Trader Mark Cook: How One Cow Changed a Farmer's Career.
We've all heard repeated calls to never give up, to get up off our knees and keep moving forward, without looking back. Unfortunately, in the trading world, almost every trader is self-motivated; no profession requires as much motivation as trading.
The cost of a mistake is hundreds, thousands, or even millions of dollars, and before a trader reaches the top, he will have to fall to the very bottom many times.
Today, trader Mark Cook is a well-known figure in the stock market. His fortune and life's journey are truly astonishing. However, few know that he initially owes his success to his cow, and, of course, to the luck that made him who he is.
Mark Cook was born into a family of hereditary farmers; his great-grandfather bought a farm in Ohio, after which it was inherited by his father.
From childhood, Mark saw himself as the successor to this farm, having had to help his father with everything from an early age. After graduating from high school, he enrolled in the Ohio University School of Agriculture.
As a student, Mark repeatedly bought various stocks because it was popular among his peers. His first shares were Columbia and Sambo; while the first made a profit, the second lost. Thus, from his first purchase, he learned that you can win as well as lose in the stock market.
Because Mark was a diligent student, he decided to serve on the judging panel for the national heifer competition in Ohio. For those unfamiliar, the competition was to select the best cow. The winner was Elsie, who became a Borden company advertising icon. Mark was chosen as the cow's chaperone, or more simply, herder, after which they set off on a 13-week trip around the country.
According to Mark, he's traveled to virtually every corner of the country, attended dozens of conferences, and met countless people. He was once invited on the radio, where he spent the entire night talking about cows, and afterward, fans were waiting for him at the entrance. It was the cow that made him popular and gave him countless impressions and connections.
When the tour ended, Mark Cook decided to try his hand at brokerage. He sent out resumes everywhere, but received only negative responses. One day, he decided to change something and added a phrase about being the herder of that famous cow. It's hard to believe, but a representative of one of the stock exchanges had read a newspaper article about that same cow that day and seen a photo of them.
When Mark called, the company representative told him directly that he was in hundredth place in the ranking, but because of this very cow, they moved him up to first place and he was being hired.
Trading. First failures
Mark Cook earned his first $20,000 by flipping cows. One day, a broker gave him a brochure on options, and Cook decided to try trading on his own. As a result, in a very short time, Mark lost $20,000, and still owed $3,000.
However, after such a bitter experience, he didn't give up. Instead, he saw the potential for growth and continued trading with even greater diligence. His work as a broker, which brought in a sizable income, also served as a safety net.
In 1981, Mark came up with options selling strategy, which formed the basis of the program created by his friend. Having switched to systematic trading, Mark Cook began making good money, and within a year his deposit had reached approximately $115,000. However, seizing his chances, Mark overestimated the risks, ultimately resulting in a loss of $500,000. To pay off his debts, he had to take out a loan secured by the farm's outpost.
In 1986, Mark started keeping his own trading diary and began conducting a more detailed analysis. He discovered that trades held for more than three days almost always resulted in losses. After a minor adjustment, the strategy began to generate very good profits.
So, at one point, Mark quit working for a broker and focused on independent trading. After participating in a number of championships, Mark became a well-known manager, and the money began flowing in. A single trade with an initial sum of $15,000 earned him approximately $1.4 million in one day.
It is not for nothing that Mark Cook became an example of one of the stock market wizards in Jack Schwager's book "Stock Market Wizards: Interviews with Top Traders".
