Today i learn a new "wealth creation technique" for traders from Fergus. I wonder why i havent thought about it before.
For example, he said that some of his clients will buy 20 lots of ABC stock and if the trade is a profitable one, he will then sell 19 lots away when he exit the trade and keep the 1 "free" lot. I think that this is an excellent wealth creation technique because it allows you to be vested for a long time when you know that the entire portfolio of stocks is a "free" one. This will also be a source of passive income going forward if there are dividends declared by the company. Perhaps it might even give you a free lunch next time when you are retired and is free to attend the AGM! (not to mention the free annual reports which you can sell to rags-and-bone man).
I think this is an excellent wealth creation technique for traders who trade stocks and may generate the 'passive income' for you next time. I will try to adopt this principle in my trading.