Menu Close

How much expected return on average

QuestionsCategory: QuestionsHow much expected return on average
Eric Ash asked 4 years ago
Hello, Pat and Team, I was curious as to how much of a return I can expect by following your trading style. Is it really likely that I can expect to double or more within a year? Or is that the best of times? And maybe, on average, should I expect 10 to 20 percent? The reason I ask is that I fell into the trap of getting suckered into bitcoin in January and I violated the rules. I put it all in and then it went down. I followed another guy and he said it will go up. Just wait. Well, I did, amd then I couldn't sleep at night. Decided to cash out at a 50% loss. I am overwhelmingly devastated. I confess that I put all my chips in thinking it would "go to the moon." I am ashamed of myself for such a folly. Now I am considering on taking out a loan utlizing what I have in my TSP, Thrift Savings Plan. I can take up to 50% which equals 40K for me at a pay back rate of 1.5% interest over 5 years. I am also planning a margin loan of 40K with an interest rate of 2.5% with Interactive Brokers (I don't like Schwab's rate of 7.8%.  I have my TSP equally distributed in the C and S funds and their returns can be viewed here  https://www.tsp.gov/fund-performance/ .  I ask very humbly for your recommendation. I understand that I made this bed of mine. I have learned a lesson of never violating your established rules.  In short, my questions are: What are your on average returns to expect?  Should I borrow a loan against TSP funds?  Should I borrow on margin?  Do you prefer a specifc broker? Interactive Brokers seems so much more rate friendly unless I am missing a caveat.  Thank you so much for your time.  Eric, the humbled one. 
1 Answers
Avatar photoOwen Staff answered 3 years ago

Hi Eric,
Pat made this video for you:
https://youtu.be/p3K57nYXV3A