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rq1pva

Opinions on High Net Worth wealth managers

Edit for people asking: no I don’t play the lotto, have never traded meme stocks and don’t own crypto other than the $600 worth of doge, and shiba inu I bought as entertainment, which is now worth about $300 at the time of this post. I’m looking for some advice here and some insights from folks on this topic. I’ve read some of the posts here on Reddit and heard some opinions from people I know, but I’m looking for some other perspectives from FIREs if anyone uses these services. FWIW, the amount I’m looking to evaluate on is about $15-$20M. Not sure if this is UHNW or HNW for what it’s worth. I’m about to turn 34 next month. Can anyone here advise if portfolio management is actually worth it at this level? I’ve always operated under the belief that ETFs and low costs funds are the way to go but a lot of advisors I’ve spoken with angle from the perspective of lower risk adjusted returns to protect wealth. The problem I see here is that it comes the expense of higher than average fees vs places like Wealthfront/Betterment, and the portfolio as a whole before fees return less because it’s biased to lower risk assets. One of the things I’ve considered is paying for financial/tax/estate planning services with quotes in the height or hood of 25-50k a year for this service. For anyone who does pay for this service, are there any downsides and have you seen value that outweighed fee? Unless I am missing something, this seems like the better play to allow the firm to plan but not manage the assets. Many of the firms I’ve spoken to will charge a retainer for financial/tax/estate planning and will waive/negotiate if assets are placed under management. The problem here is that per my statement above, the risk adjusted return piece of what concerns me. Thanks for your insight.

fatFIRE

Anything above $5mm usually gets better pricing (at least in Canada) than WealthSimple or some of the robo advisors. So you get tax planning, estate planning, private banking, they'll review your Will, help you setup trusts as needed etc and charge you less than these robos. You're also probably better off with a target based return strategy or something that earns a good return even in down markets, something a good portfolio manager can assist with. I'm biased because I work in wealth management, but I take on lots of self directed investors who did it themselves and everything ended up going to hell. I think you're better off using them to start and evaluating.

rvb0pl

FIRE/fatFIRE magazine, is there such a thing?

Ideally combining financial tips to help reach early retirement, travel ideas, and vacation. Anyone come across something that would address all three?

fatFIRE

Below is US centric. There’s multiple magazines on fatfire lifestyles. Even BusinessWeek has high-end lifestyle articles. As others mentioned: FT weekend, WSJ weekend, Robb’s, Forbes, Monacle. Town & Country. Travel + Leisure. Some city or region mags focus on higher spenders on their area. Business news and investing: some of the above mags plus Barrons. Kiplinger Letter (weekly) and the other Kiplinger subscription newsletters. Also industry/trade specific mags (Ad Age etc). Business Journal empire for whatever US city(s) you’re interested in. The outlier topic is “tips on how to reach early retirement.” That’s not a thing I’ve seen much in mags (plenty of info online). Probably not in mags because no ad market for it. Kiplingers and Money have standard retirement planning. There’s a bunch of ppl doing substacks, blogs etc pitching various investment approaches about getting wealthier faster, FIRE, RE etc. Caveat emptor. (yes I have subscriptions to the mags above, either by choice or due to a wealthy and elderly 90yrold father who likes gifting subscriptions, and I’m the HNW fam member so I get gifted any HNW mag he finds, sometimes multiple subscriptions because he forgets. Thanks, Dad.)

uhrhza

Managing a real estate portfolio remotely and traveling

Any tips or tricks on managing a real estate portfolio remotely in semi-retirement? I took the extra cash flow every year from my medical device business and used that to slowly accumulate a real estate portfolio over 20+ years. I sold the medical device company last year and have most of the cash invested in index funds and cash and will redeploy into more real estate if/when the buying opportunities are more attractive. The portfolio includes 290 apartments and 30 commercial tenants. No partners. It will potentially double once the sale proceeds are fully realized (there’s an earnout portion) and redeployed into real estate. I love the cash flow and I’m not ready to totally stop working but I want to make the real estate business as passive as possible so I can travel more and spend time at my vacation home at the beach and dating and enjoying life. Here’s what I’ve done so far to make work feel more like retirement (not all recent): -implemented cloud based property management software so I can keep tabs on operations and financials from anywhere -hired full time cfo -hired full time head of maintenance and two hourly maintenance people and the rest is contracted out -one contract for landscaping and snow removal for all properties - one plumbing company - one electrician etc - full time (commission only) leasing person. I will still manage financing decisions and any acquisitions if/when they present themselves. I still sign all checks which are sent to me (wherever I am) by FedEx twice a month. Is anyone else doing something similar? Any suggestions on my plan?

fatFIRE

Congrats! I have been doing remote commercial real estate projects for several years, although I actually just bought a development project in the town I live in for the first time. \~25 commercial tenants over \~350k sq ft at the moment, the bulk of it 12 hours from where I live. So minus the significant multifamily, perhaps similar? I am a 75/25 mix of self-PM and third party, I've not reached a point of bringing on a full-time in-house PM (I would like to get there). (1) It all depends on the employees. If you have good people on site that work hard, do things right, and tell you honestly if there's problems...you're golden. When they stop communicating, or stop caring that the hourly guys don't do much work and do a sloppy job, it gets challenging and your in-house PM savings might evaporate. (2) Why can't the CFO sign the checks? You approve the budget, and just have them send over by email variances for your approval. Regular stuff just goes out automatically. (3) Develop an operations manual, both generic and specific to each property. I'm sure you're now avoiding the plugged toilet calls, but what about annual back flow checks, or winterizing properties, etc? If you have turnover in your chief maintenance position, manuals would mean the CFO/COO can hire a new guy and get him up to speed super quick, and you traveling back would be less urgent. (4) Get everyone trained on taking lots of photos. IDK if your PM software has that capability to store them? Personally I'm getting like 30 photos a day by text and storing relevant ones on Google Drive, but would be ideal is getting the employees to file them appropriately then you can review whenever. (5) Take some of your PM savings and invest in security cameras that you and your management can access remotely. I completely trust my foreman to set and work his own hours. Even still it doesn't hurt for him to know I can access cameras around various sites. Also he can't be everywhere at once, and he can access it as well to see if the laborers he left at a job keep busy, etc. (6) Who needs all this hassle? Sell PM company to third party, profit even more, continue to live good life. Clearly I'm conflicted.

mlnv03

Continuing to work in stable executive level job or leave with the help of someone running a $5bn+ company?

I last posted about an opportunity to leave my stable, recently-acquired startup for a COO/co-founder position at a very early stage company (pre-seed). I ended up not joining and really appreciated all of your advice here. That opportunity got me thinking about how much I want to start my own company and have the experiences of a founder. I’ve come up with a concept and have been getting ready to start it. I have been conflicted on when to start it and can’t as a side hustle since my employment agreement limits engaging is outside activities. I reached out to a distant family member who founded and runs a $5bn company to get his advice. He asked me if I had a noncompete, which I don’t, and basically told me that I could leave my current company and he would give me a side hustle working in my same industry while I work on my business. He also told me that this would be helpful because I need to boot strap to strong enough revenues that I am raising from a position of strength. He suggested I don’t raise preemptively just to pay salaries. I feel stagnant at my current company as I only have limited upside post acquisition. I am leading and growing an amazing business, but that growth doesn’t exactly help me accelerate my fatfire goals. My question for all of you is the following: Why should and why should I not take the plunge and start my own company?

fatFIRE

Depends on your conviction in the startup premise. Business ideas are a dime a dozen. Most of them are horseshit especially if it's your first time building a business, so look at your passion for the product, your belief that there is a gap in the market, and your willingness to manage finance. Something the "startup" narrative often missed is the heavy focus of the founder on the financials of the company.

xt76qr

Ways to decrease long term capital gains taxes from the sale of a business?

Chances are I will be selling my business in the next few months. I will walk away with 6.1 million and also maintain some equity for a solid income and the potential to cash out a few years later. The thought of this tax bill is killing me. Looks like I will take home about 4.7million after paying Uncle Sam. It is an LLC just FYI. Any ways to lower the long term capital gains tax?

fatFIRE

Similar position over the past year. I've been locking in any losses the past month on other investments and reinvesting (avoiding wash sale). I'm also funding a DAF to fully offset my ordinary income from the year beyond the sale. There's not much else I'm doing. Run the numbers for ordinary income tax and you'll feel a bit better about this tax bill.

qkl4i6

I just don't know anymore. This place used to be cypherpunk. Now it's pro-establishment?

Maybe I'll get a lot of negative comments, but that's ok. I just feel a bit lost sometimes when I look through the posts and comments on here and other crypto subreddits. Satoshi wanted to give a big middle finger to the existing financial system...not be absorbed by it. Genesis block: " **The Times 03/Jan/2009 Chancellor on brink of second bailout for banks** *Satoshi Nakamoto* " The bailouts ruined countless lives, both short and long term, ranging from hardworking everyday people's retirement funds to investors to everyone inbetween. The banks robbed us blind. But now we have people excited about ETFs. People crave the old ways instead of embarking wholeheartedly to the new. Some people beg for regulations when they see shitcoins and other unfortunate circumstances. Are you kidding me? Give this **centralized** power to the same thieves that use their power to steal from the masses? Hard pass. Yes it sucks when people get burned, but hey sometimes that's how you learn. You want full and total control over your money, you need to take full and total responsibility over your choices. Hard fact. Everyone regurgitating talking points about how exciting it is institutional finance is getting involved with crypto and how they'll better manage it is just feeding into the corrupt system. Please wake up and smell the roses before it's too late. Maybe I'm alone here, I don't know. But if this sounds cool to you [https://en.wikipedia.org/wiki/Cypherpunk](https://en.wikipedia.org/wiki/Cypherpunk) then join me down the rabbit hole. Thank you and have a nice day.

CryptoCurrency

The cypherpunk aspect of crypto has been ruined by hyper capitalist ideals, mainly the idea of crypto as a security rather than a currency. Whether this is a good thing for crypto or the global capitalist economy is still unknown and I doubt you'll get an unbiased opinion on it for a while.

rdtjyk

Is now a good time to invest in bank stocks?

Is now a good time to invest in bank stocks? Specifically talking about stocks like JPM, BAC, GS, MS etc... To me as we get out of COVID in truly significant ways in 2022 (knock on wood), this seems like a good play to me. Am I missing something? In the last month banks have fallen about 7-9% and my thesis would still stand from then, so it appears that things are even cheaper now. Would this be a good play at this moment like energy stocks were a good option 6-8 months ago?

investing

Well, I haven't done any deep research on this. However, banks make money from lending money. So, once interest rates go up, their profits should increase. Sure, with money getting more expensive, demand for it dries up. Nevertheless, higher interest rates = larger profits. The problem is that once interest rates go up, pretty much everything will get a correction. Just because a company is profitable, it doesn't mean the stock price will rally up. If I ever do a deep dive into the lending industry, I'll share my data in a post!

95obc3

Question for those who bought $FB on the dip...

I'd like the opinion of some of you who bought $fb on the dip. i.e. <$170. What kind of indicators are you looking at to sell? Price action, rsi, profit margin, other? I've set a trailing stop so I don't loose what I have and I have a plan for closing my position I just wanted to hear some of y'all's thoughts. I don't plan on holding $fb long term. Thanks.

StockMarket

Look up Instagram stories vs snapchat active daily viewers. It's a shocking and decisive graph that definitively illustrates the superiority of FB over snapchat. Not only is FB smarter and knows its users better, but it has infinitely stronger financial health. They have a monopoly on the social media market - tinder and snapchat aren't even close.

lg3yqe

If You Own 0.25 BTC Then You Own More Bitcoin Than 99% Of The World!

I posted this here a while back and many of the comments tried telling me I was wrong. They would just say, sorry not true or give little scenarios that didn’t disprove what I said at all. So before you jump down in the comments to tell me I’m wrong, read carefully. This is not opinion. It is mathematical fact. There is really no way around it as long as we make two assumptions. 1.) There will be a maximum of 21,000,000 BTC ever. If there is less (which there is) this only proves my point further. 2.) The population of earth stays at 7,700,000,000 or increases. If the population were to decrease then my numbers would be off a little but it will still hold true. With those assumptions, the fact is that if you own 0.25 BTC now or in the future... that you own more Bitcoin than 99% of the world. This is not arguable. There are a maximum of 21,000,000 coins so let’s pretend they are all available. None are lost or in Satoshi’s wallets. 21,000,000 / 0.25 BTC = 84,000,000 That means there are 84,000,000 segments of 0.25 BTC available. 84,000,000 / 7,700,000,000 = 0.010901 So as long as you own 0.25 BTC you own more bitcoin than 99% of the world. You are in the top 1%! And in reality, we know that only 18.5m have been released. And 1m is in Satoshi’s wallets and they say 3m has been lost. If that’s the case then lower the 21,000,000 to 14.5 million and you would only need own 0.20 BTC to have more than 99% of the world. Again, there is no getting around this. It is fact. It doesn’t matter if 1 person had the other 20,999,999.75 bitcoins. Your 0.25 BTC means you own more than 99% of the world. You would not necessarily be in the top 1% of bitcoin holders. You simply own more than 99% of the world. It is impossible for you to fall out of that number if you have a quarter bitcoin. 0.25 and HODL.

Bitcoin

That means at the **current BTC price**, people need between **$9,000 - $11,000** to be in that **0.20-0.25 range**. Sucks that the average person doesn't have $500-$1000 save for an emergency, let alone to buy btc. T\_T

n51u1s

My Hope died

X Ape here hi Yeah I don’t know how to explain. My grandma died not long ago and she was literally my hope and motivation in life. Always been there for me. Long story short I want to really give her the gravestone she deserves after all of this is over. That‘s actually the main reason I‘m hodling. It‘s a deep fucking long story and I don‘t want to sound depressive but she deserved the world. Thanks to all the XX and XXX and above holders for taking care of the X holders. You guys don‘t know how you‘re going to change people‘s life’s Thanks to everyone on here ya‘ll great not gonna lie

Superstonk

Fuck me brother, just had my gmas funeral/cremation yesterday and boy was it rough. I carried her casket and tried my best to hold it together for the fam but I was dead inside. The floodgates opened when my sister pushed the button on the cremation machine burner oven shit (no idea what it's called tbh). Only time heals. Right now any memory of her that pops into my head brings tears and sadness but one day, without even noticing, those memories will bring a smile to my face. One day it will hurt less, one day... I haven't had a chance to sit here and cry it out yet, I have a feeling ill probably curl into a ball and just weep when the MOASS starts. Most likely because I'm sad our grandma's aren't here to experience life post-moass with us but when it does happen, I'm going to say thank you to your gma and my own for the MOASS. I know it wasn't them to bring it to fruition, but you know damn well ima give them the credit. My DMs are always open if you want to talk about anything: grandma, gme, wow, maplestory, whatever the fuck you wanna talk about idc. This ape is here for his fellow ape. Stay strong brother, I'll be thinking of you and your gma. Stay lit, stay humble, stay holding.

oboj5d

As a passive index or dividend investor, how do you resist the temptation of investing in meme stocks?

GME and AMC to the moon 🚀 are everywhere. Lately, there are a ton of posts/videos with “dd” about AMC to $100k per share. That’s insane! How do people come up with justifications and dd to show that it will reach there? How are people believing it? At the same time, I am sitting on the sidelines like a passive investor and watching people get 100-300% gains in a short amount of time. It’s tempting to dive into it but it’s so risky and all speculation.

CanadianInvestor

Take a micro position of your portfolio and take part if you really want, just recognize there is investing - trading - gambling. A portfolio strategy of risk is what you should be considering, and if you allow yourself to participate in the gambling side of things, have some good hard rules for yourself, especially about portfolio percentage.

cvjhyt

Transfering to EQ bank ?

Hey guys so currently I have $10,000 contributed to a high interest TFSA with TD at 0.5 %. The rest of the money is in my TD chequing account which is around $19,000. I was wondering if 1) I should transfer my $10,000 or a part of it to an EQ bank high interest savings account sitting at 2.3 %, and if that will be tax free money. 2) Is it best to use money from my TFSA for ETF investments with Questrade, rather then my chequing so they wont be taxed.

CanadianInvestor

EQ Bank doesn't offer TFSAs, so the 2.3% interest will be taxable. This is still better than collecting a paltry 0.5% in your TD savings account, since depending on your marginal rate, the 2.3% will probably equate to 1.5-1.8% after tax.

fgfxrw

Newer investor. Is just buying vgro/xgro ok at this point?

I started doing my own investing near the end of last year just buying vgro. I had a financial adviser until that point which began just before 2008 crises, so I've seen my money drop 30+% just smaller numbers. I use Questrade and have not bought any other stocks other than the all in ones. Now I understand I could potentially make more buying my own stocks of decent companies. Or I could make not as good of choices and my returns will be poor. Is there really a problem with just buying vgro/xgro. I only have about $35,000 invested on my own so far and have another $10,000 in cash right now ready for investment. I'm really just trying not to sabotage myself in all this buying hype. Thanks.

CanadianInvestor

Unless you're going to put a lot of effort in researching particular stocks, you're probably not going to beat the market in a safe way. There's nothing wrong with using VGRO/XGRO, they're the best hands-off investments atm. Truly passive.

qyetpg

About Tangerine ETF portfolio mutual fund fees

I just notice that Tangerine's new mutual funds (MF) based on ETFs actually have exactly the same fund fees as its previous core portfolio mutual funds. The ETF portfolio MF has TER (trading expense ratio) of 0.30% even though its MER is 0.76%, while the core portfolio MF has 0% TER (i.e. included in MER). It is so cheating, and I will transfer out my Tangerine RRSP account. I like Tangerine MF portfolio as its Canadian share is less than 3% (for its all equity portfolio MF). Check the fund fact document in https://www.tangerine.ca/en/products/investing/portfolios/etf

CanadianInvestor

Just so you know, they use the word "ETF" to entice new investors. When we talk about ETF portfolios here on this sub we mean buying them on our own to avoid mutual fund commissions. The fact that this a mutual fund of ETFs does not make it any better than a mutual fund of stocks. That said it is a good investment.

lz4zlp

Motley Fool Stock Advisor Question

Hi everyone, Just curious if anyone has registered for this service and if it’s worth it? Or if you have recommendations for better value options for someone who wants some help as a beginner investor? Thanks!

CanadianInvestor

For what it's worth, their return is a lot higher than the benchmark. These people commenting are only talking about the free columns they put out daily. Not the recommendation's through their subscription.

li50ff

If you had to choose 5-10 stocks for the bet 10 years

I am considering running a little test. Opening an account $10k. Only buying 5-10 stocks. No selling for the next 10 years. To make the contest more intriguing lets take etfs out of it. Already doing that boring but tried and tru approach. What would you pick and why? Stick with the classics? Apple tech..? Clean energy? Cloud computing? Rockets? EV? Exchange to USD likely doesn’t matter for the 10 years. Help me. What do you think.

CanadianInvestor

I love a good canadian bank stock. Set up a DRIP for it. They won’t shoot up the way tech does, but they’ll keep buying you more shares every quarter for “free”. Like Einstein said, compound interest is the 8th wonder of the world. I think he was good with math or something.

nzudwz

How do you balance ethics and investing?

For example, I understand that Enbridge is a well managed company and the stock is good for long term holding. However, with all the news about Enbridge pipelines in relation to indigenous people and their lands, I hesitate to invest in it. If I’m an investor, I would want Enbridge to do well but that would conflict with my opinions (or whatever has been fed to me by the media). I understand one can go pure ethical investing portfolio nowadays. But that’s going to the other extreme. Is it possible to achieve a balance? If you’re an ENB investor, does this thought ever cross your mind? Thank you EDIT: No where in this post did I state that I am anti-oil and gas. I literally said Enbridge is a well managed company and has a good stock for long-term holding. I am simply asking how does one separate their ethics from their investments. Forget Enbridge. People may invest in Facebook despite not liking the company and what it stands for. So what is the mindset behind separating the two?

CanadianInvestor

Man everytime ethics get brought up here y'all get so pissy about O&G and jump down OPs throats even if they ask a valid question or play devils advocate like this post SMH... The reality is that every capitalist public company will in one way or another act unethically. That's a common fault of capitalism. Do whatever is possible or necessary to bring maximized value for shareholders. Whatever a corporation can get away with (a fine is just a price of doing business, for example), they will. It will either be at the expense of the environment, their lower level staff, or the public in some way. The way I approach this inevitability is investing in companies I know and use myself. I have a reason to use them, therefore I have a reason to hope for this success and invest in them. I bank with RBC, I shop for groceries at Metro and recreation stuff at Canadian Tire, I buy beer at Couche-Tard, gas up at Petro-Canada (Suncor), I have a best friend who's a farmer (Nutrien). Is it perfect and pure ethic? No, but it's an approach I can live with and be happy with my investment growth.

kwway1

QBTC-closed end fund??

Apologies in advance if this is not the appropriate place to post. I tried to google this, but am still not quite understanding what is meant by closed end fund..are you able to "sell/trade" as you wish like any other stock or etf? What would the difference be say between an ARK etf and QBTC? Also, pros and cons? Thank you!

CanadianInvestor

Here are some points for you: 1. A closed-end fund has a fixed number of shares offered by an investment company through an initial public offering. Open-end funds (which most of us think of when we think mutual funds) are offered through a fund company that sells shares directly to investors. 2. Additionally, A closed-end fund is a portfolio of pooled assets that raises a fixed amount of capital through an initial public offering (IPO) and then lists shares for trade on a stock exchange. Like a mutual fund, a closed-end fund has a professional manager overseeing the portfolio and actively buying and selling holding assets. 3. If you want tax free capital gains, you can buy QBTC.U (USD) or QBTC.TO (CAD) in your TFSA. It is certainly expensive in terms of its premium (10-20%) and management fees (1.95%); however, if you are long/bullish in Bitcoin as an alternative asset class, then perhaps it does not really matter. With that said, you do not truly own Bitcoin with QBTC because QBTC is a fund; and therefore, you own shares of the fund and not Bitcoin itself. As the saying goes and as you may have heard if you have done your due diligence: "not your keys, not your Bitcoin". As such, you run and operate with all of the associated risks of leaving your coins on an exchange which is why I choose to own the real thing and use a cold storage wallet to take my Bitcoin off of every exchange that I use (Newton and Shakepay). 4. Personally, I only buy on the Newton app since they currently have the lowest purchasing fees out of all of the available exchanges in Canada. Newton's average spread varies from 0.50% to 0.60% which is 2-3 times cheaper than most of the other available exchanges that are available to us as Canadians. I also use the ShakePay app to earn free Bitcoin on a daily basis by physically shaking my phone once a day. Trust me, I know that sounds ridiculous, stupid, and suspicious, but ShakePay is a legitimate company based out of Montréal which is regulated by both FINTRAC and AMF while it is also legally licensed as a Money Service Business. I never actually buy from ShakePay because of their high purchasing spreads (which is approximately 1.75%) and I simply use them for the free daily accumulation of Bitcoin. Anyone who uses ShakePay can attest to this and easily confirm their legitimacy. 5. Since I actually want to own the underlying asset, I withdraw my Bitcoin from both of those exchanges (which costs nothing because they currently do not have any withdraw fees) and I put my assets into a cold storage wallet. In Canada, this is currently the cheapest method of accumulating Bitcoin and truly owning the assets by storing them "offline" in a cold storage wallet. However, in order to unlock the ShakingSats feature in ShakePay to earn free Bitcoin, you will need to be referred as per their current terms and conditions. I can assist you with this as well as answering any general questions, concerns, and/or issues that you may have related to buying, storing, and/or selling Bitcoin in the most safest manner possible while balancing convenience and simplicity. Just send me a message as I am always willing to assist and educate with whatever knowledge and/or experience that I have accumulated over the years. 6. If you are current in financial news, you would know what happened with the exchange and Canadian company named Quadriga. In short, many investors did not truly own their Bitcoin with them since Quadriga sold "entitlements to receive crypto assets or fiat currency from Quadriga" while Quadriga held the "keys" to the real Bitcoin and investors lost around 135 million dollars CAD, but up to 250 million dollars CAD according to Wikipedia while GlobalNews published it at 220 million dollars CAD. This is easily verifiable information and a famous story as well as a perfect example about "not your keys, not your Bitcoin". 7. Unfortunately, with both QBTC and WealthSimple Crypto, you cannot take your Bitcoin off of their exchanges because, again, you do not truly own Bitcoin with them. Rather, you own shares of the fund whereas those organizations truly own the asset since they have the "keys". They are the ones who own the real asset (Bitcoin) and simply run the fund with the Bitcoin backing that fund as they make money through their ridiculously overpriced spread/fees (WealthSimple Crypto's spread is around 1.5-2.0% if not higher). 8. With those two options outlined above, there is no reason why you cannot do both (i.e. truly own actual Bitcoin in a cold storage wallet and own shares of the QBTC fund in a TFSA). Just realize that with the first option of truly owning the asset (Bitcoin), it is subject to capital appreciation tax whenever you trigger a taxable event such as selling, buying, and/or converting crypto-to-crypto. As such, you need to be prudent in your bookkeeping behavior and calculate your "adjusted cost base" for each transaction. There is no legal requirement forcing you to calculate your "adjusted cost base" for each transaction, but it just saves you a lot of headaches later on when you need to pay taxes. This is no different than investing in traditional equities in a taxable account after you have maxed out your TFSA, RRSP, RESP, etc. 9. Before you invest in anything regardless of the asset class, make sure you understand what you are putting your money towards, understand your risk tolerance, understand the proper asset allocation percentages for your risk tolerance, and formulate a clear plan of what you want to achieve. For me, the biggest investment is not really the Bitcoin itself, but rather, it is in the underlying technology and innovation of the blockchain infrastructure which serves as a massive global public ledger leading to the decentralization of this digital currency as well as its invincibility and independence from overbearing governing bodies whereby the Bitcoin unit itself simply has a monetary value relative to fiat currency.

ka4mfy

Dumb question: DASH offering price vs. opening price

Anyone kind enough to explain how the opening price is determined? E.g. DASH was offering $102 per share pre-IPO and it started trading at $180+. Does that mean no one was able to first buy the stock at $102/share and sell it at $180-190? I checked Robinhood earlier today before the IPO and it asked me about a bidding price - curious if people just bid their highest willingness to pay and the opening price is determined by that.

investing

The folks that put together the original IPO "Road Show" (a JP Morgan or Goldman Sachs etc.) offered the stock to their Premium Clients at $102 - once that was taken care of, they regroup and had a preliminary second offering to second tier clients day of IPO - this is what drives the price from the announced $102 to $180 prior to it actually being available to retail traders on any exchange - this is also why it didn't actually open for trade until the afternoon, instead of at 9:30 AM - once that is all taken care of, and rebalancing takes place, it is available to trade on the exchanges - at $180 or whatever the second tier clients have driven the price to -

tdlg7

So I tossed out an idea in /r/RedditUniversity about creating/teaching a basic level stock trading class. There's a ton of interest, and I don't think I want to take it on myself, so I need some help.

I know we have some advanced more experienced traders here. If anyone is interested in possibly teaching a section PM with experience, trade frequency, and trade style. I'm looking to make a 30-day free course teaching the basics of trading. Play money demos would be used. I want to hit on as many basic styles, TA, Fundies, swing trading, value investing, etc. If you feel you are capable of putting together a video format (youtube has some good stuff, so we can use other videos for explanation) where people can reference when getting started, please contact me. I am not going to commit to this unless I feel we can start and finish it. Thanks Here's the [thread link](http://www.reddit.com/r/UniversityofReddit/comments/tcf06/someone_suggested_i_should_teach_a_class_on/)

investing

Please don't link anything back to this subreddit. As helpful as we all are, we don't need 100's of complete noobs unable to do the most basic research on their own flooding the threads here. If possible keep the Q&A there.

or71pq

Before taking advice on this sub; remember the average user only has $500 on the line

CryptoCurrency

This is absolutely why shitcoins are popular. Bitcoin created a reality where you can turn under 1000 dollars into a billion in a decade. Knowing this is possible has allowed people without much money to feel like wealth is incredibly close and they just need lightning to strike twice for them to get out of their situation. This feeling is IMPOSSIBLE to shake. They pulled out their calculator and multiplied their shitcoing (with a quadrillion circulating supply) by bitcoins current price and then proceeded to pick out their car, pick out their house, imagine the pictures they'd take for the gram to woo all the Instathots. This shit is more addicting than any type of gambling.

t7kz6r

Visa Suspends All Russia Operations

(Bloomberg) -- Visa Inc. is suspending its Russia operations and all transactions initiated with its cards issued in the country will no longer work abroad. Any Visa cards issued by financial institutions outside of Russia will also no longer work within the country, the company said in a statement Saturday. “We are compelled to act following Russia’s unprovoked invasion of Ukraine, and the unacceptable events that we have witnessed,” said Al Kelly, chairman and chief executive officer. “We regret the impact this will have on our valued colleagues, and on the clients, partners, merchants and cardholders we serve in Russia. This war and the ongoing threat to peace and stability demand we respond in line with our values.” https://www.bnnbloomberg.ca/visa-suspends-all-russia-operations-1.1732952 **EDIT**: Mastercard completely out as well https://www.mastercard.com/news/press/2022/march/mastercard-statement-on-suspension-of-russian-operations/

stocks

UnionPay opportunity to take over. No vacuum stays unfilled. In 2015 the UnionPay overtook Visa and Mastercard in a total amount of value of payment transactions made by customers and became the largest card payment processing organization.

a3oh9q

PhD and FIRE = bad idea?

Hi all, realize this is a broad and vague question but wanted to get the general consensus on getting a PhD along the journey to FIRE. I’m a 24 yo engineer who just got an offer to do a PhD in bioengineering in New Zealand. (USA origin) I haven’t *started* my FIRE plans in full swing, but it is a life goal of mine - do have Roth IRA with yearly contributions but not saving much money other than that. I plan to in the near future. Basically, is it a financially harmful in terms of FIRE to spend four years getting a PhD, making very low wages (20k) a year as opposed to working at an industry job immediately with room for growth at four times that amount? I realize that part of the answer depends on „depends on how much increase in salary your PhD will get you blah blah“ but wanted to probe the general mindset of the FIRE community regarding getting a doctorate. tldr; is getting a PhD frowned upon in the FIRE community? Edit: thank you everyone SO MUCH for your responses!! I certainly did not expect the outpouring of thought and perspective that I received. It looks like a lot of people have strong opinions about getting a PhD regardless of wanting to FIRE. I’ve got a lot to think about and my gut is leaning towards *dont do it* but all of your knowledge and advice certainly helps. Thanks again <3

financialindependence

Generally a phd is not an effective way to increase your lifetime earnings. It can take 4-10 years and depending on the degree might not be that useful. A phd is useful if you want to go into pure research, academia, teaching, etc. It can be a rewarding thing to do, but don't do it for the money because you're probably better off not doing it from a pure earnings standpoint. It doesn't prevent you from FIREing though, so if it's important then go ahead. A masters is more typically beneficial. It can usually be done in night classes in a year or two, and many places will bump you up in seniority when you get it.

ux4ed6

$cLuna | Join the Movement Today

New Community Luna | $CLUNA Is a community driven project, which got deployed by $PIG Token deployer. The Goal of #CLUNA is to build a new safe place for the people that got rekt on $LUNA\*. -LP is burned -Ownership renounced -3% tax buy/sell\* t.me/NewCommunityLunaBSC $cLUNA is a community driven token aiming to be what $LUNA could have been. This community is one of the strongest I’ve seen. There’s no fud during slight dips, the VC is constantly lit Achievements: \-Billboard outside of SpaceX office \-Contract audited \-30 million volume in a week \-Listings applied and on the way \-Multiple AMAs \-Web3 website development in place Want to vote on the direction of $cLuna? NFT Governance tokens will be available 5/27! Funds generated will be used to market $cLuna and decide as a community where we take the project from there. Make no mistake, this is legit and not going anywhere. Join the movement today, and be part of history Join here for greatness: WEB: [https://www.newcommunityluna.com](https://www.newcommunityluna.com) TW: [twitter.com/clunabsc](https://twitter.com/clunabsc) TG: [t.me/NewCommunityLunaBSC](https://t.me/NewCommunityLunaBSC)

CryptoMoonShots

Honestly... **New Community Luna** has been a godsend. So many times developers pull shady strings and end up rugging or dumping on the investors. The best thing about a community ran token is that is *NOT* a possibility. We work together to push this product and make sure we all stay safe. Especially after the **Luna** crash destroyed a lot of our income. \#cLuna #cLunatics #cLunation $cLuna

uub1g8

Puts on SPY

Anyone here currently putting puts on SPY? Any reason not to do it at this point? The downward trend of the market appears fairly clear at this point.

options

There were 99k puts vs 19.4k calls at 390 that expired today. As much as I think a rally can hit at anytime, if you look at the sheer amount of puts then you can see the amount of pressuring being applied downward. I hold long term puts as part of a hedging strategy myself.

uub1g8

Puts on SPY

Anyone here currently putting puts on SPY? Any reason not to do it at this point? The downward trend of the market appears fairly clear at this point.

options

Because SPY has had 7 straight weeks of selling and bear market rallies absolutely destroy puts. We could drop to 350 next week but we could also have a bear market rally to 410-415 which send puts to 0.

p617g4

Bitcoin Maximalists Believe That The Nash Equilibrium Has Been Reached.

The Nash Equilibrium is a "[concept within game theory where the optimal outcome of a game is where there is no incentive to deviate from the initial strategy.](https://www.investopedia.com/terms/n/nash-equilibrium.asp#:~:text=Nash%20equilibrium%20is%20a%20concept,deviate%20from%20the%20initial%20strategy.&text=Overall%2C%20an%20individual%20can%20receive,remain%20constant%20in%20their%20strategies.)" Bitcoin's main strategy is to be the "soundest" money possible that is the best store of value that could last thousands of years. It will not deviate from this plan. Bitcoin maximalists see the strategies of all the other coins, which is not to be the soundest money, but instead to be packed with various features such as being Turing complete, being faster, etc. If bitcoin's endgame is to be the soundest money, there is no need to deviate from that plan because it will win with its current strategy. Altcoins are playing a different game that have nothing to do with sound money. From [wikipedia](https://en.wikipedia.org/wiki/Nash_equilibrium): Suppose then that each player asks himself "Knowing the strategies of the other players, and treating the strategies of the other players as set in stone, can I benefit by changing my strategy?" If any player could answer "Yes", then that set of strategies is not a Nash equilibrium. Bitcoin's answer to this question is "no" because the game it wants to play is to be the soundest money. Altcoins have no choice but to answer "no" because there is no strategy they can implement that can make their altcoin more sound than bitcoin. Since all game participants answered "no" a Nash Equilibrium has, therefore, been reached. Bitcoin is the clear winner when it comes to being the soundest crypto currency.

Bitcoin

Agreed. The soundness of a currency's monetary policy accrues over time, because the longer that policy remains unchanged the more trustworthy it becomes. As Bitcoin will always be the eldest, it will also remain the soundest so long as it remains sufficiently decentralised (and thus immune to bad actors seeking to debase the supply). I had to laugh when I first saw the "ultra-sound" meme proliferate around a certain alt. Proponents are apparently oblivious to how frequently and chaotically the alt's issuance rate has changed since its inception. I could spin up a shit-coin where the supply halves every month, but simply being deflationary doesn't make it "ultra-sound" because there's no guarantee that the monetary policy won't be altered in future.

p617g4

Bitcoin Maximalists Believe That The Nash Equilibrium Has Been Reached.

The Nash Equilibrium is a "[concept within game theory where the optimal outcome of a game is where there is no incentive to deviate from the initial strategy.](https://www.investopedia.com/terms/n/nash-equilibrium.asp#:~:text=Nash%20equilibrium%20is%20a%20concept,deviate%20from%20the%20initial%20strategy.&text=Overall%2C%20an%20individual%20can%20receive,remain%20constant%20in%20their%20strategies.)" Bitcoin's main strategy is to be the "soundest" money possible that is the best store of value that could last thousands of years. It will not deviate from this plan. Bitcoin maximalists see the strategies of all the other coins, which is not to be the soundest money, but instead to be packed with various features such as being Turing complete, being faster, etc. If bitcoin's endgame is to be the soundest money, there is no need to deviate from that plan because it will win with its current strategy. Altcoins are playing a different game that have nothing to do with sound money. From [wikipedia](https://en.wikipedia.org/wiki/Nash_equilibrium): Suppose then that each player asks himself "Knowing the strategies of the other players, and treating the strategies of the other players as set in stone, can I benefit by changing my strategy?" If any player could answer "Yes", then that set of strategies is not a Nash equilibrium. Bitcoin's answer to this question is "no" because the game it wants to play is to be the soundest money. Altcoins have no choice but to answer "no" because there is no strategy they can implement that can make their altcoin more sound than bitcoin. Since all game participants answered "no" a Nash Equilibrium has, therefore, been reached. Bitcoin is the clear winner when it comes to being the soundest crypto currency.

Bitcoin

That's an excuse for the crippling of bitcoin development and scaling that's getting more delusional everyday now. It may have been acceptable a few years ago but is no longer true in the current market. I agree only regarding issuance needing to remain unchanged, but something like bitcoin needs **utility** and **use case** to be valuable otherwise it's just a speculative bubble. Scarcity alone is not an intrinsic value and the "store of value" narrative being parroted around as the only use. Satoshi himself said it best in [this post](https://i.imgur.com/AQnw7BQ.jpg). In it's current state, the value proposition described by Satoshi is no longer viable as bitcoin is unusable for it's primary purpose of peer to peer transmission for large amounts of people, without even any other utility to make up for the complete lack of even minuscule scaling like being turing complete, dApps etc. And thanks to this complete stagnation, alts that wouldn't even exist if bitcoin scaled are eating away at bitcoin's adoption and are getting close to it's market cap. Before the usual trolls here call me an alt shill, I'm predominantly in BTC, it's simply concerning to see the state it's in now and the utter delusion of the advocates of the current iteration of it. The " only a store of value" narrative is bullshit and will be the downfall of bitcoin if it isn't changed.

253xl7

MFinance vs MBA

I am currently doing my undergrad BBA program in Canada and I am interested in pursuing a career in finance. I plan to get my CFA and was considering doing an MBA vs a Master in Finance. What would you say are the main differences between these 2 programs, which is better? and what are the career options associated with each program? Thanks!

finance

I don't know so much about Canada but in Europe MSc in Finance are useful. It's something that you would usually do after your undergrad. E.g. in the UK a lot of people get a MSc at a better university than where they got their undergrad degree to improve their chance to get a good job in finance. In continental Europa a MSc (not just in finance) is quite standard, not so many people start working directly after the BSc. However, I don't think MSc are very relevant in the US but some universities (e.g. Columbia) have good degrees. There are some very good MSc that require work experience (e.g. LBS, Princeton). CFA title is very good value for money but usually something you would do when you work in research or asset management (but also some corporate finance people do it). It's well recognised but it has become kind of a standard (e.g. in asset management it's more a disadvantage if you don't have it, but nobody gives you a lot of credits for it). CFA doesn't really help you to get a job, it's more an on-the-job training (or along-with-the-job training). An MBA requires work experience and is very expensive. It's more important in the US because most people start working after their undergrad (in the US an MBA is kind what the MSc is in Europe but because you need work experience for an MBA it's not really comparable). An MBA can make the biggest difference for your career. If you do it at a top uni, it can get you a very good job. However, it's probably not worth it if you do it at a mediocre university because it will still be very expensive and you won't get a top job. In general, MSc are more technical than MBA programs and can be quite specific (e.g. focus on quant. finance or corporate finance). To be able to enter a MSc you usually need an undergrad in economics, finance, or something with a lot of math. An MBA includes a lot of business classes and soft skills training and is much broader than a MSc. Finance will only be a part of the program and not the main subject. Also the program is open to people from totally different backgrounds and therefore not very specific. The focus of an MBA is more on leadership whereas a MSc is for specialists.

1hej17

Can someone explain how a country can have two different exchange rates like I'm 5?

I'm planning a trip to Argentina and they have two different exchange rates there. There is the official exchange rate that you would get at a bank, and an unofficial exchange rate. I've been trying to understand how this works, but once I started reading about "blue chip swaps" and Argentine debt being bought and sold overseas I got a little lost. [Here](http://online.wsj.com/article/SB10001424127887323582904578489470877343446.html) is an article on the Wall Street Journal that I found about it. [Here](http://latino.foxnews.com/latino/news/2012/05/19/argentina-currency-black-market-expands/) is another one that I found on Fox News.

finance

* ELI5 version ----- Ice cream truck comes around at the same time everyday. He sets the price on the Choco Taco each time at the same time each day. In the past, your neighborhood friends have bought choco taco's and simply put them in their freezers. One especially hot day, you want to buy a choco taco but the ice cream man won't come for a few more hours... so you decide to buy straight from a friend. Since he thinks the ice cream truck might increase the price a little bit today (since it's hot), he's willing to sell you the Choco Taco at a different rate than yesterday's ice cream truck. In this example: * Ice cream truck = Central bank of Argentina who posts a fixing rate via CME/EMTA fixing page (the daily exchange rate). This allows them to moderate their exchange rate volatility (and thus, limit economic volatility). * Your friend and you buying and selling represents the over the counter markets (OTC) where the price is based upon expectations (what your friend thinks the ice cream truck will set the price at), liquidity (how many choco taco's your friend actually has), and economic environment (how damn hot of a day it is).

3lav2n

Learn to talk about capital markets? Where do you go for info?

I've been working in finance for 5 years, typical back office job (i.e. derivatives pricing). I work on the capital markets floor and realized that I never really learned how to shoot the shit the way that they do about deals. They talk about it like sports or the weather. Where do you guys go for information on whats happening in capital markets?

finance

This may sound counter-intuitive but...talk to people. Taking what the others have said, pick up a general sense of the current market themes then bring it up in conversation with someone more knowledgeable than you. Take what they say and offer that to someone else to get their perspective and so on. Slowly you'll build a balanced story and pick up the lingo.

2sn56c

Lurkers and regulars - how is the sub doing?

Hi everyone. As the new year rolls over, we recently passed 50k subscribers. While this would be a good thing, 50k is that point at which the popularity problem begins to emerge. Someone on /r/investing commented that (paraphrasing) "this used to be a specialty sub, now it's basically /r/personalfinance and morons". Now I and the other mods do our best to not have this be the case, but it can be challenging when we are, you know, working. Common complaint is "we need more industry people!" But industry people are naturally driven away by the influx of outsiders - harsh but true. I think we have solid regulars and the Monday thread has worked well to capture the questions. What do you all think?

finance

* I think this sub has a very low ratio of participation/sub, so I'd argue we don't really have a "popularity problem". Probably some combination of spambots and current/past homework help requesters/students who aren't knowledgeable enough to contribute. * Specialized professional subs tend to be less active then their student focused subs. For example, /r/law vs /r/lawschool + /r/lsat + /r/prelaw [...], /r/medicine vs /r/medicalschool + /r/premed. /r/financialcareers is pretty small but it has a fair amount of questions and activity. People who are interested in finance read the sidebar and go there first, which is good. * It seems like other professional subs have an issue with engagement of experienced users. We all have intelligent, motivated colleagues, friends, and acquaintances that we can talk to, IB, or call on a problem or question. We are busy and in general finance types, particularly those on the corporate side, have less tech/web-oriented interest than engineers, programmers, IT, etc. who make up a big part of reddit. Just look at the [sticky post on /r/medicine](http://www.reddit.com/r/medicine/comments/2mteas/meta_mods_from_rmedicine_want_to_hear_your/): I see the exact same trends / issues / ideas here: > It would be a place for medical professionals to discuss issues which are of importance to them. We like the analogy of this being like a lounge where you could come in and start discussing things that you would / could discuss with other medical professionals in real life. > I really like the science articles and the experiences/questions people post here. I don't really like that some of the articles posted come from mainstream news sources. A lot of them are at too sensationalistic. > We plan to continue to actively discourage and remove: medical advice, and questions from lay public asking us to explain medical facts to them. Questions from medical professionals concerning how a health situation directly affects their professional life are allowed. > I think that it's hard to tailor this sub to a specific population because the population that uses it is heterogeneous. The target population is all over the place. Lay people are interested in different topics than an EKG tech, who is interested in different topics than neurosurgeon, who is interested in different topics than a paramedic, who is interested in different topics than an NP. > I think a large increase in post quality would be making it self-post only. It would encourage initial discussion with links, and cut out any karma whores or people dropping memes, which will happen more and more as this community grows. * Too many personal finance questions. People who are missing payments on their car loans don't read the sidebar and just post. If you guys could do something to alleviate that, it would be great.

36aql6

Would Greece leaving the Euro cause a rise or decline in its value against the dollar?

I recently saw this analysis on Greece leaving the Euro and its impact on Greece's economy, and was wondering what its immediate, short term impact on the Euro economy, and particularly the value of the Euro against the dollar would be like.

finance

no one knows, that's why Greece/ECB/IMF all try to avoid it. People can guess but no one really knows. Same way with Lehman Brothers no one knew that letting collapse would lead to such a melt down in the financial sector.

rsgc2l

I saved 42.5% on Capital Gains taxes owed by doing a wash sale.

Today I spent hours and hours optimizing my taxes. I generated statements from Coinbase and Kraken then transferred the info to Excel. I sorted the purchases by cost basis, and sold every Satoshi that I had purchased after June 2021 above the current price. Then I instantly rebought, and at a slightly lower price even. The result was 42.5% lower net gains, so 42.5% lower taxes on the gains. Now, what am I going to do with the $20 I saved? Probably buy more BTC.

Bitcoin

How did you sell sats that you purchased all the way back in June? Aren't they all just chilling in a wallet in a big mixed up pile? I have all my purchases logged and my average cost is 62k, current price is 60k. I don't think I am able to start selling the ones I bought at 80k instead of the ones I bought at 40k in order to reduce my taxes more.

8e2nap

Is there a subreddit for people who grew up poor and now have money?

I grew up free lunch in school poor, and now the company I work for is blowing up. I'm getting a big one time payment this year because it's been a good year. I don't know what to do with the money (no debt, emergency fund well funded, we save a significant part of our salary, because I'm paranoid about being poor again). I don't know how to have money. Edit: My normal salary is about 60k. This year they had a major winfall that I spear headed, my total income will be over 150k plus my partner's salary. We also get some paper income from a family company (the way the company is structured, we will have to pay on income that is basically just paying the mortgage, so we don't get a distribution, but have to pay the taxes). Our combined income will be over 200,000. It's usually at around 80,000. My salary next year is likely to return to normal. I'm incredibly lucky, I'm aware. We're going donate around $5000 to local charities. I'd like to put 20k into a college account for my kids (both under 5). We don't have any expenses we've been waiting for.... One of us may have bought their first fancy purse... From the outlet.. On sale... My dad has an investment guy that I considered putting money with. That business I mentioned above is pretty much my retirement account. I'm most concerned with taxes. Should I buy a farm? Are there one time deductions I should make? Should I go do that medical stuff I've been putting off? Edit: we live very frugally, paid off cars, no other debt, no cable, essentially rent free living in me folks 2nd house. We don't go to concerts or that kind of thing. We blow money on food and drink a couple times a month. Edit: I'm in my lower 30s Edit: regarding the charities, we only donate to npr, red Cross, and local charities. My wife helps with a women's shelter and I work with the local food bank

personalfinance

This is a good sub for it. No debt is awesome, emergency fund is at least 6 months? Where do you keep it? You could open a high yield savings account to get a little more bang for your buck. [This chart is usually referenced.](https://i.imgur.com/lSoUQr2.png) It's a good tool. Do you have IRAs? You could open IRAs for both you and your spouse. Any kids? You could open a 529 account.

n9a0xp

Missing Out on Quality Trades Right In Front Of Me

Hey guys, So I've been trading now for a few months, have had ups and downs but am finding a pattern where I am constantly being met with quality trades that would work out- only problem is I am scared to take them because I am always waiting for more confirmations. It's almost as if its a brief shock and makes me frozen and can't press the buy button. I'm curious if anyone else has pushed through something like this, or advice to give to get me over this. I've tried a lot to get over it but it seems repetitive and I feel like I am just going in a circle. ​ Anything shared is appreciated. Thanks in advance!

Daytrading

Paper trade the pattern and collect performance data. Review your performance data. If it's profitable over 1-2 months, trade with very small position size for another month. If still profitable, increase position size. Rinse, wash, repeat...

zhe63f

How did you learn to daytrade and how long did it take you to become decent at it (winning percentage higher than losing)?

We all have to start somewhere. How did you learn to daytrade? Did you go to college for it and get a finance degree? Did you learn it on your own? And how long did it take you to get the hang of it? I’m currently going through a course for it. And will most likely paper trade for a few months for practice before putting in real money. The hardest thing for me is to get out of this “luck/lottery mindset” and aim more for incremental progress. What was your route to learning?

Daytrading

Good question in my opinion! I've been involved with the stock exchange using my bank for 6 - 8 or so years; all investments were focused on long term and I was only interested in stocks and obligations. Never bothered myself with trusts or options and such. During the Wirecard scandal and the massive drop on the DAX I got a taste of day trading: having become very familiar with the market and knowing about sentiments I knew that I could profit from an increase; as long as I stepped out in time. Despite all the extra costs (every trade will cost you when using a bank)... despite all that I made a profit. That triggered it for me and mid 2021 I got myself an account with a CFD broker, and started trading. I'm still active today. ​ > How did you learn to daytrade? It started with the scandal and from there on: trial and error. At first I only used a small deposit and that worked out. Eventually I decided to stop using my bank as broker and only focus on CFD's. Honestly? I still learn new things. I don't think you'll ever stop learning, you *need* to stay aware of current trends, current developments and learn more about 'm. You need to stay on top of the news, because those developments can always - theoretically - affect the markets. ​ > What was your route to learning? Reading, reading, reading.... and some more. I got a subscription for the services of a financial website and used that as my main source of info about the markets. Then I applied that, together with my own impressions, and acted accordingly. In my opinion the biggest issue is to stay on top of the news, learn about the market and its possible quirks and then act accordingly. But *also*... pick the right market(s) to trade in. High volatile markets can make you quick bucks, but also easy losses: there will be more risks involved. Low volatile stuff could move things beyond day trading. Ergo: the first thing to worry about is to pick the markets you want to work with. Then learn more about 'm and based on that information and the actual situation at hand decide if you want to invest or not. Just my 2 cents of course but this works nicely for me so far.

mjsudh

Im pretty much new

Hello guys so Im pretty much new I have a basic understanding of charts when I see them but I have literally no idea where should I get info about stocks and stuff and what app or site do you guys recommend to use trading.As I said Im pretty new so please be patient.

Daytrading

If you’re looking for a great charting website, I find [TradingView](https://www.tradingview.com) to be robust with plenty of indicators and tons of other features for day trading. As for a broker or trading platform, I can only speak on the apps that I’ve used. Because of Robinhood’s simple interface, it’s really easy to use. Also there’s Charles Schwab, which isn’t as intuitive but more detailed. For learning technical analysis, I really got a lot of value from the YouTube channel [The Chart Guys](https://youtube.com/c/TheChartGuys). My two favorite books on investing are [The Intelligent Investor](https://en.m.wikipedia.org/wiki/The_Intelligent_Investor) and [Thinking, Fast and Slow](https://en.m.wikipedia.org/wiki/Thinking,_Fast_and_Slow). The former is a classic value investing doctrine and quite dogmatic but a indispensable read regardless of your investing style. Some might find it a bit boring at times but take your time and slowly make your way through it. The later book will give you a defined dichotomy of our thinking and allows for more self awareness when investing or day trading. If you enjoy Podcasts, [We Study Billionaires](https://podcasts.apple.com/us/podcast/we-study-billionaires-the-investors-podcast-network/id928933489) is my all-time favorite resource. Great way to start learning the vernacular of investing and different mental models/approaches. Once you get the basics down of technical analysis and fundamentals, I think the last piece is self-discipline. What I’ve found to be the most challenging aspect of investing is being reasonable in times of greed or fear.

uwehbu

Bookmap.

A few days ago I saw a post regarding bookmap. The OP was saying that using bookmap can change the entire game and add a huge edge in one's trading journey. I knew about bookmap before, but that post increased my curiosity even more. My question is: what kind of edge do people get by using a bookmap? Bookmap is basically the order book represented in a visual format. People can hide the quantity in the order book when they're placing a limit order. So what edge might bookmap provide to traders? Also, what are some good resources to learn bookmap trading from? Thanks.

Daytrading

Does your trading have anything to do with orderflow? If so, I think it is useful, but saying it as if he found a Holy Grail is false. Market can do a lot things around these huge limit orders. Went straight through. Reverse . Zigzag around it. Reverse before it hits. Got rejected 2 times, 3 times and then go through it. Never executed. Went through and then come back up/down, etc, etc, etc. it’s not a magic wand, but it does give you some context, this is why I use it. In addition, you are asking probably because 1) it is expensive and 2) your current trading is not doing well. So whether it is worth or not only time will tell. They are also other platforms now offering similar stuff: Motivewave, Quantower, etc. No harm in trying if price is not a concern.

aelfp9

Whats your profit target strategy?

So this has been a debate in my mind for a little while now. The question is, what do you do when you reach your profit target? Do you exit entirely? Do you take a partial profit? If so, what? Half? Quarter? Something else? ​ My debate has to do with risk to reward. If i set up a trade with twice the reward vs the risk, but only take partial profits at the target... does that invalidate my risk to reward ratio? Example: Say I go long 100 shares at $1.00 with a stop at $0.50 and a profit target at $2.00. The price rises and hits $2.00 so i sell half of my position and then drops back to $1.00 so i exit at break even in order to preserve profits. ​ My thoughts. In that example, i would have made a profit but only made $50 which is exactly what i was risking in the first place. Meaning that i can only guarantee (by exiting half my position at the target) a risk to reward of 1:1. My strategy at the moment is to raise my stop loss to break even after taking profit but i feel like that often means i take smaller wins and bigger losses when things go against me. Of course the trades where it continues to move in my favor are amazing but i can't always guarantee that. ​ Whats the communities thoughts? What works all you profitable traders?

Daytrading

If it hits your target just get out. No point in giving back your profits to hope it runs more. Even in your scenario I would consider that a loss. You don’t need to catch the whole move just part of it. Trust me, I know what’s it like to miss out on a ton of money and it really sucks. BUT it doesn’t suck as bad as losing. I’d rather cry over missed gains then cry over a loss. You’ll never catch each top and each bottom. Nobody’s that good. If you don’t like what I have to say try this... 100 shares at $1.00 When it hits $2.00 sell 75 shares. Keep 25 shards and raise your stop to the closest support level you feel comfortable with. That way you keep your gains but also have a little just in case it runs more.

95g53u

Since a lot of people ask if an emergency fund is worth it, I have a story about how mine has been coming in clutch the last month

I always keep about $10k in an emergency fund just in case. It has seriously come in handy this past month alone. I was living with family when recently there was a tragic mishap that left us homeless. I had to shell out to help everybody get things sorted out and then temporary rent a place to sleep for the week. On top of that, I needed to get an apartment on short notice. Not fun having to put down $600 security deposit plus $150 amin/app fee, and another $800 for pro-rated first-month rent. So here I'm already out about $2000 of emergency fund. Today, my car decides to bust a purge valve and take the vacuum line with it. There's another $300 at the mechanic. Also had to drop $350 to get utilities set up at my apartment ($250 deposit plus $100 fee). Had to move all my stuff about 230 miles. My job heard of my misfortune and was willing to give me a new job in a new office with a 15% pay-raise. The catch is that the job doesn't start until October 1st, but they also offered a sizable start bonus. Decided to take it, but I will be without income for 2 months. $65 in gas for the move plus another $2.5-3k for the 2 months of living. Left the food for my family members back home. Had to get a month's worth of food. Another $120. I'm sure more shit will come, but within a week and a half I'm out over $3000. Thankfully, that emergency fund is coming in handy and will continue to keep me fine until my new job starts early October and I can begin to get back up to $10k. If it wasn't for the fund, I have no idea what the hell I would do. Better to have it and not need it than need it and not have it. Don't get Starbucks today and keep it for a day when you'll really need it. Never know when life will decide to kick you in the balls.

personalfinance

Nice. Just imaging if you didn't have it! You'd be hating every day right now. I mean on the bright side...you've got two months off to move and settle in. The new job and raise will get you back to 10k in no time.

ndm21q

If a house isn't an option, then what is?

Hello all, forgive my low financial literacy - I am working on it. (Any suggestions here are also more than welcome) I was originally in the market to buy my first home - but with the market booming, I am finding myself priced out of anything that I find remotely appealing, and have become a bit jaded with the whole process. So my question is, what else should I be doing with my money? I have $100K now just sitting in an account, essentially not growing - how can I maximise this growth, so I can try the market again in 18-24 months. I don't feel comfortable with the FHSS - I don't like the idea of taking money away from future me. I am now over 30 so don't qualify for the Westpac 3% savings account. So, does that leave me with a term deposit? Would the interest even be worth it over this time period?

AusFinance

Your comment on the FHSS doesn’t really make any sense? Could you elaborate on how it’s taking money away from future you? Otherwise, I don’t really have much advice other than I doubt you’re going to see prices lower in 18-24 months so not really sure why you’re planning to delay. If you’re schtick is “property is too expensive so I’ve decided not too buy” then fair enough, there’s plenty of other things to do with your cash. But if it’s “property is too expensive so I’m going to wait till it goes up by another 10-20%”, I’m honestly more confused then your FHSS comment.

8mvws2

Ok, Barefoot Investor is wrong - So what's the best NET performing SUPER Funds in Australia?

There have been a few discussions on here recently about which SUPER fund people should be using and the advice provided in the Barefoot Investor is not the greatest regarding chasing lowest fee's. From what a large number of people are saying it's all about the NET performance of the SUPER fund you want to be checking. But where do you easily find this information? Just like everyone bangs on about ING, UBank and Macquarie being good bank accounts - surely we can start banging on about some key high NET performaning SUPER Funds too? Let's discuss.

AusFinance

Barefoot dickhead isn't *wrong*, for starters. The fact that people think that means there is a basic shortfall in people understanding what the fuck they are talking about. There is literally *no point* to talking about returns in isolation. It's not a homogenous savings account, or a specific index tracking ETF. If anything, its counterproductive as hell because people with no idea take the wrong message away and pick things that aren't suitable for them. What about dispersion? What about selecting an appropriate timeframe? Comparing an equity index replication strategy to a defensive SAA is pointless, especially when you are only talking about comparing returns. Even comparing 'balanced' options across different providers isnt super useful, since almost none of them will use the same SAA. Some don't use alternatives. Some have different definitions of defensive assets. And so on. So, again, without meaningful measures of risk being incorporated and looking over an appropriate timeframe (ie, cherry picking a period of domestic equity growth is going to heavily favour a fund concentrated in that sector), any conclusions are dodgy at best. And that's before you get to super basic questions like what is appropriate for me isn't appropriate for you and isn't appropriate for a 63yo.

xi1xox

Mum wants to put $150k inheritance from grandmother on my home loan. Is that possible?

Hey guys! I'm in WA. My mum recently received an inheritance from my grandmother, and because I'm her last surviving son, she wants to put all of that money on my home loan so I'm set up for the future when she passes away. However, from what I'm seeing, legally parents are only allowed to gift their kids $10k per year? When my Dad passed away I received his superannuation payout (parents were divorced), and I was taxed heavily on that and then it counted towards my income for the year so I was taxed heavily again. I'd like to avoid getting absolutely destroyed by the tax man this time around if it's possible. I'm open to any and all suggestions! Cheers for giving this a read! Appreciate it!

AusFinance

**The $150,000 will be considered your mother's asset if she's on the pension,** ***even if she gives it to you***. If that raises her above the allowable minimum asset for the pension it will reduce her income from centrelink or eliminate it if she's above the maximum assets. The maximum and minimum assets are listed here: [https://www.servicesaustralia.gov.au/assets-test-for-pensions?context=22526](https://www.servicesaustralia.gov.au/assets-test-for-pensions?context=22526) If she's single and owns her own home - If her assets are above $280,000 including the $150k, her pension will drop. If her assets are above $609,250 including the $150k, she'll no longer get the pension. Caveat: Seek advice from centrelink or a financial/tax adviser, don't take my word for it.

huvdx6

This Sub Needs to Stop Trading Spent Tickers For Its Mental Health

I hate to break it to many of you but your approach on trading is just not healthy, I've seen countless posts about people upset over losses and who are suffering from their investments that continue to screw them over. I'll give a little advice, tickers like XSPA, BOXL, and many others this sub refuses to let go of are temporarily dead when it comes to risk reward ratio. Dry on volume and hype, to justify the 50+% downside risk of the investment, you would need to be confident in 100+% upside at the least. For my trading style it would be a massively illogical trade to take, instead these are some tips that will keep you from constantly riding a stock downwards. * 1. Volume should be at new highs or sustainably higher then where it was not to long ago. * 2. Make sure there is a support level near where you buy in to have a good place for a stop loss, you can easily find trades where you risking 10 percent and under with massive upside. * 3. Don't search for reasons to hold a stock, have them. What I mean is all I see from those who get caught bagholding is posts about some worthless upcoming event or news release or whatever they can spin off to boost their confidence in holding the losing stock. Avoid doing these things and it will prevent you from hoping on a stock out of gas.

pennystocks

#3 was the hardest lesson I have had to learn. Of course you can search Reddit and twitter and find SOMEONE who says to keep holding XSPA or MARK or whatever. But you have be smart enough to know what you’re holding going in and make your own decisions. I’ve done so much better having my own plays rather than playing other people’s

248trz

Mt. Gox Class Action Lawsuit - Important Announcement

Good evening, You're receiving this e-mail because you've reached out to us regarding the putative class action lawsuit against Mt. Gox currently pending in the Northern District of Illinois (Greene v. Mt Gox, Inc. et al). We've recently had an important development in the case that we'd like to share with you all. As you may soon hear from the press, we've filed papers tonight seeking approval of a settlement that has been reached with certain defendants. The filed documents have been uploaded onto the Mt. Gox litigation website that you've already been invited to. A few highlights from the settlement: * The settlement is with Jed McCaleb, Gonzague Gay-Bouchery, and Sunlot (a US Investment group looking to purchase Mt. Gox out of bankruptcy). * The settlement amounts to a "Plan Support Agreement," wherein the class has negotiated benefits to consumer creditors of Sunlot's purchase. All parties to the settlement will support the Purchase Agreement when it is jointly presented to the Japanese Administrator. * Under the settlement, the consumer creditors will get (a) a pro rata return of bitcoins and fiat currency, (b) a combined 16.5% equity stake in the New Mt. Gox, (c) cooperation by McCaleb, Gay-Bouchery, and New Mt. Gox in the prosecution of our case against the remaining defendants, and (d) a commitment by New Mt. Gox to pursue strategies to recover the missing funds. * The settlement does NOT attempt to prioritize the US consumer creditors over anyone else, thus under the deal the 16.5% stake, for example, would be shared by all consumer creditors throughout the world. Non-consumer creditors who have claims are similarly not prejudiced. * The settlement is contingent on the Japanese Court accepting the purchase with the agreed-upon terms. If that does not happen, the settlement is void and the Parties are restored to the status quo ante. We are very excited about this deal and believes it provides strong relief to the class. Going through the Japanese liquidation would have taken significant time and expense, and would likely have depleted existing assets and returned only pennies on the dollar. This deal will provide immediate funds to class members and give you all a stake in the new entity. Further, as the settlement does not release claims against many of the principal players, the class action lawsuit will still continue against the non-settling defendants (i.e. Tibanne, Karpeles, Mizuho Bank) and the class may well recover additional monies. *Update* More info here: http://www.savegox.com/press/Gox_Creditor_Settlement_Press_Release.pdf

Bitcoin

This is a terrible, disgusting deal. Read the actual press release and see that those Sunlot bastards still try to take $10 million out of the existing assets and even try to reward themselves even more in the process of doing so. "An Administration and Prosecution Fund would manage customer interests and the recovery of the approximately $275 million of stolen customer assets. Capitalized by $10 million (3.6% of stolen assets) in MtGox cash held in trust by Nobuaki Kobayashi, the administrator appointed by the Tokyo District Court, the fund would conduct forensic investigations and pursue prosecution of perpetrators. An incentive bounty of 10% of recovered assets would reward those participating in the recovery." All this is a direct contradiction of things they've stated in their 'support gathering phase', including what now appears to be direct lies on yesterday's Google Hangout. They've shown themselves for what they are - vultures that can only get what they want through litigation or the threat thereof, of minor defendants. They pick on the half-dead bodies of affected creditors and try to suck as much of the meat out of them as possible. Meanwhile, they tout themselves in the press as the saviours of the bitcoin economy. Edit: Bruce Fenton here claims 100% of the pro-rata share of recovered customer funds are redistributed, because the $10M would come from corporate, non-customer funds. Let's agree that this here is, again, obvious twisting of the facts, since such "corporate funds" would be part of the total MtGox assets that would be used to settle liabilities. Who pays Bruce, and for what? It may also be interesting to learn that John Betts of Sunlot just stated they had a ready-to-go plan within hours of the initial bankruptcy filing and were ready to takeover on the morning of February 25th. To me this is highly suggestive both that Sunlot had insider knowledge of the dire financial situation at MtGox for weeks or months beforehand, and also that they were the party to execute the ideas mentioned in the "Crisis Strategy Draft" leaked by Two Bit Idiot.

l64jts

Quit asking for help pumping stocks

All you newcomers, listen I get it. I'm new too,only been around for like 3 months, but understand this isn't a fucking pump and dump situation you've stumbled into. We do not target tickers to swarm retail capital on. Quit begging for WSB to boost whatever Yolo you're in. Do your own DD and analyze your OWN risk. Nothing wrong with hoping it flies again, but jeez you all need to understand what goes on here. Idiots encouraging idiots that's it. Edit: Just wanted to add the stunningly low amount of $ROPE mentions these days. ETA 6 months when newcomers think this GME shit is recreatable instantly and Yolo their gains.

wallstreetbets

agreed there's too much "NEXT GME BUY XXX" bs - this is probably the perfect time for pump & dumps though because of the influx of morons on here who will listen to anything to ride the next GME (which doesnt exist)

llr1z7

Daily FI discussion thread - Wednesday, February 17, 2021

Please use this thread to have discussions which you don't feel warrant a new post to the sub. While the Rules for posting questions on the basics of personal finance/investing topics are relaxed a little bit here, the rules against memes/spam/self-promotion/excessive rudeness/politics still apply! Have a look at the [FAQ](https://www.reddit.com/r/financialindependence/wiki/faq) for this subreddit before posting to see if your question is frequently asked. Since this post does tend to get busy, consider sorting the comments by "new" (instead of "best" or "top") to see the newest posts.

financialindependence

Took a first cut at 2020 taxes yesterday. (We didn't get all the tax forms in the mail yet, but I was able to download PDFs.) Looks like we don't owe *that* much, so I don't need to keep working for the taxman. That was my last excuse not to retire. So, it looks like I can retire now. If we can stick to a budget of 4*Federal Poverty Level (for ACA subsidies in 2022 and beyond; I've already made too much money in 2021 so we're paying full price for health insurance this year, probably COBRA to avoid having to switch insurance right now), we're at a 2.21% withdrawal rate. Feels pretty safe. Also, my wife wants to keep working part-time, so we'll still have some income other than pulling from investments. I have a meeting with my manager this afternoon, and I'm thinking of giving 2 weeks notice and making it official.

68lzp6

Auto-pilot is a bit boring....

Newbie here! It is nice to read you all. :) My plan for FI/RE is in effect, and I have (hopefully) less than 4 years to go. Working life is on auto-pilot, and it is pretty boring at times. I am looking for advice on how to happily get through the remaining time in auto-pilot until FI/RE is achieved? Any idea is welcome on new things to try (that are frugal), new hobbies to check out (that are frugal), vacations to take (that are frugal), and/or ways to make an easy buck (that are frugal upfront). This question is open ended, especially since you don't know my likes/wants. It is always interesting to read about what others enjoy, and I look forward to what advice you may have. NOTE: when I say boring, I mean the routine of getting up, going to work, working all day, getting home to make dinner, yada yada yada. This Monday through Friday routine gets pretty monotonous during auto-pilot.

financialindependence

If you're bored NOW, then god help you when you FI/RE and have way more spare time. There are people who retire and are extremely unhappy because they don't know what to do with their time and are bored bored bored. Ideally you are retiring early because you have too much to do, and too little time to do it. The best way to productively use a bunch of time to learn a hobby. Something that you can keep doing and getting better and better at. It allows you to push and get excited about reaching a new goal. This contrasts with a raw "time killer" which you can do over and over but you can get VERY bored of because it's far more repetitive. (like say, watching tv). Go to the library and browse the hobby section. (or hell, ANY section). Try something, see what you like.

80qme9

My Financial Journey (Retired at 27, Living On $20,000/Year)

**My Journey:** **Ages 17-21:** Graduated with undergraduate in Business Management and minor in Construction Engineering Management. ($10k in debt) **Age 21:** Bought my first home and rented out two rooms (Rental Income: $1000/month) **Ages 21-26:** First job at a startup ($36k salary) and worked my way up to a director position ($60k salary). At first I was working 45-50 hour weeks, but as I grew into management and was able to deliver very high results, I was able to hire my own team and manage my own account(s). For the last 2-3 years at this company I worked 5-10 hours a week. **Age 24:** Bought second home and rented out a room. Also rented out all of first home (Total rental income ($2500/Month) **Age 25:** Started renting out homes as short-term rentals (Rental Income: $5k-$10k/month depending on season) **Age 26:** Obtained MBA. **Age 27:** Consulting work for fast growth companies working 20 hours a week ($75k annually) **Age 27:** Monthly expenses were below $1000 a month and income was $10k-$15k/month. *Cash/Liquid Investments:* $150k *Equity:* $250k *Paycheck:* $6k/month *Rental Income:* $5k-$10k/month **Age 28:** Decided to quit working and “retire.” Started plans on building an income property. The moral of the story is you don’t need millions, or even a million dollars, to “retire” early. My philosophy on the whole game is generate and save as much money as possible when you start - buy assets, create new revenue streams, slash expenses as low as you can go and once your monthly passive or secondary incomes are 4-5x higher (you can do 2x as well) than you living expenses, retire. I took it one step further and bought land and built an income property mortgage free. To ensure my living expenses would stay low and my income would be higher. I allowed myself to have two hobbies where I splurged, but other than that I hardly spent any money on entertainment. What do you guys think? Are you doing, or did, something similar? **EDIT:** I had no idea, this post would get this many comments. There are five major themes I'm noticing: 1. I'm not retired. 2. My "luck" is going to run out. 3. Numbers don't add up. 4. Only $20,000 in income? 5. And a very small subset, agrees or have done something similar. Oddly enough they're happy with their nest egg and are not negative. To give a quick answer before I go make dinner: 1. We all have different definitions of "retired." I'm from a different generation and do not think sitting in a rocking chair and going on cruise boats is retirement. Even with $100m in the bank, I'm still going to work. With that said, retirement to me is absolute freedom of my day. And that's what I have. You can argue all you want, but I want you to know that I'm living my dream life and doing what I want, when I want. 2. Sure, there's going to be a market correction soon. With an MBA in finance and operations and an engineering background I've thought of those scenarios. I'm not flying blind here. Also, $1M in equity and assets is a nice bonus on top of my monthly cash flows. My living expenses are around $1300 a month and I have a custom home on seven acres near a private lake, which is paid off. 3. That's fine if the numbers don't add up for you. I'm not writing 10 years of tax statements, investment portfolio performances and a savings timeline for you. If you don't believe me, then don't. But read the comments from others who are doing something similar. They don't seem to contest my numbers. 4. My mistake, that $20,000 is my annual average expenses. NOT my income. 5. You guys rock and you're probably in a better financial state because you're able to see things differently from the masses. Keep it up. With all that said, stay positive folks and no need to hate. I wanted this to be more of discussion of secondary incomes rather than a debate about the definition of a word or you feel like you're being lied to.

financialindependence

I just can't buy it every time I see a post in this sub about someone living with $1k-$2k a month in expenses and you're going to retire and do what exactly? I'm 26, just my health premiums are $220 a month, and that's CHEAP. Add in groceries, gym membership, and doing literally anything that costs money on occasion and there's no way I'm having <1k expenses a month. I don't even have a car so no car insurance or anything like that to worry about. I just don't understand how people do this?

t8e2du

This WSJ article about RC & BBBY and a lot of these comments feel like when/why we left VVSBs for Superstonk

Edit: I know there's a lot of smoothness on this sub but please actually read the post. This is not about whether or not RC bought into BBBY or not. The point is still the same. If you buy into BBBY today be careful. You might get dumped on. All I'm seeing is a bunch of "if he's in, I'm in" and "suddenly I got the urge to buy more BBBY, how about you?". I even saw "I think I might diversify my portfolio now. I've been in the same stock for 9 months." If you've been around long enough, you know this is why this sub was created. This same thing happened with silver, r-kt, cl0v, movie, tilray, sundial, the list goes on... No 13F has even been released. We don't know if he just bought BBBY or has had it since 2019. Regardless, we've known he's been the largest Apple shareholder forever now and we didn't go buying apple. This feels like a distraction and/or a setup for a pump n dump. NFA but let's not lose focus on what we've been fighting for over a year now. Buy, DRS, hold. That is all. Buying more GME tomorrow btw. Edit: need more characters so mandatory 🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀

Superstonk

Agreed, I'll wait to see an official SEC Filing before believing. 👊 P.S. I haven't seen anything in RC Venture's past filings: https://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0001822844&owner=include&count=40 Update: Official SEC Filing - https://www.sec.gov/Archives/edgar/data/1822844/000119380522000426/0001193805-22-000426-index.htm

lcele5

Where can a regular investor get stock information on Reddit these days?

I’ve been a member of this community along with the other big stock market communities on Reddit for a couple of years now. I used to really enjoy reading DDs on obscure or interesting companies. I loved checking the sub each day because I never knew what new pieces of information I would find. Some of my favorite stocks I found searching through new/hot. With the whole GME fiasco (I like WSB but I like to keep it separate from my actual investments) every single stock market community seems to be exclusively focused on pumps or squeezes or meme stocks and I just want a community to discuss interesting companies and fundamentals. Is there any subreddit people could recommend me for this? I wouldn’t exactly consider myself a value investor but I do look for reasonably valued growth companies.

stocks

If it was so easy, then we would all be day traders and retire to a beach somewhere. Its tedious, you need to do your own DD and you will get things wrong half the time but develop a system and improve it over time.

unad7t

NO, the inflation rate DID NOT DECREASE!

That 8.3% number they published is the YOY change compared to a month that was already starting to see high inflation growth. If you look at a 2 year rate, or anything longer than 1 year, you will see that the rate ACTUALLY INCREASED from 11.39% to 12.8% (that's for 2 years) Maths for the peasants: [https://imgur.com/gallery/p7KFHbo](https://imgur.com/gallery/p7KFHbo) So NO, INFLATION IS NOT LOWER. The rate at which it is growing is SLIGHTLY lower this month than last. Source of data [https://www.bls.gov/regions/mid-atlantic/data/consumerpriceindexhistorical\_us\_table.htm](https://www.bls.gov/regions/mid-atlantic/data/consumerpriceindexhistorical_us_table.htm) ​ EDIT: Here's what the month-to-month change in the 2 year inflation rate looks like: [https://imgur.com/gallery/48JfJO4](https://imgur.com/gallery/48JfJO4) The negative bars are the only months when the 2-yr inflation rate decreased. As you can see, it's been pretty much growing since mid-end 2020, and the rate is accelerating.

wallstreetbets

And the reason the CPI went down is because fuel costs dropped some in April. The Core CPI actually INCREASED in April. (Core strips out fuel and energy costs.) Fuel price is going back up this month, so I fully expect CPI numbers for May to show an increase. What the FED is doing isn't working.

7l874p

How many of you have left Coinbase recently ?

Please state briefly the reason for leaving and the alternative you have selected. Thank you. This will help people in the same boat get better alternatives and will serve as a one stop place to see what all is wrong with Coinbase.

Bitcoin

Not me. I've been using them for years. The recent kerfuffle didn't affect me at all. The BCH showed up in my account and I sold it the next day when trading resumed. Easiest $100k I ever made. They did fuck up the BCH roll out but I'm sure they learned their lesson.

hyvqlg

In our current rates environment, are bonds for losers?

Hi everyone, I've been holding about at 20% position in an aggregate bond ETF for the last year. With interest rates quite low, the chance of price appreciation from interest rates dropping, is slim. It seems like there is now no alternative to the yields paid by major corporations on the TSX. Should I be dumping my bond position? Or should I keep a position that allows me to DRIP one unit a month? What's your take?

CanadianInvestor

You don't really hold bonds for price appreciation, though... Sometimes, return *of* capital is more important than return *on* capital and bonds are there to smooth out the volatility in your portfolio. I'm in my 40s and keep 20% bonds in my registered accounts mostly so that I'll have dry powder to rebalance into equities when needed. I guess if you're a lot younger and have the discipline to stay the course and hold/add through crashes and market downturns you could go 100% equities.

cs2y4l

High Dividend Stocks In The Canadian Market (Personal Choice) August 2019

Hello everyone, this is my choice of dividend-paying stocks for August 2019 on the Canadian market. ​ **Western Forest Products, Inc. (TSE:WEF)** ± 1.30$/shares Div. Frequency: QUARTERLY 0,0225\*4=0,09$/year/shares **Enbridge Inc. (TSE:ENB)** ±45$/shares Div. Frequency: QUARTERLY 0,738\*4=2,952$/year/shares **Chronus Aviation Inc. (TSX:CHR)** ±7.60$/shares Div. Frequency: MONTHLY 0,04\*12=0,48$/year/shares **Manulife Financial Corporation (TSE:MFC)** ±24,50$/shares Div. Frequency: QUARTERLY 0,25\*4=1$/year/shares **Cascades Inc. (TSE:CAS)** ±12$/shares Div. Frequency: QUARTERLY 0,8\*4=0,32$/year/shares ​ ​ \*PS: Share prices are raised voluntarily to simplify calculations.\* \*PS2: The list is intended to trigger research, do not use it to invest directly and do your due diligence\*

CanadianInvestor

* By your choice do you simply mean you believe these stocks are undervalued? * What is you rationale for these being your choices? * What is your cutoff for "high dividend"? The yield on Cascades is 2.7%, which I would not consider high yield.

bb8b4c

Sunlife RRSP to Questrade - Money Still Missing

Hi Reddit, I have transferred my RRSP and TFSA from RBC and my RRSP from Sunlife to Questrade on the same day in late February. For the money from RBC, the money was transferred within two weeks. The money from Sunlife however, still hasn’t showed up in my Questrade account. Sunlife has told me they sent the cheque on March 7 and also gave me the cheque number. I have followed up with Questrade during the second last week of March and they told me they are waiting for the money and rest assured that it’ll be in my account and they will follow up with Sunlife if it doesn’t come within the last week of March. Late March comes and goes so I followed up again and then they told me that since it was sent by mail it takes a longer time and they will ask Sunlife to reissue the cheque if it’s still not in my account on April 9. And so I asked him does that mean I have to wait another 4-5 weeks for the money to potentially go into my account and he just apologized and again reassured it will be in my account and the money isn’t lost. Has anyone experienced such long wait times for their money to transfer to Questrade? I know their emails say it can take up to 20 business days but It’s been 5 weeks since the cheque was sent so I’m getting anxious and frustrated given it was a large sum of money (making up 40% of my investment money) and basically it’s in limbo somewhere where it could have been invested already.

CanadianInvestor

Typically, the best way to transfer funds from one institution to another is to initiate the transfer at the institution you want to deposit to. The depositing institution is motivated to have your money so will follow up on your behalf.

aonetf

SP500 ETF Suggestions?

Looking for a low-cost (<$100) Sp500 ETF suggestions? Tied between [XUS.TO](https://XUS.TO) and [VFV.TO](https://VFV.TO)? any other suggestions or advice would be helpful! (Not looking to sell these funds for like 5+ years)

CanadianInvestor

**Horizons S&P 500 ETF HXS.** This does not pay dividends and instead has a swap component to replicate total return. The fees are higher due to this. Better for unregistered accounts where you would otherwise have to pay tax on distributions. MER Is 0.10% but the swap fee can be as high as 0.30%. If you have USD, you could use HXS.U. It’s the same thing but trades in USD. If you want the hedged version, it is HSH. **Vanguard S&P 500 ETF VFV.** Unhedged. Tracks SP500. I own a lot of this. If you want the hedged version, it is VSP. **iShares CORE S&P 500 XUS.** This is the un-hedged version. If you want hedged it is XSP. **BMO S&P 500 ETF ZSP.** This is the un-hedged version. If you want hedged it is ZUE. All the above are listed on the TSX but if you prefer something on a US Exchange: SPY, IVV and VOO are the go-to ETFs in the US. They are basically the same thing but VOO and IVV (0.04%) are slightly cheaper than SPY (0.09%). All the hedged ones will be pretty much the same. Same with the un-hedged. All you need to decide is whether or not you want to hedge currency and then pick one and go with it.

ne23sp

Short term investing

Any advice in investing 20k-30k and holding it for the next five years? Are one etf portfolios like xbal, xgro still advisable in this case? I consider myself having a medium-high risk tolerance. Thanks in advance.

CanadianInvestor

XGRO price: May 2016: $18.30 May 2017: $20.35 May 2018: $21.29 December 2018: $18.38 May 2019: $20.20 March 2020: $16.91 May 2020: $20.26 May 2021 (current): $24.18 As you can see, depending on when you need it during that 5 years, might be a bit risky. If it's money that you can afford to leave in and withdraw whenever around or after the 5 year mark, then sure, you'll probably be fine.

g30bmd

Looking to buy into Canadian bank stocks

Hi, I'm looking to deposit about $20,000 into my Questrade account to buy these stocks. TD RY BNS BMO CM My thought process is to make weekly or biweekly incremental purchases of $1000 between the 5 listed above. I believe this market still has another drop. However, I'm looking to see how much of a risk this really is. Are banks a good stock to buy right now ? To me they appear to be "on sale" but like others have said around here there's no telling where the bottom is. I figure because these are the 'Big Banks" that have a very low risk of ever going under, I am then surely to make a decent return as long as I can stomach seeing these drop more until the market recovers. thoughts ?

CanadianInvestor

They're not even on sale that much. They're what 20-25% from all time highs? They're also not going to do too well for probably the next couple of years. That being said, I like Canadian banks and they pay good dividend but I'd probably just pick one or two or just go with a Canadian ETF that usually includes the big banks anyway.

hd6m14

VERY.CN - DISCLOSURE OF OUTSTANDING SHARE DATA

This is more a WARNING... not pumping this stock. There are some key dates when the warrants expire. Pay attention and avoid becoming a retail investor bagholder. Here are some of the "highlights" from the Form 2A listing statement. The Company is authorized to issue an unlimited number of common shares. As at December 31, 2019, and May 14, 2020, there were 45,515,339 and 45,648,675 common shares issued and outstanding, respectively. As at December 31, 2019, and May 14, 2020, there were 7,757,670 and 7,824,341 warrants outstanding, respectively. As at December 31, 2019, and May 14, 2020, there were 1,513,500 and 4,613,500 incentive stock options outstanding, respectively. 6,166,004 Common shares reserved for issuance upon the exercise of warrants exercisable at $0.30 until July 31, 2020. Represents the July Financing Units, each of which consisted of one Common Share and one half of one July Financing Warrant resulting in the issuance of 12,332,002 Common Shares and 6,166,004 July Financing Warrants. Each July Financing Warrant is exercisable for one additional Common Share at a price of $0.30 per Common Share for a period of 12 months, subject to an early expiry provision whereby we may, upon not less than 30 days' notice, accelerate the expiry of the July Financing Warrants if the volume weighted average trading price of the Common Shares for 20 consecutive trading days exceeds $0.50. There are a total of 71 Million shares outstanding. Therefore 6.1 Million new shares issued through warrants is significant and could have an immediate short term negative affect on the share price.

CanadianInvestor

I've seen these situations play out many times. It's honestly harder to judge than just "get out before x date". The dilution is expected and can be priced in, it's also not solely a net negative because the company actually receives capital (which at this stage they need) from the warrant conversion, plus the market as a whole can simply just not care. Sometimes there are sell offs leading into warrant expiry which can create opportunities for some, and then nothing but a blip happens when the time comes, stock rises again. If warrants and SBC bother you, best to just avoid startups and unprofitable growth companies which all need to raise capital in early stages. It's nice and all that you've taken the time to create a public service announcement, but it's certainly not black and white.

x33kmi

Rate My Portfolio Megathread for September 2022

Welcome to this month's Rate My Portfolio megathread. Here, others can chime in on your portfolio with their thoughts, keeping the rest of the subreddit clean, and giving you the ~~confirmation bias~~ sanity check you need! Top level comments should aim to be highly detailed (2-3 paragraphs). Consider including the following: * Financial goals and investment time horizon. * Commentary on the reasoning behind your current and desired allocation. The more information you can provide, the better answers you'll get! Top level comments not including this information may be automatically removed. If your comment was erroneously removed, please [message modmail here](https://old.reddit.com/message/compose/?to=/r/CanadianInvestor). --- Please don't downvote posts you disagree with. If a comment adds to the discussion, it warrants an upvote.

CanadianInvestor

Mid 20's, \~180k spread across TFSA, RRSP, and a cash account. * BAM-A - 20.00% * HXQ - 20.00% * VFV - 30.00% * TEC - 10.00% * VCE - 10.00% * VEF - 10.00% Bullish towards US equities, specifically tech stalks in the long term with some exposure added to Canada and international markets.

mtto0k

First time trading in a non-registered margin account in 2020. Is filing taxes this much of a nightmare?

It's asking me to input every single trade I did. Does the CRA expect me to fucking input every little detail? Any advice from full time traders? I'm using Ufile

CanadianInvestor

You enter your t slips (t5 and t3 if you have reits etc), and then most people just put totals for gain/losses. eg: look at t5008, total up box 20 (cost) and 21 (proceeds). Make sure they're right with your own records. Convert from USD or other currency to CDN (at month of purchase/sale) if needed. Sometimes your t5008 cost provided is wrong; they should already have included your commissions, but may vary. Then enter on schedule 3, under "3. Publicly traded shares". Just put broker name in name of fund/corp then fill out your figures. If you have gains, make sure that they actually show up in your income (ie: verifying that you put them in right...)

fqyftu

Coronavirus 1-100k in 12 days, 500k-600k in 1 day

As things progress we see how quickly the number of cases are rising. Probably by next weekend it will be 1 million. But at the same time testing numbers are increasing as well. Looking back at this week I think the panic in society is getting lower. I see lower panic post and high supportive posts and blogs on social media and different platforms Are we getting used to this situation or things are actually getting under control ? What do you think and feel?

CanadianInvestor

We need some changes on the credit laws. People should not be allowed to borrow that much. Now all taxpayers are gonna pay for the ones that can't pay their mortgage because they also have that brand new car and that brand new iphone and that brand new ipad on that brand new credit card. Tax will go up again next year because of you.

zde0f9

I inherited some bonds. Should I sell them?

I just took full control of my father's investments after his passing (they were managed by Edward Jones). I'm not sure whether to keep the bonds. I have been investing my own with a different pool of money for a couple years now, but bonds haven't been part of it. I don't understand bonds as well as I have come to understand stocks and ETFs. I mean, I understand why they have lost value due to the rising interest rate. So is it better to keep them and let them pay out, or sell them and try to do something better? Like, even a GIC at 5% would yield more than these bonds from the recent past. What I have in the unregistered account: PSB (Invesco 1-5 year bond ladder at 3.14% dividend yield, currently -8.6%) Canadian Western Bank (coupon rate 3.86%, currently +0.12%) Saputo (3.6%, currently -1.56%) In a TFSA account, I have PSB again, plus whatever this is: **CPN BELL CDA CARS & PARS 7.85% SER-M11 INT CYC AL8 04/02/2031** (currently down -8.4%) I see that this has a higher yield and longer term...does the better yield come from any risk factors other than the longer term? I mean, are there risks I should know about that I won't think of myself? Thank you

CanadianInvestor

Not an advisor, but you should consult one if you think the fees are worth it compared to your portfolio. Think of your time horizon and risk tolerance. Having a mix of stocks and bonds is generally a good thing as it protects you a little from volatility. I would be richer in ETFs than bonds, assuming you are a younger investor 20s or 30s). Tax implications of selling could also be a concern and I would look into that.

ms7v7u

When do YOU stop striving for more?

When do you personally feel enough is enough, and the chase for more money, better benefits or more seniority becomes less meaningful? I am in a fortunate position at the age of 28 so he on a decent salary, in a very good job with great benefits. We have already own our home (mortgage) got a baby on the way, and already feel we live well within our means. I’ve possibly got another 35 years left in my working life, when would I (you) feel that you’ve got enough and just be happy and not strive for another role move or promotion?

UKPersonalFinance

At one point or another it becomes not about money and about being satisfied - you don't want to be bored - and most people will eventually get bored of a job role unless they either truly love it, or have a very varied remit. As such, I don't think you ever stop looking for 'more' - what 'more' is just changes. Whether 'more' is working less for the same money, or doing experiencing new things, more/different responsibility, etc, is another question.

6b6wvs

[Investments] [Savings] 16, recently got given £300 from grandparents what are my options?

Hey guys First sorry for my naivety towards this subject but as mentioned a bond my grandparents bought for me has matured and despite the temptation to spend it I've decided to invest it so I can have a bit of extra dough along the road for "adult things". I was just wondering what you guys think I should do and what my options are, as far as options that require you to be over 16 my parents are fine to do things on my behalf. If I've left out any crucial info tell me so I can add it. Many thanks Chipster141

UKPersonalFinance

Learn something new. Buy a course that you are interested in or books you'd always wanted to read. At your age (and arguably, at any age) the best investment you can do is into yourself - education/self-learning/future career.

w28hrj

I feel trapped with my Aviva pension

I'm invested in whatever the default plan is with my Aviva pension, I've been putting off for a few years sitting and choosing some other funds. But I feel totally out of my depth, I have no one to go to for (free) advice and all I'm faced with from Aviva is a hundred-odd factsheets and no way to even easily compare the funds. Even having the bloody data in a .csv would be more useful. Significantly. If I could, I'd just put it all in the vanguard global all cap - which is what my S&S ISA is in - but it's not an option. And I can't easily find something similar. There's some financial advisers that are offered via work and I can transfer my pension out to them to manage, they're going to tell me how much they can grow it. I don't think these guys are financial wizards, but that's maybe not a bad thing - they're probably just going to stick my money in a few indexes. Something I might be able to do myself. Basically I feel like I've got one set of advisors who want my money so that they can manage it all for a fee and I've got Aviva giving me no help at all and I know I'm just going to sit and do nothing if I stay doing that. Should I try and go to another financial adviser to see if they'd help me pick out funds from Aviva for a one off fee? Or is it worth getting the help and paying for it given that I feel paralysed with fear to pick anything through Aviva. Basically, can anyone help - I feel like I'm just throwing cash down the drain not making my pension pot more efficient.

UKPersonalFinance

You should be able to narrow it down massively and filter it down to 100% equity and global trackers only. Then can compare those and pick which best matches the all cap. From there you can't go too wrong.

n713ve

How is everyone dealing with the mind blowing amount of corruption they've learned about recently?

I never knew how bad it was. I think most of us have grown up with the whole "yeah, wall street is shady and politicians are crooked" attitude, but without knowing just how bad it actually was. This whole experience has been so illuminating for me. The extent of it all makes me light headed. MSM being a tool of the wealthy to influence people, while being masqueraded as a source for the informed. The staying power of something like naked short selling when it's so so damaging and contradictory to the very nature of how a market should function. I still don't understand how PFOF isn't banned yet... The complacency, ignorance and/or totally cooperation of own our regulatory bodies in allowing these practices to continue. The lack of basic logic being ignored completely to implement regulatory frame work and enforcement. (700k fine for billions fraudulently gained....if your job is to build deterrents to abusive practices, charging them a 1% slap on the wrist fee and literally nothing else is obviously not a deterrent at all.) This is just as ridiculous as charging a 5 yard penalty on a kick return, where the player exited the stadium, took an uber to an airport, and then parachuted into the endzone from a helicopter. And perhaps the worst thing in all of this.... what can we even do about it? Tweet about it?! Email our congressmen? If phD economist writing books about how damaging naked short selling is, and actually appearing before the SEC and DTCC directly hasn't stopped it in the decades it's been ravaging our capital markets, what will my email really accomplish. (As a side note I feel I should mention that I already have emailed my state rep about this, as well as the NASAA). Haven't heard anything back. I understand how some turn to violence in situations like this now. Not that I ever would. But what is the middle ground option between tweeting your questions and opinions @whoever, and starting a riot? Is there not a more code red measure for a citizen to take in emergency situations? If our government, regulatory bodies and enforcers are so deeply capture by corruption, that qualifies as an emergency to me. We've clearly gone beyond the tipping point where enough of the system is corrupt that certain players can basically do whatever they want without consequence. Where do we go from here? How can we get louder? What are the vulnerable spots for these corrupt practices where we can really make an impact? Who do we need to educate? HOW do we need to educate them? How can we organize and target our efforts more efficiently? When do we get to reclaim OUR time during a hearing to make sure a committee is asking questions that matter, and not stupid shit about the Kentucky Derby? And finally how are you dealing with this massive blow to your little remaining faith in humanity? Personally, I want to do something about it. I've never been more motivated before in my life to take action, write an email or start an organization compared to now. It will only get worse and worse if we continue to let it happen. It's on US to change it. "The only thing necessary for the triumph of evil is for good men to do nothing.” We need to do more guys. Much more. Now. Tldr: I'll be your friend if you just read it :) And I'll show my tits

Superstonk

It’s made me lose faith in a lot of things honestly. On top of that it’s made me a lot more prone to anxiety attacks and depressive episodes, ever since this whole saga commenced However, at the same time, it reminds me how important it is to HODL.... I refuse to let these guys win. It’s not even about the money anymore.... I really am just doing this out of spite now Also I like the stock and believe GME is a great investment. Feels good knowing I took that W away from the hedgies

o4bzz4

Why is living off of dividends such a popular concept?

From what I have seen, historically, reinvesting your dividends leads to significantly greater returns vs not reinvesting them. Why are so many people proponents of giving up the extra compund growth from reinvested dividends? I understand the appeal of having "passive income" but to me it seems like stealing money from your future self. Unless I have a gross concept error on what living off dividends really entails, I can't help but think people are too enamored with "free money" to consider the gains they are giving up as a consequence. Edit: My question stemmed from a concern that dividends were being portrayed as a form of passive income before retirement, I understand that once you are no longer working you have to have a way to continue to support yourself and your family. Nowadays there is so much hype about trying to find more ways to make money outside of your a job, and personally I think that while you're still working dividends should be considered passive investing (kind of like 401k matching) rather than passive "income". So a better and slightly different question is, why do so many people like the idea of having 100% of living expenses covered by dividends? It almost seems like it contradicts the idea of having a diversified portfolio. Would it not be better to withdraw a set amount from a diversified portfolio rather than relying solely on dividends?

investing

Living off dividends is popular because people want want retire early. It's kinda like asking do you want 100k a year for life or X amount of millions x amount of years from now. Would you rather be rich later or live a comfortable life? That's the big question. I would rather have 100k a year now, so I could quit my job and spent more time with my wife and children than 100m when I'm 65. I'm just throwing out numbers but sure you get what I mean.

x32q0e

Beginner investment portfolio for fully employed 30 year old earning 40k/year

I'm 30, based in the UK, fully employed (£40k/year), no debt, cheap rent and no significant outgoings. I'm likely going to be stuck renting and therefore large payment towards house buying etc are very unlikely for at least the next 5-10 years. I also have a very low mileage car in good condition. I have a very good public sector pension that I'm paying into as well as a private PensionBee pension that I deposit £100 into a month. I have £32.5k in savings currently in a nationwide cash ISA. I'm currently transferring £20k into a trading212 stocks and shares ISA account. My goal is to steadily and modestly grow my savings. I'm not looking for a quick win and can easily keep this money locked away for at least 5+ years, likely much more. After some reading I've created the following \[portfolio\]([https://i.imgur.com/sD0ZHdt.jpg](https://i.imgur.com/sD0ZHdt.jpg)) Does this seem reasonable? Would anyone have any other suggestions? I'm particularly not sure about investing in gold and thinking that it might be a better idea to simply cut it out and increase the all world investment or balancing it out between the other funds. Thank you

UKPersonalFinance

I'm not sure I'd class having 5% in gold and 30% in renewables/electric vehicles as a beginner portfolio. I'd generally suggest if you are going to specialise it's a good idea to invest in areas you are familiar with through work or have an interest in. For example, I know a scientist that likes to invest in Agilent and one of my friends is vegan so buys shares in companies like Beyond Meat.

e98mbc

Bailiff turned up at my door - £1,400 not owed ( I think)

Hi all, Posting here in the interim, I've been on hold to the money advice service for over an hour waiting for a specialist advisor. I had a bailiff ring my buzzer today and I let him into the communal area but spoke to him through the door with the chain on. He has a debt for me I'm my name and a 'writ of control' and is from the company Rundels. I told him I had no knowledge of the debt and no knowledge of any ccj in my name. I took a look at my credit report and I'm also seeing nothing. Apparently the debt is in relation to a Shop Direct credit account which I also have no knowledge of. After a long time talking through the door today he left but told me he will be back next Friday to take control of my car if the money is not paid before then. Apparently it's also a criminal offence for me to move my car. Any advice is great thanks

UKPersonalFinance

Maybe someone took out credit in your name. the £1.4k probably started as a £400 or £300 debt and with added on fees it's accumulated to £1.4k hence why you might not recognise the debt Think hard of when you might have taken out credit but forgot to pay off. Park your car elsewhere (possibly a few streets away) until you resolve the situation.

sf9erc

ET Genius - A marketing gimmic or actually Genius?

First of all, I'm not affiliated with ET by any means. I have not invested any amount using the ET Money App. I was browsing through the app and I saw this hard-to-miss promotional content about a new service named ET Genius costing ₹249 pm. It basically advices you based on your risk appetite. I feel if I am going to pay ₹249 a month then that service needs to make me more than 249 a month over my pre-existing income. ( For eg. If I earn ₹1000 a month then the service should make me atleast ₹1250 a month. Otherwise I'll always lose money on their service. ) I'm a student and my income is ₹5000 a month so I won't be investing with them. But! I'll love to know your views on services like these. Are they worth the price? Do they really help to increase income or manage investments better?

IndiaInvestments

ET Money Genius is pricy for 90% of retail investors but it invests through low-cost ETFs for passive investing by taking active buy/ sell calls. For the mutual fund option, under the hood, ET Money Genius acts just like dynamic asset allocator funds that are around for years but it invests in low-cost ETFs/ Index funds behind the scene and rebalances them monthly based on ET Money's opinion on the present market outlook. However, with a flat rate of ₹250/month, it is more expensive than most available asset allocator funds and mutual funds at least for most retail SIP investors. To get a 1% expense ratio, one has to invest at least ₹25,000/month. And, expense ratios of asset allocator funds of reputed AMCs are as follows: $ HDFC Asset Allocator Expense Ratio:0.05% $ ICICI Asset Allocator Expense Ratio: 0.07% $ Kotak Asset Allocator Expense Ratio: 0.20% ET Money Genus merely claims return % based on backtesting on known historical data when it could be a result of overfitting. It needs stress-testing when in practice in real-time market situations. These AMCs have a history of actually delivering returns. Coming back to price point, for someone who is doing a minimum SIP amount available in Genius i.e. ₹5,000/month in Genius, let’s see the expense ratio of ET Money Genius: Yearly Cost: ₹250\*12 = ₹3000/-; Yearly Investment: ₹5000\*12 = ₹60,000/- Exp. Ratio: Cost / (Actual Investment + Cost) => ₹3000/ ₹63000 => 0.0476 => 4.76% + \* 😵 *\* Not to mention, the underlying instruments being ETFs have expense ratios of their own and moreover there are transaction costs for frequent rebalancing i.e. monthly.* For someone who is doing SIP of ₹15,000/month, let’s see the expense ratio of ET Money Genius. ₹3000/₹183000 = 1.63%. + ETF Exp Ratios + Transaction Charges For someone who is doing SIP of ₹25,000/month, the tentative expense ratio of ET Money Genius: ₹3000/₹303000 = 0.99%. + ETF Exp Ratios + Transaction Charges To bring down the De-facto Expense Ratio to the level of 0.05% similar to that of Asset Allocator Funds, how much to invest per year? ₹3000/ x = 0.0005 => x= ₹60,00,000 i.e. ₹60 L. Then SIP has to be ₹60L/ 12 = ₹5L/month. 😵 To be fair, if you have a portfolio of ₹60 L and you are willing to reinvest the complete amount through ET Money Genius by incurring LTCG/ STCG taxes, then in theory you could get an expense ratio of 0.05% or less. So, ET Money Genius is pricy for 90% of retail investors but it invests through low-cost ETFs for passive investing by taking active buy/ sell calls monthly. Go figure!! To their credit, ET money does risk profiling, personalizes asset allocation, and helps in periodic rebalancing. Undeniably they are important for new investors but a fee-only qualified Financial Advisor could do the same for much less. 4.76% expense ratio, in any case, is unjustifiable when SEBI capped the expense ratio to 2.5% for any mutual fund. **I am a fan of Shankar Nath/ ET Money Team's insightful video series on mutual funds, stock investments, NPS, etc. but could not become a fan of their latest obsession "Genius". I wish them all the best but I am not paying that premium every month rather I would invest that extra ₹250/- per month in a low-cost index fund.** ======================================== *Request to moderators not to take down the post any more for expressing a contrarian opinion. I have given all the rationales for my opinion. Different opinions have the right to stay alive under the sun, and it enricj=hes the Reddit experience so that readers could reflect on hearing both sides.* ======================================== PS. Folks, if you are reading this line: congratulations, you have patience. Thanks for reading. If you agree, why not "upvote"? If you feel others should read this, why not share? Thanks.

9mqfxm

Should I purchase Vodafone Idea?

The stock has take quite a beating this year. Its gone down almost 70% now. After the merger, Vodafone Idea now has the largest subscriber base and spectrum reserves in the entire industry, that should drive some significant synergies. Also with competition down to just three players, i.e. Vodafone Idea, Airtel and Jio, there should be enough headroom to increase pricing in the coming future. What are your thoughts?

IndiaInvestments

Telecom as a sector is a dog. It has huge capex in terms of spectrum. Plus Jio seems to be eating everyones lunch. I am not sure any telecom company has given good returns in the recent past (haven't checked). Tried investing in Bharti Infratel, its a good tower story. Held for a few years, lost money as the market went up, then I got out. Held Bhart Airtel a long time ago when it was the market leader, much before Jio, same story. Capex and some or the other statement from TRAI would beat up the stock. I tend to stay away from telecom for long term bets now. Its just a commoditized utility now.

iey985

Investment in Guyana.

Has anyone in the community ever thought of investing in Guyana directly or via FOF? Guyana is on the brink of unimaginable oil wealth - wealth that could make the country the richest in the world on per capita basis. ExxonMobil discovered more than 8 billion barrels of recoverable crude oil near guyana's shore. ExxonMobile also estimates to produce 1 barrel of oil per person/ day by 2025 which is more than any of the wealthy oil countries produce currently( Kuwait produces 0.80 barrel per person.)

IndiaInvestments

Oil does not equal wealth. Case in point, Venezuela... GOOD MANAGEMENT of the oil, on the other hand, would definitely equal to wealth. If companies like EXXON have found oil, their aim will be to extract as much of it as possible, while giving as little as possible to the local government.

n2yy2l

Mutual Fund Portfolio.

I'm 24 and entered Market via SBI cards IPO :) last year. My interest is only long term investment, after some research, i have selected below funds to be part of my portfolio. Can save up to 30K per month only for Mutual fund investment, and decided to start SIP in the same from this month May 5th - 10th. Index funds: - HDFC NIFTY 50. [3K] - Motilal Oswal S&P 500. [3K] Large Cap: - Canara rob bluechip equity fund-reg(g) [7K] Flexi Cap: - Parag parikh flexi cap fund. [7K] International funds: - Franklin India feeder us opportunities fund [5K] - Edelweiss greater china equity off-shore fund [5K] I have used https://www.rupeevest.com/ as a screener and to check rolling returns of MF. How good is My portfolio ? is above money allocation ok ? any red flags that i can't see? I want to invest in EV themed fund, but could not find one. Smallcase is other option, but i am not able to understand its algorithm ? below is a case: - say i have shortlisted some 15 stocks to be part of my smallcase. - 45K is one time starting money to buy each stock in smallcase, Higher one being 12K. - I am interested to do SIP of 5K each month. - on what basis does smallcase decided to buy stocks form that monthly 5K ? - when it will buy the higher stock worth 12K ? I'm guessing, it will purchase other stock in higher amount and sell at next SIP and buy the higher one. but i do not have any proof for it.

IndiaInvestments

I would say stay away from Franklin Templeton, given they just closed 6 of their mf schemes. Stay away from them as much as possible. They have very good returns no doubt about that but it’s an ongoing court case and I’ll advice you to stay away from them as much as possible!

cdfubo

icra-downgrades-ncds-of-piramal-realty

[https://www.financialexpress.com/market/icra-downgrades-ncds-of-piramal-realty/1640116/](https://www.financialexpress.com/market/icra-downgrades-ncds-of-piramal-realty/1640116/) ​ I am trying to understand the impact here. So ICRA ditched the PR (Piramal Reality) SO to A from AA. ​ FT UST SI plan ([https://www.franklintempletonindia.com/investor/fund-details/fund-portfolio/franklin-india-ultra-short-bond-fund-12119-iqrxgm9y](https://www.franklintempletonindia.com/investor/fund-details/fund-portfolio/franklin-india-ultra-short-bond-fund-12119-iqrxgm9y)) has exposure of 350Cr+ i.e. 1.86% of fund value. ​ I am not sure how SO (Structured Oligation) works TBH. The date for SO is Mar2020. Can someone explain me what are odds of PR defaults here? How worried should this fund investor be?

IndiaInvestments

>I am trying to understand the impact here. So ICRA ditched the PR (Piramal Reality) SO to A from AA. This is a minor downgrade and unless this cascades into something a lot worse (it may, it may not), the impact will be not significant. >Can someone explain me what are odds of PR defaults here? No one can say what the odds are. But for someone who still wants to get into such details, each rating agency annually prepares a default and transition study. If my reading of the last ICRA study is correct, then over the 10 years from 2008-2018, the instances of A rated security turning to D in <1 year was 0.3%. FWIW, over the same period, the instances of AAA turning to D in <1 year was 0.0%. Still, IL&FS and DHFL happened. > am not sure how SO (Structured Oligation) works TBH. 'SO' is not a comment on the credit quality- it is a qualifier to let investors know that the instrument is a structured product.

chp00f

myCAMS imposes restriction on redemptions

Here's a particularly worrying development. the myCAMS app has imposed a monthly redemption restriction of Rs 10 lakh ​ [https://twitter.com/NikhilVadia/status/1153884281464221696](https://twitter.com/NikhilVadia/status/1153884281464221696)

IndiaInvestments

If someone's transacting through MyCAMS and needs an alternative handy, here are some portals that can be used to place redemption orders of more than 10L, even if not invested through that portal: - MFUtility (you'd need to create a CAN if you don't already have it) - Kuvera (you'd need to generate and import your CAS from CAMS or Karvy - a one click option for this is available on Kuvera) To the best of my knowledge, Groww and PayTM Money don't allow transacting in imported folios. One can check with Piggy and ClearFunds, and I'd update this list. According to CAMS: > The redemption restriction on myCAMS is in line with the evolving risk management framework that we have deployed. Almost 99% of the redemption transactions on myCAMS will go through basis past trends and about 1% are likely to have to utilize an additional mode. They are saying it's not relevant to most of their users. Then go out of your way to impose this limit? As Deepak Shenoy and few others mentioned on Twitter, they could have introduced a flat fee if they wanted for redemptions or switches of more than 10L. But this is arbitrary with no vision.

o6iy7k

Bi-Weekly Advice Thread June 23, 2021: All Your Personal Queries

Ask your investing related queries here! The members of /r/IndiaInvestments are here to answer and educate! Alternatively, you could [join our Discord](https://discord.gg/hqBNg4u) and seek answers to your queries If you're looking for reviews on any of these following, follow the links: - [which bank or brokerage to use](https://www.reddit.com/r/IndiaInvestments/search?q=flair_name%3A%22Reviews%22%20Reviews%20of%20banking%20services%20and%20products&restrict_sr=1&sort=new) - [which fund house is more capable and trustworthy](https://www.reddit.com/r/IndiaInvestments/search?q=flair_name%3A%22Reviews%22%20Reviews%20of%20mutual%20funds%20and%20asset%20management%20services&restrict_sr=1&sort=new) - [which investing platform to use](https://www.reddit.com/r/IndiaInvestments/search?q=flair_name%3A%22Reviews%22%20Reviews%20of%20Brokerage%20products%20and%20services&restrict_sr=1&sort=new), - [which insurance company is reliable](https://www.reddit.com/r/IndiaInvestments/search/?q=flair_name%3A%22Reviews%22%20%22Reviews%20of%20Insurance%20products%20and%20services%22&restrict_sr=1&sort=new) Generally speaking, there is no best stock, or fund, or bank, or brokerage, or investment platform. Answers are always subjective to your personal needs, but use those threads a starting point for you to look at what other Redditors have to say about a company, product, fund, or service. You can then ask a more specific question about what product or service to buy, once you are able to frame your personal situation. **NOTE** If your question is _I got 10k INR, what do I do to get most returns out of it?_, or anything similar; there is no single answer to this question. But we will also need A LOT MORE information if we are to provide some sort of answer: - How old are you? - Are you employed/making income? - How much? What are your objectives with this money? - Do you have any loan, or big expense coming up? - What is your risk tolerance? (Do you mind risking it at blackjack or do you need to know it's 100% safe?) - What are you current holdings? (Do you already have exposure to specific funds and sectors? Have you invested in equity before?) - Any other assets? House paid off? Cars? Partner pushing you to spend more? - What is your time horizon? Do you need this money next month? Next 20yrs? - Any big debts? - Any other relevant financial information about you, that will be useful to give you an informed response. Beware that these answers are just opinions of fellow Redditors and should only be used as a starting point for your research. This is **NOT** financial advice, in legal sense of the term. You should strongly consider consulting a registered fee-only financial advisor before making any financial decisions. Ideally, such advisors should be registered with SEBI, and have a registration number. [Links to previous threads](https://www.reddit.com/r/IndiaInvestments/search/?q=advice%20thread%20personal%20situation&restrict_sr=1).

IndiaInvestments

Can anybody explain me - why isn't financial literacy not taught to children till 12^th std? There are no textbooks or question papers prepared by [Balbharti](https://cart.ebalbharati.in/BalBooks/ebook.aspx) or [NCERT](https://ncert.nic.in/textbook.php?jesc1=1-16). I'm strictly talking about personal finance only - not Indian economy. Shouldn't children learn about savings/current account, Fixed / Recurring Deposit, PPF, how banking system and stock markets work, how to invest and save money, power of compounding, how to write cheque, digital banking, financial scams, etc? What's the logic by education boards for not teaching financial literacy? Why are there no textbooks on such an important subject?

p4qp4d

About Negative Cash holding in MFs

Two of my MFs (one ELSS & other Equity) are having negative cash holding, -1.48% for equity and -0.04% for ELSS. How does it affect my fund, I don't want to sell them in near future though.

IndiaInvestments

It simply means the fund has exhausted all its cash reserves and borrowed funds to meet redemption. This would make sense give the recent boom Edit: I incorrectly wrote investment but it's actually redemption.

hs67st

Bank of England teams up with Beano comic to boost financial literacy

From Reuters: https://uk.reuters.com/article/uk-britain-boe-beano/bank-of-england-teams-up-with-beano-comic-to-boost-financial-literacy-idUKKCN24G39T LONDON (Reuters) - Bank of England Governor Andrew Bailey will receive help from Dennis the Menace, Minnie the Minx and other characters from Britain’s longest-running comic on Thursday to help school children learn more about money. Characters from The Beano, published weekly since 1938, will be part of lesson plans for teachers at British primary schools. In one lesson, Minnie decides how to spend 10 pounds she receives as a birthday present, while in another Dennis is almost taken in by a financial scam. Bailey - who has spent most of his time wrestling with the economic impact of the coronavirus since taking the BoE’s helm in March - will launch the programme online later on Thursday. The Beano’s publishers said their market research had shown that only 27% of children enjoyed learning about money, dropping to just 19% of girls. The BoE is not the first central bank to use cartoons to get its message across to children. More than 10 years ago, the European Central Bank released a cartoon of a scaly, blue “inflation monster” terrorising a city similar to Frankfurt until it was tamed by ECB officials.

UKPersonalFinance

Ah nice, this is cool and all for seeing more of this. Reddit loves to lament about 'why aren't kids taught personal finance at school!!!' but it's really not the magic bullet we all think it is. Kids don't normally care about this stuff and will easily forget so the challenge is getting them excited and engaged. Finance isn't exciting or engaging for 99% of people. If you went to a British school you were probably taught at length about the succession of roman emperors and how to make anhydrous copper sulphate or chemical titrations. Chances are you probably didn't care then and don't remember it now. You probably remember that time the teacher launched a bottle rocket in physics class or you built a mini trebuchet in design class.

4mji17

How much $ do you need in a month and how much of it is rent?

Would be interesting to know specially in this subreddit! _________ Haha if it keeps going we might reach 500 Comments. Didnt expect that to happen! Thanks everyone!

financialindependence

My total housing payment is $1150. I make $3900/month. So its close to 1/3, but I purchased my home I dont rent. I will hopefully have a roommate soon so that will hopefully reduce my payment to $575.

at4zsn

20 year anniversary of Office Space, and its role in my FIRE journey

On the 20th anniversary of the release of Office Space (this past Tuesday), the Ringer published an amazing oral history of the movie, complete with some great quotes from Mike Judge and the cast, crew, and even Willie D of the Geto boys (and his printer smashing music). Article Link: [https://www.theringer.com/movies/2019/2/19/18228673/office-space-oral-history](https://www.theringer.com/movies/2019/2/19/18228673/office-space-oral-history) As I read the article, a few bulbs turned on in my head as I had seen the movie in theaters 3 months into my first job in corporate America. I had forgotten how much the film helped me recognize the absurdity of corporate life, and planted a few seeds which steered me along my path to early retirement. Within a few months, I had started building my first retirement model/spreadsheet, I started tracking to my plan, got a bit lucky on the career front (including some time in the consulting world, but not as a Bob), and 14 years later I was screening the film for a big group of friends at my retirement party. In my past 6 years of retirement, I've definitely spent an enjoyable amount of time exemplifying Peter's other answer to *What would you do with a million dollars* "I would relax, I would sit on my ass all day, I would do nothing". Sometimes when art does a good enough job of imitating reality, it helps us both recognize the absurdity of our reality and search for a path forward to escape it. I'm curious if there are other influential films, TV shows, or forms of art which inspired you to venture down your path to ER.

financialindependence

I had no idea it was the 20th anniversary, but a quote from the movie came to me this morning out of the blue. > Human beings were not meant to sit in little cubicles staring at computer screens all day, filling out useless forms and listening to eight different bosses drone on about about mission statements.

vgq2yy

New good paying job. Pay off debt, or stock up on supplies?

Got a job paying $20/hr with lots of overtime. Could easily see anywhere from 3 to 4.5k per month after tax. I have lots of CC debt (to me it's a lot. Currently about 6k worth) and my car that I'm dying to get rid of (car alone is $481/mo) and maybe $250/mo in CC payments. With ALL of my expenses, I'm spending about $2500/mo. I still owe 13.2k on the car. It's damaged but the trade in value is still about 11-12k. However, the news / independent reporters are talking about a coming food shortage that will be worse than when covid first started coming this fall. Should I focus on getting rid of my debt / car or save up, stock up, and maybe even invest in the market? I really don't know what to prioritize at this point.

personalfinance

1. Match your employers 401k match if offered 2. Turn off the news 3. Pay all bills 4. Leftover money goes to pay down debt with highest interest rate 5. Start building emergency fund 4 and 5 can be flipped, blended, whatever you want. Just save money and pay off debt

v1paiq

Best Worst Case: We Lock the Float by April Next Year - If we did dates, they're in here! Weekly Analysis 5/31/22

R&R is for ninnies! There's too much hype this week to wait. Shout out to [u/-einfachman-](https://www.reddit.com/u/-einfachman-/) for the call out in the latest DD [here](https://www.reddit.com/r/Superstonk/comments/v0zrni/burning_cash/). No big updates this week - we've moved the goal posts a little bit closer, but given the margin of error on this is about a month, no significant change. I did better zero in my slope to TiberiusWoodwind's so that is what moved us more than any change in cash. # The Update! ​ [We've dropped $29K in posted buying pressure. I expect us to continue dropping incrementally due to \\"scout and reinforce\\" DRS. Eventually it'll even out, but I think it'll be a while. Especially as it looks like non-US apes can take a couple of months to settle.](https://preview.redd.it/u1phd0mf1t291.png?width=926&format=png&auto=webp&s=fc8c62af1d9826241f058ae35f4d7d7f9b803a2b) What the colors mean: * Green - the most likely - uses only DRS data from 2022 and excludes clear outliers as everyone moved the bulk of their shares from 2021 in their second DRS post. (The top 2021 weeks were several times the average - way outside of norms.) * Yellow - less likely - uses all DRS data back to September 2021 * Red - the least likely - this is just how long it would take based on total DRS power (hard to predict first time buys) and what would happen if no one registered anymore shares. ​ Reminder that this is all worst case. All of these predictions assume NO dividend, NO insider buys, and the only buying pressure from apes that feed the bot more than once. These charts also assume a quarterly average price - in reality, the price at the end of the quarter would be lower than what's on the table, so the specific days listed would actually happen a little earlier - I just didn't do that math. Assuming last night's closing price ($96.13) is constant and no inflation based on average weekly spend on recurring buys we'll lock the float in four years based on predicted recurring buying pressure. But that's not realistic in the least. **HALT WATCH** They lost the battle for $180! Next time we see that means MOASS. If the price gets high enough, expect shenanigans (halts) between $174 & $178 this week. # Introduction After the quarterly report, we really got to see how zeroed in the data sets that [u/jonpro03](https://www.reddit.com/user/jonpro03) and [u/roid\_rage\_smurf](https://www.reddit.com/user/roid_rage_smurf) put together I thought it would be nice to see some forecasts. [u/jonpro03](https://www.reddit.com/user/jonpro03) breaks out data by existing and new accounts registered. This shows apes' regular buying pressure. We know how much money apes are going to spend each week. And, likely, keep spending each week, in addition to how much apes are going to dump into Computershare for a one time middle finger to Market Makers. I use data from [Nasdaq.com](https://nasdaq.com/) for historical prices, Reddit Scraper to find the account high score and number of shares posted from existing accounts, DRSBot to find the number of accounts per ape and the number of accounts posting more than once. "Float" data I pull from whichever data set on [Computershared.net](https://computershared.net/) is open at the time. For the "Taste the Rainbow" slope, I used the price points from 11/22/2021 and 3/29/2022 to determine the decreasing "danger zone" line. I think there's a little room for error, but within a penny. # Kudos: In the interest of pointing out the shoulders of the giants I'm standing on, please check out Taste the Rainbow by [u/tiberiuswoodwind](https://www.reddit.com/u/tiberiuswoodwind/) [here](https://www.reddit.com/r/Superstonk/comments/tyxvrl/taste_the_rainbow_kaleidoscope/) also check in on the test/update [High Definition](https://www.reddit.com/r/Superstonk/comments/uoaqbz/taste_the_rainbow_ultra_high_definition/). Also check out [u/Turdfurg23](https://www.reddit.com/u/Turdferg23/)'s [The Mechanics of the Roller Coaster](https://www.reddit.com/r/Superstonk/comments/ty02e6/the_mechanics_of_the_rollercoaster/). This is a great post for a couple of reasons - mainly, it's an analysis tracking options on ETFs that tie back to predictions of price runs. (A better explanation of cycles, if you will.) [u/-einfachman-](https://www.reddit.com/u/-einfachman-/) dropped a post [here](https://www.reddit.com/r/Superstonk/comments/txnwhu/checkmate/) that goes into great detail on capturing efficiency of lowered prices. They meant it in terms of a stock dividend increasing the total number of shares, but it also applies to an algorithm reliably dropping the price each day. # Assumptions: **THE PRICE IS FAKE**. Due to dark pools, buy-writes, married puts, volatility swaps, naked shorting, and a mayo-crusted bedpost, the price is largely controlled by an algorithm with the exception of unexpected large insider buys. Apes are tapped out. We've blown our wad and all that's left is putting away that special sock and buying at a regular pace - whatever that pace may be for you. (Because averages.) “Existing Accounts” are shares bought by those that already opened a Computershare account and are adding to their position as much as they can as regularly as they can. This clearly ignores the “Scout and Reinforcement” style of registering so many have done, but without getting more detailed data from our AMAZING DRS gurus, I can’t control for that. (Not saying I particularly want that data, but if there were a way to see unique (still anonymized) data, I would further refine this.) Everyone is DRSing as fast as they can. Shares posted on a date are assumed to have been bought the week before due to settlement and transfer times. (On the Friday before if posted on the weekend.) Most apes that registered a few shares to figure out the process then sent all of their shares to CS later did so in 2021. By excluding 2021 buy data, we can see a more accurate picture of what apes are spending on moon tickets each week. (This is backed up by the highest priced weeks being in 2021 clear outliers in the data.) There are a lot of moving parts, so I wanted to add contingencies for A) Inflation, B) an individual's definition of the float, C) the presumed margin call line driving price down in an attempt to stay alive just one more day, and D) Gamestop's short hammer - $100M earmarked for buyback. **Inflation:** We don't want to discount that we've just started the worst financial crisis since the Great Depression. Inflation is real. Because JPow go BRRR, I've added 2% inflation each quarter. Yes, there are better ways to calculate this, but we should expect to lose some purchasing power in the coming years. I’m assuming 2% per quarter since we've hit 8% a year. **"Float":** Personally, float means everything but insider shares. Once all of those shares are locked, if anything is reported ANYWHERE else. Smoking gun, naked shorts, MOASS, etc. Others argue that MOASS starts when we overlap with reported shares in Edgar - that is the institutions, ETF's, mutual funds, et cetera. I dislike "free float" as a metric because those fillings are updated, at best, quarterly. It is certain to start a spasm in the market though. **"Taste the Rainbow" Rate of Price Decay:** We know the price won't stay constant. In fact I'm a strong subscriber of the "One more day" shorting crush to keep the price from going over a margin call line. To further illustrate, [u/TiberiusWoodwind](https://www.reddit.com/u/TiberiusWoodwind/) put up a great series of posts [here (external link to DD library)](https://online.fliphtml5.com/lvrgy/fhlb/#p=1). If you follow this line of thought, the price has to be knocked down on a regular slope to avoid a margin call, and that price intercept / danger zone is constantly approaching zero. Hell, by his crayons, rocket launches in October 2023! The more frequently the price hits that line, the more frequent the halts, greyed-out buy buttons, and other unpredictable BS. **Gamestop Buy Back:** Gamestop has $101M in cash on hand for a buy back. This is the ultimate middle finger to hedgies - if the price gets too low, the trap card is activated and Gamestop buys every single non-registered share and takes the company private-ish (At least private between apes and insiders). Gamestop Can't Fail. # Methodology: I’ve copied over the data from the Reddit Scraper table “Shares Counted” from Computershared.net. I pulled the past year's price data from [nasdaq.com](https://nasdaq.com/) and came up with an average cost for the day based on the day’s high and low. (Would love some extra thought on this. Maybe average that number with closing cost to account for those buying at market open/close?) Shares registered multiplied by the average cost of a share the week before equals apes’ regular buying power that day. To project that forward, I summed up money spent each week by existing accounts, then averaged. For funsies, I’ve applied the same methodology to total number of shares posted in DRS bot to see what our average weekly DRS cost is including new accounts. This is pretty specious as it requires new accounts to continue being created at the rate they have been – which at some point will have to stop because we’ll all have DRS’ed and no new blood will join. In order to predict the buy pressure across all accounts and not just those feeding the bot: 1. I take the high score of accounts and divide by the average number of accounts per ape. 2. Then I take the percentage of apes that have posted more than once (in the comments of Roid\_rage\_Smurf's updates) versus the whole multiplied by the above. 3. I divide the average weekly buy by the number of apes that posted more than once. 4. I multiply step 3 with number of apes in Computershare (step 2) So let’s assume that this cash is our regular allowance from the wife’s boyfriend. A regular spend rate, if you will. We can now calculate how far down it will be before we lock the float barring any other influences like one-time DRS apes, dividends, insider buys, and MOASS. (I think it's safe to at MOASS, we won't be locking the float until some time later.) All of these predictions are based on apes registering AND REPORTING more after their initial account set up at Computershare. To accelerate things: if you're registering more and haven't updated the bot, please do so. This rolls your additional buy into the average! All these predictions COMPLETELY IGNORE one-time bot-feeders. These brave individuals are taking their shares out of DTCC but are not influencing the "regular" buy pressure. The more that register - even once - the faster this goes as they're raising the floor brick by brick. # "Want now! What Do?" "Mup, you crusty queef stain, I'm in this for the immediate gains! Get this out of here!" How do we accelerate this from here? Social Media - if you know a hodler, ask them to register their stash. And don't just think of people you know. Apes are among us. Two people know I'm an ape in real life. We need to get a little louder and get the non-stonkers on the bus. If you've read this far and haven't registered your shares, I'll assume you are trapped in a crap broker or tax advantaged account. If you're not, why haven't you locked your float? Retirement Accounts - we need to push investor relations, RC, the board, et cetera to allow Computershare to hold retirement accounts for GME. Yes, you can risk a Custodial account. Yes, you can take the tax hit. The easiest way to get more shares in is to get retirement accounts accepted RISK FREE. Looks like no one got to submit a shareholder proposal. We'll have to make some noise. Maybe during the Q&A in the AGM in June? # BUY. HOLD. DRS. Rocket Emoji. I've held this space to shout my uninformed opinion we'd have had a split before the meeting. I'm still hoping. Anyway, I'll update accordingly once we get numbers in if such a thing happens. # LFG!!!!

Superstonk

Well done. The bots are already targeting it, so take it as a compliment. It would be interesting to consider the timeline under loosened victory conditions, such as the existence of 10 million Shares in ETFs (todays DD). Another scenario would be to lock the float ex the current short interest. It’s not gonna take much more until the rats are going to leave the sinking ship.

1rmsd7

I want to talk about the psychology of people who go all the way on exponential gambles like bitcoin, Tesla, and tulips and make +xx,xxx% returns.

It takes a while to really appreciate the worthlessness of hindsight in both investing and trading. The lessons of trading can be taught in an afternoon (similar to poker), but you won't understand them until you have been there and had those same lessons emotionally impact you while dealing in real money (similar to poker). Deep down, many of us wish we will one day make the 'brilliant idiot' play of someone who buys something about to hit a tipping point and then hold it until the mania is in full swing, when we finally sell to absolutely ludicrous returns on our investment (+xx,xxx%). This will probably never happen, and those who are disciplined investors know that such fantasies are actually just traps in the way of actually acquiring real wealth slowly and steadily. **Very few people get rich this way, but a lot of people get broke quickly by trying.** However, assuming that you have your responsible investments covered, and you are using purely play money, I want to talk about the psychology involved in such an ordeal. For ease of example, let's assume we have tulips that a few years ago were available for pennies, and now are trading for over a thousand dollars apiece (but by all means, feel free to cite specific examples you have seen/experienced). For example, you would have to buy your tulip when either: ---------------------- **a.)** It was worthless and everyone was mocking you for your poor investment decisions (*'really? enjoy losing your money'*). Using the latest tulips as an example, this would correspond to buying into any price from 1 cent to 10 dollars. **b.)** it had just begun it's meteoric ascent. You wouldn't make absurd returns, just ridiculous ones. This would correspond to recognizing an early pattern of potential explosive growth and jumping on the bandwagon early. This would correspond to buying tulips at prices from $10 to $100. **But buying is just the beginning**. Then you have to **hold**. You have to hold through new high after new high. You have to sit and listen to every voice of reason telling you that your 'investment' is overvalued and about to crash at any given moment. And *worse*, you probably actually have to endure at least one or two actual value crashes during the ascent. The psychological pressure becomes even worse at this point because now all the naysayers are *right* and you were (temporarily) an idiot for holding on for so long. You would have to hold through all of this insane pressure to sell, and the terrible guilt as you watched value plummet during crashes... all the way to the exponential high of $1,000+ a tulip. And then, after all of that stone-wall holding... you have to recognize when the actual high is near and sell. I would love to hear your best tulip stories, and to hear your emotions throughout. ------------------------- And to be clear, an exponential rise can happen in a period of a few months or an entire decade; the concept is the same, just stretched over a longer time period. This however, might affect the psychology involved.

investing

When I first heard about Bitcoin sometime in 2011, I was fascinated by it. It sounded really cool, and I wanted to buy some just for the novelty. But there weren't many exchanges around back then, so after a few hours of research, I gave up because it seemed like too much effort. Fast forward to December 2012. I had a casual chat about Bitcoin with one of my co-workers, and after I mentioned how I'd tried to buy some earlier and failed, he mentioned Coinbase and how easy it was to buy there. I went home and set up a Coinbase account, and bought 10 BTC (about $100 at the time). A few weeks later, I came home from the bar and was really, really drunk. I'm not sure what was going through my head, but in my inebriated state I decided that I just HAD to get more Bitcoin. A lot more. That night, I ended up buying another 100 BTC (about $1300 at the time). When I woke up the next morning, I was distraught (not to mention hung over). FML, I'd just thrown away over a grand on something that could very well be worthless! I thought about selling and undoing my drunken mistake, but the purchase would take a few days to clear so I couldn't undo it at the time, and ended up just keeping them. Over the next few months, Bitcoin had a few ups and downs. When it passed $200 in April, I was slightly freaking out. My drunken investment was now worth over $20K. I was about to sell a few of them, but before I could do so the price crashed, and then I didn't really feel like selling any longer. Recently, once the price hit $400, I thought the bubble was close to popping. I was still bullish on Bitcoin in the long run, but I sold 10 BTC just so that no matter what happens next, I'll have made money on Bitcoin. It wasn't so much for me, but I think I did it more so that if Bitcoin goes to zero, at least my friends couldn't make fun of me for being a fool (after all, I'd still have tripled my initial investment). Now with the price at an all-time high, I wouldn't say that this investment has made me at all happy. Following the price over all these months has been stressful. I'm worried that I'll somehow lose access to my wallet, or get hacked. I'm worried that my friends are becoming jealous (I told some of them about my investment before the price started skyrocketing). I'm worried that competing cryptocurrencies will become more popular than Bitcoin, so I've started diversifying into other, lesser known ones just in case. I don't think I'll sell any more for a while. We're still in early days, so might as well wait and see what happens over the next couple years. If Bitcoin ends up becoming worthless, I think I'll be OK. Sure, it'd basically be a $100K loss, but it might be worth it for the peace of mind.

2smhjj

Can't somebody just look at what somebody like warren buffett is investing in and invest in the same companies on the stock market?

Can't somebody just look at what somebody like warren buffett is investing in and invest in the same companies on the stock market? I think there are some websites out there that tell you what he is investing in.

investing

You will never get the same deal Buffett gets. When he invests, he gets a seat on the board, preferred shares for common price and a buttload of other perks that aren't available to commoners like us.

uiva4c

ELI5: What does the rise in interest rates mean?

I'm new to trying to understand my finances so an explanation of the the impact of rising interest rates on a personal, national and long-term level would be appreciated! How does this affect savings and mortgages for example?

UKPersonalFinance

* Saving would go up, but the amoubt it would go up most likely not noticable * Mortgage would go up, and this would go up a lot higher than saving, more so if you have high balance remaining on your mortgage. * Price increase (inflation) should slow down * Business would experience drop in consumer spending as saving become better option than spending.

b218mx

41 and finally debt free... Now what?

I'm a 41 year old single American expat with Australian permanent residence, who will hopefully soon become a citizen because I intend to remain here in Sydney. My situation is perhaps unusual is that my only child recently moved out of home to attend university, and I am just now finally debt free after paying off American student loans. My current situation: $170,000 annual salaried income in a very secure role, 17% superannuation with a $200k balance in UniSuper (split between Growth and Balanced), and $5k savings. I do not own a home here, but would like to save to purchase one in the coming years. I'm downsizing now that my child has moved out and my rent plus expenses will allow me to save an at least $6k per month. My first order of business is to update my will, and I already have life insurance in place, so I know that my child will be secure if anything is to happen to me. But beyond that, what do you recommend? How much to save for a home, and where to save it? Should I see a financial advisor, but how do I find a reputable one? I have spent the past two decades working hard to raise a child and build a career, and I'm finally seeing the light at the end of the tunnel. I would be grateful for any advice you can offer!

AusFinance

17% super puts you over the $25K cap at $170,000 salary. You sure that's right? I guess it's worth asking yourself, are you happy renting? Plenty of people now pushing the idea of being a happy, secure investor without owning any property. Sure it compromises your costs in retirement, but that could be offset by the sheer accumulation of wealth you might have if you put every spare penny into investments outside of super in the coming 10-20 years. Worth doing some sums. As a PPOR buyer with no equity in this market, I wouldn't be rushing in. If you spent 5 years on the sidelines of this market, I doubt you'd be missing much. Important thing is to maintain a good solid budget and save as much as possible, even if you haven't made any decisions yet.

nysbmm

IT jobs $150k plus - how much supervision / actual monitored hours expected?

Hi, I've seen a few IT career related posts here, asking for advice on changes etc, so hoping this will be allowed. I'm in IT, been in the same company for the past 10 years and am looking over the fence, but I don't really know what it would be like to work for a different company. In my current position I have my role, but as long as I get it done, I pretty much make my own hours and am not required maintain 9-5 hours as such. I have minimal supervision and work remotely (even before the pandemic). I'm thinking I'm ready to move on and while I would like some flexibility, I don't mind going into an office a few days a week, and keeping more regular hours but I can't help wondering just how different it might be? I know every company will be different, but in general - what is a reasonable expectation? If I was in an office I imagine there would be coworkers, and you might spend 10 minutes here and there chatting - is that reasonable? What if I have to leave early for an appointment - would I have to get permission? How stressful is the standard IT position (programming)? You've got a deadline and meant to be head down working flat out from 9-5 while you're there, or some times are casual depending where you are in the project? If I have to make a few phone calls to manage personal stuff will that be frowned upon? Does it change the higher up in salary and seniority you progress - ie, you are higher up so are less accountable and have less supervision, or have more responsibility (and the pay to match) therefore your superiors keep an even closer eye on you? What about government versus private? My view of government is that you'd have to be there during work hours, but as long as you get the work done you won't be managed too much - perhaps that changes depending on what area you're in? What about contract versus permanent? It probably sounds like I'm trying to get out of doing work, and don't want to be monitored! This really isn't the case - I would just like to know what is normal, and whether it changes how high up the ladder you go. Hope this makes sense.

AusFinance

While not a programmer I'm in IT infrastructure. We get the freedom to do our jobs as we see fit, work the hours we need and take off when we want provided it doesn't affect delivery. I have a team of 6 and that's the way I was treated so that's how I treat them. I know there are some companies out there that monitor when you start and stop but I've been able to avoid them.

wyprtj

20% Down or 5% Down?

I'm planning to relocate to another state in the neat future and I'm debating whether to pay 20% down for my primary residence or pay only 5% down and use the rest of the money to buy a rental property. What do you think is a better option? I always thought about buying a rental property but now with such high interest rates and a possible recession around the corner, I don't know what to do.

realestateinvesting

Buy a duplex or multi-unit building. You’ll get a primary mortgage loan which means lower rates and you can buy down the rate to increase your monthly cash flow. You’ll have the costs of one transaction rather than two. Buying down the rate only makes sense if you plan on holding the property until the increased cash flow hits your break even month. Basically cost to buy down / extra cash flow. I just bought an investment property that I plan to hold for 20+ years. I bought the rate down to 3.99% and increased my monthly cash flow by $170. After 54 months the increased cash flow breaks even on the rate buy down and the amount of interest I pay was hundreds of thousands less than the base rate of 6.75%.

gnsspq

Renter disconnected the smoke detector...

So we're looking at buying a duplex. One unit is perfectly fine and vacant, but there other has some... Let's call it "character". It looks like the tenant has been smoking in it, and has disconnected the smoke detector. I'm concerned that if they stay, they'll disconnect it again, and if anything happens that the fire insurance may be void. Is this true? How big of a red flag is this?

realestateinvesting

I have an excellent relationship with he local fire department, when I run into situations like this, I give the tenant a written notice that this is unacceptable. If I see it a second time, I call the fire prevention officer, explain the situation, they attend the unit and issue the tenant a fine. Usually solves the problem. The biggest issue is that it looks like you have an uncooperative tenant, what is the rest of the unit like?

clqely

Investing in a HCOL city vs investing in a LCOL city

I'm from a VHCOL area and would like to invest in real estate. I currently have around $1m sitting in various low risk investments (bonds, CD's, treasuries, etc...). To invest in properties in the city itself is probably out of the question since they all start at around $2 million. Is it better to target a HCOL city 10-15 minutes out where there are mostly 2-families listed for around $850k? Or go further out where there is a college town and the majority of properties are 3-families going for $300k but it is in a LCOL area that is economically depressed, basically as a landlord you would either rent to college kids or section 8 and nothing in between. The 2-family properties in the HCOL area at $850k rent for about $2,500 per unit. The 3-family properties in the LCOL area at $300k rent for $850-$1,000 per unit. I could buy 5 properties in the HCOL city putting down around $200k each or 10 properties in the LCOL area putting down $100k each. I see pros and cons for each one. The LCOL city would allow me to have 33% of each property paid off vs only 25% in the HCOL city. The downside is that these 3-fams are in rough shape and they will not appreciate in value much. The HCOL houses are in decent condition and will appreciate in value plus there will be a better class of renter, however they will not cashflow as well and I couldn't buy as many of them.

realestateinvesting

None of those sound like good options to me. I don't think any of them will cash flow well, so you will have to hope an already over priced market will continue to rise to see any return on them long term. Too much risk for too little reward. If those are your only options, I'd stick to other investments.

91tyjj

Becoming a full time wholesaler

I’ve been learning and attempting to wholesale for about 6 months now. I’m in the Houston market and have been working full time as a design engineer for a DRAM tech company for over a year now (i am 23 years old). Here are more details about my business: I’m spending about $1000 a month in direct mail. My monthly income right now is $4000. I have yet to close a deal but I’ve been going on appointments and sharpening my sales skills. I work with a partner who’s more boots on the ground than I am since I’ve been working full time. I’m thinking of quitting my job because I really dislike it and go all in into wholesaling by Jan 2019. I will have about 20k saved up that could last about 5-6 months including my marketing costs. I’m mostly just so tired of not getting my business off the ground and have so many dreams tied to become a successful real estate wholesaler. I’m willing to risk it all for it. What advice would you guys give me? What experiences do you know of others who have done similar things? Just want to get some perspective. Edit: I want to add some more info about why I haven’t closed a deal in six months. My partner and I have been failing forward. At first we failed on how we approached the appointment process and how to make offers. Then we failed on delivering value and solving problems. Now we feel super ready to get our first deal done. We’ve made offers and have been rejected because even though some motivation exists with our leads, they go for others that offer them higher prices. To be fair, a lot of these people end up baiting them with a high sales price and then renegotiate right before closing to the sellers frustration. I don’t want that reputation and would rather give a price I know will sell with no renegotiation.

realestateinvesting

I can only speak for the Southern California market, where I've wholesaled over $20M in real estate in the last seven years but here are my thoughts. Direct mail is not a creative marketing strategy anymore. Its a quick way to go broke marketing to the same sellers the house flippers are now targeting. You will get outbid often, as they don't need to build in a margin for a wholesale fee. Buyers are going direct now, but with mostly outdated practices like direct mail. Quitting before having a steady and consistent machine built is reckless, your model is not proven to be sustainable against the competition. More and more deals are sourced via the web and direct dial systems, that is where the business is moving towards. Once you quit your job, you will struggle to get financing for deals to keep. This was the smartest thing I did was stay on at my job and get two properties with loans while my W2 situation looked good. Five years later they've appreciated over $1M and produce $2800/Mo cash flow that keeps me chill when things get slow. Having a partner means you have some type of arrangement to split deals. If you quit and have more time on your hands, how does this change the roles and profit sharing in your partnership? You need data to show you X amount of mail pieces gets you X amount of deals. Then you can scale the business to the income you need to survive. You are without this data currently. This is a sellers market, retail buyers are willing to buy some really beat up houses these days meaning there's less need to flip a house prior to selling. It also means you are better off taking that seller who wants a higher price and listing their home. For every 1 wholesale you come across you're likely talking a whole lot more sellers who are then moving on to listing their home. You are paying money to speak with motivated listing leads and not doing anything with them. Get your license, you can still market and wholesale (some will say you can't, whatever) should the seller want a higher price and you have built rapport. List the deal, should they want fast cash, wholesale it. Also by listing fixer properties you'll build your buyers list super fast. Wholesaling is not the fastest path to income generation anymore, it is being a listing agent. So much of the information being shared today is from YEARS ago. The market changes, would you take stock tips from 2014? Be sure the information you are seeking is current from people who have actually done deals. I went 4 years working and wholesaling at the same time. Until wholesaling earned me more money than my day job it wasn't a consideration to quit. I can only count a couple people who I know who managed to make it in this business over the time I've been in it. I can't keep count of the number who tried to quit their job and go full time without having a sustainable and proven model, many failed and became coaches or ppc marketing consultants. Don't quit your dayjob.

lrqkoe

I don’t understand the obsession with CoC returns?

So I’ve been doing a lot of research on real estate recently and all I see everywhere are people claiming that cash on cash returns are the best way to determine how good of a deal you’re getting. This makes zero sense to me. Say I have $20k and i’m looking to invest in something long term. I have the choice of stocks, real estate, art, fine wine, etc. The S&P500 historically has averaged 9.85% a year before inflation. That’s an incredibly passive investment and is known as the benchmark of investments. Why would I even consider any of the other options unless I expect them to beat that average return on my investment? CoC returns leaves out such a huge part of the deal that it doesn’t even make sense to compare it. I feel like as an investor the whole goal is to grow your net worth. If you’re looking to quit your job and only rely on this I understand why you’d want it liquid but there are so many people who only say they’ll buy a property if it cash flows $100/door or something and they’re working full jobs still. You could be above that and underperforming the market and also below it and outperforming the market. Idk maybe I’m just looking in the wrong places but I feel like most people saying that just wanna quit their jobs and have passive income (when it’s nowhere near passive). This seams like bad advice for people early in their real estate careers. As an investor I want to compound my gains and not touch them until I’m ready to retire.

realestateinvesting

CoCR is a measure of how risky an investment is. A higher CoCR means that you can afford more unexpected maintenance issues, weather economic downturns better, and in today’s era, break even with less tenants paying. I look for a 20% to 25% CoCR when investing, so that I either make by my initial investment every 5 years, or have a large enough buffer zone to cover nonpaying tenants and surprise capital expenses. Right now about half of my tenants are paying due to Covid, and I’m still breaking even. I have $15,000 of mortgages monthly so if I didn’t have such a high CoCR then I would be in deep shit now.

zv4cnq

Contractor woes

How do you get a (vetted, recommended, licensed & insured) contractor (with a written and agreed upon contact) to abide by their contract? We aren’t using cheap, cash-only, fly-by- night guys. These guys are expensive on a relative and objective basis! But they never finish when they say they will. There’s seats somebody else to blame (labor shortage, personal illness, mostly). It feels powerless to be upholding g your end of the bargain (always paying in time, etc) while contractor doesn’t. When I talk to other people, they roll their eyes and say “welcome to working w contractors” as if they are all like this. Aside from choosing to work with more responsible people, how do you get a contractor to just show up when they say they will? How do you get them to hurry up when they are months behind their contract deadline without them getting pissed and walking off the job and leaving you really screwed? Any tips of the trade are appreciated here.

realestateinvesting

Host weekly OAC meetings and have them prepare weekly progress reports. Those reports should list project schedule per contract, actual schedule, list any delays, list any open RFIs or submittals, list any open change orders. The best approach is to meet weekly, run through their programs update and eliminate any possible excuse they may have. “So and so hasn’t approved our submittal” you immediately call so and so and get them to approve the submittal. “We have material delays” on x line item”…ok what else can you work on in the meantime? Have you contacted other suppliers? Etc. I very frequently lead meetings with “what’s the game plan to get back on schedule?” As soon as they are even a few days behind on something. Use questions not statements. If I say “you need to get this back on schedule” they say “ok” and then don’t follow through. If I ask what the plan is to get back on schedule, they can’t just give me a one word answer. They have to think and come up with a plan on their own and it assigns some level of personal responsibility. Bottom line- be hands on, meet weekly, go out on site weekly, stay on their ass, eliminate any excuse they have to not perform, and when they blow past their project completion date- tell them you will not be paying any extended general conditions or overhead, it’s now their problem to wrap it up. And then they whine or push back, my favorite line is “if this is the way you guys want to do business we won’t be working together in the future.”

tna0f0

Buying land for digital billboard

I have a few residential rentals and will probably be selling one soon. I'm researching different investments and came across the digital billboard market. My plan would be to buy the land and the digital billboard but having a management company (probably an outdoor or advertisement agency) sell the ads and operate it. Ideally I would get a property on a high traffic road and, if a building exists, be able to lease the building separately. I have the impression that it could be very profitable. Has anyone here done something similar? I'm specifically trying to find hard cost (digital billboard with installation), operational cost, and revenue/ROI. Any feedback is much appreciated. Thanks.

realestateinvesting

Other than billboards are unsightly and should be banned, I believe the way this business works is if you have the land billboard companies will lease the spot of land needed and the rights to put up the billboard and just pay you, you don’t need to be active in the process.

649xmw

Best Credit checks for new renters

Hi all - I have my first rental property in which we will manage it ourselves and would like to know which credit agencies you would recommend. We live in KY, if that is important. Any other tips? Thanks!

realestateinvesting

I use Transunion Smart Move. Personally, credit is irrelevant to me. 1) No previous evictions...ever. I don't care what your story is. 2) Income must be at least three times the rent. 3) Unfortunately due to the government (HUD) interfering roughly a year ago you now have to be very careful in turning down a potential tenant based upon their criminal background. That being said, if you have a felony, major drug offenses, domestic violence, crimes against children, rape...those sort of offenses...I'm not renting to you and I'll make certain it is a legit reason. 4) I won't rent to someone who hasn't been employed be the same job for at least six months. 5) I call the prospective tenants previous two landlords. 6) I call the prospective tenants manager/boss. When I hear people say that being a Landlord is difficult, most of them don't have a system nor are tough on their vetting of a prospective tenant. Typically because they are too desperate to avoid making a mortgage payment out of their own pocket not realizing a bad tenant will cost them much, much more than a month or two of mortgage payments. If I'm moving someone into a 100k+ asset you better believe I'm going to legally do everything in my power to pick someone who will maintain that asset for me and not destroy it.

e0l9ie

Seattle rental income scenario

Background We are a married couple living in a single family home located in Seattle, WA for the last 4 years. We love it, but need to move. We owe $590k on mortgage and could probably sell the house for $900k so let’s call it ~$260k in equity after fees. We want to keep the property as a rental (our first) betting on the appreciation of the property over time (location is great for Bellevue/Seattle commutes, neighborhood is receiving significant investment year-after-year, lightrail stop coming in 2 years, grocery store coming 2 blocks away, rare-quiet one lane street, etc). I understand this is risky, but we're willing to accept that. We’ve done the math and are confident we can break-even on cash flow (cover mortgage, insurance, upkeep, prop mgmt fee, etc). Scenario 'Assuming the property market remains flat, I THINK we can make around 20k/year as we accumulate about $12k/year in principal pay-down and another $8k/year in tax savings (our marginal tax rate is 32%) by maxing out our 25k passive loss allowance for non real estate professionals as per IRS publication 467(c)(7) through a combination of deducting our mortgage interest on the property (we pay about 22k year in interest) and depreciation (1/3 of purchase price was home structure at time of purchase). Questions 1. Is the ~20k/year assumption correct? (if market is flat and net cash flow is break-even) 2. If we want to cash out, my assumption is that we can cash out up to ~500k tax free (married filing jointly) as long as we do it in the next 3 years (IRS publication 523). Is that right? 3. If we keep the property longer than 3 years and then sell it, can we use a 1031 exchange to avoid cap gains if we want to finance the building of new properties or does 1031 exchange only work for the purchase of existing properties? Thanks everyone!!

realestateinvesting

Why not sell your sfr for a 4plex in Seattle or outside of Seattle, that will get you more cash flow and the possibility of higher appreciation? I recently sold my rental property on the east side, and did a 1031 exchange to a 4plex in South Seattle and will be netting $2500 in cash flow monthly.

e20ids

Lowering rent and finding a tenant in December?

I have a unit in my quadplex that has been vacant for over a month now. Market rental rate is about $650-700, but it seems that everything is slowing down now. My property manager recommends we lower rent by $50 on a 6month term and increase in a better season. But, does lowering the rent only attract poor quality tenants? Also, how hard is it to find a tenant in wintertime. My rental is in Lousianna, so it doesn't snow.

realestateinvesting

Our vacancies are always longer between Thanksgiving and Valentine’s Day. Fewer people move then, and we always offer move-in specials or other incentives during the slow months. No, a $50 price reduction will not suddenly attract terrible tenants. Just use your normal screening criteria. Instead of doing a short lease in the slow moths, I actually try to get the tenant to commit to 18 months. It sets the expiration during a good season, but doesn’t leave me renegotiating right around the corner. I usually try to get the regular lease rate with a temporary move-in discount, so the tenant knows rent will go up $50 after the first 6 months of the 18-month lease.