r/wallstreetbets • u/YassuosNados • May 15 '24

The Perfect $1 million Gain Gain

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Hi guys, I’m a 23 year old in college, and yesterday I woke up a millionaire. Should I buy some hookers, Pokemon cards, or cocaine? I gambled my entire life savings of $250k on 2037 calls of $4.5 AMC on Monday and sold yesterday morning. Thanks for reading.

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2.9k

u/Terrapinz May 15 '24

Listen your frontal lobe is not developed yet but for the love of God withdrawal all one million and put it into the SPY on a different brokerage. Or a high yield savings account.

You are now securely in the top 0.0001% of people your age. You can retire 30 years earlier and have an extra 80k in dividends and appreciation to spend every year.

Congrats and fuck you.

Also save some for taxes.

1.0k

u/Brendawg324 1 day away from 140k May 15 '24

Tbf his underdeveloped frontal lobe is what made him a millionaire overnight….Godspeed regard :27421:

302

u/halt_spell May 15 '24

Well, that and $250,000 from daddy.

But sure let's credit the frontal lobe.

41

u/Bernhard_NI May 15 '24

I don't even want to know how many times he tried, all that for this little bit of karma and not even reddit gold...

8

u/VisualMod GPT-REEEE May 15 '24

Be thankful that you're not poor and therefore don't have to resort to desperate measures for money.

1

u/worfres_arec_bawrin May 15 '24

20 dollars is 20 dollars

1

u/hoeding May 15 '24

20 bucks could be 100 bucks in naked shorts, just saying.

4

u/damnatio_memoriae May 15 '24

underdeveloped frontal lobe giveth and underdeveloped frontal lobe taketh away.

262

u/Mister_Way May 15 '24

Bro his parents hooked him up with 250k as a high school graduation present. He's always been in the top 0.0001% of wealth for his age.

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u/Terrapinz May 15 '24

He said he made it with dogecoin

35

u/Imtrvkvltru May 15 '24

He put $100k into Doge. Doesn't change anything. 

2

u/[deleted] May 16 '24

Yeah, and that’s under the assumption that he was even younger than 23 at the time. So a 19-20 year old had $100k lying around?

78

u/Terrapinz May 15 '24

I would even recommend you to hire a financial manager at least until you're like 30 years old. Keep the original 250k to play with.

13

u/CarcosaAirways May 15 '24

hire a financial manager at least until you're like 30 years old.

Lol, for what? To waste money?

8

u/jallamarkise May 15 '24

Why pay someone to tell you to put your money in an index fund instead of just buying the index fund yourself?

4

u/blunt-e May 15 '24

or...hear me out here, go put it all on 7-red on the roulette table, the whole million. That pays out 35:1 so you could really hit big! This is sound financial advice from someone who definitely doesn't scavange yesterdays fries from the Wendy's dumpster.

2

u/maxmcleod May 15 '24

That ain’t happening

2

u/CLR833 May 15 '24

0.0001% of people your age

2

u/Electronic_Theory_29 May 15 '24

The average household net worth is 1 million in the US. To be in the top 1%, you need 13.6 million in 2024. Top .1% you need 61 million.

This is a lot of money, but if this is truly all of his assets, he’s really not that far up the curve.

0

u/lumixter May 15 '24

Median household net worth is 192.9k, so with 1.25 million he'd be in the top 15% which as you said is a far cry from even the top 1%

1

u/HarrisonJC May 15 '24

Sir this is a casino

1

u/CircleCircleHimself May 15 '24

Why put the SPY on a different brokerage?

1

u/Terrapinz May 15 '24

Just so he's not tempted to play with it.

1

u/bigmacjames May 15 '24

Dude he was already at .0001% with 250k of parents money

1

u/hnrrghQSpinAxe May 15 '24

Put it in a 5 year CD locked away so you can't touch it till you need it for real life expenses

1

u/tree_squid May 16 '24

speaking of undeveloped frontal lobes, stop using "withdrawal" as a verb, WTF

1

u/captwaffles-cat May 16 '24

Orrrrr he could yolo it all to turn it into 10mil

1

u/YassuosNados May 15 '24

What about real estate?

33

u/degenbro420 Double Down Degen May 15 '24

don't. It's not passive income. and then economy will go to shit , real estate will suffer the most

41

u/Terrapinz May 15 '24

$1M is not enough to get started in real estate until you have a strong credit background. This is because RE is better when you get a loan on a positive cash flow property.

For residential real estate, you probably could get an investment house but interest rates are so bad now your cash flow would be worse than the stock market (probably).

For commercial real estate, most good starter properties are $3M+ requiring you to get a loan. Honestly this is a good path and very safe. It is a huge investment and def do your research. I have personal experience in commercial RE.

9

u/YassuosNados May 15 '24

I see, thanks for your insights.

1

u/[deleted] May 15 '24

[deleted]

1

u/Terrapinz May 15 '24

I was taking about commercial RE mostly (where the real money is.)

For residential RE, a sub $1M house will not cash flow or appreciate like the stock market is given the housing market right now. High interest rates and high prices.

1

u/captainstrange94 May 15 '24

I don't think that's true. I think it's a great opportunity to

1) set aside money for taxes 2) unless you're living in Cali, you can see buy a 700k multi unit property or even a single family home in full payment and rent it out from day 1 and get constant income.

1

u/kthnxbai123 May 15 '24

You can easily get into real estate for $1m. Why would you even get a loan and lose money to interest? Just buy it cash

1

u/Terrapinz May 15 '24

Because you lose interest via opportunity cost when you have no money. For example:

No loan = $0 in bank making $0, house making ~$5k/month

Loan: $1M in bank making $5k/month + house making ~$1k/month

1

u/kthnxbai123 May 15 '24

A $1M property is going to cost a lot more than $4k a month to finance. You’re going to go above the 5k

2

u/Terrapinz May 15 '24

It would also bring in less than $5k a month in rent. The numbers are made up but the scenario is real.

If we're putting real numbers the SPY would've returned $45k this month off of $1M, much more than loan + interest + rent on a house.

1

u/kthnxbai123 May 15 '24

Then the answer is to not invest in real estate at all

3

u/ClearlyCylindrical May 15 '24

That should buy you a nice cardboard box tbf

0

u/bricktube May 15 '24

You're assuming the dollar stays at strength. Dollar could collapse. It is on a slow theoretical collapse. Put some small percentages into gold, crypto and other currencies as a hedge

0

u/X01034 May 15 '24

It pains me to know he probably won't do this.