techs I had in my portfolio before they took off – oh well, win some lose some.
Comment by los perros — Wednesday, October 10, 2007 @ 3:35 pm
Yeah it’s huge, granted the amount I started with isn’t too big. Any time you can double your investment though something has to be said. I thought yesterday’s action was good. I didn’t realize today would be better. I’m fairly young so I figure I can take risks here and there. I have yet to start a real job so I’ll have quite a bit of time to make up what I lost if necessary.
Comment by Jorge — Wednesday, October 10, 2007 @ 3:50 pm
Hi Jorge
That’s a very impressive return!!! The key is to keep it consistent.. wishing you all the best!
Alan
http://www.makemesomemoney.co.uk
Comment by Alan Lee — Sunday, December 30, 2007 @ 6:28 pm