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Ask HN: How do I turn 100K into 1 million?
111–120 of 138 posts
Re: Ask HN: How do I turn 100K into 1 million?
#112Learn to play poker and enter the world series, which is getting under way in a week. Analytical minds do well in poker, especially since most poker players are degenerate gamblers.
This is a true statement, but don't enter the world series unless you are already a top notch player. Just play in the 150$ nightly tournaments on pokerstars and you could expect a 120-150% ROI as a solid player.
Most solid players have an ROI between 0-5%. WSOP is a luckfest even for a good player.
Re: Ask HN: How do I turn 100K into 1 million?
#113It sounds like you made 100k from contracting in six months. If that is the case, the fastest way to a million is to continue contracting.
Re: Ask HN: How do I turn 100K into 1 million?
#114Earlier quoted context omitted.
"You need to figure out the potential rental income of a property and convince the bankers that it's enough to service the mortgage debt. All the while putting as little of your own money in as possible." This last part is not true. 100% leveraged properties are hard to make serious money on, and it makes for a fragile business (you only need one down cycle to bring down the, ehm, house). Average return on rental in…
Roel, I was thinking of a regular 20% downpayment, maybe a little more. That's about 30% with closure costs in Spain.
Yes, I too feel that that is about the right level at this moment.
Re: Ask HN: How do I turn 100K into 1 million?
#115Earlier quoted context omitted.
$50k plus an additional 50k per year at 10% = $1,006,245.8 (compounded annually). What fees are you referring to? Different investments carry different loads, including nearly no load (or one included in calculations), for say real estate or direct stock purchases.
Ah, yeah I was assuming he meant this year (0% interest) plus 9 additional years of x% interest. I see now that I should have given him another year. Okay, so he only has to return 10% annually. Still extremely difficult. :)
Many, many value investors have easily beat 10% p.a. over extremely long investment periods.
Very very few people who market themselves as investment advisors successfully deliver these returns to their clients, net of fees and taxes.
Re: Ask HN: How do I turn 100K into 1 million?
#116My advice to you is to have a long timeline. If you try to turn it into a million in 1 year you're going to take too many risks and fail. Diversify your investments. Putting $100K in 1 stock is how you lose money. Try picking 10-15 companies in different industries: technology, healthcare, finance, commodities, etc. Do your research and pick companies that have a lot of upside potential. For example, if you wanted to…
I think there's money to be made in trading Apple against Nokia, RIMM, etc. This just needs a LOT of research. I agree with the rest. I'm not planning to use more than 25-30K if I trade and 0.5-1% of that on every trade. Proper money management and risk controls are key.
It's not impossible, but pairs trading is something a lot of full-time analysts research, and hedge funds put a lot of money into it, so you're going to have to have either luck or some kind of unique insight to find pairs trades where there are significant unexploited arbitrage opportunities left.
Re: Ask HN: How do I turn 100K into 1 million?
#117Earlier quoted context omitted.
And school isn't a lotto? You know many happily employed recent law school grads these days? Or many young doctors who are confident they'll retire rich?
School can be a lotto if you get a degree in aboriginal affairs or something similarly obscure. Becoming a md/lawyer/dentist is a pretty sure thing. At least where I live (Canada) these professions are in demand. You can always move to smaller communities if needed. I think the parent comment was pretty good advice.
Maybe things are different in Canada, but it sounds like pretty terrible advice to me. Starting out your career with six figures of debt in a bad economy?
I really feel very strongly that you should ONLY be a doctor, lawyer, or dentist if you genuinely like doctoring, lawyering, or dentistry. It ain't a get rich quick scheme.
Re: Ask HN: How do I turn 100K into 1 million?
#118Earlier quoted context omitted.
Some of that already exists, check out the App Store. I'm thinking an iPad would make a decent chart plotter, though :-). Now, if I could only find a weather-proof enclosure!
There is a company working on making an iPad enclosure that can be used in the tank with dolphins. I don't know what pressure depth it's supposed to be rated at, but it should be adequate for sailing.
Do you have the company name by any chance?
Re: Ask HN: How do I turn 100K into 1 million?
#119Considering that you already built a poker product and some trading programs and that betting on fantasy sports will be the next major thing and there is no industry leader yet, I would probably look into creating a fantasy sport product with a trading component in it.
Something that you can sell to media operators or gambling sites either as a standalone product or white label.
Coding and selling.
Re: Ask HN: How do I turn 100K into 1 million?
#120Doing event-driven trading isolated in the Cayman Islands without any sort of insider connections is a recipe for failure.
There are lots of high-frequency trading shops that could put your engineering chops to work, most of the shops are small enough that I'm sure they'd be happy to offer you some form of partnership with your spare cash. HFT strategies have very definite limits on lifespan and investment cap, but tend to produce out sized returns (yes, 10x).
Most of the big shops are in Chicago. Start with Jane St: http://www.janestcapital.com/