I am eagerly waiting for your guesses about cosmology, the universal constants, dark matter, etc., too. 
Do you not know how to read? Are you saying only professionals can invest in derivatives? It’s very easy nowadays to pull up the information if you care enough to know it. Hell anyone with a robinhood account knows how derivatives work. Anyways it’s not a random guess. It’s an educated guess based on what’s happened in the past.
dear nerdy will derivatives help me compound quicker?
blow up risk too high.
Derivatives are for losers. Why take the blow-up risk for no marginal reward, when you could simply compound at a guaranteed rate of return, per annum, of 13-14% per year in perpetuity. I learned this from Nerdy long ago that you can do this with LC US Equities. Compounding is king!! And by the way, variability and sequencing of returns can safely be ignored. Returns resemble 45-degree line straight up over long term. Stressing over drawdowns is for suckers and the weak-minded. Although I have lived through multiple large crashes and Nerdy has been in the market for 5 minutes, Nerdy has assured me that he has read many, many books on finance (and only a few of which, authored by Suze Orman). So I trust his judgment.
Lol I never said that. I know the actual statistics for 1,3,5,10,15,20,25,30,50 year returns for 200 years of rolling data. So I am aware of the probabilities. The longer the time horizon, the narrower the cagr returns. I just expect my personal returns to be around 15 percent for a variety of reasons. 1. I use a lot of tax deferred accounts which added more cagr when my contribution as percent of net worth were much large. 2. I don’t just use stock market. I own and plan to own more real estate. Typically the real estate private equity space generate over 15 percent net of fees. 3. I’m pretty levered when times are bad! So I market time. But only go aggressive during market downturns. And for the record I learned about options when I was in college. My internship was literally about finding call premiums. But I will admit this was my first market downturn in excess of 30 percent where I actually had hundreds of thousands of dollars. But it’s crazy… 5 years ago I had less than 100k. Today I have roughly 500k. Lastly I never followed suze orman. She was before my time. The people I do watch are mostly billionaires. I don’t really read books. But I do read and watch summaries of a lot of books. Hell even For the cfa books I read the first 30 pages of ethics on level 1 and never read anything more.
Bud, if the “typical” RE PE return is 15% net of fees, will you please share your firm’s expert manager selection picks in this space. It is unfair that this exceptional skill be withheld from us any longer.
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15% CAGR is so beta. I follow a few social media investment groups and constant 20%+ returns seem to be the norm. Aiming at market return less fees makes me feel like such a loser when lawyers, nurses and mailmen pull in the big bucks!
This is so spot on. Worrying about low returns is something that only boomer cucks worry about.
"re you saying only professionals can invest in derivatives? "
See. Just this reply shows how moron you are? Did I say only professionals can invest derivatives? Or did I talk about the knowledge of a non-professionals about derivatives, stock valuation, money markets, etc. all the areas a CFA has knowledge off while these non-professionals are making trading by themselves?
Are you telling me that a non-professional day trader of stocks, derivatives etc. knows and makes decisions as well as you, a CFA charterholder (I don’t know it says so next to your name), can make while deciding on what stocks to buy, what hedging positions you should get into, etc?
See? You are that dumbfuck that you cannot even understand the difference.
To simplify so you can understand this time:
the question is do you allege that you understand the climate science as well as a climate scientist similar to a regular call center manager in Amazon can understands finance as well as you do just because he can buy and sell stocks, bonds, derivatives on his home PC on etrade.com?
I bet you will not say that. Therefore, what I am saying is a climate scientist would laugh at your previous claims about climate change as much as you would laugh a day trader when he starts telling you that what you know about finance as a CFA charterholder is wrong because he knows as much as you because he read some Suzan Orman books and can go online and pull information everyday and buy and sell stocks and derivatives.
Do you realize how dumb you are now, Dunning-Kruger case?
Try the largest apartment reits. Avb and ess. I think their total returns at ipo is 15 percent per year from 1994? And they only use very little leverage. Maybe 30 percent ltv. Anyways there are a lot. Check sponsor investor irr net of fees at any accreditted real estate crowdfunding site.
So basically, you are saying that that CFA Charterholder designation next to your name Nerdyblop means ■■■■!!! Anyone can pull up the information online these days and know finance as much as a CFA Charterholder.
Why did you study to pass those CFA exams then, dude? 
Same reason why people go to college. You don’t go to college to learn. You go to college so people know that you do your homework and can pass a test.
People say it’s hard to understand derivatives. It really isn’t. I am almost confused when people say statements like this. It isn’t hard to learn… and I’d say the majority of what you learn is not really important anyways or even applicable. I’ve taught the basics of how derivatives work and they’re not even finance professionals. They’re just naturally curious. You sound like a guy who’ll believe anything just because they are professionals. Do you have any type of independent thought? Or do you just do what you’re told?
Anyways I’ll give you a quick understanding of what derivatives to buy.
First thing you should worry about is taxes. People negate the fact that majority will be short term. So choose a tax advantages account.
If you want stock like returns with leverage and litttle to no premiums use future contracts.
If the market falls a lot use long term call options.
If the market is high, and you want to buy a position should it fall sell puts and collect a premium.
If you have a stock that has high dividend yields and don’t think it will rise much in value, sell call options.
Now people will buy and sell options to hedge their delta risk. Since it’s cheaper than buying and selling loads of stocks. Now I don’t do this, but I categorize it as silliness.
Anyways look at index returns and professional returns. Notice that index returns are higher. To be fair though if you look a retail returns it’s substantially lower. But all this means is that people who know nothing and just buy and hold based on market cap make more than others who try to get fancy.
Basically with the above message you admit that that CFA Charterholder designation next to your name means ■■■■ and you are paid extra money for nothing at your work because a gym teacher in a high school can also make as good decisions as you can make as a money manager or whatever.
I see… I see!!!
The funny thing is you don’t even realize how dumber and dumber you look as you try to justify your stupid beliefs. 
Just for curiosity.
You voted for Trump, right?
they can learn it. the issue is will they want to learn it. its kind of like ur dunning kruger case. i have no idea what it is. and sure i can google it. but it has no interest to me because it adds no value to my life. lol bro i dont think what i am saying is stupid. an index has done better in terms of returns than a professional or a retail investor. just because i dont like what the facts are doesnt mean they arent true. now i can make an argument as to why they should pay the higher fees. maybe is lower risk via volatility. maybe we’re good hand holders during market crashes. maybe we offer a network of people that can help them with other problems. those are all valid reasons. but most managers should not say it is because of higher returns! that is pretty much fact.
nah i didnt vote for trump cuz i am a poor. i think we need higher taxes. but we also need to cut social security and medicare. 22 trillion debt and 1 trillion annual deficit is what i am worried about. lastly trump is a pretty divisive leader. hes no ronald reagan thats for sure. statistically speaking too, the economy has been better under democrats. i dont know why. but ive seen reports that track ecnomic growth by presidency and party. its not pretty for republicans.
lastly let me tell you my thoguhts on danning kruger. i probably do suffer a bit from it. and its not because i overestimate my knowledge. but i just value my own personal thoughts. i try to learn about it but at the end of the day. i wil make my own independent conclusiosn after reading both sides. i think im pretty objective for the most part. prolly why i get derision. most people nowadays are pretty one sided.
I have side with Nerdy here. Simply having the charter does not make you an expert in all things finance. Hell I’ve forgotten more CFA material than I remember, and I just finished the damn program last year. Unless you’re working in the specific area, you can likely glean a similar understanding simply by doing your own research. This certainly applies to derivative trading.
Funny enough Tansut is displaying more Dunning Kruger effect than anyone else in this conversation. You seem to be absolutely certain in your way of thinking, without having a full grasp on the topic. Are you a CFA charterholder? If not do you believe that all of us are wizards at every inch of the material and can regurgitate all aspects of it at will? Hate to be the bearer of bad news, but…