Learn Trade From George Soros

  • George Soros is a world-famous speculator. He was in the international spotlight in September 1992, when risking $ 10 billion in currency speculation.

    The total profit on the transaction almost reached $ 2 billion. As a result, he is best known as "the person who bankrupted the Bank of England".

    He became famous by holding the title of 'The Man Who Slaughtered the Bank of England' in September 1992, when he made a profit of 1 billion pounds from the effect of the fall of the British currency.

    On September 16, known as the Black Wednesday, the Ministry of Finance quickly lost billions of their reserves and forced the pound out of the European Exchange Rate Mechanism (ERM).

    Soros is also famous for the Quantum Fund.

    The company produces an average annual return of more than 30% when Soros dominates it.

    Soros is also a controversial figure. He was suspected of being the "trigger" behind the Asian financial crisis in 1997 when he had a bet against the Thai baht. In addition, he is also known to be active in politics and philanthropy. What can we learn about trading from George Soros?

    The Life Story of George Soros

    George Soros Born Full Name György Schwartz, George Soros (Shorosh) was born on August 12, 1930, born in Budapest, Hungary.

    Soros's childhood was colored by war when Nazi Germany invaded Hungary in 1944. In 1947 Soros fled to England and became a student at the London School of Economics. He graduated from the school in 1952 and then obtained an entry-level position at an investment bank in London.

    In 1956, he immigrated to the United States and became an investment manager at FM Mayer, a company in New York. He also moved to work in Wertheim & Co and Arnhold & S. Bleichroeder.

    In 1973, Soros founded the Soros Fund Management hedge fund company, which eventually developed into the Quantum Fund. For almost two decades, he controlled this hedge fund aggressively and very successfully. It is reported that the rate of return reaches more than 30% per year and, on two occasions, is able to provide annual returns of more than 100%.

    In the late 1980s, he quit the management activities of the Quantum Fund. As one of the richest people in the world, he became a philanthropist, donating large amounts of money throughout the world through his foundation, the Open Society Foundation. He is also active in politics. He wrote and lectured extensively about the role of the US in world affairs, including human rights, political freedom, and education.

    When Soros was offered an honorary degree from Oxford University and was asked how he wanted to be described, he was quoted as saying: "I want to be called a financial, philanthropic and philosophical speculator." This sums up the life of George Soros himself.

    When Soros fully retired in 2000, he spent almost 20 years speculating with billions of other people's money. He made them very rich through the very successful Quantum Fund. He made a number of mistakes throughout his career, but eventually, he was one of the richest speculators in the world.

    What can we learn about trading from George Soros?

    As an investor, Soros is a short-term speculator, making big bets on the direction of the financial market. He believes that the best financial markets can be described as chaotic. Securities and currency prices depend on humans, or traders - both professional and non-professional - who buy and sell these assets.

    These people often act based on emotions, not logical considerations.

    • Macro: George Soros is a master who is able to translate macroeconomic trends

    • Leverage: George Soros takes advantage of the use of very high leverage. A possible strategy is that only a few people can do it.

    • Focus: George Soros focuses on the bond and currency markets

    • Timeframe: Soros is a short-term speculator

    • Views of the market: Soros believes that financial markets can be described as chaos. Securities and currency prices depend on humans, or traders - both professional and non-professional - who buy and sell these assets. These people often act based on emotions, not logical considerations. He also believes that market participants are influenced by each other and move as a herd. He said that most of them followed the herd but always observed the opportunity to get out and take a step forward.

    • Instinct: Soros said that he had an instinctive physical reaction about when to buy and sell. This, which Soros has, in particular, cannot be learned.

    Five facts about George Soros

    Behind a bit of a phenomenal story, it turns out this man keeps another interesting story to be kidnapped. Curious about what the story is like? Here are five facts about George Soros, one of the cold-handed investors in the world.

    1. George Soros has learned to survive since children

    Childhood is usually traversed with happy and happy memories. Unlike the experience of George Soros.

    Trapped in the turmoil of World War II made the man born in Budapest, Hungary must feel the bitterness of occupation by Nazi Germany. The precarious situation at that time made Soros and his family have to be smart in hiding.

    In this situation too, he learned how to survive. With his father, he provided fake documents for people who wanted to save themselves from Nazi Germany.

    2. Obsessed with the idea of open society during college

    After World War, Soros then moved to England. There he took an education taking economics.

    Under the guidance of his teacher Karl Popper, he became acquainted with the idea of open society. The idea of an open society is an idea that supports the existence of a liberal society and rejects views that are claimed to be absolute truths.

    Soros who had experienced the bitter wartime was interested in the idea. Because he was obsessed, he also used the term open society as the name of his foundation.

    3. Start a career on Wall Street

    At the age of 26, Soros decided to move to the United States. His experience while working at a bank led him to work in a number of companies on Wall Street with positions as traders and analysts.

    With his abilities and intelligence, Soros successfully managed the funds entrusted to him.

    4. Rich in billions of dollars of investment

    Long working in a number of companies, George Soros chose to establish his own company. With his assistant, he ran Soros Fund Management in 1973.

    Soros Fund Management is a global investment management company (hedge fund). For the sake of gaining big profits, hedge funds use methods that are somewhat aggressive. You could say these ways as an act of speculation to gain profits quickly.

    Through a company that changed its name to Quantum Fund, Soros scored a lot of profits.

    In 2014, since its establishment, the Quantum Fund has made a profit of around US $ 39.6 billion. This has included profits derived from crises in the UK and Asia.

    5. A generous figure who is a charity of billions of dollars

    Many criticisms have come because Soros's actions in investing are considered immoral. One such criticism came from Mahathir Mohamad.

    Soros doesn't stay silent either. He reasoned that the crisis was due to negligence from the regulator.

    Continue again. Soros said that due to a regulator error, a crisis could arise. Instead, he replied to Mahathir by calling him a corrupt person.

    Although many don't like it, his figure as generous is worthy of being praised. In the name of the philosophy he believed in, Soros carried out many humanitarian actions through the Open Society foundation he founded in 1979.

    The charity given is not only a million two million but billions of dollars!

    Until now in his old age, George Soros has not retired from the investment world. He also did not hesitate to share the knowledge of his success in investing through his book entitled The Alchemy of Finance.

    Philanthropic Activities

    These hedge fund managers began to break away from the day-to-day control of his company during the 1980s and 1990s, paying more attention to various philanthropic activities instead. Since then, he began offering scholarships to black students during the apartheid era in South Africa.

    Soros has also spent billions to support progressive free market projects throughout the world. He was more focused on opening up exchanges of Eastern European culture during the fall of communism, before expanding investment to other regions throughout the world.

    Then, Soros formed the Open Society Foundations (OSF) which now has programs in more than 100 countries around the world with 37 regional offices. It was explained that OSF had a focus on building a spirit of democracy and tolerant government to open the participation of all people.

    Soros Foundation Leave Hungary

    In 2017, when Soros was ranked 29th in the world's richest person by Forbes magazine, it was reported that he had transferred USD18 billion or about 80% of his personal wealth into the organization.

    According to its website, the aim is to use its financial independence to fight some of the "most difficult problems" in the world.

    Soros, who remains very vocal about the world economy and global politics, has drawn criticism from 21st-century nationalist politicians, who have described it as a kind of left-wing bogeyman.

    In Europe, he publicly criticized the handling of the euro debt crisis, while during the height of the refugee crisis in the region he promised great support for aid groups supporting migrants.

    This policy, in particular, has placed him on the opposite path with Prime Minister Viktor Orban in his home country.

    The Hungarian government even funded the distribution of giant posters that slandered investors in 2017. The Soros Foundation finally decided to move its office from Hungary, blaming the "increasingly repressive" environment

    Attack and Conspiracy

    During the United States (US) election, Soros became a big funder for the US Democratic Party. He supported the presidency of Barack Obama and Hillary Clinton, and also labeled US President Donald Trump as "the best deceiver".

    Theorists and right-wing conspiracy sites based in the US have accused Soros of secretly designing a series of recent events in the US and global politics.

    They alleged that he was involved in recruiting people for Anti-Trump Women and even organized violence in Charlottesville to weaken the country's political right.

    Such conspiracies, and negative sentences from the work of his foundation, often accused of being anti-Semitic, voiced Nazi-era conspiracy theories about Jewish bankers planning to create a "new world order"

    Personal life

    George Soros has been married three times and has two sons and a daughter from his first wife, Annaliese Witschak who was born in Germany, whom he married in 1960.

    The couple then divorced in 1983, and then Soros married his second wife, Susan Weber.

    The couple remained together until 2005, having two sons during their marriage. After parting, he married again for the third time with Tamiko Bolton who was 42 years younger in 2013.