We were chatting about finance as I was asking about people's careers, I really enjoy asking about what people do for a living. I meet a diverse range of people on dive boats, they tend to be successful types with high disposable incomes and I like making friends outside of my usual channels.
As I spoke further to him, he was recruiting for his finance operations, I was somewhat surprised to learn he was claiming 2000% returns. I am generally happy with 10% returns for a ten year rolling period, sure I would appreciate higher returns but one sees just over 5% as a fairly standard yardstick.
He also requested time to make back any losses, he explained that this doesn't normally happen but should it, he required at least six months to recoup losses. I would have thought a high risk/high return strategy would generate some losses from time to time but he appeared adamant this wasn't the case.
Despite his constant assurances, I was not under any threat of sending my hard earned money to him to speculate with. I have always thought there is no lower return than not getting your money back and my personal risk/reward factors are firstly determined by capital preservation and secondly a return on capital.
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