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fhrjfjfnd
·8개월 전·discuss
Buy the options with the intention of them either hugely appreciating in value or expiring worthless. Under Taleb's system, your bet sizes should be small enough that it doesn't matter if individual options tranches expire worthless. The bid/ask spread only matters when you try to cut losses on a large bet, which is outside the scope of this strategy.
fhrjfjfnd
·8개월 전·discuss
See the other posts in this thread discussing Nassim Taleb's strategy of small bets spread over time with highly asymmetric rewards. You can afford to lose it all on small bets nine times in a row, if on the tenth bet you achieve a 100x payout.
fhrjfjfnd
·8개월 전·discuss
Your quote is something that AI mania speculators often like to reassure themselves with, but consider the fact that it took 17 years for the NASDAQ to recover from the dotcom bubble when adjusting for inflation. What's being early by a year or two when the consequences take decades to heal over?