George Soros: The man who broke the Bank of England
Forex is a very big industry and there are many stories hidden in this world. If you are trading in this industry, you will know about the turtle experiment which was done in the 1980s that proved the world that nobody from any background can be a successful trader if they received the right and proper training. This experiment made the world believed in the practice of trading and now, this article will tell you about another legendary story. This is about a man but not just any man, he is a legend and mystery himself. You may have heard his name in one form or another because he is known as “the man who broke the bank of England”. He is George Soros, the co-founder of a hedge fund that has more than 27b dollars in assets. He is one of the richest and successful investors in the world. It is a crime not to know about this man if you are trading Forex. This article will tell you a short story of this amazing man and about his trading philosophy.
Before we jump into the details of George Soros, you have few information to add to this article. Trading is not like gambling. Here you can control the outcome of each trade by using your intellect and trading knowledge. But this doesn’t mean you will be winning all trades. Losing is just a part of this profession. You have to constantly work hard to keep yourself tuned with the latest market news. Those who are smart, knows the random nature of the market. However if you can trade the market with managed risk, you can easily find high risk-reward trade setups.
Starting from the expert traders of today ending with George Soros, everyone had a game plan to trade the market. You might be very good at traditional business but the trading industry is totally a different platform. You have to deal with emotions to make decent money. If you get involved in the CFD trading industry, you will understand the importance of proper risk management. Regardless of the market condition, you should never risk more than 1% of account capital. However, the experienced traders often take 3-5% risk but this should be the case for you. Focus on your investment rather than profit factor.
Who is George Soros?
George Soros does not come from a rich family. Soros was born in 1930 in Budapest, Hungary. At that time, Hungary was occupied by the German Nazi and Soros immigrated to England in 1947. He was only 17 years old when he steps his foot on London. He attended the prominent London School of Economics and started his life as a stockbroker in England. He started his first hedge fund, the “Double eagle’ which was renamed into “Quantum fund” which has more than 25b of assets now.
To the world, this man is known as who broke the Bank of England. He did not come with hammer and stone to break the bank but he made some amazing trade that in generated him profit so much that the bank of England got broke. It happened in 1932 and even the British History remember the day, naming it “The Black Wednesday”.
What is his trading philosophy?
The trading philosophy of this legend is simple. He believes that every trader can be successful if they work hard. He also believed him to be against the herd. When all the traders are placing their trades, Soros would wit to find the right time for placing trades. He believes that the market is indeterminate, you should not waste time trying to know the future trends. All the hard trades have elegant and easy solutions. Soros made himself a legend by proving the world wrong and believing in his own strategy. It is a lesson for us to believe in ourselves.