Thank you for taking the time to speak with us, Alex. We would greatly appreciate it if you could share your insights, thoughts, and perspectives on the following questions for our readers.
You had mentioned in a podcast interview that you were working in a coffee shop before getting started in trading and finance. Had you ever shown an interest in finance before that first experience?
I was always into wall street and the stock market but never thought there was a way for an average person like me to invest and get started.
Pop culture tends to give those that trade or are involved with Wall Street a bad name . . . starting with the movie Boiler Room in the 90s and even the hit Showtime series, Billions today. What are your thoughts on how the entertainment industry (despite the reality that Andrew Ross Sorkin has brought to the series Billions) has affected stereotypes of those in your field?
I think a lot of things have changed in the world of Wall Street. In the past, there was a significant barrier to entry to get started in this business. Access and information in the market were only available to the top hedge funds. Still, these days with apps like Robinhood, it has become effortless to become an “Investor” or a “Trader.” The portrayed stereotype doesn’t exist anymore because the game has changed, especially since the Gamestop and AMC craze that happened earlier this year.
How can other countries react to guard against the failing US dollar?
Investing In Bitcoin is an excellent hedge against the dollar and inflation due to its limited supply. Whereas the US Dollar continues to be printed and devalued since Covid.
How can new investors protect their investments in this pandemic-dominated economy?
The key is always to DIVERSIFY! Don’t have all your eggs in one basket. Instead, divide them up to give yourself the best odds of protection.
How do you feel about investing in alternative energy sources?
Electric vehicles are the future. Tesla started the movement, but you know it’s the future when other big companies like Apple and Amazon invest in their own electric vehicle companies. Following big money is always the key.
Why are rising oil prices a problem? In the past, didn’t a rise in oil prices help bolster domestic (American) companies?
Rising oil is tough for ALL Americans because it makes the cost of living go up. People spending more money on oil will have less disposable income to put into the economy.
What is your view on agricultural commodities?
Agricultural commodities are just too hard to predict, so I avoid them.
What is your position on leverage?
Leverage can be a powerful tool if used right. But a lot of people abuse it. So don’t use leverage as a way to double up or triple up on a losing position. Instead, use to it hedge your bets.
What foreign currencies do you like and why?
I don’t like any foreign currencies because they can all be devalued by printing more money, just like the Federal Reserve. The key is to have something with a limited supply like Bitcoin to last us the future.
What are three ways a broker can expand their business?
A broker should be your partner.
1. Customer Service – low wait times on the phone or instant live chat service to make sure the client always comes first.
2. Updates to tech and platforms. With the amount of volatility in the market sometimes the trading platforms lag. The brokers should use some of their profits to reinvest in their own software to make it more sustainable.
3. Loyalty / Rewards programs for their top traders – the bigger the trader is the more rewards they should get from the broker: Ie: Sports tickets, dinners and other perks and benefits to the customer for trading volume and generating fees for brokers.
How would you turn $600 (the magic number according to the proposed legislature) into a successful investment?
Patience. Focus on making $50 a day for a month, then scale to $100 a day, then $200, etc. A lot of people want to earn 10x their money tomorrow. That doesn’t exist. Focus on base hits, and eventually, a home run will come.
What are the most important lessons you have learned from losses in your career? And likewise, what are the most important lessons you have learned from gains?
Losses are part of the business. You have to be okay with losing if you want to win. If you lose money, your goal the next day is to show up and be GREEN. Even if it’s $1. Trading is a game of confidence. No matter what level you are on, you doubt yourself and doubt your system when you lose the money. But the truth is nothing in trading is 100%. As long as you can consistently show up to the market and make more money than you lose, you will win long term. The thing about gains is it makes you OVER CONFIDENT. What I do after a big win is wire out money from my brokerage account to my bank account. This helps keep me humble and helps give me a paycheck for my hard work.