Hey guys,

garcia1000 fails at creating interesting thread title again. This is a thread about poker and investing. Therefore it should go in OOT and not BFI or one of the poker forums, in my opinion! If my opinion is wrong then I will be like that my thread will be moved though.

Ok well, like this is directed mainly to poker pros and those who derive a significant amount of your income from poker. It's not directed at university students who play poker part-time because you guys have like, school and stuff. But mainly to poker pros and similar self-employed people.

My question: how the hell are you investing your money?

Backing up a bit: I think that if you are a reasonably successful person making say, $100-$200k per year from poker, then you will have a large source of money left over after paying taxes, rent, living expenses, and so on. Maybe around $50k or so.

This is a lot of cash to have arriving daily into your accounts. Even if you ate luxurious meals and lived in fully furnished houses, it would be hard to spend it all. On the other hand, you know jack **** about investing, if you're a poker pro. So you have a dilemma in that you have a lot of money, but no way of knowing how to use it.

Normal people in white collar jobs deal with this by joining 401k plans. But you're self-employed, and unlike most self-employed people you don't have a sole proprietor business that you can reinvest the cash into. This is because you probably suck at poker so if you move up you will be a loser, as far as I know.

Anyway, so the way I see it is that you are a young guy out of college with a lot of cash on his hands and you don't know anything about investments. This seems like a recipe for trouble to me. How are you dealing with this problem?

There's a forum about investing, and forums about poker, but for some reason a thread about investing poker money should go where investing and poker aren't discussed?

There used to be good stuff in the BFI sticky that'll lead you to places to get started.

I am not looking for investing advice. I'm asking how poker pros invest.
I don't think many of them frequent the BFI board.

Where the hell would I post this? HSNL? Great my first post is "Hay guys look at this hand no actually I wanted to ask how do you invest your monies?" BFI? Maybe, but there aren't many core posters at BFI who are poker pros whereas I know that some of the regulars at OOT are.

Am I making my post clearer

There's one dude that buys apartments. I don't remember who though.

rikakizaakahak


As to OP, I learned from BFI, and was steered to investing in vanguard index funds:
Total Stock Market Index
Total International Market Index
Total Bond Market Index.

Plus a house, but that's not totally an "investment" per se.

This seems more like an EDF post.

Huh, you are right. I don't know why I didn't think of EDF. Is there some way to move my post to EDF? I am bad with this software and can't find the option under 'thread tools' or whatever.

... what the hell? I can't even find where I can delete thread and re-post this as a new thread in EDF. I am bad at this

staking people can be a great investment if you find the right people....kinda tough to find the right people though.

Make a gimmick account and post a bunch of horse porn. The thread will get deleted. Then make a new thread in EDF.

LOL, Genius.

Oh I need a mod to do this I can't delete/move threads by myself

hjalp pls?

I think a lot of this depends on your investment goals. Are you looking for retirement like a 401k as you mention in your OP? Are you looking for something very liquid where you can store money you might need again for a bankroll but want to get some interest on in the meantime? Do you want to play poker your whole life or do you want to put money away to eventually try and start your own business or something?

basically you want to determine how much of a risk you want and how liquid you need the funds to be, and your goals for the money are what should dictate that.

imo.

I'm definitely interested in this topic.

I don't understand why the source of savings originating in gambling would have an impact on investing?

The correlation between your labour income and the market is important to consider when deciding how much to invest in risky assets. So far I figure it's close to zero but we'll see how close it moves to 1 as the recession starts to bite.

I think there are a lot of cases in poker where people have acquired money faster than they have learned what to do with it.

I personally am very dissatisfied with my investing skills. I have put my money into some index funds, a condo, and an online savings account. Overall I'm a net loser at investing (over 3 years). This is mostly due to putting a decent chunk into MGM and getting destroyed (because I'm a complete noob.) My best investment would probably be myself in poker, but since I'm playing stakes insignificant to the size of my bankroll and not moving up its not really a compounding investment and therefore a bit frustrating.

If I could find a way to get over 5% earnings on my money passively I would park it all there.

I was only moderately successful in my poker playing days, but I still have several friends who are successful at high stakes, so I guess I can comment.

Although some of my friends blow their money on insanely stupid ****, most are relatively smart in terms of investing. The obvious strategy is investing in low-risk stocks and mutual funds. But others invest their money in more creative ways. Many invest in real estate, while others start up businesses, such as poker coaching/training websites. Some even stake other players, which can be tricky but very profitable. One of my friends has a stable of horses that play relatively high stakes MTTs, and he makes a killing.

I basically picked a bunch of stockfunds snf bought some of that.
Than i lost about 10% of that, im a fish when it comes to investing like i would guess most pros are.

I started a (very) small Poker Room and Casino.

Oscar

I max out my ira every year for the past 3 years. Depending on how much money I feel comfortable putting away after that, I invest in ETF's on Vanguard. My current portfolio is..
Capital Opportunity - 40%
S&P - 15%
Emerging Markets - 20%
International Growt - 10%
IRA's in target fund - 15%

I guess I do this because my professor's effectively convinced me the market cannot be beaten Perhaps when I graduate this semester I can have more time to spend on learning how to trade on my own. Currently, I'm debating over weather to buy Vanguard's Health Care or Energy ETF. They both have a large required investment, so I want to make the right choice. Any opinion on weather or not health care will outperform energy over the next 30 years?

You shouldn't be invested in bonds unless you are....

1) old
2) risk adverse

[ ] Risk Adverse
[X] Risk Averse

and I'm graduating with a degree in Finance in 4 months