Investment & Life Investment Option and Strategies

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Investment & Life

Investment & LifeInvestment Option and StrategiesCase StudyInvestment Strategies formulationLZ ProductsQ&A401K, Real Estate, investment mistake, and etcAgendaTuition/Living Cost will inflated at 7% annuallyCurrent tuition/living cost for BA $280,000


Sean have 5 years boy and smartWithin 15 years, boy will go to StanfordSean have $300,000 Budget for his kid NowSean already is 60.Case #1

John and his wife are having their second child. They plan to send their kids to Stanford, but not sure if they will have enough money to do it. Only thing they have is both of John and his wife have jobs, which paid them about $200,000 annually. They are youngJohns family has cost as following:Income tax:$60,000Daily Cost:$24,000Kids Related:$20,000Mortgage:$60,000401K:$30,000Others:$5,000Case #2

Case #1: (Return Rate)Inflation 7%SustainablePracticalLow riskCase #2: (NPV Cash Flow Calculation)Cash Flow/(Rr-Rg) : $1,000/(7%-5%)=$50,000Cash Flow Return Rate >7%Annual Growth Rate >5%With 10% sustainable return:>$91,000Case Study

ProcessRiskReturnCash FlowExampleSummaryTake AwayTop 100 Hedge Fund in the marketStrategic Investment

Strategic LevelMacro and/or Micro Econ AnalysisMarket and Scenario AnalysisBusiness Evaluation/Operation AssessmentTactic LevelRisk and/or Return AnalysisOperation Simulation (Crystal Ball/ War Game)Operation DesignFinancial LabDemo/Performance TrackingProduct finalizationProduct PromotionBusiness Operation

Strategies Formulation Process

Risk vs. RichSymptomsCatching up inflationOpportunity CostSolutions:Investment SizeTime FrameLife time eventProfit WithdrawUnavoidable even without invest in anything

RiskFull Capacity PotentialReasonable ReturnGoal Orientated RateMortgagee RateWSJ Prime RateLiborBanking Interest RateIncome Tax Rate


FluctuationWiped outBalanceDurationLoss ReserveCash I/O

Cash Flow

Writing straddle hedging via Long butterflyFollowing writing Call/Put Long spreadOption Strategy ExampleHolding Capacity 1/3 (FC Gain 52%)Loss Reserve 5%(5 years)Base RateWSJ/Libor/MortgageIncome Rate20-80Return Expectation500 to 1000 Over LIBORTotal Return1500 to 2000 BPStrategies FormulaSustainableTri-directionalAffordableMarketablePractical


TargetOver 10% gainSustainableMin Balance below $100,000Min Duration within 5 yearsWithin one market: Mission ImpossibleSolutions: Combination of Stock, Option, Future, ETF, Index, Commodities, Forex, Real Estate, and etc.General PrincipleTaking Care of RiskClear Exit StrategiesTake AwayTop tier: 15%-123%Average: 5%-20%Balance:$100,000Duration: 5 Years

Top 100 Hedging FundProductsTargeted CustomersLZ CapitalGeneric AccountsFlex-D Return Expectation: 6-9% Over LiborGuaranteed Rate: WSJ Prime RatePlus 20% of Profit SharingMin Balance: No requirementMin Duration: 1 YearMagic-IReturn Expectation: 10-15% Over LiborBase Rate: 30 years Fixed Mortgagee Rate50% of Gain up to 5% as Loss Reserve80% of Gain unlimited as Income Min Balance: $25,000Min Duration: 1 YearCustomized AccountsCSA(Customized Single Account)Min Balance: $50,000Min Duration: 1 YearCCA (Customized Comprehensive Account)Mortgage (Interest Focus)401K(Retirement Focus)Brokerage (1 Year Return Focus)

Products From LZ Capital18Following the Email From LZ CapitalIt is slave account You have total control of cash flowLZ Capital fully control of tradingAccount operating regarding to AgreementIncome Tax arrangementCustomized Single Account

Looking for sustainable 10%+ gain$150,000+ in your 401KAccessible Home equityMortgage and other loansExtra CashCommitment for a whole yearHow LZ Capital Fit Into Your MoneyGoals vs. PlansStrategic vs. tactic mistakesRisk vs. ReturnExiting vs. entering StrategiesLiquidatability vs. DurationBalance vs. ReturnOptimization vs. OpportunitiesNPV methodMoving evaluation approachesPossibility mindsetAvoidability of the gameQ & A

Macro EconMicro EconTech AnalysisFundamental AnalysisDerivatives3 to 5 years trading ExperiencesMarket Research/Business analyticsPolitical vs. EconQualification to Playing Strategies

Highly Liquidable EquityStockFutureETFDerivativeModerately Liquidable EquityReal EstateCommodityStampWineLiquorLow Liquidable EquityAntiqueEtc.Personal Investment Options


It is Commodity, Saving in most, Investment in some degreeNatures:Took many years to build up the valueTook few years to crashLow liquidationRisk to be leveraged about 5 timeMajor FunctionGreat saving tool to against inflationKey G/L factorsMortgage Interest RateTax BenefitsCash FlowingTransaction CostKey is Exit rather than EnterReal Estate Market24

Macro/Micro EconJob (Unemployment, Available, Job vs. Population)Housing TradingNew Permit Application (Qualy and Quanti)New Housing Invent (