Join Early Retirement Today
Thread Tools Search this Thread Display Modes
Old 12-08-2008, 08:18 AM   #21
Thinks s/he gets paid by the post
FIRE'd@51's Avatar
Join Date: Aug 2006
Posts: 2,366
Originally Posted by . . . Yrs to Go View Post
My guess is the most likely result of this approach over the long run is you'll end up with a 10-15% smaller portfolio invested entirely in government bonds.
This is pretty much the way I see it, as well. If you spend 10-15% of your portfolio on wasting assets (far out-of-the-money options), the most likely result is that they will expire worthless. In addition option premiums are well above average historical levels. Also, you are coupling these bets with lower than historical government rates, a poor strategy IMO.

FIRE'd@51 is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 12-08-2008, 03:01 PM   #22
Moderator Emeritus
Nords's Avatar
Join Date: Dec 2002
Location: Oahu
Posts: 26,636
Originally Posted by riskadverse View Post
For those of you who would like to know more about Black Swan:
And if you remember what James Taylor used to look like, then you might want to avoid getting this new glimpse of the guy who used to claim that "Hey, Baby, I'm your handyman..."


The book written on, "The Military Guide to Financial Independence and Retirement", on sale now! For more info see "About Me" in my profile.
I don't spend much time here anymore, so please send me a PM. Thanks.
Nords is offline   Reply With Quote

Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off

Similar Threads
Thread Thread Starter Forum Replies Last Post
If Obama Weren't Black TromboneAl Other topics 174 02-18-2008 06:03 PM
Black Friday steve88 Other topics 84 11-29-2007 07:05 PM
the black swan greg FIRE and Money 36 09-14-2007 10:32 AM
Scott Burn's Swan Song? Telly FIRE and Money 26 10-05-2005 12:58 PM
Black Monday? wabmester FIRE and Money 12 05-13-2004 10:56 AM


All times are GMT -6. The time now is 02:52 PM.
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2018, vBulletin Solutions, Inc.