Bill Lipschutz – A forex trading genius?

Bill Lipschutz – A forex trading genius?

Bill Lipschutz is appointed Director of Portfolio Management for Hathersage. And one of the global heads of foreign short-term traders. Bill was born in Farmingdale, New York. He was born in a family that was not familiar with either Forex or trading in general. Bill Lipschutz immediately distinguished himself at school for the good evaluations achieved consistently. He particularly showed interest in math, as well as tennis.

Having always excelled in mathematics, in 1982, Bill earned an MBA in finance from the Johnson School of Management at Cornell University.

Interestingly, at a young age, Lipschutz managed to generate over $ 250,000 in profit quickly. He was investing the $ 12,000. Although he made some mistakes and lost his capital after that, Lipschutz continued to trade and switched to Forex.

Salomon Brother Bank hire Lipschutz

In 1982, the Salomon Brother Bank hired Lipschutz as a full-time merchant. He began generating around $ 300 million per year for the bank, placing it among the top five merchants in the world.

He became in 1988 a Head of the Global Foreign Exchange Options and the New York Foreign Exchange. In 1989, he became a Managing Director of Foreign Exchange.

However, his success didn’t stop there. In 1991, Lipschutz managed to found Rowayton Capital Management, with a focus on managing currency-related assets. In 1995, he founded Hathersage Capital Management. His company firm won the Best Macro Hedge Fund award in 2018.

The most impressive side of Bill’s career is his approach to Forex trading. He often says that forex trading is a psychological market and that market perceptions can influence price action.

It highlights the importance of risk management and also states that the key to being a successful forex trader does not depend on being right all the time – traders must learn to make money when they are only 20-30% right.

Not surprisingly, with his approach to trading, Lipschutz often referred to as the sultan of Forex, is also one of the wealthiest traders. His fortune amounts net worth of $ 8.3 billion.

Lipschutz said that he had not stopped being interested in construction works. But he was too showing interest in transactions. When he graduated from Cornell University, he earned two degrees: a Bachelor of the architecture design program and an MBA in Science.

Trading lessons from Bill Lipschutz

As stated at the beginning of the article, it is necessary to underline the salient aspects of Lipschutz’s philosophy and Bill Lipschutz’s trading strategy.

“If traders learned to work 50% of the time they are currently used to, they would make a lot of money.”

What does this statement mean? First of all, the more time you spend in an open position, the greater your exposure and, therefore, the higher the risk. Furthermore, it is always good to work in one position at a time. More positions mean more time to spend in front of the computer, trading, increasing fatigue, and reducing clarity.

Bill Lipschutz’s forex strategy

In short, Bill Lipschutz is one of the supporters of the English saying “less is more,” which is very popular among traders.

“If the trader is motivated by money, then he is motivated by the wrong thing. A truly successful trader must feel involved in trading and consider money as a side effect.”

His audacity and refusal to feel terror when making the most important decisions have made him who he is: an example, a true businessman.

This can be defined as the cornerstone of the Lipschutzian strategy. That is, it is not the money that moves the trader but the trading itself. Although, especially to those who have recently approached trading, it may seem very strange, acquired some experience one can only agree with Bill. Money is only a side aspect of having done a good job trading, but it is not conceived.

As the world’s largest financial market, remittances have always been very active. According to statistics, hundreds of trillion US dollars are subject to trade daily on the global money market. In fact, currency markets move day and night just like the Earth turns. Fund remittances move wildly globally, from the United States to Australia and from the Far East through Europe.

Yet in this city of $ 1 billion and over $ 1 billion remittances, the big money changers who can really master the secrecy of the transaction are few, and Bill Lipschutz, known as the “King of the Sudan Forex,” is one of those few.

He was Solomon Brothers best forex broker

As everyone knows, Bill Lipschutz, no stranger in currency circles, was Solomon Brothers best forex broker. And since he was 36 years old, he has chaired the Solomon Brothers Currency Section for almost ten years, earning at least dozens of billions of dollars a year in huge profits for the company.

In a couple of years, he became the man of the city of remittances. A foreign journalist, Maggie Jackson, interviewed him. She found that his apartment and his life were more interesting than the negotiation techniques he had described.

After joining Salomon Brothers, he quickly climbed the hierarchy, to the sound of merit and praise, to become director of the branches in the northeast. At the peak of his working success, he made his final choice: He set up his own business and founded Hathersage Capital Management with a friend of his from college days.

Forex Business philosophy

Lipschutz often conducts business quickly, accurately, and rigorously. Even errors in decision-making can be corrected calmly and promptly. In an interview with the author of New Financial Skills, Lipschutz said that Forex trading relies first on intuitive touch and second on top priority: networks and information.

Foreign exchange trading relies heavily on relationships. Identifying possible futures rates and flexible use of information is crucial. If a good relationship develops beforehand, the response will be quick.

Access to information requires not only contacts but also constant vigilance of information sources. Lipschutz was the first Solomon Brothers man to install a telex in his home.