timothy sykes logo

Lessons From Students

The Top 5 Challenges My Millionaire Students Are Facing

Timothy SykesAvatar
Written by Timothy Sykes
Updated 4/24/2023 7 min read

The people running Planet Fitness are smart.

They figured out that most people who get gym memberships never bother with showing up.

This allows them to charge a ridiculously low membership price and still remain profitable.

I know the feeling…

I hate to say it, but most people who join my program don’t put in the time to study, learn, and develop their trading skills.

But I’m not going to spend anymore time talking about them…they know what they have to do…it’s up to them.

Instead, I want to talk to those who are doing the right things and are seeing the results.

In the beginning, you’re so focused on making it…that’s all that matters.

But what happens when you do?

You realize there’s a new set of challenges you face.

And if you don’t address them…all that hard work can go down the drain.

The last thing you want to do is start from square one again.

That’s why I want to discuss the five biggest challenges my millionaire students have…and how to deal with them.


#1 Dealing With Newfound Wealth

millionaire students
© Millionaire Media, LLC

A majority of my new millionaire students are in their 20s. And I believe that’s due to the fact that they have less responsibilities in life and more free time to dedicate to trading.

Most of these millionaire students made it in less than five years.

Going from a few thousand bucks to seven figures in a few short years is life changing.

I know, because I made seven figures as a college student.

People start treating you differently and you become more cautious on who you trust.

Should you be helping your friends out financially, or shelling out hot stock picks and strategies to family?

It’s a slippery slope.

I’ve learned that giving money to friends and sharing stock picks with family is difficult. You’ll never make everyone happy…and that’s something you’ve got to understand.

If you want to give money to family and friends that’s fine. Just don’t expect to get that money back. You’re not a bank and you shouldn’t be giving out loans.

#2 Spending Too Much Money

© Millionaire Media, LLC

A lot of folks have wishlists…

If I ever make it in the stock market… I’m going to buy ___________.

Maybe it’s designer clothes, watches, a car, or a home.

You have to be very careful here. Whenever you make a big purchase, it likely means you’re taking money out of your trading account, which could impact your future income potential.

I didn’t buy a Lambo until I was a decade into being a millionaire because I want to work on building my account.

Now, I’m not saying you shouldn’t buy a house…just understand that big purchases come with new responsibilities. Those responsibilities may take time away from your trading.

#3 Betting Bigger On Their Trades

students kyle mari and jack
© Millionaire Media, LLC

Once you make a lot of money…it’s natural for you to think that it’s only going to get bigger and better after this.

The problem with trading bigger is that it adds to your risk exposure. Sure, you could win bigger, but the losses will also be bigger.

And that’s to handle emotionally.

Many of my millionaire students started with a few thousand dollars, and they built it up. To go from that to trading major size can be an extreme mental challenge.

It’s like the old adage on Wall Street: Stocks take the steps up and the elevator down. 

When you start trading bigger, prepare yourself emotionally.

A few of my students have discovered that trading bigger doesn’t work for them. They prefer to keep their account a certain size, try to build it up, and once they reach that uncomfortable level…they restart again.

I’ve done that in the past…and it works for me.

#4 Adjusting To Changing Markets

students kyle mari and jack
© Millionaire Media, LLC

In 2021 I made over $1 million in trading profits. And in 2022, I barely cracked six figures in trading profits.

Did I become a significantly worse trader?


The markets changed.

It wasn’t a big deal for me.

But for a lot of new successful students it can be.

If you’re used to making a certain amount of money…and all of sudden you’re not…that can be difficult to deal with.

I made a ton of money in 2000 while I was a college freshman. I thought I would be making that amount of money or even more…

But little did I know…I was participating in one of the greatest bubble markets in history. And there was no way that opportunities like that would last forever.

A lot of my millionaire students became millionaires in 2020 and 2021. Looking back, that too was a bigtime bubble.

Now, things are super slow, and opportunities are more scarce.

By the way, this is the BEST time to be one of my new students because you want to be learning in markets like this.

When things heat up again, you’ll be ready to strike.

You need to be aware that markets change and that there’s a time for learning…and a time for earning.

#5 They Don’t Know What To Do

© Millionaire Media, LLC

When you have one goal in mind and you reach it…you might experience a let down after.

I know…it happened to me.

One of the worst feelings I had with success was buying my second Lambo. After purchasing it…I felt nothing.

The thrill of buying stuff no longer made me happy.

Luckily, I was able to get into charity and find fulfillment there.

But I know for a lot of new millionaire students it’s tough right now.

Do you continue trading, trade bigger or smaller, start traveling more, get into other businesses and investments, or what?

It’s confusing.

As someone who has been trading for over 20 years, I’m happy to offer guidance to my students on how to handle the next step. 

The great thing about money is that it buys you some time.

You don’t necessarily have to make a quick decision on your next move.

Final Note

Like it or not…more money equals new problems.

But understand if you’re one of my students that I’ll be here for you to guide you on this next journey.

If you’re not a member of my program and would like to learn more about it…Click here for the details

By the way, I made a YouTube video about this post…you can watch it below.

How much has this post helped you?

Leave a reply

Author card Timothy Sykes picture

Timothy Sykes

Tim Sykes is a penny stock trader and teacher who became a self-made millionaire by the age of 22 by trading $12,415 of bar mitzvah money. After becoming disenchanted with the hedge fund world, he established the Tim Sykes Trading Challenge to teach aspiring traders how to follow his trading strategies. He’s been featured in a variety of media outlets including CNN, Larry King, Steve Harvey, Forbes, Men’s Journal, and more. He’s also an active philanthropist and environmental activist, a co-founder of Karmagawa, and has donated millions of dollars to charity. Read More

Post image

Get my weekly watchlist, free

Sign up to jump start your trading education!

* Results are not typical and will vary from person to person. Making money trading stocks takes time, dedication, and hard work. There are inherent risks involved with investing in the stock market, including the loss of your investment. Past performance in the market is not indicative of future results. Any investment is at your own risk. See Terms of Service here

The available research on day trading suggests that most active traders lose money. Fees and overtrading are major contributors to these losses.

A 2000 study called “Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors” evaluated 66,465 U.S. households that held stocks from 1991 to 1996. The households that traded most averaged an 11.4% annual return during a period where the overall market gained 17.9%. These lower returns were attributed to overconfidence.

A 2014 paper (revised 2019) titled “Learning Fast or Slow?” analyzed the complete transaction history of the Taiwan Stock Exchange between 1992 and 2006. It looked at the ongoing performance of day traders in this sample, and found that 97% of day traders can expect to lose money from trading, and more than 90% of all day trading volume can be traced to investors who predictably lose money. Additionally, it tied the behavior of gamblers and drivers who get more speeding tickets to overtrading, and cited studies showing that legalized gambling has an inverse effect on trading volume.

A 2019 research study (revised 2020) called “Day Trading for a Living?” observed 19,646 Brazilian futures contract traders who started day trading from 2013 to 2015, and recorded two years of their trading activity. The study authors found that 97% of traders with more than 300 days actively trading lost money, and only 1.1% earned more than the Brazilian minimum wage ($16 USD per day). They hypothesized that the greater returns shown in previous studies did not differentiate between frequent day traders and those who traded rarely, and that more frequent trading activity decreases the chance of profitability.

These studies show the wide variance of the available data on day trading profitability. One thing that seems clear from the research is that most day traders lose money .

Millionaire Media 66 W Flagler St. Ste. 900 Miami, FL 33130 United States (888) 878-3621 This is for information purposes only as Millionaire Media LLC nor Timothy Sykes is registered as a securities broker-dealer or an investment adviser. No information herein is intended as securities brokerage, investment, tax, accounting or legal advice, as an offer or solicitation of an offer to sell or buy, or as an endorsement, recommendation or sponsorship of any company, security or fund. Millionaire Media LLC and Timothy Sykes cannot and does not assess, verify or guarantee the adequacy, accuracy or completeness of any information, the suitability or profitability of any particular investment, or the potential value of any investment or informational source. The reader bears responsibility for his/her own investment research and decisions, should seek the advice of a qualified securities professional before making any investment, and investigate and fully understand any and all risks before investing. Millionaire Media LLC and Timothy Sykes in no way warrants the solvency, financial condition, or investment advisability of any of the securities mentioned in communications or websites. In addition, Millionaire Media LLC and Timothy Sykes accepts no liability whatsoever for any direct or consequential loss arising from any use of this information. This information is not intended to be used as the sole basis of any investment decision, nor should it be construed as advice designed to meet the investment needs of any particular investor. Past performance is not necessarily indicative of future returns.

Citations for Disclaimer

Barber, Brad M. and Odean, Terrance, Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors. Available at SSRN: “Day Trading for a Living?”

Barber, Brad M. and Lee, Yi-Tsung and Liu, Yu-Jane and Odean, Terrance and Zhang, Ke, Learning Fast or Slow? (May 28, 2019). Forthcoming: Review of Asset Pricing Studies, Available at SSRN: “https://ssrn.com/abstract=2535636”

Chague, Fernando and De-Losso, Rodrigo and Giovannetti, Bruno, Day Trading for a Living? (June 11, 2020). Available at SSRN: “https://ssrn.com/abstract=3423101”