Full Time College Student Trades Options for 500x/Year Returns

Summary

The interview features Izzy, a 19-year-old finance major at Lehigh University. Originally from Turkmenistan, Izzy shares his journey of moving to the U.S., discovering options trading, and making 500 trades by the age of 19. He recounts how he saved $6,000 through hard work, began trading with that capital, and nearly doubled it before facing losses due to overconfidence. Izzy highlights his passion for finance, the lessons learned from his losses, and his adherence to proper trading mechanics. He aspires to be an options market maker and continues trading while studying.

Takeaways

• 🎓 Izzy is a 19-year-old finance major at Lehigh University, originally from Turkmenistan.
• 🌍 He moved to the U.S. in 2015 and is fluent in Russian and Turkmen, still learning English when he started high school.
• 💼 Izzy developed an early entrepreneurial spirit, trying to start a car wash business at 16, but later pivoted to finance and trading.
• 📈 After getting scammed for $800 on a technical analysis course, he discovered options trading, which became his primary focus.
• 💪 Izzy worked two summer jobs, saving $6,000 to start his trading journey, without financial help from his parents.
• 💡 He made 500 trades within a year at age 18, learning important lessons about risk, overconfidence, and market mechanics.
• 📉 After an early success of turning $6,000 into $14,000, he lost his earnings by deviating from his strategy and buying naked calls.
• 🛠 He eventually returned to trading basics, using volatility strategies like short verticals and butterflies with a focus on mechanics.
• 🏫 At Lehigh, Izzy is involved in the finance club and engages in active trading, discussing strategies with other students.
• 🚀 Izzy has long-term goals of becoming an options market maker and continues to refine his knowledge and trading skills, learning from mistakes.

Q & A

Who is the main guest in the video and what is his background?

The main guest is Izzy, a 19-year-old freshman at Lehigh University majoring in finance. He grew up in Turkmenistan and moved to the United States in 2015. He has an entrepreneurial spirit and has made 500 trades by the age of 19.

What inspired Izzy to get involved in finance and trading?

Izzy was initially inspired by his entrepreneurial mindset. After a failed attempt to start a car wash business, he researched ways to make money online and discovered penny stock trading. This led him to options trading, which became his passion.

How did Izzy fund his initial trading account?

Izzy funded his initial trading account by working two jobs at Arby's and Chipotle for 80 hours a week during the summer of 2017. He saved $6,000, which became his starting capital for trading.

What was Izzy's early trading strategy and how did he perform?

Izzy focused on trading volatility, using strategies like short verticals, butterflies, and iron flies. By October 2018, he had grown his account from $6,000 to nearly $14,000, achieving almost a 100% return.

What lesson did Izzy learn from his trading mistakes?

Izzy learned an important lesson about the dangers of overconfidence. After his early success, he deviated from his strategy and bought naked calls on Apple and SPY, which led to significant losses. He recognized the importance of sticking to sound mechanics.

What is Izzy's current trading style and how has it evolved?

Izzy has returned to his disciplined trading approach, focusing on short verticals and pairs trades involving highly liquid stocks. He maintains a watchlist of about 35 liquid stocks and ETFs.

What role did language and culture play in Izzy's early experience in the U.S.?

When Izzy first moved to the U.S., he barely spoke English and had difficulty making friends. However, his interest in finance and trading helped him build connections, including starting a finance club in high school.

How does Izzy balance his academic life with his trading activities?

As a freshman, Izzy is currently focused on completing his required courses. However, he is actively involved in trading and even discusses trades with a fellow options trader on his dorm floor.

What are Izzy's long-term career aspirations?

Izzy aspires to become an options market maker, a role he finds appealing despite its challenges in today's electronic trading environment. He is excited about the opportunities available in finance.

What advice did the hosts offer Izzy regarding his trading journey?

The hosts praised Izzy for his dedication and domain expertise, encouraging him to continue making trades and learning. They emphasized the importance of sticking to mechanics and saw great potential in his future given his early accomplishments.