I just want to say thanks for all of the work you’ve put in over the years. You’ve helped me a great deal not just in learning about trend following, but also meeting people within the space.
I remember reading Trend Following back in 2007 after I graduated college; learning about John Henry, Seykota, Jerry Parker, etc. Little did I know that I’d become friendly with some of these guys. It’s all still so surreal and very cool.
About a month ago, after [meeting] a very well known trend following trader, he decides to invest $[xxx] in my fund. For a guy like me managing $[small] millions, that’s a big f’n deal!
I don’t think this could’ve been possible without the work you’ve done, so I just want to thank you for doing it.
Let me know when you come back to the states. Let’s run some sprints and have a catch.
Jeffrey Tucker is an American economics writer of the Austrian School, an advocate of anarcho-capitalism and Bitcoin, and has authored seven books. Jeffrey’s new book, coming out September 2017, is titled “Right Wing Collectivism: The Other Threat to Liberty.”
Michael and Jeffrey start the conversation talking information. Regimes come and go, but information we share with one another cuts through governments. Interactions with others and the tools we use to spread information are what shapes history, rather than governments trying to put their spin on it. Government officials are not visionaries, they do not define the world, they do not create history. They spend their term in office gearing up to get elected for their next term in office. The more responsibility taken out of government’s hands the better. This leads us to Bitcoin…
Why is Bitcoin so important? Bitcoin represents freedom. It’s an international currency, trades the same globally and has increased in value over time. Jeffery has been studying monetary theory since he was an undergraduate. He wrote his thesis on the gold standard and assumed he had the monetary system figured out. So naturally, when Bitcoin came out, he dismissed the idea. After a few years went by, he was forced to acknowledge the advancement of crypto currency. He now looks at markets far differently than he did in the first part of his career. He knows that the markets know much more than any person could ever understand.
Jeffrey switches the conversation to another passionate subject for him, child labor laws. Youth have bought into the idea of needing a college degree to get the right job. Parents see pushing higher education on their children as a way of guaranteeing their children’s success. Unfortunately, degrees are not necessary in today’s age. Youth unemployment and child labor is a major leading factor to issues later in life. Many kids never have their first job until after they graduate from college and every year thousands of college students graduate still dependent on their parents.
Michael and Jeffrey finish up the podcast discussing corporate taxes and building digital walls. The American economy would experience spectacular gains if corporate taxes were slashed. Cutting personal income tax would be nice, however corporate income taxes being cut is the first phase of reform. Our economy also is being hurt by slowing down the flow of information and trying to block it. Is the world going in the direction of building digital walls? Are governments slowing down growth potential by blocking information? Absolutely.
In this episode of Trend Following Radio:
Excessive waves of hysteria
Building blocks for a civilized society
“Government doesn’t really try anymore, and that is a good thing.” – Jeffrey Tucker
Recently after running sprints, Michael decided to walk home a different way. He ended up walking next to a woman with an artificial foot. She was about 4’9″, 75lbs, missing a foot but looked as if she was still kicking ass. From Michael’s perspective, she had no excuses. She was not sitting at home, complaining. Too many these days complain about their weight, gender, political views, political correctness, etc. — and use anything they can as an excuse for why life is unfair.
How do you break free from that mentality? What is the process? What system should be put in place? Creating a routine is a great place to start and has many self-help advantages. Having a routine can help center a person and allow them to measure and see personal achievement.
News prevents us from living authentically. It is not real. It is something thrown at us on a daily basis with an agenda by those creating it. The same can be said for politics. A true experience is you walking down the street and noticing what is going on — taking in the sights, sounds and smells of your environment and making decisions about your life based on those experiences. As shown in news and in politics, this type of thinking is rapidly disappearing. There is nothing rational about how people think. People are crazy and that will never change.
Rayner Teo is a 29-year old self-made, independent, ex-prop trader from Singapore. He also is the most followed trader in Singapore. Where does Rayner stand, in numbers, with social media followers? He has about 22,000 followers on YouTube and his Facebook community consists of about 15,000. Most of his followers love what he does, however, with every public figure there are always haters. Rayner gives his perspective on his social media reach and how to deal with trolls.
Rayner entered the military (mandatory) at age 19. 97% of men entering the military end up in the same training camp, however Rayner was placed in an elite camp of men who are the first to go into combat — due to a glitch on his part in his application. Even though life was hard during his time in the military, it did award him his first “aha” moment — he realized his mind was much stronger than his body. He was able to take his body far past limitations that his mind had set. The military also promoted a mind frame of excellence, and that has been a driving force in his life.
Throughout the episode Rayner expands on: the importance of charting wins and charting losses, the true reality of trading, preparing for the big losses so you can wait for the big wins and taking responsibility for your losses so there is opportunity to learn from them.
In this episode of Trend Following Radio:
Pitfalls of trading contests
Predicting trading outcomes
Best trading strategies for part time traders
Filtering out noise
Taking 100% responsibility for the good and bad in life
“If you want to have a consistent set of results, you must have a consistent set of actions.” – Rayner Teo
Mr. Covel, I just want to say that I have challenged you on a couple of points on Facebook. I want to say I now “get it”. I just listened to Dan Pena on your podcast, but more importantly I heard “you”. I am 58 years old. I was a collegiate wrestler, so I know what mental toughness is. But I believe I was starting to drift into “snowflake” territory. I own a couple of homes in [name]. One is in [name] and I think that might be the “snowflake” capital of the world. I worked at Charles Schwab and I am retired. I have a MBA. I did all the things I was supposed to. However, I never did branch out on my own and I regret that. I now follow you and the markets. I have a couple of editions of “Trend Following” including the new 5th edition. Gold. Sir you are a total bad ass with amazing skills in terms of communication. So I greatly appreciate your contributions to the world…I bet you might get messages like this from “fans” but I’m coming from a point of respect. I highly respect you and what you have done with your life.
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