By Ed Emerson
“Turning the day’s news stories into valuable insights for aspiring and established entrepreneurs and investors.”
The New Rules of the Self-Employed Mortgage Game
Since the real estate recession ended in March 2009, and the new Mortgage Market Review (MMR) rules came into place in 2014, eliminating things like self-certified (liar’s loans) mortgages, it’s become a lot more difficult to get a mortgage when you’re self-employed.
But it’s not impossible; not by a long shot. You just need to know the new rules of the self-employed mortgage game; how to apply, what to do before you start, and who to approach. And that’s what I’m going to share with you today.
The ‘Puts’ & ‘Calls’ of Elite Day Trading
Binary options are a tool used by elite day traders to “bet” on the future direction (increasing or decreasing) of a stock, commodity or even a currency exchange rate without actually owning it. Essentially, once you’ve chosen your asset, you set a length of time for your trade to be open (expiry time) and choose either a “call” option if you’re betting the price will rise in a set period of time, or a “put” option if you believe the value will fall.
Elite day traders, within the confines of their chosen strategies, look for stocks with high volatility or “betas” – a multiplier of how fast a stock can rise or fall within a given market. The theory is that once you’ve identified a high beta stock, you try and find a price “top” or “bottom”, then get in fast, play the high trade volume rise or fall, and attempt to get your put or call option timing correct to make a profit.
Now, the most logical argument when it comes to investing is to do so over the long term with the help of a professional (not a bank manager, a lawyer, or your mate “Lucky” from the pub) where stock market investors can earn 7% or more on average per year. Also, the highly taxable earnings element and risk versus return makes day trading a money game that’s not-for-the-faint-of-heart.
And some would view the oft-asked question of “how much you can realistically make by day trading,” as “how long is a piece of string?”
But there are some determinations we can make about potential earnings based on a few verticals of information; those that might help you focus on how and where you start trading or perhaps change your focus.
That search for the answer starts with your own personal goals.
And If you want to find out more see HNW Magazine’s section on elite day trading strategies here.
Investing Secrets: Ignore “Celebrity Investment Experts”
According to Superforecasting author Philip Tetlock, who studied the predictions of almost 300 so-called financial experts over the last 30 years or so concluded that you’d be better off tossing a coin than taking their advice.
He found the worst performances belonged to “celebrity experts” who dominate TV spots during moments the media love to label as a “crisis” (mainly for the sake of ratings), like Brexit.
According to Alan Steel of Alan Steel Asset Management: “Sadly, these celebs have been running a marathon of forecasting incompetence since at least the time that I became an IFA over 40 years ago in 1973.
“But it doesn’t end there. Wounded egos in tow, these same experts then essentially “double down” on their initial bet by doing the economic equivalent of calling in the four horsemen of the apocalypse.
“By example, the expert consensus believed British voters would declare their unwavering majority support to “remain” in the EU. Then, as we all soon found, shock-horror followed after the Referendum decision on 23rd June. Realising their collective error they went into “face-saving mode”, calling the vote a sham and trying to convince investors that the consequence of Brexit – not only for the UK, but the entire world – was certain market collapse and an inevitable recession to follow.
And it would arrive upon us at the speed of economic hellfire and brimstone – in the spirit of the Olympics; faster than you could say “Usain Bolt.”
“They were wrong…on both counts…once again.”
Ed Emerson, Editor, HNW Magazine