Newcomers often ask me: “Hunter, how many times can your options strategy multiply in a year?”
When I answer “the target is 12-24% annualized,” I can feel the disappointment through the screen.
“Only 12-24%? That guy doing 0DTE Calls doubled his money in a day.”
Usually, at this point, I choose silence. Because trying to convince someone who wants fast money is like trying to wake someone pretending to sleep.
Today, I want to discuss the cruelest truth in the trading world — the Impossible Triangle.
Silent’s Note: If your current goal is still “10x in a year,” this article may offend you. But I suggest reading it through — it might save your life.
The Trading Impossible Triangle
In investing, there exists an “Impossible Triangle” similar to a physical law. You can never simultaneously have all three:
- High Returns (50%+ annualized)
- Low Risk (minimal drawdowns)
- High Liquidity (easy to enter and exit)
You can have two, but never all three. Want high returns and low risk? You will be locked into illiquid positions (think private equity). Want low risk and high liquidity? Accept modest returns (think treasury bonds). Want high returns and high liquidity? Accept high risk (think 0DTE options).
The harsh truth: anyone promising all three is either lying or about to blow up.
Why 12-24% Is the Sweet Spot
At 12-24% annualized:
- You double your money every 3-6 years (rule of 72)
- Drawdowns stay under 30% (psychologically survivable)
- You can sleep through earnings season
- The strategy is repeatable, year after year
At 100% annualized:
- One bad year and you are back to zero — or below
- The psychological pressure leads to revenge trading
- Survivorship bias makes it look easier than it is (you only hear about the winners)
Conclusion
I did not choose 12-24% because I lack ambition. I chose it because I did the math. The tortoise does not beat the hare because it is faster — it beats the hare because it never stops.