I am just posting this to have public documentation of the changes I am making. If you have questions send me an email at email@example.com. Comments on this thread will be ignored.
Patience is a Virtue
There are no changes to Patience is a Virtue.
Why do Opt for Patience and Tax Your Patience Exist
In 2019 I was managing my IRA and tax/margin accounts in the exact same way, which was tracked by my C2 strategy Patience is a Virtue. In 2020 there were some funds and ETNs that were delisted that made me decide to manage my tax/margin accounts differently than my IRA accounts. Because of this I wanted to use options to optimize the IRA accounts and margin loans to optimize the tax/margin accounts. I wanted any changes to Patience is a Virtue to be minimal so as not to cause problems for subscribers that didn’t want to use options or margin loans.
Why did Opt for Patience and Tax Your Patience Go Away
Shortly after starting these two additional strategies I settled upon a way to manage both types of accounts efficiently using the same method and without using options or margin loans. Because of this I delisted Opt for Patience and Tax Your Patience, but left the C2 strategies to sync in case I needed them again. Tax Your Patience didn’t record the actual performance of my taxable account very well because I did not make sure the balance of the dollars in the real brokerage account and the C2 strategy were in sync. For example, in my real taxable account at times I had only $50,000 in the account while in the Tax Your Patience strategy on C2 it was running $150,000. Therefore returns and drawdowns were dampened for most of its history. However, Opt for Patience did have very similar balances between the real account and the C2 Strategy. This is because it was an IRA and didn’t have me depositing and withdrawing money as frequently. Therefore, the results of Opt for Patience and Patience is a Virtue are very similar for the life of Opt for Patience.
Repurposing Opt for Patience
I plan to repurpose Opt for Patience to start reading a taxable/margin account where I plan to do more aggressive investments than I do in my IRA accounts. The plan is to then have Patience is a Virtue continue to track my IRA and then have Opt for Patience (Now Patience for Margin) be renamed and track a taxable/margin account. Tax Your Patience will remain private and continue to track a taxable account that is not suitable for people to subscribe to since I move money in and out and do a mix of different things in it.
How will Patience for Margin be different than Patience is a Virtue
Opt for Patience will be renamed to Patience for Margin and will use margin loans and options in addition to ETNs. The main difference is that it will be much more aggressive than Patience is a Virtue and theoretically could have a maximum loss greater than the value of the account due to some short positions. Yes, I use stops and options for protection, but theoretically it could have a loss greater than the value of the account. Personally I will only be using it with a portion of my overall net worth and only a portion of my taxable investments. That being said I still have some high hopes for it.
Why Have Two Strategies
I think Patience is a Virtue IRA is fantastic, and I will continue to manage the bulk of my assets using it. However, I want to be more aggressive with some of my funds in a way that can’t be done in an IRA, and I want this public track record to record it.
Snapshot of Opt for Patience Now
Take note that the TOS status of the strategy will restart as I link it to a new brokerage account.
Snapshot of Tax Your Patience