What would be the best way to make money betting on a crash?
* I knew the 2008 housing crash was coming when someone told my Dad that mortgage companies were not even checking credit history of buyers anymore. I knew that day, housing market was toast, but I did not know how to make money off of it.
A quick Googlefu brought up this article. No idea if these funds are good but this kind of things is a Good investment point if you want to bet on a crash:
http://www.investopedia.com/articles/investing/090115/top-5-...
The problem with shorting equities like that is that your downside is unlimited. "The market can stay irrational longer than you can hold your short position," or whatever the saying is.
Perhaps it will bring down the inflated costs for online advertising to counter this.
But this is probably a bad idea. Meanwhile, I'll be selling premium.
If crash comes: ride it out on savings and alternative income streams.
If crash doesn't come: congratz, you're rich.
And even then, most people would not call you "rich" by Silicon Valley standards. I would say "rich" at a minimum requires you to be able to buy a house in Silicon Valley or SF.
only rich people have houses in SF ... for now
Low risk, high reward is the name of the game. A job at Google or Facebook, if you can get it, is just as stable these days as a job at a startup is.
I've never really seen the draw into the startup lottery, it just seems like a bad bet as an employee most of the time.