Sovereign Debt

Published on February 5, 2010 by Technology Slice

Sovereign Debt – Unsustainably high budget deficits in certain eurozone countries hit credit markets with a vengeance again yesterday, as the cost of insuring against losses on sovereign debt rose to a record high. Concerns about the finances of Greece and Portugal and a looming general strike in Greece heightened investor fears. Western Europe Index [...]

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Posted in Money

Why Derivatives Are “Weapons of Financial Mass Destruction’

Published on February 3, 2010 by Technology Slice

In a March 2003 BBC interview, Warren Buffet, termed derivatives ‘financial weapons of mass destruction created by mad men’. He said they endangered buyer, seller and global markets alike. At that time their ‘value’ stood at $9 trillion. Today, that number has reached $1.4 quadrillion when the global economy is valued at $45T and they continue to expand geometrically endangering us all.

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Posted in General

Open Question: How do some individual investors manage to turn £10k or so into £2m trading options on stocks in 2 years?

Published on January 8, 2010 by Technology Slice

I keep hearing stories of ordinary people managing to turn a starting capital £10k or so into something like £2 million trading options derivatives, i.e. puts & calls all within 2 years. How do they do this as its a zero sum game and perhaps 95% of all options traders either end up failing or dead broke and give up? What do they have that most of the population of options traders don’t have? Is it education and a strong trading mentality with gut instincts thrown in or something like that? I’m very interested as I want to know how these people do it.

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Posted in Money

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