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Why Trading Credit Spreads is a Great Wealth Building Strategy

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The one thing that every investor wants is a high yield on their investment and as little risk as possible.
Trading credit spreads is one type of investing which offers both high returns and poses a much lower risk than other investments.
The risk associated with credit spread trading is significantly lower than that faced by investors in stocks or commodities and the returns are quite respectable: as much as 15% return on your original investment each month! Of course, there are risks in credit spread trading; there is always some degree of risk involved in an investment.
A lot of people avoid option trading altogether out of fear of these risks; but when you use this strategy correctly,  you can bring in great returns while facing a very low risk of losses.
Credit spreads are investment vehicles which allow you to quickly build wealth without the risks of stock trading; The risk of taking losses is many times lower than that of trading stocks and commodities, making credit spreads something that many investors are looking into as a safer and more profitable alternative.
Trades are all short term (30 days or less) with option spreads since their value drops as they near their expiration dates .
However, the nature of the credit spreads market is precisely what makes it so profitable - more than 90% of trades in credit spreads are profitable, a figure no other type of investment can even come close to.
The advantages of trading credit spreads:
  1. Produces quick profits - in fact, you get your profit up front!
  2. Low risk - Since these trades are profitable 90% of the time, it's a safe way to invest.
  3. Traders take their profits immediately after executing the trade; the trader then has only to protect their profit until the expiration of the credit spread.
  4. The condition of the broader market doesn't affect this type of trading.
    Once the trade is executed, it doesn't matter what the market does.
    You have already made your profits and your money is safe.
  5. Getting started is easy - With stock and commodity trading, investors need to develop an in-depth knowledge of the market to minimize risks and maximize returns.
    However, credit spread traders don't need to perform this kind of extensive market analysis in order to make profitable trades.
    With a minimal investment of time, traders can get started a building wealth.
    Anyone can trade credit spreads, even if they've never invested before.
  6. Managing your trades takes only minutes per week!
  7. Consistent profitability and financial growth - If you're an active trader, you can see returns of as much as 20% every month! Supposing you begin trading with $1,000, you would make a million dollars in four years of trading at a (very realistic) 15% rate of return.
This is all you need to get started trading credit spreads:
  1. An account with a brokerage which handles trading credit spreads
  2. A $1,000 balance in this account to cover margin requirements
  3. A basic knowledge of how the market works, and the ability to spot trends
  4. Access to schedules for earnings reports and dividend payments (easily found on Yahoo).
  5. Ten to fifteen minutes each week to manage your trades.
It's really that simple! It's the safest way to grow your wealth through investment and it's so easy that you can start making money today by trading credit spreads!
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