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Kelly Criterion: Why You SHOULD Use Leverage — And By How Much
How to find your optimal leverage & maximize returns with my free Kelly Curve indicator
Henrique Centieiro9 min read·Just now--
How much should you allocate to a certain investment? How much should you leverage?
If you have $10,000 available to invest, how much should you put into a stock like Tesla, and how much should go into an index fund like the S&P 500?
Most investors have no idea what the optimal allocations are to maximize their returns.
“Tesla stock? I’ll put $5,000. S&P? Let’s do $2,000.”
Don’t ask them why. They wouldn’t know how to answer. And that’s exactly why they’re leaving huge profits on the table.
In this article, I will show you how much you should allocate to that Tesla stock and why you should use leverage (yes, leverage) to invest in the S&P 500 index fund.
Pay attention— this article could double your returns.