Ghost of Igloi wrote:
Wishful thinking my friend Maserati. Unlikely to have a benign ending. But I win either way, if the market moves higher my income goes up, if not my investments go up. Perfect hedge.
What we learn from this:
1. Igy is not a fee based advisor, but is paid based on the value of his clients’ portfolio
2. Igy’s personal investments have a minority position in the markets.
The flaw in his thinking is that he believes these two equally offset each other. They don’t.