How to Be a "Stock Market Hitman"
In the Netflix movie "The Killer," the protagonist has rules that'll "kill it" with stocks ...
You’ve heard me say it here: When it comes to investing, you’re either a Wealth Builder or a Wealth Killer — there’s no middle ground.
In the business world — and especially when you’re talking about investing or trading — being viewed as a “Killer” is the ultimate compliment.
It’s the sobriquet “players” strive for …
Want proof?
Check out the (must-see) movie “Margin Call” — a thinly fictionalized account of the very start of the Great Financial Crisis. A fictional firm (an approximation of Goldman Sachs Group Inc.) finds itself upside down (essentially insolvent) on its massively leveraged mortgage-bond bet. So they call in a Young Turk-type named Jared Cohen (actor Simon Baker) to run a “Fire Sale” — a “dump-it-all-today-before-everyone-else-does” move that’ll screw every other investment bank on Wall Street.
After meeting Jared for the first time, two young (and clearly stunned) analysts turn to their battle-tested trader boss Will Emerson (actor Paul Bettany) and ask: “Who IS that guy?”
Replies Emerson: “He’s a killer.”
It’s important here to give you folks a bit of clarity.
In the Stock Picker’s Corner (SPC) Wealth Builder/Wealth Killer universe, our “Wealth Killer” term means “Wealth Eviscerator” … someone who chases returns, burns through money with speculative options or penny stocks, and succumbs to emotion to buy high and sell low.
In short, a loser.
In the SPC world, a Wealth Builder is an investment winner, a victor who comes out on top at the end.
It means roughly the same thing as Will Emerson’s: “He’s a killer.”
I’ve heard that before. In fact, I heard it many times during the 20 years I spent as a reporter — most of it covering professional investors, the economy and big public companies — where corporate insiders would refer to some company heavyweight as “a killer.”
Then, last week, I heard that “killer” term again — in a movie.
But not a business movie. This time it was a movie about a killer for hire.
It’s called “The Killer,” and it’s one of the hottest movies on Netflix right now.
And with good reason: It’s outstanding.
But I’m not here to do a movie review. I’m here to share some wisdom.
You see, the film’s protagonist is a Hit Man. And he’s got a personal code — a set of rules for being a successful killer.
As I watched it, I had an epiphany: His rules are amazing.
He created them to get into risky situations, emerge as the victor, and escape unscathed to fight another day.
Kinda like what investors face every time they dive into the stock market.
So today I’m going to share those rules — explain how they can make you a“Stock Market Hitman” — and show you how they’ll let you win and live to invest another day.
THE PLAYERS
Directed by David Finch (“Se7en” and “Fight Club”), “The Killer” stars Michael Fassbender in the eponymous lead as a solo assassin for hire.
We watch what “The Killer” does and hear his explanatory monologue as he tracks his cible du moment. We see his single-mindedness … his unerring focus … and his self-imposed rules.
You almost have to admire the guy.
Even after he botches the hit — because his “rules” help him escape … and then deal with the repercussions from his, well, “breach of contract.”
He makes it “home” — a compound in the Dominican Republic — where he discovers that a cleanup team arrived ahead of him, breaking into his house and beating his girlfriend to the point of death. (But, as she told The Killer, she never talked.)
A now-enraged Killer embarks on a journey of murderous revenge — which introduces us to the rest of the “characters” in his world (who all have monikers, too), including:
The Lawyer — the “middleman” who makes The Killer’s appointments.
The Expert — the hitter sent in as the “cleaner,” played by the always-amazing Tilda Swinton (tall and lean, and with short, white hair swept directly back, a witness describes her as a “Q-Tip.”)
And The Client — a clueless-to-the-ways-of-the-real-world hedge-fund billionaire played by Arliss Howard.
At every step of the way, The Killer walks us through his actions … using his “rules” as his filter … and his guide.
The rules themselves are terrific. And he’s clearly used — and been successful with — those rules in the years before we “meet” him. Ironically, it’s when he deviates from those rules that he ends up with problems — and there’s a super-powerful lesson there.
As I watched this (both times through), I saw how those “rules” could work for long-term, highly-focused Wealth Builders like you and me.
“RULE” OF LAW
Here are the rules The Killer outlined as he stalked his prey:
Stick to Your Plan.
Anticipate, Don’t Improvise.
Trust No One.
Never Yield An Advantage.
Fight Only the Fight You’re Paid to Fight.
Forbid Empathy; Empathy is Weakness; Weakness is Vulnerability.
This is What It Takes/What You Must Commit Yourself To; If You Want to Succeed.
Simple.
Let’s get started …
STICK TO YOUR PLAN
In the Movie: The Killer is disciplined, calculating and professional. He does a lot of reconnaissance, knows his target and focuses on the “end game” with a commitment that’s almost obsessive. By not improvising, he knows he won’t act in haste, succumb to emotion (we’ll come back to that), or create “variables” that cascade into others. Some fans point to the hit-gone-awry as a sign that the movie is a satire or that he’s no good. But the amount of money he’s clearly made – from the compound to the fully stocked storage unit (with scads of fake IDs, vehicle license plates, weapons and ammo – and he says he’s got five more like it) — speak to a contract killer who’s been very successful for a very long time.
For Wealth Builders: We have a plan. We find the best storylines, which leads to the best stocks. We find strong companies. We “Accumulate” those stocks — creating foundational stakes, which we add to on pullbacks or over time with more cash. And we look to hold them for the long haul — three, five, seven or 10 years … or more. We don’t chase. We don’t play with options. We stick with our plan. And — as we’re seeing here in our first year on Substack, and as I’ve seen with my other investment newsletters — it works.
ANTICIPATE, DON’T IMPROVISE
In the Movie: One great example is how The Killer has his escape route planned out — several scenarios, in fact. Those storage lockers — with all that gear and all those documents — is a primo example of this. He’s got the e-bike ready to go, has his routes planned out and his out-of-country “exit strategy” firmly sketched out.
For Wealth Builders: You want “Anticipate 101?” Over the long haul, stocks go up. Once you know that, you don’t need to “improvise.”
Even better: In the near-term, we know that stocks can be volatile. If you anticipate that, you 100% can “work” the Accumulate strategy. You can build your foundational positions in stocks, and “keep some powder” dry in terms of extra cash that you can use to add to those stakes — or to start new positions in stocks on your “Watch Lists.” Here at SPC, our “Watch List” is our SPC Premium Farm Team — available to our paid-up members, along with our Model Portfolio and Super 10: Special-Situation Portfolio.
TRUST NO ONE
In the Movie: Though he gets his “jobs” from The Lawyer, The Killer is a solo practitioner. During the “job” we get to see him work through, we see this. Each time, when The Lawyer tries to weigh in with “advice,” our hero hangs up on him — then grounds the burner phone to dust (so he can’t be traced via GPS). Likewise, when the Killer embarks on his “revenge tour,” after he extracts info from The Lawyer and his assistant, he kills them both. He kills the hitters. (When the Tilda Swinton character is being marched to her death, and trips, he refuses to be “a gentleman” and help her to her feet — shooting her, instead. And that proves to be the right move — she was palming a switchblade that she’d use on him once he offered his help). He even killed an innocent cab driver who’d seen his face.
For Wealth Builders: If you want to win with stocks – and by “winning,” we mean build a fortune — you have to be “your own man/woman.” You can’t take “tips” from friends .. or barbers … or your barista … or cab drivers (so you won’t have to kill them if the tip is bad). And do not trust “The Crowd.” Ever. Play your own game. Follow your own rules. Don’t respond to others.
NEVER YIELD AN ADVANTAGE
In the Movie: Everything The Killer does is aimed at keeping the upper hand. When he confronts The Lawyer and his secretary in their office, he gets the drop on them with his gun and immobilizes them with zip ties. As he’s walking The Expert to her doom, he trails far enough behind to negate any moves she could make.
For Wealth Builders: You have the biggest advantage of all: Time. We’re not talking about buying and holding forever. But we are playing the long game. We know that stocks tend to rise (a lot) over time. So we pattern all our moves around that truism. That minimizes mistakes, eradicates the risk of emotion, minimizes transaction costs and keeps us from “buying high and selling low.” Never … and I mean never … cede that advantage.
FIGHT ONLY THE FIGHT YOU’RE PAID TO FIGHT
In the Movie: The Killer is a murderer for hire. He’s not a mercenary. And he’s not a political killer. He takes a job. He does that job. No more, no less. Given his well-stocked storage bays, and this wealth, he’s done well — many times and for a long time.
For Wealth Builders: We’re investors, not traders. We buy stocks. We hold them for a long stretch. And we never touch a penny stock or speculative option. And we keep our ideas and strategies to ourselves. Why? If you “share” them – aiming to help a family member, friend or colleague to “help” – you’re now also fighting their fight. And that’s a Wealth Killer move. If it doesn’t work out (because they panic, can’t play the long game or succumb to FOMO or some other emotion), they’ll blame you. You don’t need that burden. Even worse, they’ll try to tell you why you’re wrong and they’re right. That could foster doubt and get you off your game. Your “fight” is to make yourself wealthy. And that’s it.
FORBID EMPATHY & WEAKNESS — WEAKNESS IS VULNERABILITY
In the Movie: Some fans of the flick say The Killer’s revenge tour violates his precepts. I disagree. He kills his handler and the hitter that came after him to clean up the trail — and to make sure that he and his girlfriend are safe forever. After extracting info from The Lawyer and the secretary, he kills them both. He “disappears” The Lawyer. And the secretary knows she’ll be killed. But she begs The Killer to make it appear like an accident, and to leave her body to be found, so that her kids can collect the insurance. So he made it appear she’d fallen down her steps at home. That wasn’t’ empathy – it was shrewd. If she and her boss disappeared, cops would be more suspicious. Now they appear to be separate events.
For Wealth Builders: For us, empathy is synonymous with emotion. And emotion is weakness. And that weakness does make you vulnerable. So we avoid emotion. We take it out of the equation by playing the long game and playing the Accumulate game.
ASK YOURSELF: “WHAT’S IN IT FOR ME?”
In the Movie: For The Killer, this rule is pretty clear; and it falls from those that precede it. It underscores the singular focus of this guy and how he operates.
For Wealth Builders: That’s a good mindset for us to embrace. Especially when you come across an opportunity that gives off whiffs “too good to be true.” And you know what folks say about those “opportunities.” As technology and finance increasingly intersect in the years to come, “what’s in it for me?” is a question you’ll need to be asking with an increasing frequency. That’s what happened with the marginal and scam companies back during the Dot-Com era. Or the ”special-purpose acquisition companies” (SPACs) of a few years ago. The scammish cryptocurrencies here in recent years. And the explosion of options trading we’re going to keep seeing going forward. With any of these, look closely and ask how they benefit you. Chances are, the big winners will be the scam artists that are sponsoring them.
THE LAST RULE
After reciting his rules, The Killer tells us: “This is what it takes … what you must commit yourself to … if you want to succeed. It’s simple.”
He’s right.
Adhere to these rules, and you’ll end up wealthy … at peace with yourself … and able to take care of those you love.
Like The Killer.
In the end, he tracked down The Client — that billionaire hedge-fund guy — and realizes this guy may be rich but is clueless about “real life.”
So he lets him live — after warning him that he can get to him anywhere … and promising to inflict a horribly painful death if he doesn’t stand down.
It’s not empathy … or weakness … or a deviation from his success rules. Indeed, it may be The Killer’s wisest move of all. He realizes the billionaire is so high profile that killing him will put the law back on his own trail. And by not killing him, he can disappear — taking his wealth and retiring to live the happily-ever-after life with his girlfriend.
That, my friends, is really damned smart.
Like us Wealth Builders.
There you have it: A blueprint for being a Stock Market Hit Man.
A Killer — in the business-world sense — and someone to be revered.
Let me know how you like the movie;
