Question stringlengths 14 166 | Answer stringlengths 3 17k |
|---|---|
Covered call when stock position is at a loss | It's unclear what you're asking. When I originally read your question, it seemed that you had closed out one options position and opened another. When I read your question the second time, it seemed that you were writing a second option while the first was still open. In the second case, you have one covered and one na... |
What are some signs that the stock market might crash? | There are some economic signs as there are in all economic and business cycles, such as interest rates rising. However, a more effective way is to actually look at price action itself. The definition of an uptrend is higher highs followed by higher lows. The definition of a downtrend is lower lows followed by lower hig... |
What would happen if the Euro currency went bust? | If the Euro went bust then it would be the 12th government currency to go belly up in Europe (according to this website). Europe holds the record for most failed currencies. It also holds the record for the worst hyperinflation in history - Yugoslavia 1993. I'm not sure what would happen if the Euro failed. It depe... |
Who can truly afford luxury cars? | I want to add that in my country, Israel, the tax on cars is extraordinarily high. Cars in Israel cost in average twice or more then in the US (for example, a new VW golf with the cheapest configuration costs around 25kUSD). Israel's average salary is lower then US's average salary and the fuel in Israel costs twice. T... |
Are there any catches with interest from banks? Is this interest “too good to be true”? | Tax won't be an issue. You have a personal tax free allowance of £7475 this coming year, so your first £7475 will be tax free. 1.09% is pretty abysmal (sorry - but we've wrecked the economy for you young fullas), so you'll only earn about £84 a month. Not as awesome as you were expecting I think. Would recommend gettin... |
Why can't the Fed lower interest rates below zero? | If the Federal Reserve were to pay banks to hold money, they would need to get the money from somewhere to do so. They would have three options: Go to Congress, and request and authorization of funds. As an quasi-independent entity, however, it would be both highly unorthodox for an institution to diminish its own aut... |
Should I sell my individual stocks and buy a mutual fund | This depends on a lot actually - with the overall being your goals and how much you like risk. Question: What are your fees/commissions for selling? $8.95/trade will wipe out some gains on those trades. (.69% if all are sold with $8.95 commission - not including the commission payed when purchased that should be fact... |
Effect of company issued options on share price | The answer to your question as asked is no. Call options, even those issued by the company, cannot create new shares unless they are employee stock options. Company-issued warrants, on the other hand, can create new shares. |
U.S. Mutual Fund Supermarkets: Where are some good places to buy mutual funds? | There are hundreds of entities which offer mutual funds - too many to adequately address here. If you need to pick one, just go with Vanguard for the low low low fees. Yes, this is important. A typical expense ratio of 1% may not sound like much until you realize that the annualized real rate of return on the stock mar... |
What is street-side booking? | This is a technical term referring to the "double entry"-styled book keeping of trades by brokers. Suppose a client executes a buy order with their broker. The broker's accounting for this "trade" will be recorded as two different "deals" : One "deal" showing the client as buyer and the broker as seller, and a second ... |
Am I doing the math for this covered call/long put strategy correctly? What risks do I run with this strategy? | FYI: GM has an earnings announcement on April 24th. I think you were trying to create a safe trade by profiting if GM's price fell within a probable range. The chart of the Iron Condor captures just about a standard deviation of movement. So as long as GM is between 31.28 - 37.22 in 34 days you keep the max profit o... |
Rationale behind using 12, 26 and 9 to calculate MACD | The values of 12, 26 and 9 are the typical industry standard setting used with the MACD, however other values can be substituted depending on your trading style and goals. The 26d EMA is considered the long moving average when in this case it is compared to the shorter 12d EMA. If you used a 5d EMA and a 10d EMA then t... |
Large BUY LIMIT orders' effect on a stock's price | Traders sometimes look at the depth of the book (number of outstanding limit orders) to try and gauge the sentiment of the market or otherwise use this information to formulate their strategy. If there was a large outstanding buy order at $49.50, there's a decent chance this could increase the price by influencing oth... |
Why IV and stock price are inversely related | people are willing to pay higher premiums for options when stocks go down. Obviously the time value and intrinsic value and interests rates of the option doesn't change because of this so the miscalculation remainder is priced into the implied volatility part of the formula. Basically, anything that suggests the stock... |
Best Time to buy a stock in a day | The best time to buy a stock is the time of day when the stock price is lowest! Obviously you learned nothing from that sentence, but unfortunately you won't get a much better answer than that. Here's a question that is very similar to yours: "Is it better to have a picnic for lunch or for dinner to minimize the chance... |
If I make over 120k a year, what are my options for retirement plans? | All data for a single adult in tax year 2010. Roth IRA 401K Roth 401k Traditional IRA and your employer offers a 401k Traditional IRA and your employer does NOT offer a 401k So, here are your options. If you have a 401k at work, you could max that out. If you make close to $120K, you could reduce your AGI enough to c... |
In accounting and investment, what is the difference and relationship between balance and position | an account balance is your total in the account. The word balance means "to be equal". The use in finance stem from accounting. However you do not need to know why its called a balance to understand that a balance is equal to something. IE: your "account balance" is your total account weather its savings, electric bil... |
Germany: Employee and Entrepreneur at same time (for getting AppStore payments) | In Germany you can register a Einzelunternehmen and receive payments into your personal bank account with a German bank. Apple will certainly be able to transfer to accounts in Germany as payments go via the European SEPA standard. Tax wise if you are living in Germany you will need to pay tax in Germany, so this is re... |
Index funds with dividends? | I assume that when you say 'the DOW' that you actually mean the general market. The ticker symbol for the general market is SPY (called a 'Spider'). The ticker symbol for Nasdaq is QQQ. SPY currently pays 2.55% in dividends in a year. QQQ currently pays 1.34% in dividends in a year. |
Is it legal if I'm managing my family's entire wealth? | All the other answers posted thus far discuss matters from the perspective of US tax laws and are unanimous in declaring that what the OP wants to do is indeed a very bad idea. I fully agree: it is a bad idea from the perspective of US tax laws, and is likely a bad idea from the perspective of Indian tax laws too, but ... |
Open Interest vs Volume for Stock Options | What if there is only one trading day and the volume is smaller than the open interest on that one trading day. This is assuming there is no open interest before that day? I pulled this from a comment. This can't happen. We have zero open interest on day one. On day 2, I buy 10 contracts. Volume is 10 and now open ... |
Any difference between buying a few shares of expensive stock or a bunch of cheap stock | You are correct in thinking actual number of shares do not matter, the value is the value. However there are cases where share price does play a role. Berkshire Hathaway for example has not split because Warren Buffet believes it has cut down on the liquidity of the stock, as well as attracting investors with an eye... |
Does keeping 'long-term' safety net in bonds make sense? | I am understanding the OP to mean that this is for an emergency fund savings account meant to cover 3 to 6 months of living expenses, not a 3-6 month investment horizon. Assuming this is the case, I would recommend keeping these funds in a Money Market account and not in an investment-grade bond fund for three reasons: |
Should I wait a few days to sell ESPP Stock? | Usually the amount of the ESPP stocks is very small compared to the overall volume of the trading, so it shouldn't matter. But check if for your company it not so (look at the stock history for the previous ESPP dates, and volumes). |
How should I pay off my private student loans that have a lot of restrictions? | Not that I doubted everyone's assumption but I wanted to see the math so I did some spreadsheet hacking. I assumed a monthly payments for 30 years which left us with total payments of 483.89. I then assumed we'd pay an extra $200/month in one of two scenarios. Scenario 1 we just paid that $200 directly to the lender.... |
Are parking spaces and garage boxes a good investment? | If the company that owns the lot is selling them it is doing so because it feels it will make more money doing so. You need to read carefully what it is you are getting and what the guarantees are from the owner of the property and the parking structure. I have heard from friends in Chicago that said there are people... |
Should I Have Received a 1099-G? | If you don't itemize your deductions, your state tax refund is not considered income to you. Even if you didn't receive the actual 1099-G, you know how much refund you got, so you can calculate if you need to add it back to your income this year using the worksheet on page 23 of the instructions. |
Paying estimated taxes in a quarter with losses | Yes, if you're caught up you can skip the quarter. |
Should I invest in my house, when it's in my wife's name? | It is my opinion that part of having a successful long-term relationship is being committed to the other person's success and well-being. This commitment is a form of investment in and of itself. The returns are typically non-monetary, so it's important to understand what money actually is. Money is a token people exch... |
Clear example of credit card balance 55 days interest-free “trick”? | There are always little tricks you can play with your credit card. For example, the due date of your statement balance is not really set in stone as your bank would like you to believe. Banks have a TOS where they can make you liable to pay interest from the statement generation date (which is a good 25 days before you... |
How would I go about selling the stock of a privately held company? | SecondMarket attempts to add liquidity to privately held companies. You may be able to find a buyer there, but this is still incredibly illiquid due to accredited investor regulations constricting businesses from catering to the 99%. As around 1% of the United States population qualifies as an accredited investor. |
Pay down on second mortage when underwater? | You're welcome to throw in the towel and stop paying any time you want. You'll just suffer the consequences of doing so. It sounds like you're concerned about losing your job "in the next few years." What are you doing to stem this off? Are you building up a side income? Are you building up portable skills -- ones ... |
In what state should I register my web-based LLC? | I have researched this question extensively in previous years as we have notoriously high taxes in California, while neighboring a state that has zero corporate income tax and personal income tax. Many have attempted pull a fast one on the California taxation authorities, the Franchise Tax Board, by incorporating in Ne... |
Should I overpay to end a fixed-rate mortgage early? [duplicate] | I would strongly encourage you to either find specifically where in your written contract the handling of early/over payments are defined and post it for us to help you, or that you go and visit a licensed real estate attorney. Even at a ridiculously high price of 850 pounds per hour for a top UK law firm (and I suspec... |
Where can I find information on the percentage of volume is contributed by shorts? | I believe that it's not possible for the public to know what shares are being exchanged as shorts because broker-dealers (not the exchanges) handle the shorting arrangements. I don't think exchanges can even tell the difference between a person selling a share that belongs to her vs. a share that she's just borrowing.... |
Does doing your “research”/“homework” on stocks make any sense? | TL;DR: Sure, "do your own homework" is sometimes a cop out. But that doesn't mean we shouldn't do our homework. I agree that in many cases this is a cop-out by commentators. However, even if you believe in perfect market efficiency, there is benefit in "doing your homework" for many reasons. One of which you already me... |
Frustrated Landlord | If you're sinking 1k/year into it, and the value is rising by $100k in 15 years, or $6k/year, you have a fine investment. Ignore the wife, she just wants something even better. |
How to amend an amended return? | File a 2nd amended return that corrects the mistake I made on the 1st amended return This. Pay the $500 before April 27th and try to get it back later This. |
High dividend stocks | You might want to look up Dividend Yield Trap. Many stocks with high dividend yields got that way not because they decided to increase their dividend, but because their prices have dropped. Usually the company is not in good shape and will reduce their dividend, and you're stuck with a low-yield stock which has also de... |
Why do I get a much better price for options with a limit order than the ask price? | What you have to remember is that Options are derivatives of another asset like stocks for example. The price of the Option is derived from the price of the underlying. If the underlying is a stock for example, as the price of the stock moves up and down during the trading day, so will the Market Maker's fair value fo... |
Can I depreciate a car given to me? | Yes, you can depreciate gifts to your business subject to the special rules in § 1011 and Regulation § 1.1011–1 and 1.167(g)–1. It is dual basis property so when you sell the item your gain/loss basis will be different. Adjusted basis of the donor for gain, FMV on the date received for the loss. Minus any depreciation ... |
Pay off car loan entirely or leave $1 until the end of the loan period? | There's two scenarios: the loan accrues interest on the remaining balance, or the total interest was computed ahead of time and your payments were averaged over x years so your payments are always the same. The second scenarios is better for the bank, so guess what you probably have... In the first scenario, I would pa... |
Do I pay a zero % loan before another to clear both loans faster? | Allen, welcome to Money.SE. You've stumbled into the issue of Debt Snowball, which is the "low balance" method of paying off debt. The other being "high interest." I absolutely agree that when one has a pile of cards, say a dozen, there is a psychological benefit to paying off the low balances and knocking off card aft... |
File bankruptcy, consolidate, or other options? | A couple of thoughts from someone who's kind of been there... Is the business viable at all? A lot of people do miss the jumping-off point where the should stop throwing good money after bad and just pull the plug on the business. If the business is not that viable, then selling it might not be an option. If the busine... |
Pros and cons of bond ETF versus traditional bond mutual fund? | Bond ETFs are just another way to buy a bond mutual fund. An ETF lets you trade mutual fund shares the way you trade stocks, in small share-size increments. The content of this answer applies equally to both stock and bond funds. If you are intending to buy and hold these securities, your main concerns should be purc... |
Where to start with personal finance? | I've recommended this book a few times on this site, and I'm going to do it again. Get a Financial Life: Personal Finance in Your Twenties and Thirties by Beth Kobliner Most of the personal finance advice books and blogs I have found focus too much on investing, or are more about "lifestyle" than finances, and left me... |
Can I rollover an “individual retirement annuity” to an IRA? | You are not allowed to take a retirement account and move it into the beneficiary's name, an inherited IRA is titled as "Deceased Name for the benefit of Beneficiary name". Breaking the correct titling makes the entire account non-retirement and tax is due on the funds that were not yet taxed. If I am mistaken and titl... |
Will the stock market continue to grow forever? | Yes! Look at any graph or chart covering the last 100 years. The graph goes up. It will continue to grow unless there is an extinction event and the population gets reduced. Corporations will continue to grow to meet the needs of the ever expanding population. |
Where can I find information on corporate bonds (especially those rated as “junk”) ? | Bond information is much tougher to get. Try to find access to a Bloomberg terminal. Maybe you have a broker that can do the research for you, maybe your local university has one in their business school, maybe you know someone that works for a bank/financial institution or some other type of news outlet. Part of t... |
How can I help others plan their finances, without being a “conventional” financial planner? | I am a Certified Financial Planner and provide tactical advice on everything from budgeting to saving for retirement. You do not have to have any series exams or a CFP to do this work, although it helps give you credibility. As long as you DO NOT provide investment advice, you likely do not need to register as an inves... |
What does quantitative easing 2 mean for my bank account? | IMO, QE2 will likely have no perceptible impact in the near term. Keeping all of your savings in a bank guarantees that you will lose money to inflation & taxes. I'd suggest consulting a financial advisor -- preferably someone who understands issues facing someone with assets in the US and Canada. In terms of what port... |
So the vending machine tore my $5 in pieces. What now? | There is usually contact information for the owner of the machine printed somewhere on it. Call that number. If it is in a business you could always try the clerk. Whether you get your money back is up to that person, I suppose. |
Can preventive health checkup be claimed as a separate expense from medical expenses? | There are 2 different things, As per IT Act, one can get "Medical Reimbursement" upto Rs 15,000 which is tax free. The way it is supposed to work is an employee submits bill and employer will "Reimburse" upto Rs 15,000. So if one does not submit any bills, he does not get any money. If the employer has given the employ... |
Why is gold not a good investment? | If you buy a gold brick and put it in a pillow, after one year you still have one gold brick. People may value it more than before or less then before, but it's still the one gold brick you had. If you buy a cow and put it on a pasture, after one year you have a fatter cow and plenty of milk. You now have more of the c... |
Am I still building a credit score if I use my credit card like a debit card? | I strongly suggest you look at CreditKarma and see how each aspect of what you are doing impacts your score. Here's my take - There's an anti-credit approach that many have which, to me, is over the top. "Zero cards, zero credit" feels to me like one step shy of "off the grid." It's so far to the right that it actually... |
What are the alternatives to compound interest for a Muslim? | There are lot of options. I personally avoid keeping money in bank accounts and invest in one of the funds. It's just my personal opinion, you can ask your Ulamas |
How are proceeds from writing covered calls taxed? | Successful covered calls are short term capital gains. The amount of time you have owned the underlying security is irrelevant. The gain occurred in the option period which will be an amount of days less than needed for a long term capital gain classification. Failed Covered calls can be either as the date you acquired... |
How to calculate cash loss over time? | There are two things you need to keep in mind when you look at Inflation as an entity. Inflation is necessary to keep in check the value of goods. As per Moore's Law for example, a mobile phone that you buy for £100 today will be available for £50 in two years. With increased purchasing power, one needs to maintain bal... |
Should I deduct or capitalize the cost to replace a water heater in my rental property? (details Below) | You may be able to choose. As a small business, you can expense certain depreciable assets (section 179). But by choosing to depreciate the asset, you are also increasing the cost-basis of the property. Are you planning to sell the property in the next couple of years? Do you need a higher basis? Section 179 - Elec... |
Why would you not want to rollover a previous employer's 401(k) when changing jobs? | The biggest reason why one might want to leave 401k money invested in an ex-employer's plan is that the plan offers some superior investment opportunities that are not available elsewhere, e.g. some mutual funds that are not open to individual investors such as S&P index funds for institutional investors (these have ex... |
Why do people build a stock portfolio if one could get a higher return from bank interest than dividend per annum? | Stock prices aren't constant; they rise and fall. The overall return on a share is the combination of the dividends paid plus the change in value of the share. Some companies pay no dividend at all yet investors still buy their shares because they believe the share price will rise. People invest in stocks because th... |
Purpose of having good credit when you are well-off? | Credit scores, or at least components of them, can sometimes factor into how much you pay for car insurance. Source: Consumer Reports: How a Credit Score Increases your Premium |
How smart is it really to take out a loan right now? | Yes, it's a buyer's market. If one is looking to buy a house, comparing the cost to rent vs own is a start. Buying a property to rent to a stranger is a different issue altogether, it's a business like any other, it takes time and has risk. If today, one has a decent downpayment (20%) and plans to stay in the house fo... |
My friend wants to put my name down for a house he's buying. What risks would I be taking? | Short answer: don't do it. Unless you know something that the bank doesn't, it's safe to assume that banks are a lot better at assessing risk than you are. If they think he can't afford it, odds are he can't afford it regardless of what he might say to the contrary. In this case, the best answer may be "sorry for your ... |
Is it normal for brokers to ask whether I am a beginner? | Yes, this is common and in some cases may be required. They may use it for marketing at some level, but they also use it for risk management in deciding, for example, how much margin to offer and whether to approve access to "riskier" products like stock options. |
Getting a USD cheque, without too many fees, and with a sensible exchange rate? | UPDATE: Unfortunately Citibank have removed the "standard" account option and you have to choose the "plus" account, which requires a minimum monthly deposit of 1800 sterling and two direct debits. Absolutely there is. I would highly recommend Citibank's Plus Current Account. It's a completely free bank account avail... |
Does “cash in lieu of dividend” incur any tax consequences in an IRA? | In a (not Roth) IRA, withdrawals are generally already taxed as regular income. So there should be no tax disadvantage to earning payment in lieu of dividends. It's possible that there is an exception for IRAs but I was unable to find one and I cannot see the reason for one since the dividend tax rate is usually lower... |
Why are the banks and their customers in the United States still using checks? [duplicate] | Because it makes money for all parties, and because the general public is reluctant to any change. Who should have an interest to change that? People. And they have no say in it. You can actually do a lot without paper checks nowadays (I only use one per year for car taxes, as they do not accept anything else), but man... |
TDAmeritrade Quote Summary TREE vs APRN | I suspect this is related to the fact that Blue Apron completed its IPO very recently and insider shares are likely still under a lockup period. So in the case of APRN stock only the 30mm shares involved in the IPO are trading until the insider lockup expires which is usually about 90 days. |
How many days does Bank of America need to clear a bill pay check | I just had this happen to me with Chase and speaking with my executive support contact, they will not return the funds unless you request them back. Which I find appalling and just one more reason that I don't like working with Chase! |
Filing taxes on stocks | You need to submit an updated return. The problem is that once three years have passed you can't update the return to get any kind of refund, but if they are going after you for the sale price of the stocks, not knowing the cost, your goal is to show them there was no gain, and in fact you'd have had the loss if you we... |
Ask for credit decrease | $500 should not have a massive impact on your credit. Why not at the beginning of each month buy a $500 prepaid Visa instead of using your credit card? That way you set a hard limit, but you still have the option of using credit in an emergency. |
Debit cards as bad as credit cards? | This sounds more like a behavioral than a debit card issue to me TBH. Did you put the money you're putting away into a separate savings account that you (mentally) labelled 'for investment'? That's pretty much what I do (and I have a couple of savings accounts for exactly that reason) and even though I know I've got $x... |
How to invest for the event of a US default? | Lots of opportunities during threats to US debt demand. Most just involve being short the S&P or long the VIX (or short treasury bond futures, or short a US dollar currency pair). Those are the opportunities. And if you are worried about the utility of speculating in US dollars on a decline of the US dollar, then it is... |
Offshore bank account with online International wire-transfer facility for Indians | India does allow Resident Indians to open USD accounts. Most leading National and Private Banks offer this. You can receive funds and send funds subject to some norms. |
Why would refinancing my mortgage increase my PMI, even though rates are lower? | The PMI rate is calculated at the time your mortgage is underwritten to be terminated at the point where you have 20% equity in your home. It is calculated based off of default risks based on your current equity value at the time of the loan. So if you got your mortgage before the banking crisis those risk charts hav... |
I cosigned for a friend who is not paying the payment | Another option, not yet discussed here, is to allow the loan to go into default and let the loaning agency repossess the property the loan was used for, after which they sell it and that sale should discharge some significant portion of the loan. Knowing where the friend and property is, you may be able to help them ca... |
German stock exchange, ETR vs FRA | I stumbled on the same discrepancy, and was puzzled by a significant difference between the two prices on ETR and FRA. For example, today is Sunday, and google shows the following closing prices for DAI. FRA:DAI: ETR:DAI: So it looks like there are indeed two different exchanges trading at different prices. Now, the i... |
What are the best software tools for personal finance? | For Mac it's definitely iFinance. |
How to share income after marriage and kids? | You currently have 5400€ between you and 2600€ expenses leaving you 2800€. You currently keep 1900€ and she keeps 900€ at the end of each month splitting 68/32. If you marry and have a child, your combined income will go down to 4900€ while your expenses will increase by 300€ to 2900€ leaving 2000€. You could continue ... |
Wash sale rule impact on different scenarios between different types of accounts | The wash sale rule only applies when the sale in question is at a loss. So the rule does not apply at all to your cases 3, 4, 7, 8, 11, 12, 15, and 16, which all start with a gain. You get a capital gain at the first sale and then a separately computed gain / loss at the second sale, depending on the case, BUT any ga... |
Are Investment Research websites worth their premiums? | Anyone who claims they can consistently beat the market and asks you to pay them to tell you how is a liar. This cannot be done, as the market adjusts itself. There's nothing they could possibly learn that analysts and institutional investors don't already know. They earn their money through the subscription fees, not ... |
What makes a Company's Stock prices go up or down? | I always liked the answer that in the short term, the market is a voting machine and in the long term the market is a weighing machine. People can "vote" a stock up or down in the short term. In the long term, typically, the intrinsic value of a company will be reflected in the price. It's a rule of thumb, not perfec... |
Foreign currency conversion for international visitors to ecommerce web site? | You probably can get away with only updating the exchange rates once a day and specify that any prices quoted in units other than your home currency are estimates only. If you're planning to accept more than one currency as payment, I'd (a) see about whatever regulations there are for doing so, and (b) build in a nice ... |
Do I still need to file taxes with the Canadian government if I am working in the U.S. on a TN visa for a few years? | The other answer has mentioned "factual resident", and you have raised the existence of a U.S./Canada tax treaty in your comment, and provided a link to a page about determining residency. I'd like to highlight part of the first link: You are a factual resident of Canada for tax purposes if you keep significant resid... |
What happens to internal stock when a company goes public? | You'd likely be subject to a lock-up period before you could sell the shares along with possibly having other rules about how you could sell your shares as you'd likely be seen as an insider that may have information that gives you an unfair advantage for selling the stock possibly. Depending on how far in advance you ... |
What should I do with my paper financial documents? | I won't add to the timelines, as I agree or don't care but my two cents are |
Shares Canceled after Merger | It seems like this was a "stock for stock" transaction. That is, your company was acquired, not for cash, but for the stock of Company X in a deal that your company's board of directors "signed off" on. Your company no longer exists, and that's why your stock was cancelled. The acquirer will be sending you an equivale... |
Which Benjamin Graham book should I read first: Security Analysis or Intelligent Investor? | I would start with The Intelligent Investor. It's more approachable than Security Analysis. I read the revised edition which includes post-chapter commentary and footnotes from Jason Zweig. I found the added perspective helpful since the original book is quite old. Warren Buffet has called Intelligent Investor "the b... |
Data source for historical intra-day bid/ask price data for stocks? | FreeStockCharts.com keeps some intra-day trading history. You have to create an account to look up individual stocks. Once you create a free account you can get intra-day trading history for the last month (Hourly for past month, 15 minutes for past week, 1 minute for past day). Going back past one month and it only... |
How can I investigate historical effect of Rebalancing on Return and Standard Deviation? | Doesn't "no rebalancing" mean "start with a portfolio and let it fly?" Seems like incorporation of rebalancing is more sophisticated than not. Just "buy" your portfolio at the start and see where it ends up with no buying/selling, as compared with where it ends up if you do rebalance. Or is it not that simple? |
Should I consider my investment in a total stock market fund “diverse”? | Typically investing in only two securities is not a good idea when trying to spread risk. Even though you are in the VTI which is spread out over a large amount of securites it should in theory reduce portfolio beta to zero, or in this case as close to it as possible. The VTI however has a beta of 1.03 as of close toda... |
Why do people buy new cars they can not afford? | Two reasons: Many people make lots of financial decisions (and other kinds of decisions) without actually running any numbers to see what is best (or even possible). They just go with their gut and buy things they feel like buying, without making a thoroughgoing attempt to assess the impact on their finances. I share... |
Investment strategy for retired couple | After retirement nobody want to get low on cash. So, the best way to stay safe is to make some investments. Compare the saving with regular expenses and invest the rest. You can put some money in short-term reserves such as bank accounts, market funds, and deposit certificates. You will not be able to make much money o... |
How is my employer affected if I have expensive claims on my group health insurance? | I don't think so. There is a provision in ObamaCare called "community rating" that applies starting in 2014. Insurance companies must place individual and small group plans into a pool of people from the same geographical region. The same plan must cost the same for all small businesses from the same region. So having ... |
When a stock price goes down, does the money just disappears into thin air? | You buy a $100k sport car, but don't buy any insurance. You take a curve too fast and jump out just in time to see your car go off a cliff, like a chase movie. The value went from $100k to zero in seconds. Where did the $100k go? |
How do I know when I am financially stable/ready to move out on my own? | I'll just say this. You are in much better shape financially than I was when I moved out on my own and started supporting myself, and I did fine. The 6 month emergency fund is nice, but I'd gamble that most people that have been out on their own for a long time can't match that. The main thing is just to keep a budget... |
Are solar cell panels and wind mills worth the money? | These are two rather distinct questions; only one of which is relevant to a Money web site. In general, the investment is questionable. Leaving aside the green feel-good factor, you need to look at a total cost of ownership (TCO) and payback on the asset. Neither is cheap as such. There are DIY windmill plans, but y... |
If I want a Credit Card offered through a different Credit Union should I slowly transition my banking to that CU? | No. There's no inherent reason to link the place that you bank with any other financial service. There may occasionally be benefits; for instance you can sometime get lower rates on mortgages or loans by having a a checking account with an institution. Or perhaps it'll be easier for you to make a same-day payment on a ... |
Should I give to charity by check or credit card? | In the US, if it's a large donation to a tax-exempt organization (401c3 or equivalent), you may want to consider giving appreciated equities (stocks, bonds, mutual fund shares which are now worth more than you paid for them). You get to claim the deduction's value at the time you transfer it to their account, and you ... |
Subsets and Splits
No community queries yet
The top public SQL queries from the community will appear here once available.