Casey Stubbs (00:01.746)
In today's episode of the How to Trade It podcast, we're diving deep into the world of options success from the man who cracked the code, Henry, the founder of Invest with Henry YouTube channel. But it wasn't always a smooth ride. In this episode, we're going to learn step by step how Henry made $2 million. Henry's journey to becoming a self-made millionaire will leave you inspired.
If you're ready to unlock your full trading potential and achieve your financial goals, listen now because this episode is about to change the game. Hey, Henry, how are you doing today? Doing great. How are you? I am pumped about interviewing you today because I absolutely love your YouTube channel. I just want to start out by saying excellent work and I really appreciate everything you're doing over there.
I'm glad that you've liked some of the videos. I'm just here to educate. I'm super excited to talk to you today. You know, I think from seeing your YouTube channel, the thing that really sets you apart from most people, which is why I reached out to you. So I'm really glad that you responded. But the thing that sets you apart is you're real transparent with your trades. I mean, I saw your Robinhood account. It's a $2 million account. That gets people's attention. So what's the deal with like,
really going open and showing everything right on YouTube. A lot of people don't do that. Yeah, I was super nervous at first because my father is from like the ex Soviet Union. And he always told me like showing off is really bad when people are like jealous, it's bad luck. And I really wanted to educate people on options. So I started coaching for free before I had a YouTube channel. And then when I first started to share my knowledge on YouTube, I uploaded a video at the time I had $100,000 in my portfolio.
and I got like 200 views and I felt so like weird. So I had to take the video down. Then I asked myself, if I can help a lot of people, who cares how I feel? If I can just help people learn this thing, it doesn't really matter to me. So at that time, I didn't even know YouTube pays. I didn't know I could be a coach. I just wanted to help people. So I kind of, you know, kind of forced myself to just focus on the good rather than the bad. So yeah. Yeah, I think it's pretty.
Casey Stubbs (02:22.822)
motivating for people because they're like, oh wow, this Henry dude is not a scammer, he's not a joker. It's hard to know who's real on social media, man. I mean, a lot of people spend more time posting pictures of like fake stuff just to get attention. And so I know that gets attention and attention is good, but then again, if they're focusing on the wrong thing, they're not actually learning. Yeah, attention is kind of like the new currency. You see that with, you know, Kim Kardashian, Alex Hermosy, a lot of people are after attention.
And don't get me wrong, I do believe there's no real good guys. I like my attention too, but the difference is I'm not going to give up my integrity or my reputation in exchange for attention. So to me, it's important, you know, and part of how I make money as a coach is to gain people's trust and actually deliver on what I'm saying I'm going to do. So if I deliver a fantastic experience to five people, I value that more than a bad experience to 5,000 because then my career would be very short.
and I want a very long career and I want to do this as long as possible. Okay, so I'm excited to find out about some of the secret sauce here and I'm glad you're gonna share it with me. But before we get through that, I want to get a little bit of background because I know you said you work for Goldman Sachs. And so is that where you learned how to really generate money from the market was when you're working for Goldman Sachs?
It was really a combination of things. So when I went to university, I studied at Drexel in Philadelphia, and I just took a lot of internships. So I first got an internship at group one trading. It's a New York kind of like a hedge fund for options. They worked right on the New York stock exchange. And that's kind of where I started to like really learn what options were. But to be honest, I was 19 and yeah, through my first paycheck at options, but I didn't really know what I was doing. So only after that experience.
had I had a different job, which was Goldman Sachs, and there I learned more about stocks and options, and a lot of time I spent there was inside of the research portal. They had a lot of different articles about covered calls and selling puts, and just like stock picking and generating income. So I read every single option article I could, and I almost felt like, you know, I was basically back in college even though I was working. So.
Casey Stubbs (04:40.742)
It was those two internships and then I had a third internship at a place called PNC Capital Advisors, they're also in Philadelphia, and they were more of like a quantitative hedge fund. So they were looking at analytics and trying to predict momentum and earnings per share. And it was just a combination of those three things and plus lots of pain and experience on my own. So were you still in college when you were doing those internships?
Yeah, so I mentioned Goldman Sachs a lot and I kind of name dropped that but in all reality everything I've ever had was an internship. It was three to six months and people kind of like discredit that. But to be honest, I learned everything that I had to learn. I've consumed everything because I worked like 24-7 and I learned everything I had to in three to six months. I wouldn't even stay longer and my only official job out of college was working at IBM as a consultant and I honestly didn't even want a finance job because I felt that I had consumed every single finance textbook.
every single born Buffett book, and I didn't really want to work in finance, plus they also limit you to how you trade when you work at a hedge fund or anything like that. Okay, so then basically what I'm getting at here is you went in and you just were like a hungry lion and you devoured all of the information that you possibly could, and then when you got it, you just said, that's it, I'm not staying in the system, I'm gonna go out and do my own thing.
Yeah, exactly. I had so much pain in my life from my parents immigrating and not having any money and then Yeah, I just had so much pain inside myself that I really forced myself to make money my priority for the first 25 years Of life, so I didn't really focus on my health. I didn't focus on mental health I just only focused on making money, which I don't really recommend but I really took that seriously So I learned every single thing possible about trading and investing Okay, and so
Was there any fear involved with not having a job? Did you have a lot of money before you decided to go out on your own? Or what was the process from there? To, you mean, how I actually became a full-time trader and didn't have a job? Yeah, because you said you weren't in finance very long. Were you working on the side? Yeah, so I've pretty much tried everything. So aside from working three finance jobs, I also worked as a tax accountant and a consultant.
Casey Stubbs (06:56.138)
And in 2020, I took an account from 100K to 700K. Now I'll be honest, I was trading a lot of Tesla. People also like to discredit that, but look, I didn't trade Tesla blindly. I was trading it in a very smart way. I was buying leap options, call options, yes, but I was also doing plenty of credit spreads and other, you know, safe strategies. And yeah, along that process, I also started to, you know, it took me eight bumps, but then I started to make a little bit of money on YouTube and a little bit as a coach. So a combination of those things,
I felt like I was just secure to start traveling the world and just trading full time. You had three buckets of revenue here. You got trading revenue, YouTube revenue, and coaching revenue. Yeah, absolutely. I'm never shy to talk about that. I think a lot of... A majority of social media people, actually, they don't have a degree in finance. They don't have experience, and they make a majority of their money selling courses. I kept getting hit by ads from...
I won't mention really names, but the typical Lamborghini people or flashy people saying like, oh, I made all this money trading. And I kind of looked at that and I realized that I want to do the same in an authentic way without a Lamborghini. And I just want to teach people that this is possible, but it might take a little bit more time. It's not like a get rich quick. So I want it to be the authentic version of all these gurus. And yeah, it just turned out that my passion for investing turned into a fairly lucrative
business as well. Yeah, so I'm just telling you, because you already know this, but from watching you, you are totally authentic. And here's how you've cracked the code for the people that are listening that might not understand the difference. A lot of these guys will either be trying to get attention, and I'm not here bashing anyone because I don't do that, but they're either trying to get attention or they might be like telling people how to do things or what to do.
But the difference with somebody that's really authentic is they're actually demonstrating how to do it and they're doing it for themselves and they're showing people what they're doing and they're being open and transparent there. And so that's what you're doing. And I see a few other people doing that and those are the ones that I really want to connect with. Uh, so that is powerful to really show people what you're doing. Yeah, absolutely. I, uh, always tell people I make.
Casey Stubbs (09:15.214)
plenty of losses and lots of gains. And I like to show both sides of the coin because it's like almost lying if, I mean it is lying if I just show the gains. So I have losses from time to time as well and it's important to show both. Yeah, I agree. And it's just, it's not, the losses just are not fun, obviously. People don't like to deal with that. But that's part of becoming good at trading is really understanding that this is how, you gotta deal with that and accept it.
Yeah, exactly. So let's talk a little bit about, for the people that are listening that are maybe stuck or they don't know what to do to get massive, insane success trading like you have, Henry. What would you recommend to people that really need an edge in the market? Yeah, so it's actually just a simple formula. It's simple, but not easy. The simple formula is you have to get started.
Begin trading and learning. You have to learn as much as possible. Get really hungry about that. Find where you have an edge. So I have, for example, I had a client who works in oil and gas, and I told them, well, you should have a little bit more oil and gas stocks because you understand how they work. But the formula is really investing, which is an activity, putting more money into your portfolio as you gain confidence and time. It's like a plant. You water that plant, you give it time.
and you give it the right environment to grow. Okay, how much time should it take? How much time should somebody invest on a daily basis and how long does it take to really learn these things? I have a really unique approach. So I think learning option trading in the beginning could take some time, right? Everyone's different. I see some engineers just get in a couple hours, whereas other...
maybe more normal folks could take a week or two. Everyone's journey is very individual, but once you understand the basics of strategies from there on, it's just really getting the experience of how to manage each trade. And in terms of that investment journey, it looks different for everyone. I mean, for me, it took seven years to get seven figures. So seven years, seven figures. My first three years were super tough. I just copied all the best investors and you kind of figure out the best investors also make lots of mistakes.
Casey Stubbs (11:40.374)
So my first three years were really painful. Then my next two years were just flat to making some money. And then obviously in 2020, I blew up. So it might look like luck because obviously the market went up, but I was in a position to take advantage. And here's the real key. A lot of people made money in 2020. None of them kept it. I kept it all and I'm still making money. You know, maybe not as much as 2020, the COVID times, but I've kept it all and I'm still, still up. So.
kind of just shows you in the good and bad times I'm able to do okay. Well, that's a really good question or comment and point because I did pretty well in 2020 also, but 21 was tough for me. So what was the secret? Did you adjust your strategy? Cause you were obviously had to adjust. So what did you do differently in 21 to still make money? The main thing is once Tesla shifted momentum, I decided to not have as much Tesla. And I also told myself, I'm at a point where I have seven figures.
which is quite a lot of money, I should not be greedy. So it was really effective timing. Obviously you can't time the market, but sometimes you have to say enough is enough. I ended up getting out of Tesla and diversifying more into some ETFs like SPY, but then also just having more blue chip stocks, like Apple and Amazon and Microsoft and Google, and just doing covered calls on those and staying away from the high flying EV stocks. I had some China exposure.
and I had NEO, which I bought at many different prices. And although that has been a very volatile stock, I've actually been able to hedge a lot by doing covered calls, by selling puts. I did some market timing. So it's just a combination of diversification and strategy. Okay, so now that you are in a totally different situation, you've got a great portfolio to use, you can be more conservative, you don't necessarily have to hit the big home runs to grow it up to a million.
You know, that's a different type of trading. So for now, if there's a new person that really wants to get free, right? Financially free where they don't have to worry. They've got to maybe put the accelerator on initially. Is there a strategy that you recommend for people that are really trying to scale from a small account to a large account quickly?
Casey Stubbs (14:01.994)
You know, that's a tricky one because obviously everyone wants that and it's totally understandable. I think the best way to do it would be to do more spreads, some iron condors, as well as even buying options, which I'm not really a proponent of on my channel. On Invest With Henry, I typically am against buying options, but I think there are some times where if you do your technical analysis right, and you know, maybe a stock has an event, maybe it's earnings.
Maybe it's another event that's coming up. I think buying call options could be a very good strategy. That can obviously get great returns. And very recently myself and I decided to do a poor man's covered call on Starbucks. And that ended up making 20% in three weeks. So, you know, it's kind of doing a combination of different strategies that are a little bit more aggressive. So when you had the nice growth in 2020 with Tesla, did you use...
a call buying strategy? What was your primary strategies for that? I did, actually I had this interesting mindset which I don't know if it's replicatable but I think it could be. Basically I had 100K, I was what, like 26 at the time and I told myself if I end up losing a good amount of this 100K, it's fine. I'll be working again, I'll go back to corporate America, I'll just be working. I have a long time horizon.
But if I can turn this 100K into something real, I might just travel the world. And I decided to take a big risk. I did lots of bull call spreads, lots of put credit spreads, at the money 50 Delta, really, you know, high in that Delta and some buying call options. And Tesla was really helpful, but it wasn't just Tesla. I had other stocks. It was Neo was part of that journey. You know, there was some charging companies that were part of that journey. And there was now even a little bit of the tech companies.
We're part of that journey as well. Welcome to the strategy segment. It's your guide to dissecting popular trading strategies and we'll highlight a specific strategy, unravel its key components, and provide you with actionable insights to enhance your trading skills. Today's strategy is a bull call spread. Let's get started. A bull call spread is a relatively simple options strategy.
Casey Stubbs (16:24.45)
that's designed to profit from a moderately bullish outlook on a particular stock or asset. Here's a one-minute explanation of how to execute a bull call spread. Number one, select the stock. Start by choosing the stock or asset you're bullish on. You believe its price will go up, but you want to manage your risk. Number two, you buy a call option.
Purchase a call option with a strike price that's lower, closer to the current price, and an expiration date a few months out. This is called your long call. Step 3. Sell a call option. At the same time, sell a call option with a higher strike price and the same expiration date. This is your short call. And step 4 is you manage risk.
The call you sell, your short call, helps fund the purchase of the call you buy, the long call. This reduces your initial investment, making the strategy more cost effective. Step 5. Profit potential. If the stock's price goes up, the value of your long call increases, which benefits your position. The short call caps your potential profit, but it also reduces your upfront cost.
Step 6. Limited losses. Your maximum loss is limited to the initial cost of the trade. If the stock's price falls and both options expire worthless, your loss is the initial investment. Step 7. Calculate your breakeven point, which is the price at which your gains equal your cost. It's the strike price of your long call plus the net premium paid for the spread.
Step number eight, monitor and adjust. Keep an eye on the stock's price. If it moves as expected, you may hold the position until expiration. If not, you can make adjustments to manage risk or take profits. In summary, a bull call spread is a strategy for bullish traders who want to manage their risk. It involves buying a call option to profit from a rising stock and
Casey Stubbs (18:49.182)
at the same time selling a call option to offset the cost and limit potential losses. This structured approach can be an effective way to capitalize on a bullish outlook. Now let's get back to the strategy. Now I realize that you mentioned that rapid growth is a challenge, but what type of strategy would you recommend? Like if there was one strategy, if I'm going to push you up against the wall and say you can only trade one strategy.
which one would it be? What would you do like starting today if you had to start over again? Bull call spreads, no doubt, because you can buy a bull call spread that's slightly out of the money where you put up 200 bucks and the max profit is 500. So you can turn $200 into $500 and that could happen in a week or two. So that's two and a half X in your money. And I would do that on volatile stocks, Nvidia, Tesla and other stocks that have high implied volatility.
Okay, bull call spread. So walk me through the process of how basically from start to finish you execute a bull call spread. Yeah, so say stocks at like 90 bucks and it has a lot of good momentum, it's rising. And you think it's gonna continue to rise. Basically, what you would do is you would buy a call option that's slightly out of the money. So for example, it's at 90, and out of the money option would be 100. So you can buy a $100 call option, then you can in turn sell a $105 call option.
Now the reason you do that is obviously if you buy a $100 call option, it's gonna cost you five bucks, let's say, and if you sell the 105, maybe it'll cost you three bucks, okay? Or you get paid three bucks. So the difference is two bucks. It costs you two bucks instead of five. So that's a call, you know, that's a bull call spread. You're buying one call option, selling another. You have upside potential to make money, you know, and if the stock reaches 105, that's where you've realized your maximum profit. And at 105, you've made 500, you know, total, and you spent.
300 or 200. Sorry, so you're up, you know 300 bucks in profit. Okay, so it's a $200 risk to make 500 What happens if the stock if it doesn't work? Do you come out at break-even? Do you lose the full amount? Like what's the negative consequences of that if and what does the stock have to do to hit the full 500? It has to really go past 105 before expiration That's where you won't even realize the full 500, but that's where you'll realize the majority of the game
Casey Stubbs (21:16.126)
or has to really end at 105 exactly. Okay. When you're doing this, you say you have to hold it for a week or two. What would you do like try to find one good bull call a day and then let those be rolling over? Like if you hit one a day, then you've got constant cashflow coming into your account or do you find them less frequently than that?
Yeah, a lot less frequently. It's a very tough process because you basically find a stock that you are bullish on, that you have a high conviction in, which for me at the time was Tesla. You buy a bull call spread and then the hardest part of all happens. This is so hard in all areas of life. I've had this, you know, now it's easy for me financially, but in other areas of life, in your health and your relationships, the hardest thing is be patient. Don't touch it, leave it alone. And that's really hard to do in finance, yet alone hard to do in all areas of life, but...
They're really intertwined and I have a kind of like a spiritual view on trading. So once you find a good opportunity, you set a position and you forget about it. And I don't know who said that, but you set it and forget it is something I've heard many times. Okay. So set and forget, but you have to manage the trade, right? Or with a bull call spread, you just don't need to do anything once it's on. To be honest, all this managing is mumbo jumbo that people like say to kind of sell programs or like get attention.
or to seem smart, if you've done your homework correctly and you have high conviction, it's like picking a spouse. Okay, if you pick the right person and you've kind of put in the work there, you built a good relationship, you don't really need to manage it too much, right? If you have an ideal partner, for example. Same thing with trading. When you've done your homework and you have conviction, if you know what's going to happen and there's a high likelihood, you don't need to manage it. You just leave it alone. Okay, all right, now.
Does that, I'm gonna rebuke you a little bit, or not rebuke, but disagree, at least on the spouse part. Sure, yeah, you may be right on that part. Well, because I've been married for 18 years, and I never, ever just set and forget. True, true. I'm constantly pouring love, affection, and attention, and admiration at all times, never stop, because if not, that flaming hot romance will die.
Casey Stubbs (23:37.734)
Right. But anyways, sorry. But with the trade, do you just, do you have to close it or does it just expire? How do you end the trade? Yeah, I usually close on the very last day. So on Friday of expiration, that's when I will close it and take a profit. Okay. And if it's not profitable, you just close it either way. So. Yeah. If it's not profitable, then you close it for a loss.
Okay. And then with this strategy, if someone was looking at scaling this, right? So you're going to, you start out, you trade it with one contract, it's $500. And then how, what's the process for like really growing an account with this strategy? Is this like a really high win rate if you're bullish on the stock and it's working, you're winning most of the time with this? No, I-
could say I am not winning most of the time on a buying strategy. Just by definition, when you buy out of the money options, you're gonna win less than 50% of the time. But win rate doesn't really matter. A lot of people get really caught up with win rate. Currently my win rate in my current strategy is like 88% or even 90%. I'm winning all the time. And back then my win rate was like around 30 to 35%. But the fact of the matter is, take for example,
Let's say that my win rate was 1% and now people that are listening are like, this guy's crazy, he's stupid, et cetera. Right. But let's say that I lost a dollar 99 times, but one time I won a million. Right. So that would be, it would look bad, right? I have a 1% win rate, but when I do hit, it hits so hard. Right. You hit like a monster. It's like maybe in a sales position, you're selling yachts.
and everyone rejects you, but then you sell a hundred million dollar yacht to a famous athlete, and then you get a commission of three million dollars, and that's all you need for the whole year. So with the buying strategy, the success rate is less than 50%, but the hits are pretty big. Okay. So, but 500 is not really a big hit though. I'm talking more so in percentage terms. So when you lose 500, it's a hundred percent loss, right? So on a bull call spread, if you bet 500, you lose 500, the dollar amount's low, but the percentage is massive.
Casey Stubbs (25:59.534)
It's a hundred percent loss. Okay. I need to get this clear because I don't think I'm understanding. I was under the impression that the max profit was $500 on the win. The profit is like 300 because like you're putting up 200. So you get 500, but you put 200. So it's like $300 profit. Right. So then that to me, just in thinking about this, that's not, because you use the example of risking a hundred bucks to make a million.
that is a big hit, big home run type strategy. This is just kind of like a consistent singles, singles type strategy. Yeah, yeah, that's true, yeah. So I give that example because the way I've actually been pretty successful in school and in life is to think in extremes. So whenever I think about anything, I try to kind of penetrate tests and see how we can break. So I always think in terms of like, what's the absolute worst thing that could ever happen? What's the absolute best thing that can happen? That's why I gave you that extreme example.
just to help the viewers that are listening in understand how tricky win rate and how deceiving it can be. Got it, okay. Okay, so then just to kind of really get my mind around this and so the listeners can get their mind around it. If we're looking at using this bull call spread strategy to scale our account, what is the best way to do that?
Essentially, it's like putting up 200 making 500 and then continuing to do that. And let's say you put up 2000 and make 5,000. But at a certain point, you have to kind of stop because you're not going to put 20,000 on the line to make 50,000. So at a certain point, you have to start, stop doing the bull call spreads and lower them from a hundred percent of your capital to, you know, just 10, 15% because you really need multiple strategies.
It's like a game of poker, or like a game of rock, paper, scissors, shoot. If I'm just throwing rock all the time, I'm extremely predictable. Or in poker, if I go all in with two aces, it's pretty obvious. And if I fold everything else, that's a losing player. So it's a combination of starting off with the bull call spread strategy, finding high momentum stocks that you can ride and turn that 200 into 500 as often as possible. But real quickly, you have to start diversifying into other strategies that are safer and more consistent.
Casey Stubbs (28:16.602)
Okay. Now we're getting somewhere. Okay. Now I get this. So you, that would be the starting point. Right. And then you would get, build yourself some cashflow to use. Right. And once you get that cashflow, then you would adjust and, and do a different strategy. So about what, what portfolios, like if you were starting and you got your portfolio to how much money would you keep that bull strategy? And then once you hit that level, what would you switch to?
I think beyond $50,000, you wanna stop the buying strategies because that's a solid base that you can't lose. For most people, $50,000 is a lot of money. And at that point, you start getting into the credit spreads. So you started doing put credit spreads and call credit spreads. You started doing some wheel strategy, which I have on my channel. It's the best strategy, literally. It's a lot lower returns. It's a lot more consistent, but that's how I prefer it. Because if you were able to do 10% a week,
infinitely, you would be a billionaire within a decade, right? You'd be rich, the richest man in the world in 20 years. So, you know, you want to start diversifying above 50 K. And honestly, when you hit 250 K, I purely just do wheel, just sell puts, just cover calls, or even, you know, 100 K. I started doing that. Okay. Uh, so with your bull call spread, do you have an instructional video on YouTube?
that would go over that in more detail than what we talked about here? Yeah, for sure. I mean, they could just type in invest with Henry, bull call spread, or just spreads. I have a full training on spreads. We'll include the link for everyone that's listening. I'm gonna include the link for that in the description so you guys can check it out or you can search it. Okay, so once you get to that 50K level, you're gonna do the wheel. And is that, did you come up with that name or is that just a really common option strategy?
No, I didn't come up with anything actually. Option trading has been around for a very long time. So a lot of these strategies, a lot of people call it my strategy. These strategies have been around before I was born. The real strategy is simply just selling puts and when you get a sign, then you start selling covered calls to generate income on stock that you have. So, I wish I came up with it, but I didn't. I did come up and I'm not sure, I'm not gonna quote this, but I came up with the double dividend strategy.
Casey Stubbs (30:42.794)
Okay, that's where I do covered calls on high paying dividend stocks, and I call it a double dividend because you get to keep the dividend plus you get a covered call, which is sort of like a dividend. So it's kind of like the wheel, but it's with dividend strategies? Yes, although I don't sell puts to get in, I just buy the shares and start covered calls. So it's just covered calls, but it's called double dividend because I use high paying dividend stocks. Do you know why I thought that you invented it? Because I've never...
I've heard about that selling put strategy for a long time, but I never heard it called the wheel before. You're the first person I've ever heard call it the wheel. That's great. Yeah. I don't think I created it. So that's a common strategy that is called the wheel, but I didn't know that. And so I learned something today. Yes. I think it is a common strategy. I think everything that I teach on my channel, you know, even Elon Musk, he created a vehicle that has four wheels, right? He didn't create a hovering.
three wheel vehicle, it's just, you know, he didn't recreate the wheel, it's just the vehicle. So even the most innovative, one of the richest men in the world, is just kind of piggybacking on existing ideas. Yeah, and so with the wheel strategy, I think it's great, but it's still, you just have to be consistent, right? You have to be consistent to make it work. To be honest, it's really hard to lose money with the wheel strategy. Like it's really, you have to literally try to lose money because long term, the market goes up.
If you do it on high quality companies that have really good support, running the wheel strategy is such a no brainer and that's why I own zero real estate. I have no other investments and my bank account's actually zero. I lie to you not, I have no money in my bank account and my entire net worth is in options. It's because it's so simple and it's safe and I really believe in this and I put a hundred, actually I have more than 100% of my net worth in options, quite a bit more.
So I'm leveraging. And I think that's great. And I'm not a big diversification person either because I'm a believer in the 80-20 principle, which says that 20% of everything is gonna generate 80% of your returns. And then inside of that 20%, there's an 80-20 in the 20-20, 80-20. So you wanna keep leveraging the very best things and putting everything you have in that.
Casey Stubbs (33:05.522)
I would say though, you know, when you put all of your eggs in one basket, there's a little bit more risks. It's like if your broker goes out of business or if there's a scam or something, which does happen. I have two brokerage accounts. But you still have the skills. You have the skills. So even if everything, you know, if they confiscate everything or whatever, you still have a skill set that can generate revenue. Yeah, for sure. I do have to. That's one of the, once you get there, once you get there, that's one of the reasons why people diversify is just in case.
something crazy happens. Yeah, for sure. So yeah, the two brokerages that I have are totally separate, obviously. And what I mean is I'm all in on option trading. I'm not really all in on a stock. I have lots of different stocks, primarily Apple and tech stocks, and as well as dividend paying stocks. But it'd be pretty hard for me to lose money because something really terrible would happen to the biggest companies in the world. Right, yeah. And those companies are really powerful, very solid.
they generate a lot of money. So Henry, this has been an insightful conversation and I've enjoyed it and I really appreciate the fact that you're out there, you're transparent, you're putting everything for people to see and you're teaching and training and I wanna thank you for doing that. What's the biggest thing that like motivates you to continue sharing and putting everything out there for people?
Oh, that's such a good question. So I think it's because I don't really have any other higher purpose in life. Maybe it'll be family, but even when I have a family, I'll still really enjoy coaching and teaching other people what has helped me become financially free. Yeah. There's making money is good. It feels good. It gives you a little lifestyle, but there's usually something else that gives you a greater sense of purpose.
Right. And I think teaching and training is one of those things. Sharing what you know with other people and helping them be successful is always a really cool thing to do. Absolutely. Well, for everyone that's listening in, I would recommend that you guys go and check out Henry's YouTube channel. It's invest with Henry. We're going to include the link on the description so you guys can all click it and check it out. I, you know, go check out that bull call spread, check out the wheel, check out double dividend, we'll put the links for all those strategies.
Casey Stubbs (35:26.962)
in the description and Henry, where else would people want to go to find you? Where else can they learn about what you're up to? I think YouTube is really the only platform that I am a hundred percent all in on. So just the YouTube. All right. Well, I think that's a great idea and you're getting a great following and I can understand why because you have some of the best content that I've seen on YouTube and I have been watching your videos and learning a lot. So I recommend that everyone else do the same.
You know, like Henry said earlier in the show, he said, you got to learn, right? And just go there and learn and watch every single one of his videos. And I recommend everybody do that. Subscribe and get all of his new content. So Henry, thank you for being on the show. I really appreciated having you. It was a great conversation. Thank you so much. That concludes another awesome episode of the how to trade it podcast. I loved Henry. Let me share some of the key actionable highlights and takeaways from my conversation with Henry.
Here's what I learned. Number one was authenticity and transparency. Henry's success in trading is ingrounded in his commitment to be open and sharing his journey with others. Both the wins and the losses can be a powerful tool for personal growth. The second thing I really picked up on was continuous learning. Henry was dedicated to learning and he mentioned it's an ongoing process. So whether you're a beginner or experienced,
never stop seeking knowledge and expanding your skill set. The third thing was risk management. You know, Henry's risk taking mindset played a significant role in his journey, but it was always tempered with smart risk management. Always have a strategy for managing risk in your trades. The fourth thing that I got as a takeaway is diversification and adjustment. In 2021, Henry shifted his strategy
towards a more consistent and safer strategy. He used one strategy to ramp up and then he adjusted into the strategy he called the wheel. So adjusting and running different strategies at different times and diversifying can be a key to managing risk and achieving consistent returns. And then the last one was just taking calculated risks. When you're scaling your trading account, consider more aggressive strategies
Casey Stubbs (37:51.786)
like spreads and buying call options. Remember to perform thorough technical analysis and have a clear rationale for your trades. Okay, so whether you're looking to start your trading journey or enhance your skills, remember these takeaways can guide you towards success in options trading. Remember that your trading is a journey and learning from experiences and experiences of other traders like Henry can help you achieve your financial goals.
And I really hope that you enjoyed this episode of the How to Trade at the Podcast. Don't forget to subscribe on your podcast channel. And please, if you liked this, if you benefited from the conversation with Henry, please go and leave a review because it helps other people find our show. Thanks a lot. Until next time, happy trading.