Professional Traders Giving AMAZING Advice!

so [Music] yeah great flight slept seven hours ready to rock and roll i feel good to be in holland [Music] very nice it's like i haven't broken stride so we got the uh first day of the conference tomorrow what happens in the evening [Music] decent size yeah it's great [Music] just getting to know a couple of the delegates around you know everyone's walking around it's very relaxed and we're going to be speaking in like uh about an hour's time thank you cheers so today it's all about working out how do i avoid making all the stupid mistakes that retail traders make and lose money professional traders hedge fund managers they have systematic processes realistic expectations realistic targets and they aim to get rich slowly so now we're starting to understand how this works again in conclusion what we've learned is how not to screw things up today tomorrow we're going to learn how to actually go and make money so it's a two-step process and it takes a while you know once you actually start implementing this stuff with real money it takes a good six to 12 months so you start picking it up with real money so guys thank you for having me in poland i hope to see you at the seminar tomorrow and i hope that you learned something very very useful today thank you very it's great i much the reception was fantastic on the crowd most people understood it so i think it went really well really good hello tony yeah yeah yeah where you from london oh cool we're about yeah so we just bumped into a couple of guys from london who flew over for the conference uh one of the guys has actually taken both of our online courses yeah he's very impressed with all the content the education basically a lot of the jigsaw pieces fit together and a lot of stuff for him clicked so yeah just having a chat with him going over the education again asking his questions and uh i think he's very happy with what we teach you know obviously doing conferences like this where you've got all different types of people you know from all different walks of life they're always asking questions really from their own perspective and my answer you know usually to a lot of these questions is well think about how the market operates you know the stock the currency pair the commodity the bond it doesn't care what your history is you're in the market to trade the assets and make money by trading the assets and you have to look at it very very objectively and it's re-educating people to think in that way oh cheers guys chinchin cheers cheers cheers amazing people amazing event so far and uh we've got to do it all again tomorrow a lot of the people here tonight at this dinner are owners of infrastructure of financial markets around europe we're meeting bankers brokers traders hedge fund managers everything you can imagine and they're all in politics and it's really surprising to see that poland's really coming up compared to the rest of europe and even compared to places like the uk it's really surprising i've been knocked for six at how amazingly well we've been looked after and how amazing well these guys are doing so yeah like really proud to be here really proud of these guys it's an amazing situation i have to leave yeah i've got to go yeah because i want to make sure we do a good performance tomorrow for sure yeah so have a nice sleep and then thank you very much speaks tomorrow cool amazing event really cool thank you very much good morning good to see you you're welcome yeah great so tom told me yesterday you were in the front row and i didn't see you are you coming to the super conference next week yeah of course perfect 4x drivers so fundamental drivers in forex which is something that retail are totally missing in their analysis because they're so focused on short-term trading and technical and price action trading and we're going to concentrate on what really matters which is the real way to take positions in forex welcome welcome back hope you enjoyed yesterday obviously a lot of stuff that got talked about yesterday is a little bit controversial sometimes it's not what people want to hear but the market is not about what you want to hear it's about making money so i don't care about anything else and you shouldn't care about anything else either and then we're going to actually look at the fundamental drivers and how you build an overall systematic process so it's driven by fundamentals and then technicals and price action always comes later okay all the noise that's coming to you every day in the market getting pumped through your email through your phone it's all and noise because this tells you everything you need to know whether there's risk and opportunity in an asset class so guys thank you again for coming hope it was worth it and uh if you fancy asking some questions outside or having a drink later on i'll be around thank you very much thank you hi how you yeah if you notice that the information is like biting you but unfortunately not every person notice the information you just must open your eyes and and understand and do do some work and then everything is possible and you can make millions out of this information i was surprised in a very good way for 3 45 4 o'clock in london so we'll probably be landing in london at about 3 15. so yeah i'll see you there cool man take it easy bye bye so very quickly uh we are going to go back inside yeah and do some business with nick yes mick yeah what's the story so makes an interesting situation so uh mick and i started speaking about six months ago uh mick's a very good hedge fund manager in eastern europe so based out of estonia one of the largest and fastest growing hedge funds in eastern europe and one of the best performing actually uh in the last two three years so he's a really talented guy one of the up and coming superstars in the market mick's actually organizing a conference uh in singapore later in the year in november so it's basically a wealth conference and he's getting involved uh in that type of business to bring major investors from around the world in front of normal people so mick wants me to speak at this conference in november we've been discussing it for the last three months and we finally agreed a few weeks ago when i was in singapore and he's in estonia that uh i'm going to go ahead and do it so mick's flown in here we're going to actually do the contract this weekend hey mate how you doing you're good good to see you again you're welcome yeah that we discussed a few weeks ago the last couple of points yeah everything is okay yeah we added though so yeah now it should be okay good okay it looks good cheers awesome man so we're all done great man can't believe it's done fantastic so we're gonna have a great event in november yeah yeah can't wait to have you on board can't wait really looking forward to it cheers man we're very happy that we have gathered so uh many living legends we have team rogers who made more than four thousand percent return in the 70s together with george soros we have brian tracy motivational speaker and leading success coach giving seven speeches on three days and at the conference we have mark faber who is called as dr doom and now we have even anton crade as our speaker so i'm very excited and more exciting updates probably coming in near months as well so i'm really excited about the conference how are you how's it going you're welcome how are you doing yeah cool it's one of our alumni from new york and alumni from london flown in for the weekend and you guys are going to come to the conference next week right yeah so the conference in london yeah [Music] so small toast guys thank you for coming this weekend i hope you enjoyed it and got a lot of useful information out of it and here's to the future and good luck cheers cheers cheers cheers cheers cheers this is why we do the vip lunches and dinners because it gives people a proper opportunity to actually sit down and chat for several hours about their trading their investments uh what their plans for the future are and yeah i can give my best advice my best knowledge and help them out [Music] we're heading to uh the hotel by the conference center and we've got one last uh drinks evening so a bit of a party with the organizers the sponsors the exhibitors so this is the final night uh have a drink with all of those guys thank them for organizing such a really good event and then we're heading out to london tomorrow see you in singapore [Music] depends [Music] [Music] nice [Music] uh [Music] yeah good how's it going yeah good did you manage to get some sleep well probably eight and a half hours right so yeah first decent sleep in a while good so yeah feeling fresh i think audiences will have found poland to be a really interesting experience why are we still filming you know these types of business trips happen quite a lot and uh obviously we were filming in poland to capture the conference but you know filming in london uh is pretty cool because people can actually see what type of effort commitment and the types of work and habits of work that need to be implemented to maintain success uh or even just to get successful so getting successful and maintaining success um in my industry training your portfolio management and pretty much any other industry sure so i think it's good you know to continue doing what we're doing you've seen the schedule this week right we discussed it yesterday we've got half the mentors flying on wednesday half the mentors flying in friday we've got institute traders meeting up we've got uh institute alumni we've also got the seminar on thursday which is huge and we've got the super conference on saturday so the schedule is ridiculous so i think basically if we just carry on like we did in poland i know i'm just on a normal business trip now so you just carry on following me around and if we do that i think people are going to get a really good insight into what it takes to become successful in training your portfolio management and actually any other industry so let's continue filming and uh if anything comes up you know that you think people will find useful any thoughts you might have any discussions you want to have just let me know ask questions sure it's funny you say that i mean something that i have been thinking about since yesterday uh has been quite consistent right you say so actually i think i probably do have a question okay uh people might find interest let's sit down in five minutes here cool cool um part of the schedule yeah revolves around the mentors in fact almost all of the schedule revolves around the logistics involved in flying in institute mentors from all over the world and ensuring that they can meet not only with each other or talk about the company but meet with retail traders why is it important to have a mentor in this industry specifically trading and portfolio management yeah uh i guess that's the question yeah it's a very relevant question it's it's no different to any other industry you know people for some reason think trading and portfolio management is different i don't know why it really is the same as any other industry you need the older guys in the industry to give you guidance in your career and show you what's what you know for guys who have been there donated bought the t-shirt been around the block several times and i think it comes really down to uh two things with mentors in specifically in uh trading and portfolio management it's first of all when you're young uh really understanding how the industry operates how the industry works knowing the ins and outs of the industry and secondly guidance in the details of how to actually become a successful trader and one of the first things that you really have to understand not about the industry but how to become a successful trader over time is how you deal with and how you lock out or eliminate if you like emotion in your training and that was really important for me when i was a young trader it took a long time you know to really become a trader that's i guess unemotional about positions portfolios the financial markets um because the market really doesn't care about you as an individual and money doesn't care the stock doesn't care that you're buying or shorting um any asset class that you're in money is unemotional and you have to be unemotional about your trading decisions and your p l you have to have uh how do you put it like emotional detachment if you have emotional if you have emotional detachment to your p l then you can actually have consistency when you make losses and when you actually win so when your p l is down when your p l is up throughout your career and consistency is really really important and this is why people get emotional in trading because they can't handle that stuff they can't handle losing money they can't handle making it and it's it's different emotions but they're still emotions and what you've got to remember is in financial markets and this is really key that you really have to accept this in trading when you buy something you pay the offer and when you sell something short you sell on the bid and your p l when you buy is marked on the bit and your p l when you sell short is marked on the offer so you're losing money by default yeah exactly so essentially the moment you press the button when you trade you are losing and losses are just a part of the game and you just have to accept that and most people just can't accept it now for me i picked it up quite quickly because i had some seriously good mentors when i was young obviously i was at goldman sachs and the guy that really taught me this was christopher cathy so i was 21 years old when i walked into goldman sachs and chris was one of my mentors and he really really nailed it into me how to eliminate your emotions from trading and how to get emotional detachment from your p l and obviously chris is going to be here so you should actually ask him that question pull him to one side and ask him that question sure and ask you know see what he says about emotions and how you eliminate emotions from trading the cable operator cheers this is like the first main event of the week in london alumni drinks with institute traders so we've got about 50 guys in the bar and they're all guys who have basically taken the online educational programs the ptm pftm online video series they've opened trading accounts at the institute getting all these guys together is brilliant because they get the opportunity obviously to meet each other online but they very rarely get together in a huge group where you've got like 50 plus guys they all get together all meet each other generate trade ideas swap trade ideas you know looking at the community now globally and looking at geographies like the uk it's amazing to see all these guys coming together they've all managed to break through that barrier as a retail trader which is so important to get educated properly and make money and then getting them all together i'm immensely proud of what we've achieved to have so many guys globally and so many guys in a geography like this who all get it all do well all make money and all get together regularly it's outrageous like i'm so proud of setting it up you are such an inspiration to me thank you no worries thank you for everything you've done mentors flying in on friday seminar on thursday seminars saturday it's all kicked off ready to go it's amazing so uh we're just hanging out in the suite this afternoon so i've decided to get uh chris kathy and benberg greendam we're going to be sitting down on the sofa having a discussion having some interviews and really find out what these guys are all about in the trading and portfolio management world we'll we'll film the interviews obviously and we'll get them out there uh on youtube and uh everyone will be able to see them in a couple of months time yeah it'd be really useful for retail traders to actually listen to what professional traders like chris and ben have got to say about their careers about retail traders their experiences in financial markets mentoring people should be really useful a good example of that is when we were on the desk at goldman okay i think somewhere around about sort of 2000 2001 right just as the nasdaq bubble started to burst okay yeah so we're just uh talking about how professional traders and retail traders are kind of in the same boat now you know there's been a lot of access to information for everybody and in fact professional traders are really at a disadvantage because they have these big processes you know they need to go through they usually have to move a lot more size so as a small retail trader you can really do well but you need to have you need to have the right educational exposure you know you need to have a coach or get training somehow because you can't just go out there and expect to make money because you read some book because there's some expert you know wrote something in the book but yeah i mean it was mostly about you know how the how the investment environment i think has changed a lot you know back in the day when i started in the in the 90s it was the benefit was much more to the professional investor because you know there wasn't an internet back then and as a retail investor you had really really didn't have many opportunities to get access information you know so you were at a huge disadvantage but now you really i think i think you come to a point where you come to like a crossroad where the advantage is actually leaning towards the retail trader now but with that also comes um you know added potential for risk so you need to understand what you're doing otherwise you can really lose money just as fast how's it going chris yeah it's great great uh just off now to have dinner and drinks with the mentors um yeah looking forward to being busy i always is with anton and yeah looking forward to a good night so speaking of mentors i spoke to anton the other day about the idea of mentors and the idea of needing a mentor to help with this idea of removing emotional penetrator and the importance of remaining emotionless in trading he said to speak to you because he said that you were his mentor at goldman sachs that's right yeah and you helped him yep very early on with understanding the importance of emotions and trading or rather the lack thereof absolutely so why is it uh so important it's absolutely essential and with anton uh our first men anton i think was 2000 when he joined goldman sachs um he was there for about four or five years of which two years he was part of my team most of the time was sitting next to me and so he was learning from his very very early learning stage was sitting next to me and learning hopefully from the benefit of my experience controlling emotions is absolutely essential to being a successful trader you need to be able to increase and decrease risk appropriately you need to make the right decision at the right time and be able to perform the right action the correct action that only happens if you're objective if you allow your emotions to come into trading you will end up trading unprofitably because you will the natural human nature is to take profits too quickly and to cut losers too late at the institute we teach the benefits of our experience that we teach you that you need to cut losers quickly and let profits run which is counterintuitive to human nature to learn how to control your emotions and be objective at all times only occurs through a process of either trading your own money or trading somebody else's money you cannot learn this by paper trading you need to have some skin in the game and by doing that you will have the emotions which want you to when you're losing money or or making money you tend to over exaggerate so you'd be too low when you lose the money too high when you're making money we need to control that you only have that roller coaster when you have actually money invested so it's safe to say that there's only so much of trading that is academic absolutely there are definitely academic parts to trading clearly the idea generation the idea generation is coming up with ideas for trades and the reasons you need to justify to yourself why you like certain trades or what's your rationale for having certain trades on that is 50 of trading the other 50 is risk management so the risk management is to ensure that you get the best returns from your trades that is possible which means maximizing your winners and cutting your the losing trades either getting stopped out if you get stopped out you have to be remaining motionless be objective you hit your target your stop-loss you hit your stop-loss could exit the position could it as quickly and as effectively as you can can you think of a very quick uh can you think of a practical example of this in your career yeah a practical example obviously i've been stopped out numerous occasions and i've know the process that you have to go through because anybody puts on a trade with you have an idea behind it so you by getting stopped out you are admitting to yourself that you are wrong maybe just in the short term but you are wrong and that is very very difficult to learn how to do that once you've done it that's where you take the emotions emotion out of it and you've you've lost the maximum amount of money that you want to lose on the trade that's when you cut the position that's your stop-loss examples for myself when you need to be disciplined and maintain your objectivity a good example i just showed some telecoms i got sure deutsche telekom a long time ago that's trading at goldman and i knew the hedge funds who were buying it from me would be buying it in multiple places taking the market higher so rather than watch tick for tick i get squeezed out of the position i just went for a walk for 10 15 minutes came back stock had moved three percent against me and came right back down again and i maintained my objectivity that's a lesson for my for myself right and it's important it's absolutely essential absolutely essential hello how are you doing man good good right here as well how are you good man you're welcome yeah so funny literally like walked in and there's like ex-goldman guys there from my desk yeah and thanks leaving guys from my desk yeah and now they're all working together uh yeah so vips are starting to arrive we're just waiting on the table and then we're gonna sit down and have a look good to see you good good how's the flight okay institute is all about retail traders meeting and being mentored and taught by these guys and me right i'm like this is the perfect representation of how it works the first step for you guys cheers anton's certainly been a great mentor to me over the years as i'm sure he will be with you guys going forward so that being said it's my pleasure to introduce our speaker for the evening mr anton creel [Applause] hi guys welcome so we're short on time today it's a huge presentation [Applause] the ship on new cab industry there's a right of passage for every institute trader everyone who's ever been to a seven outcomes comes through this because it means they can actually all network with each other and i get the answers to the questions i was kind of hamstrung because i didn't have a background that most people had so i had to show really to drive what got me where i was was the driving ambition that's what publicity when you're making money you're a hero everyone wants to be associated with you and you're in the goldfish box so everyone can see your p l 25 traders on the desk 200 people around you everyone can see your p l everyone can see your risk everyone can see the end of their risk and numbers and how much you contributed that's good right because there's no hiding there's no hiding right but when you're in the goldfish bowl the pressure is huge right when you're losing money when you're making money everyone can see it and they're all coming over going oh should we have that drink yeah successful evening yeah it was an amazing evening what we taught the guys today was how not to screw things up and this is what we do at the institute the first step we always take is show guys how not to screw it up the second thing we do is show them how to actually make money and how you actually make money is to get a really solid overall foundation in your education for trading and that takes about one to two years and you have to do it in two steps you have to learn all the theory and you have to do it with real money and this solid educational foundation foundation is so important because it essentially gives you a base that you can always go back to and what i mean by that is you become a more rounded trader which means if your strategy in the future is not working as in in training you're focusing on a specific area if it's not working you can default and move to something else and you always have that foundation to go back to it's really really important stuff educational foundation is so important and probably the best mentors to speak to about stuff like that is jason mcdonald because he's been there done it seen it hedge fund side investment banking side it's a two-step process right yep so you've got to learn how the landscape is how the industry works so you can always go to areas where money exists and you can follow the money that's what trading is all about you have to follow the money if something's not working you have to go somewhere else within the industry and if you have a rigid trading strategy that doesn't work for for whatever reason at a moment in time in your career if you have that foundation you can you can go back to your basic skill sets and then when you go back to your basic skill sets you can follow other areas within the industry and follow the money and make money from where the opportunities exist if you don't have that foundation you don't even have that choice thank you so much all right cool guys take it easy the up and coming so for super conferences because we're all together in the one place all at the same time it's quite rare so i decided okay let's get a shoot together of all the team together so you know we can have this out online and everyone can see who the mentors are at the institute and it just works because it's a very rare opportunity for us to do this because we're always in different parts of the world at any one time so yeah we have to do it really and what's the connection to the city so for example like chris and i uh jason used to work in the city of london so we used to work around the corner we've spent most of our lives in this area and other guys obviously work on wall street actually ben used to work in london as well so we've all got a deep connection to the city it like really works i've been here in about a year so it's nice to be back you see it hasn't changed much people still look annoying it's great to see the guys it's nice to get everybody together i've been seeing some of these guys in six months we've got an amazing show in store for the mentees we've got 11 presentations full days of content and a wonderful dinner afterwards which i'm very looking forward to good to be back in the city make some motions mixed emotions in my day it was worth being here nowadays maybe not it's a bonus culture versus salary culture that's the difference so anton uh we've just spent the day in the city yeah we revisited some old ones today yep you're obviously looking back on it with the perspective of someone who has spent a lot of time in the city as a young guy how did you come into it and start and actually figure out the world of trading that's a good question like figuring out the world of trading wow okay took a long time uh i started as a retail trader right and i was trading with my own money as a teenager and then went to university carried on and then was hired by goldman sachs and i never really started genuinely figuring it out until i was actually in the city because there is an investment spectrum and when a professional trader uses the phrase investment spectrum what they're talking about is on one side all the way over here on one extreme you have for example value investing and then all the way on the other extreme you have short-term trading and in between you have many other things many other strategies many other time horizons and trading these days has shifted from short-term training to a time frame and an approach which is encompassing a lot of different strategies and professional training strategies now are like one to three months unless you're quantitative okay once you go over a certain time horizon it stops becoming trading and it becomes investing okay once you focus on the time horizon that still encompasses training there's many different strategies that you can deploy okay and yesterday we talked about for example uh when you asked me about the education of that of what traders would need like joining the industry the first step is always to get like a broader overall understanding and broader education okay the next step is actually finding that sweet spot within trading over those time frames that are trading not investing finding that sweet spot that suits your personality and this is something we always push in the institute it's like you have to have a systematic process you have to understand that you need a broader perspective not everybody is suited for example within the trading spectrum to short-term training not everyone is suited to long short portfolio management over a one to three month time frame but if you get the discipline and the broader education first you can always adapt and always be flexible if something's not working you understand how a systematic process works and then you can shift your systematic process over time to adapt to market conditions and actually like mentors that we have right now because they've done so much in the past and so many different things within the trading remit guys like tristan for example have been long-only managers they've been long short portfolio managers they've been short-term traders on trading desks of hedge funds and actually a guy like tristan would be amazing to speak to about this and he actually gives a seminar in australia literally called matching personality to process where if your personality is more suited to things you should be concentrating on that but you shouldn't concentrate on it from the outset retail traders jump in to short-term trading typically because they think that this is what they have to do or they jump into stuff that think their personality is matched to from the beginning and they don't realize that when they start doing things either it doesn't pay as in it doesn't work or their personality is not suited to it and they have to then continue uh finding what actually works for them and it's all about hitting that sweet spot now the the institute's education for example gives you that broad uh education and then within that systematic process you can actually go out and find where your personality is best suited within the process so it's very very flexible and if you speak to tristan about it he'll give you some really good tips on how this works so if you get five minutes with him at any time during the week definitely speak some about it yeah feels great it's uh third uh super conference second one in london the turnout is uh i mean as you can see it's pretty huge there's a lot of a lot of people here uh some familiar faces but the majority are new uh the interest uh is growing and we're developing a bit of uh sort of a bit of a following people flying out from all over a lot of guys from the states that flew out from san francisco chicago new york just for the day to attend i think the content of uh the presentations is quite rich it's gonna be a great day we obviously started like four and a half five years ago uh brought in the first mentor chris uh three and a half years ago and we were just chatting about it actually looking at the room how much interest there is uh how many guys have flown in from all over the world to attend the conference and then we just looked at the front row and chris made a comment said wow like look at the guys we've got here yeah like the crowd and the professional traders and hedge fund managers that are basically mentors at the institute that we've built up over the last four years it's incredible let the money work for you do it in efficient structures gift it to yourself and then gift it to your kids and you'll only get richer if you've got any questions about it i'll take them outside thank you next is rushing from new york so he's floating to be a guest speaker he's going to be talking about the hedge fund process he's the expert he's one of uh one of the top hedge fund managers on the planet he's agreed to speak at the conference flown in this week from new york and uh i'm sure everybody's looking really for me uh we're one of the largest long short equity funds uh around certainly in the us we can be anywhere between five to seven percent of the daily trading volume of uh new york stock exchange so we're pretty uh pretty active i think the i think the biggest takeaway for somebody who's a retail trader is to manage your risk it's very hard to make money even the best traders are right only half the time and it's really being careful to not lose as much as it is to win so i would think that's the most important takeaway um protect your money protect your capital i started trading at goldman sachs 16 years ago i was at goldman five years i was an equities trader at goldman half that time was spent on the institutional desk trading uh australian equities and the other half was at gsan which is the asset management division of goldman tom good good day you just presented on tech technical analysis that's right yeah i thought it'd be good for the guys to hear a bit about technicals given my background as a child market technician i know that technicals is an area that's very poorly understood by retail and also by institutional traders so um yeah just want to run through the basics talk about supply and demand give them some things to think about and hopefully at least get on the right track when they are using technicals yeah it's not a major part of the process but it's an important part of the process um you shouldn't use technicals in isolation of fundamentals and there should be a smaller part of the overall process but they're key for the timing of entries and exits and also for filtering trade ideas and when you're using uh shorter time horizons with trading as opposed to longer-term investing the entries and the exits can be a big part of the p l so i think it makes sense to spend time studying technicals and getting to know them as best you can and so this idea of a process i was speaking to anton yesterday about how retail traders can and should approach finding a process and coming into the market for the first time and he suggested speaking to you about this idea of matching your personality the process the process yeah why is it so important um well in my view and this is just my opinion but in my view it's the most important part of trading is getting a match between your personality type in the process and the reason i think it's so important is because when you're losing money which you will always be losing money at some point if you don't really understand and believe in your process whatever that process might be you'll lack the conviction in those ideas to stick with them and you'll be shaken out of trades very quickly very easily so being a good trader is being good at losing money and you can't be good at minimizing downside unless you really believe in what you're doing and if you're being forced to adopt a process that doesn't really suit your personality type or it's a process you don't really believe in ie somebody else's process then it's much harder to actually have the conviction to execute that strategy properly and how can retail traders who perhaps have lots of different options and have lots of different parts they can take in their personal trading career how can they apply this idea well i think at the end of the day um you should take a strategy that's been tried and tested that appeals to you and adopts 80 of it and then try to make 20 at your own so i'm not suggesting you make a whole thing on your own from scratch but when you do think you've found a strategy that resonates with you and that you think kind of suits the way you want to do things be flexible and open when you apply that strategy to bringing your own process into your own personality into it and it's just a matter of trial and error you spend time reflecting on yourself as a person um thinking about the kind of person you are the kind of risks you like to take um the sort of things that resonate with you in terms of personal philosophy and then as you are studying the process that you've chosen always go back to thinking which parts of this do i really enjoy which parts don't i enjoy what parts suit my strengths and my weaknesses and and try and shape it from there so 20 in total and you can see what that does to the overall beat of the portfolio yeah what we were talking about was the um adding a bit of a slightly different risk reward profile to the portfolio by adding smaller mid cap stocks and is it typical that you experience retail traders don't treat different cat stocks differently correct yeah they basically treat everything the same and well as with anything obviously it's pretty foolhardy to start trying to trade and invest in things that you don't have any understanding of but it's even worse when you're looking at the smaller mid cap end of the market because you've got other considerations which can make the experience that much that much more painful if you don't know what you're doing well it's interesting because i spoke to anton the other day about the importance of building a foundation the importance of being versatile when starting out as a retail trader he said to talk to you because you are one of our longest serving mentors surfing and have probably mentored the most retail traders how important is it for them to start out and to build a baseline so over the last three and a half four years i have i've actually lost count of the number of students i've mentored so it obviously is a fairly significant number and i think apart from the fact that it's gratifying to take people from a situation where a lot of them to be honest are slightly clueless into a situation where you would actually in some cases trust them with your own money it's also scary is the other side of the coin to think about the situation of the massive majority of retail traders out there that don't have any kind of education or training at all and so by definition they're literally trading in the dark they actually don't really understand what they're doing and that's why the results are as predictable as they are i just think it's extremely common sensical and logical if you think about it why would you embark upon anything especially something as dangerous as trading your own money if you don't have the right foundations in place and just really unequivocally and very frankly you cannot trade financial markets if you don't have the right education so you need to have a foundation in terms of not just understanding how to buy and sell stocks but you need to understand how businesses and companies work and really think about how the stock market looks at things which is always from a perspective of looking forwards as well so if you embark on that situation and you haven't had any training at all you you are just unfortunately going to end up in you know in the rather sad statistic of the 90 90 90 club whereby unfortunately the majority of them just have no idea why they're trading what they're trading so without any foundations or fundamentals it's just almost nonsensical to even start trying to trade your own money once you've got the fundamentals it's then a situation where you need to be able to put those principles into practice and be taken on the journey from understanding how stock markets and businesses work and then actually putting that money to work in a sensible practical way which is going to enable you to generate consistent returns with at the same time taking the right amount of risk and be able to apply it not just to one asset class as well but across multiple asset classes and in multiple situations which is the other important thing about financial markets that you need to understand is you need to be flexible and should we say supple and and have the ability to apply what you've learned in multiple situations across multiple asset classes and that's what our video courses enable people to do which is fantastic because you're literally you're literally saving people from destroying their own capital and then what we do with the mentoring is we we just build on those foundations and we and we make you into the finished article get yourself strong watch lists and these should not drop these ideas should not drive more than 20 of your portfolio and if they start working get bigger because when the pain unfolds it really unfolds and goes much further than you think and one last thing don't it up thank you guys [Music] thank they were curious about my view on the overall markets uh what exactly it means to generate ideas you know good questions i think the one-on-one format allowed for people to open up a little bit do you think there are quite a few misconceptions about the hedgehog industry i think so i think today definitely showed that i think you know the expectation of joining a hedge fund and becoming a trader right away or portfolio manager right away they have to demonstrate that they have good analytical capabilities and hopefully what the answer i gave them was informative that if they want to do it there are limited avenues to do it so if they're serious about doing it then those are really the avenues that they need to pursue vegetarians [Music] oh so final day and we're just having a sunday pub roast lunch in uh london and everyone's heading out tomorrow back to their homes all around the world yeah it's been a crazy two weeks it has i think um you know we're really making an effort to cram in as much time with the mentals as possible but yeah everyone flies back yeah they've come from all over the world as you say and so it's been quite a hectic schedule maximizing the time with everyone yeah is it always this intense you know as a trader i mean life is a trader it's it's it's not as it's intense as this i mean we're on a business trip here okay so like we've obviously had a really hectic schedule with conferences all the mentors flying in from everywhere trading life is very different um trading is actually a very simple lifestyle you have to cut all the crap out of your life because really your personal life has to be empty so you can actually make very well informed decisions over and over again multiple times if you think about it like this if your personal life is really hectic or your business life is really hectic all the time it's going to affect your trading decisions and vice versa actually if you have an extremely complicated very hectic trading lifestyle then it's going to affect your personal life so your personal life your trading life need to mirror each other and decision fatigue is a big thing in the industry that you need to avoid because it it creates uh scenarios where you can make bad decisions and it can cost a lot of money so every professional trader knows that you have to absolutely have a personal life that's simple and a person a trading life that mirrors your personal life and vice versa and uh you know you look at all these guys their mentors you know in real life they've got you know very simple lives uh you know guys like raj for example how does a guy uh become the head of options trading at bank of america by the time he's 30. well he doesn't get to that stage at such a young age because he has a very hectic lifestyle he gets to that position at such a young age because he's got incredible focus and he's organized and he concentrates on making sure that his life is extremely simple and manageable so he can make good decisions and always has a clear head and you know raj himself uh he'll be hanging around later on the final day you should actually talk to him about it sure it's something that he has uh has an incredible insight into so chat too he'll give you some good insights on that with this kind of outlook of organizing your personal life in your trading life uh and creating a scenario where things are quite simple okay think about it like this um when you put a trade on you're looking at the trade in a way of does it add any value is it going to make me money is it high probability to make money and it's the same in your personal life you know personal relationships for example like if you go on a date with a girl twice uh do you see yourself uh being with this girl long term is she adding value to you is she adding value to your life if you meet new friends are they adding any value to your life do uh family members add value to your life or are they a liability on your life you know making sure that your personal life reflects your trading life and vice versa is extremely important because if someone's not adding value to your life in any way and they become a liability you have to cut them because that's going to actually affect your trading decisions and you could end up with decision fatigue and make bad decisions in your trading life because your personal life is not organized just look at it like this people who screw their personal lives up screw their trading lives up and vice versa people who screw their training lives up always screw their personal lives up they have to run in parallel with each other and you have to manage them to be really focused and really straightforward and simple does it add value or does it take away value and if you manage that well you'll be a great trader okay well thank you for taking the time out of lunch rush no problem so i've been talking to anton over the past week or so and one point we discussed just now was the idea of living a sort of a clean life a life with certain sacrifices i suppose and he said to speak to you about this because you've enjoyed a very successful career and a lot of that success came quite early on yes and yeah i was a managing director by the time i was 29 ahead of trading yeah it was very rare especially back then making decisions in a very objective way and eliminating distractions right would you say that you had to do this so to achieve success oh yeah absolutely so the thing is when you're young and successful on wall street or anywhere you end up with a lot of hangers on a lot of friends a lot of distractions all of a sudden you have money fake friends too fake friends right you have a lot of money and all of a sudden everyone wants to be your friend when you go out everyone wants to hang out with you there's so there's a lot of distractions in which distract you away from the thing that actually got you to be successful so you need to eliminate you have to tighten your circle make sure you know who your real friends are and keep those close and avoid the distractions of the people that are just looking to essentially leech off of your success to retail traders i think the thing most important thing is to make sure that you treat this like a job allocate time allocate hours specifically every week to your craft and being disciplined is what's going to get you ahead sometimes you have to give up some social events or sometimes relationships weren't so easy because you're giving time to your job and you're treating that as a relationship the key is you need to have balance you can't um spend 24 7 into your job you need to have friendships you need to have relationships but there needs to be understanding that there are boundaries there has to be an understanding that your job is important to you but so are your personal relationships so separating the time the key is if you're going to spend time working spend time working if you're spending time in your relationship spending time in the relationship if you're in the if you're spending time with your partner and you're doing work at the same time that doesn't really work for either one because you're not doing your job well and you're not handling your relationship well one thing that anton and i talked about was this idea that people who have chaotic personal lives tend to have chaotic trading lives as well and vice versa was this something that you observed in your something i observed but i found that the best traders are the ones that handle chaos well in both their personal lives and their trading careers because you're gonna find there's gonna be events that are unexpected that happen in your personal life and in trading so you need to be able to handle those calmly and i think the guys that handle their personal lives with less chaos handle trading much better without when chaotic events occur they handle them rationally and unemotionally so we've met many retail traders over the past week and you've mentored plenty as well is there one piece of advice one attitude that you advise them yeah absolutely so there's a saying in golf that says that the course is in front of you which means that whatever happens in the past you can't control you can learn from it but your success is in front of you so spending time dwelling on what you could have done is time wasted instead of worrying about what you can control and that is the future not the past [Music] it's the end of a trip uh to europe and for you to come to london as well yep we've met many many retail traders we've had many many conversations we've met up with the mentors do you have any final thoughts any final advice for retail traders embarking on this journey final thoughts final words of advice for retail traders um well yeah i mean if you look back over the last two weeks wow like how many people have we spoken in front of literally thousands of retail droids and we do this quite a lot and there's a lot of common behaviors of retail traders as discussed with you earlier in the week the educational background that's massively important to become an all-rounded trader is massively important get that foundation it's got to be one of the most important things for you to always fall back on when you struggle in your trading existence throughout your career being able to fall back on that foundation and the only way you can get that is to have a genuine professional trader who's been there done it for at least a minimum period of a decade get that educational foundation get the mentor the second thing you have to do is you have to have a real network and what i mean by that is guys who have been taught properly that you can always call on when you have issues when you have problems and also to call your mentor so they're the two most important things research your traders and mentors backgrounds see if they've ever been a professional trader get guys that have done minimum 10 years in the industry and who have made a lot of money from trading as a professional and have been there and done it and get the network and this is exactly what the institute gives you get those two things and you'll never ever look back it's the most important two things you'll ever do really enjoyed it sad to leave london sad to leave europe but we'll be back and we'll continue to push retail traders to where they have to be in the right direction fantastic two weeks see you next time [Music] you

Channel: InstituteofTrading

Views: 361,055

Keywords: Anton Kreil, Institute of Trading and Portfolio Management, Christopher Cathey Trader, Ben Berggreen, Raj Malhotra, Chris Quill, Jason Mcdonald, ITPM, StockMarket, Trading, Million Dollar Traders, FOREX, Hedge Funds, Investment Banks, Finance, Professional Traders, Financial Advice, Training, Coaching, Motivation

Id: YPQiDuHqxe8

Length: 70min 15sec (4215 seconds)

Published: Mon Sep 04 2017