Founder’s Note: It’s not an exaggeration to say that everything I know about options I learned from Sean McLaughlin.
Sean is also a source of wisdom about markets, trading, and life.
Here he is with one of the most insightful perspectives on what we do that you’ll ever read. – JC
By Sean McLaughlin
The 25-Delta Lifestyle is about way more than just options.
It isn’t just a trading strategy.
It’s a mindset, a rhythm, and a way of engaging with markets (and life) that prioritizes clarity, calm, and staying power.
Rooted in the math of long options, it takes advantage of defined risk, unlimited reward, and minimal maintenance.
But, more than that, it’s about living with intention.
It’s about stepping back from the noise, trusting the process, and letting the market do the heavy lifting.
Just Right Enough
At its core, the 25-Delta Lifestyle is built around long options positions with a roughly 25-delta.
“Delta” represents how much an options contract will move based on the change in price of the underlying stock.
A call option with a delta of 25 means that for every $1 increase in the underlying stock’s price, the call option’s price is expected to increase by 25 cents.
It’s a measure of the option’s sensitivity to price changes in the underlying asset.
These are bets that don’t need to be right all the time to be profitable – just right enough. And, when they’re right, they can be really right.
We get to keep our losers small. We let our winners run!
It’s asymmetric payoff with defined risk. That kind of setup doesn’t need tick-by-tick babysitting.
It frees us from staring at the screen all day, from constantly reacting, and from burning ourselves out on meaningless micro-movements.
We can check in once a day – cut the losers, trim the winners, and go live our lives.
The 25-Delta Lifestyle allows us to sleep at night.
Literally.
Because, when your risk is defined, your worst-case scenario is already priced in.
You’re not scrambling to manage positions at 2 am or waking up to margin calls.
That peace of mind has real value.
It means you can spend more time outside, breathing fresh air, meditating, or hiking through the mountains without carrying a mental load of “what’s my P&L doing right now?”
For those juggling full-time jobs or simply craving more balance, this strategy offers a way to stay in the game without letting it consume you.
Trust This Process
But here’s the thing…
The 25-Delta Lifestyle is bigger than the trades themselves.
It’s a set of habits, perspectives, and practices that support you as a trader and a human being.
It’s about asking yourself, “What are my goals? What’s my time horizon? What’s my risk tolerance?”
And then writing those answers down, taping them to your wall, and actually sticking to them.
It’s about taking a breath before making an impulsive trade, just like you would in a yoga pose or a high-pressure conversation.
It’s about learning constantly – not just from books, but from people, places, and experiences that expand your worldview and strengthen your empathy.
That empathy, believe it or not, will make you a better trader.
A healthy body supports a healthy mind, and a clear mind leads to better decisions.
So we pay attention to our diet, our rest, and the people we surround ourselves with.
We keep company with smart, curious, kind humans – people with high gamma, as we like to say, meaning they’ve got real upside.
They challenge us, teach us, and help us stay grounded.
Music helps too. And movement. And laughter.
This lifestyle isn’t about escapism – it’s about sustainability. It’s about creating a process you can stick with not just for the next month, but for the next decade.
To borrow a quote that sums it up beautifully, “New goals don’t deliver new results. New lifestyles do. And a lifestyle is a process, not an outcome.”
The 25-Delta Lifestyle is that process.
It’s a way of being that recognizes trading success doesn’t come from constant hustle and overexposure.
It comes from building good habits, honoring your risk, and letting time and math work their magic.
Stay sharp,
Sean McLaughlin
Contributor, TrendLabs