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[Copypasta]The real power of compounding
Remember, if you lose 10% a day over several days you’re actually losing less money as time passes. This is what people mean when they talk about the power of compounding
Remember, if you lose 10% a day over several days you’re actually losing less money as time passes. This is what people mean when they talk about the power of compounding
Oh my gourd, I am financially ruined (agricultural futures)
I have lost everything, and I'm not sure how to continue. This summer I invested $17,500 (six months salary and my entire life savings) into ornamental gourd futures, hoping to capitalize on this lucrative emerging industry. After watching a video about Vincent Kosuga and his monopoly on onions, I decided I'd try to do something similar with another vegetable. I did some research and found out many agricultural forecasters expected this year's gourd yield would be far smaller than the past, due to deteriorating soil conditions in central Mexico and a warmer-than-average spring. At first, demand soared around Halloween and prices skyrocketed, but the gourd bubble burst on November 12th. Unfortunately, the coronavirus caused a massive drop-off in demand due to fewer families decorating their tables for thanksgiving, and prices plummeted. I had invested early enough that I thought I would still be fine, but then on the morning of December 2nd, a new email in my inbox caused my stomach to turn into a pretzel. The massive gourd shipment from Argentina, scheduled for early March, had arrived. I was planning on selling off my futures right before this, in February, but this ruined everything. To top it off, the gourds in this shipment were absolutely gargantuan, some topping 4 pounds each, causing the price-per-pound to drop like an anchor into the range of 6 cents per pound. I am ruined.
I have lost everything, and I'm not sure how to continue. This summer I invested $17,500 (six months salary and my entire life savings) into ornamental gourd futures, hoping to capitalize on this lucrative emerging industry. After watching a video about Vincent Kosuga and his monopoly on onions, I decided I'd try to do something similar with another vegetable. I did some research and found out many agricultural forecasters expected this year's gourd yield would be far smaller than the past, due to deteriorating soil conditions in central Mexico and a warmer-than-average spring. At first, demand soared around Halloween and prices skyrocketed, but the gourd bubble burst on November 12th. Unfortunately, the coronavirus caused a massive drop-off in demand due to fewer families decorating their tables for thanksgiving, and prices plummeted. I had invested early enough that I thought I would still be fine, but then on the morning of December 2nd, a new email in my inbox caused my stomach to turn into a pretzel. The massive gourd shipment from Argentina, scheduled for early March, had arrived. I was planning on selling off my futures right before this, in February, but this ruined everything. To top it off, the gourds in this shipment were absolutely gargantuan, some topping 4 pounds each, causing the price-per-pound to drop like an anchor into the range of 6 cents per pound. I am ruined.
Did you ever hear the tragedy of "Darth Bearish the Regarded"?
I thought not. It’s not a story any bull would tell you.
It’s an ancient Bear legend.
Darth Bearish was a Dark Lord of the Bears, so well capitalized and so regarded he could use Leverage to influence gamma to create profits… He had such a knowledge of the dark side of Leverage that he could even keep other traders he cared about from being margin called.
But the dark side of Leverage is a pathway to many abilities some consider to be... unnatural. He became so bearish… the only thing he was afraid of was losing his positions, which eventually, of course, he did.
Unfortunately, he taught his apprentice everything he knew, then his apprentice reversed his positions in his sleep. Ironic. He could save others from bankruptcy, but not himself!
Did you ever hear the tragedy of "Darth Bearish the Regarded"?
I thought not. It’s not a story any bull would tell you.
It’s an ancient Bear legend.
Darth Bearish was a Dark Lord of the Bears, so well capitalized and so regarded he could use Leverage to influence gamma to create profits… He had such a knowledge of the dark side of Leverage that he could even keep other traders he cared about from being margin called.
But the dark side of Leverage is a pathway to many abilities some consider to be... unnatural. He became so bearish… the only thing he was afraid of was losing his positions, which eventually, of course, he did.
Unfortunately, he taught his apprentice everything he knew, then his apprentice reversed his positions in his sleep. Ironic. He could save others from bankruptcy, but not himself!
Apple announces an EV program
Oh boy I can't wait until 2024 when I can wake up to my Apple Homepod Siri alarm and check my Apple Watch for notifications and take a shower in my Apple Big Douche then put my makeup on before work in my Apple Mirror then take my Apple Car to my job at Apple Phone Plant #584 so I can work on my Mac Pro workstation designing the latest Apple Product the iShit smart toilet that syncs with your iAsshole to sense when you have a massive log brewing in my large intestine and sends me a notification to my apple colonoscopy bag. Russian hackers will know what I had for dinner.
Oh boy I can't wait until 2024 when I can wake up to my Apple Homepod Siri alarm and check my Apple Watch for notifications and take a shower in my Apple Big Douche then put my makeup on before work in my Apple Mirror then take my Apple Car to my job at Apple Phone Plant #584 so I can work on my Mac Pro workstation designing the latest Apple Product the iShit smart toilet that syncs with your iAsshole to sense when you have a massive log brewing in my large intestine and sends me a notification to my apple colonoscopy bag. Russian hackers will know what I had for dinner.
Stonks only go up. But you don't.
You watch her as she brushes her hair. She’s humming a song you can’t quite hear and smiling to herself. Not for the first time, you wonder why this person chose you.
She turns. “What do you want for Christmas?” You want to scream Save your money!, but you only shrug. “Nothing, really.”
“Nothing?” She crawls into bed and touches your leg. “Are you sure?” Again, you wonder why this person chose you.
As she takes the weight of you in her hand, your mind wanders. To your puts. They’ll expire worthless, like you. After several minutes of failing to conjure your manhood, she asks, “What’s wrong?”
Stonks only go up.
But you don’t.
You watch her as she brushes her hair. She’s humming a song you can’t quite hear and smiling to herself. Not for the first time, you wonder why this person chose you.
She turns. “What do you want for Christmas?” You want to scream Save your money!, but you only shrug. “Nothing, really.”
“Nothing?” She crawls into bed and touches your leg. “Are you sure?” Again, you wonder why this person chose you.
As she takes the weight of you in her hand, your mind wanders. To your puts. They’ll expire worthless, like you. After several minutes of failing to conjure your manhood, she asks, “What’s wrong?”
Stonks only go up.
But you don’t.