= 27d567bc2d48d9f40e9ccc20ea370b15)
ESRogs comments on A Guide to Rational Investing - Less Wrong Discussion
You are viewing a comment permalink. View the original post to see all comments and the full post content.
= 783df68a0f980790206b9ea87794c5b6)
Loading…= b715d02e85f7b3b4ae65ca3d3e450868)
Subscribe to RSS Feed
Powered by Reddit
= f037147d6e6c911a85753b9abdedda8d)
You are viewing a comment permalink. View the original post to see all comments and the full post content.
Comments (43)
You mentioned at your talk that you were leveraged well past 100% of your net worth in equities. Can you elaborate on how you came to make that decision? As far as I can see, the only source of money at a reasonable rate that I can easily invest is margin, and that comes with both a 1.5-2% interest rate and the risk of margin calls, which makes me nervous. (In addition, I'm not so confident that I would be psychologically capable of making good decisions if such a really huge volatility happens to me.)
What's your thought process about that like?
As an additional data point, I am currently using that strategy with interactive brokers. My justification is that I'm still young and can afford to take risks. To construct the portfolio, I created a small wealthfront.com IRA account, and then replicated it in IB (with some slight tweaks) using portfolio margin for leverage.