Baron Kimble | FAQ | BaronKimble.com

General Questions (3)

Basics for the blog

With all that is happening in the world I thought it would be important to share some of my thoughts. Often I have ideas I felt needed to be more concise and could be helped by writing them down and shared and publically debated. Some of these ideas range from business, trading and investing, entrainment, politics, and ideas or insights I thought it would be worth sharing with those willing to listen.
Good ideas really, that I want to research and maybe surprise myself. Something that comes to mind that you can't quite let go. This could have a wide range from investing, business, entertainment, politics, and speculation on any topic.
Finance is full of misinformation. I will try my best to help people out on some my own processes for risk and strategy development. The best thing you can do is sit back, watch, and listen, and maybe try to enhance your own trading methods and investing strategies by adapting some of my thought processes. It is the least I can do to help give back to the finance community. "What a nice guy." What you should not do is try to identically replicate the trades and strategies I post here, reason being, it probably will not fit your personality and will fail for you.

Other Questions (6)

Inquring minds want to know.

Most of the time I spend with my family enjoying life. Raising a kid was a lot more work than I thought. When I think of things that are worth talking about, I write a blog post on them. Otherwise I research, improve some of my business ventures, edit, and play video games when I have free time to de-stress.
WGC was wound down shortly after I had my kid a in August of 2016. I underestimated the time commitment and stress of having a newborn, so I had to stop operating the fund, and managing other people's money, and focus on my family. I trade currently from personal accounts as I am a more casual trader and investor as I can't look at the screen all day and stare at the micro fluxuations of the market.
At the time I was student at CMU studying business administration with an emphasis in accounting, and I had some money I used from previous businesses from CA saved up. I used the money to speculate using fundamental and technical analysis to place trades. I was semi-successful at the time even though I had several large drawdowns of 20%-30% since I was trading from a small account and taking large risks (my very first trade I bet it all). I was probably too hard on myself sending out alerts after these drawdowns would happen as I felt people were losing money based on my trades. I knew very little of the risk management and portfolio management aspects trading at the time which lead to these large drawdowns. In the end and looking back it was ok since I traded with relatively a small amount of capital.
Probably not. Life has just changed to be honest. Having a kid is a life changing experience. Needless to say, my family and I are well off. There is not a whole lot of purpose add to the more stresses we have. Also I have diversified my own work with several other business ventures in sectors I think could have a lot of upside which I will share on the blog in the future. Also even with great returns it is difficult to raise capital even among friends and family. To be quite honest, most people don't have money to invest.
Around the time of the newsletter I had around $20 grand in trading capital I think. The market had a sharp drop, similar to the end of 2018, and I figured it was a buying opportunity. I was right in believing the market would bounce (2 months later the market made a new 52w high), but the trade I had to do at the time was very risky, I bet around $12k of the trade in options on the VXX puts. Little did I know there was a huge implied volatility premium, and the way I was trying to play a market bounce was far too complex (also I didn't know anything about futures at the time, which was a good thing considering my account size). I put the trade on a Friday, and on Monday the market actually went DOWN, the wrong direction of where I wanted the market to go obviously, but implied volatility actually went higher, so through dumb luck my options went UP in value. Very lucky. But I wanted to be greedy and held the position, till evitable had a loss of around $7k (peanuts compared to today). At the time I had a lot of haters (and probably still do for some reason) and they ridiculed me for losing on this trade. In the end the trade failed because I didn't have a profit target and was too greedy. Yes, even at that time I had no system in place or expectation of a profit target, which just showed you how little I actually knew at the time as far as risk management. I reflect more on this trade here in this blog post.
Around Christmas time the market went dead as far as volatility in single stock names. XOMA had gone up basically 30%, I shorted the stock way too early around 10a.m. Basically I forced the trade, and held on too much as the stock exploded higher. The stock moved up 100% and basically blew me out because I think I traded it too large. Again I think I lost around $5 grand on the trade, which is a lot for a college student. Eventually the stock collapsed days later, but the point being the broker also couldn't supply the shares of other viable trades so I had to switch brokers. I reflect more on this trade here in this blog post.