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Are personal finance / money management classes taught in high school, anywhere? | In the UK there is a School Rewards System used in many schools to teach kids and teens about finance and economy. In the UK there is a framework for schools called "Every Child Matters" in which ‘achieving economic well-being’ is an important element. I think is important to offer to offer a real-life vehicle for fin... |
Is paying off your mortage a #1 personal finance priority? | Math says invest in the Market (But paying off your mortgage early is a valid option if you are very risk averse.) You are going to get a better return by investing in the stock market. In the US in 2015/2016, mortgages are 3%-4%, and give you a tax break. The rate of return on the stock market is ~10%, (closer to 6%... |
Opening 5 credit cards at once with no history to ruin, is it a good idea? | I would not call this a "good" idea. But I wouldn't necessarily call it a bad idea either. Before you even consider it, you need to do a little bit of soul searching. If there is ANY chance that having multiple credit cards could entice you to spend more than you otherwise would, then this is definitely a bad idea. Avo... |
ETF's for early retirement strategy | This is the chart going back to the first full year of this fund. To answer your question - yes, a low cost ETF or Mutual fund is fine. Why not go right to an S&P index? VOO has a .05% expense. Why attracted you to a choice that lagged the S&P by $18,000 over this 21 year period? (And yes, past performance, yada, yad... |
How might trading volume affect future share price? | There tends to be high volume around big changes in stock price. The volume of a stock does not remain constant and the term "fat fingers" can influence price.--> http://www.bloomberg.com/news/2014-10-01/that-japanese-fat-finger-can-absolutely-happen-in-u-s-.html That being said keshlam is 99% right when it comes to a ... |
Is it better to use DRIP or invest when stock drops before ex-date? | Yes you can do that and it it wise to do so. However, you should make sure that the general trend of the stock is upwards and you buy during a trought in the uptrend. So basically if the stock is making higher highs and higher lows on the daily or weekly charts, then you would want to buy around one of the higher lows ... |
How much should a new graduate with new job put towards a car? | As an absolute basic in life you always need 1 month's salary free and clear sitting in the bank. You do not have this. You don't even get to count that. It's what Napoleon would refer to as an "iron reserve": you have to have this. You actually won't even have this for some two or three months. Note that you have a st... |
Are index trackers subject to insolvency risk? | The Financial Services Compensation Scheme says: Investments FSCS provides protection if an authorised investment firm is unable to pay claims against it. For example: for loss arising from bad investment advice, poor investment management or misrepresentation; when an authorised investment firm goes out of business ... |
How to rescue my money from negative interest? | In Switzerland you should have access to many brokers with fair rates, e.g. Interactive Brokers. Going through them you then put the money in various Swiss stocks like Roche, Novartis, Swisscom, Credit Suisse, Logitech, etc. No stock should be more than 10% of the total. Since you pay 0% taxes on investment profits, yo... |
Explanations on credit cards in Canada | A credit card is a way to borrow money. That's all. Sometimes the loans are very small - $5 - and sometimes they are larger. You can have a credit card with a company (bank or whatever) that you have no other relationship with. They're not a property of a bank account, they are their own thing. The card you describe so... |
What's the most conservative split of financial assets for my portfolio in today's market? | The safest place to put money is a mixture of cash, local municipal bond funds with average durations under two years and US Treasury bond funds with short durations. Examples of good short term US municipal funds: I'm not an active investor in Australian securities, so I won't recommend anything specific. Because rat... |
How to convince someone they're too risk averse or conservative with investments? | Let the man be. If you've tried again and again to convince him, and haven't, maybe he doesn't want to be convinced. It's his money, and he has every right to manage it as he sees fit. You can advise him, but its his call whether he accepts your advice or not, and for what reasons. And suppose you push and push and it ... |
Purchasing options between the bid and ask prices, or even at the bid price or below? | Yes, almost always. I trade some of the most illiquid single stock options, and I would be absolutely murdered if I didn't try to work orders between the bid/ask. When I say illiquid, I mean almost non-existent: ~50 monthly contracts on ALL contracts for a given underlying. Spreads of 30% or more. The only time you s... |
Question about dividends and giant companies [duplicate] | I see a false assumption that you are making. (Almost always) When you buy stock the cash you spend does not go to the company. Instead it goes to someone else who is selling their shares. The exception to this is when you buy shares in an IPO. Those of us who have saved all our lives for retirement want income prod... |
How should my brother and I structure our real estate purchase? | Because this question seems like it will stick around, I will flesh out my comments into an actual answer. I apologize if this does not answer your question as-asked, but I believe these are the real issues at stake. For the actual questions you have asked, I have paraphrased and bolded below: Firstly, don't do a real ... |
What is a “fiat” currency? Are there other types of currency? | fiat in Latin means "let it be" or "let it happen" - as in "fiat lux!" meaning "let there be light!". Thus, fiat money means money that are created by the government decree - they would be random worthless pieces of paper otherwise, so the government says "let this paper be worth $100" and it becomes $100. Non-fiat mon... |
Is there a generally accepted term for fractions of Currency Units? | The Coinage Act of 1792 of the Continental Congress established that the lowest money of account for the United States is one-thousandth (1/1000) of a dollar. This sub-unit is the mille (also written mil, mill). Other sub-units given by the act are the disme for one-tenth (1/10) of a dollar (for which, etymologically,... |
How can I improve my credit score if I am not paying bills or rent? | For those who are looking to improve credit for the sake of being able to obtain future credit on better terms, I think a rewards credit card is the best way to do that. I recommend that you only use as many cards as you need to gain the best rewards. I have one card that gives 6% back on grocery purchases, and I have ... |
What does market cap (or market capitalization) mean? | Market cap is the current value of a company's equity and is defined as the current share price multiplied by the number of shares. Please check also "enterprise value" for another definition of a company`s total value (enterprise value = market cap adjusted for net nebt). Regarding the second part of your question: Is... |
Can I just file a 1040-ES? | Yes, you can send in a 2012 1040-ES form with a check to cover your tax liability. However, you will likely have to pay penalties for not paying tax in timely fashion as well as interest on the late payment. You can have the IRS figure the penalty and bill you for it, or you can complete Form 2210 (on which these matt... |
While working overseas my retirement has not gone into a retirement account. Is it going to kill me on the FAFSA? | Are the schools going to count all my retirement I've saved over the last 20 years as assets and calculate my EFC on 5.x% of that?! Yes. |
How do I determine ownership split on a franchise model? | There is no right and wrong answer to this question. What you and your business partner perceive as Fair is the best way to split the ownership of the new venture. First, regarding the two issues you have raised: Capital Contributions: The fact that you are contributing 90% of initial capital does not necessarily tran... |
Is there a free, online stock screener for UK stocks? | I use and recommend barchart.com. Again you have to register but it's free. Although it's a US system it has a full listing of UK stocks and ETFs under International > London. The big advantage of barchart.com is that you can do advanced technical screening with Stochastics and RS, new highs and lows, moving averages e... |
Stock Exchange price target | Price targets aren't set day to day, because of market fluctuations are so high from day to day. But in their stock recommendations, brokerage firms will often set price targets for "one year out." These targets aren't set in stone, so use them at your risk. |
How could the 14th amendment relate to the US gov't debt ceiling crisis? | Section Four of the amendment reads: The validity of the public debt of the United States, authorized by law, including debts incurred for payments of pensions and bounties for services in suppressing insurrection or rebellion, shall not be questioned. In other words, if President Obama wants to, he could unilaterally... |
Question about car loan payment | This depends on what the alternative is. Your loan of .99% is very favorable rate. If you have the 15,000 right now but only hold it in your checking account or cash then you might as well just pay it all off(assuming you have an adequate emergency fund). Paying the debt off sooner will save you on interest. Currently ... |
Should I continue to invest in an S&P 500 index fund? | Your 5-8 year time frame is interesting because it is actually a two windows. When people are savings for retirement, they tell us how many years or decades they have until they reach retirement age. But they also imply that they are planning on spending decades withdrawing the money. But you wanting the money for a ... |
Expensive agenda book/organizer. Office expense or fixed asset? | If your business pays taxes, it is in your best interest to expense it. Even if you don't pay taxes, setting your capitalization policy low enough to capitalize an office organizer (even a nice one) will give you headaches when your business grows larger. |
How to invest in a currency increasing in value relative to another? | The increase of currency value in relation to another is a critical determinant of the economic health. It plays an important part in the level of trade and affects the world’s free market economy. But, they also effect on smaller scale as they create an impact on the portfolio of investors. So, it is suggested that th... |
Why isn't money spent on necessities deductible from your taxes? | Another way to look at it is that deductibles are intended as incentives or subsidies to particular industries (in this case the healthcare industry). Guaranteeing a decent standard of living and making sure everybody can meet the costs of “necessities” can be achieved much more easily by a low tax rate on the first XX... |
What is the meaning of “short selling” or “going short” a stock? | The reason for selling a stock "short", is for when you believe the stock value will decrease in the near future. Here is an example: Today Exxon-Mobile stock is selling for $100 / share. You are expecting the price to decrease, so you want to short the stock, which means your broker (i.e. eTrade, etc) allows you to bo... |
How exactly could we rank or value how “rich” a company brand is? | Matt explains the study numbers in his answer, but those are the valuation of the brand, not the value of the company or how "rich" the company is. Presuming that you're asking the value of the company, the usual way for a publicly traded company to be valued is by the market capitalization (1). Market capitalizatio... |
How an ETF reinvests dividends | Let me answer by parts: When a company gives dividends, the share price drops by the dividend amount. Not always by that exact amount for many different reasons (e.g. there are transaction costs if you reinvest, dividend taxes, etc). I have tested that empirically. Now, if all the shareholders choose to reinvest their... |
How to Explain “efficient frontier” to child? | I know you really like bananas, but don't you think you would get tired of them after a while? Better stock up on some kiwi and mango just to mix it up a bit. I wouldn't want to risk eating only banana sandwiches, banana ice cream and banana bread for the rest of my life. I have don't think I could take it. Same goe... |
What forms of payment am I compelled to accept? | The confusion comes from ambiguity in popular belief -- that businesses are required to accept x_y_x as payment. In reality, a business can state the terms of a transaction to their pleasure. On the other hand, debt is different -- no lender can refuse cash or other legal tender for repayment of debt. Sometimes, people... |
Why could rental costs for apartments/houses rise while buying prices can go up and down? | I am from Australia, so my answer is based on my experience over here, however it should be similar for the USA. Generally, what determines both the price of houses/apartments and the rents for them is supply and demand. When there is high demand and low supply prices (or rents) generally go up. When there is low deman... |
Beginner questions about stock market | In the US, and I suspect in most of the developed world, one major point of a corporation is limited liability. The stockholders are not on the hook for liabilities beyond their investment. If the company does something terrible, or fails economically, it goes bankrupt. Usually the stockholders have their investment... |
Dividends and tax withholding for ETF vs Mutual Fund for U.S. Non-Resident Alien? | Does my prior answer here to a slightly different question help at all? Are there capital gains taxes or dividend taxes if I invest in the U.S. stock market from outside of the country? |
How to rescue my money from negative interest? | I'd prefer having it (more or less) fluent at any time, if possible... And the Swiss National Bank (SNB) will do their darndest to make this a costly option. That's exactly the point of negative interest rates. They don't want to help you saving money. So you will have to choose what to give up: liquidity, or profitabi... |
Should you keep your stocks if you are too late to sell? | In my opinion, the average investor should not be buying individual stocks. One reason why is that the average investor is not capable of reading financial statements and evaluating whether a stock is overpriced or underpriced. As such, they're often tempted to make buy/sell decisions based solely on the current value ... |
static data for mutual funds/hedge funds | It's not really my field, but I believe it's all the information that doesn't change (i.e. isn't "real-time") about the business of hedge funds. For example, this site quotes: The product maintains comprehensive static data records including assets, depositories, accounts, settlement instructions and a wide rang... |
Is inflation inapplicable in a comparison of paying off debt vs investing? | Debt is nominal, which means when inflation happens, the value of the money owed goes down. This is great for the borrower and bad for the lender. "Investing" can mean a lot of different things. Frequently it is used to describe buying common stock, which is an ownership claim on a company. A company is not a nomina... |
High expense ratio funds - are they worth it? | The 10 year comparison between your fund and the S&P 500 - I'd say more, but not sure it's needed. |
Buy Php in Malaysia and sell to Philippines | basically the selling (for banks) means you will exchange PHP to MYR buying simply MYR to PHP the bank will buy your MYR in exchange to PHP. and you will sell your MYR to PHP. I think it has something to do with processing fee.. |
Should a high-school student invest their (relative meager) savings? | If you're not rich, investing money will produce very small return, and is a waste of your resources. If you want to save until you die, then go for it (that's what investment companies want you to do). I suggest invest your money in building a network of friends who will be future asset for you. A group of friends hel... |
What is the true value, i.e. advantages or benefits, of building up equity in your home? | The equity you have is an asset. Locked away until you sell, and sometimes pledged as a loan if you wish. The idea that it's dead money is nonsense, it's a pretty illiquid asset that has the potential for growth (at the rate of inflation or slightly higher, long term) and provides you an annual dividend in the form of ... |
Where I can find the exact time when a certain company's stock will be available in the secondary market? | Very often, the word secondary market is used synonymously with the stock market as we all know it. In this case, the primary market would be the "closed" world of VCs, business angels, etc to which stock market investors do not have access, e.g. the securities are not trading on a public stock market. |
Settling before T+3? | It is possible but unlikely. Securities firms would prefer never to settle externally; rather, they prefer to wait until the liabilities can be netted. They are forced to make and take payment in three business days. The reason why is because settlement is costly in the same way as any other business would prefer to b... |
Individual Investor Safe Reinvest Gains Strategy? | Your idea is a good one, but, as usual, the devil is in the details, and implementation might not be as easy as you think. The comments on the question have pointed out your Steps 2 and 4 are not necessarily the best way of doing things, and that perhaps keeping the principal amount invested in the same fund instea... |
Is there any downside snapping a picture (or scanning a copy) of every check one writes vs. using a duplicate check? | No, there is no downside. I personally don't use duplicate checks. I simply make a record of the checks I write in the check register. A copy of the check, whether a duplicate or a photo, isn't really proof of payment for anyone but yourself, as it is very easy to write a check after the fact and put a different date... |
How long can I convert 401(k) to Roth 401(k)? | Conversions must be done during the calendar year. This would apply to both IRA and 401(k) accounts. For IRAs, deposits may be made until 4/15, and the same holds for Solo 401(k) accounts. For conversions, the IRA permits a recharacterization, basically, a do-over, which reverses the conversion, any or all, in case yo... |
How will I pay for college? | First, it's clear from your story that you very likely should be able to receive some financial aid. That may be in the form of loans or, better, grants in which you just get free money to attend college. For example, a Pell grant. You won't get all you'd need for a free ride this way, but you can really make a dent... |
Why naked call writing is risky compare to Covered call? | If the buyer exercises your option, you will have to give him the stock. If you already own the stock, the worst that can happen is you have to give him your stock, thus losing the money you spend to buy it. So the most you can lose is what you already spent to buy the stock (minus the price the buyer paid for your o... |
what would you do with $100K saving? | The real answer is "Why do you want to waste a windfall chasing quick returns?" Instead, use this windfall to improve your financial situation, and maybe boost you toward financial independence, or at least a secure retirement. In simplest terms, forget the short term, go for long term. Whatever you do, avoid lifest... |
What mix of credit lines and loans is optimal for my credit score? | Over time, you'll have more loans, maybe a few store cards, mortgage, car loan, etc. I'm a fan of maximizing one's wealth, and the small rebate/reward adds up over time, so I'm not against the store cards, so long as you always pay the bill in full. As far as FICO is concerned, what they 'like' to see may not necessa... |
Need a formula to determine monthly payments received at time t if I'm reinvesting my returns | How does compounding of annual interest work? answers this question. It's not simple compound interest. It's a time value of money calculation similar to mortgage calculations. Only the cash flow is the other way, a 'deposit' instead of 'payment'. When using a finance calculator such as the TI-BA35 (Note, it's no longe... |
Should I sell my stocks when the stock hits a 52-week high in order to “Buy Low, Sell High”? | Insofar as a 52 week high indicates a peak, yes. However, the truth is that "buying low and selling high" means "Act a Fool!" You see, when you buy low, you are perceived to be buying total garbage - throwing your money away and conversely when selling high you are perceived to be a total idiot - selling a winner. Th... |
Where can you find historical PEs of US indices? | Internet sites Books Academic |
Where do traders take their prices data from? How can it be different from their brokers'? | This is a complicated subject, because professional traders don't rely on brokers for stock quotes. They have access to market data using Level II terminals, which show them all of the prices (buy and sell) for a given stock. Every publicly traded stock (at least in the U.S.) relies on firms called "market makers". ... |
Does a restaurant have to pay tax on a discount? | In almost any jurisdiction, the restaurant will pay tax on the amount after the discount. Discounting is just a selective way to reduce prices for particular clients and thus achieve some degree of price discrimination. It's no different in principle to cutting prices for everyone or having a sale or similar. It would ... |
If the housing market is recovering, why would a REIT index ETF (e.g. VNQ) not be performing well? | VNQ only holds ~16% residential REITs. The rest are industrial, office, retail (e.g. shopping malls), specialized (hotels perhaps?) etc. Thus, VNQ isn't as correlated towards housing as you might have assumed just based on it being about "real estate." Second of all, if by "housing" you mean that actual houses have go... |
How feasible would it be to retire just maxing out a Roth IRA? | Assuming you max-out your Roth IRA with $5000 in inflation-adjusted contributions every year from 25-65, your balance at age 65 will depend on the post-inflation return you get in the account. Assuming you withdraw 4% per year after that, here is what your income will be: (All numbers are in inflation-adjusted 2011 do... |
Do I have to explain the source of *all* income on my taxes? | @RonJohn's answer for pallet of $20's is right for the specific case. For the general case of all income, it depends on whether or not the the source of the income was potentially criminal. https://www.forbes.com/sites/timtodd/2015/11/16/a-win-for-the-5th-amendment-at-the-tax-court/ I am not a lawyer, but reading that ... |
Company requires me to use my personal cell phone to work. Writeoff? | Not authoritative, but according to TurboTax: If your new cell phone acts as both your business and personal phone, you are only allowed to deduct the portion used for business from your taxable income. It’s important for you to hang on to your itemized phone bill and receipts to ensure that you’re deducting the right ... |
Multi-state K-1 earnings to S-Corp | I'm not sure why you think that it matters that the distribution goes to an S-Corp vs an individual tax payer. You seem to think it has any relevance to your question, but it doesn't. It only confuses your readers. The situation is like this: LLC X is deriving income in State #2. It has two members (I and S) residents ... |
Finding a good small business CPA? | Ask for at least 10 references. Ask for 10 because it will be harder for them to refer you to ringer references like their family or friends. |
60% Downpayment on house? | I would lean towards making a smaller down payment and hanging onto savings for flexibility. Questions to think about: If you have enough cash that you can make a huge down payment and still have all the other bases covered, then it comes down to your risk tolerance and personal style. You can almost definitely build ... |
Effective returns on investment in housing vs other financial instruments | Then at the end, if you decide to cash in your house, you can roll the proceeds into a fancier house to avoid paying taxes on your profit. The problem is that the book was written in 1989. That comment is no longer true; that part of the tax law changed in the 1990's. Also in 1989 the maximum amount that person could... |
What could a malicious party potentially achieve by having *just* a name, account number, and sort code? | I disagree with Dumbcoder's response. Setting up a DD is not easily approved by the banks as you must prove a existing business cash flow. And secondly you cannot empty someone's account via DD as they are protected by the DD mandate. (Money goes out, complaint is made, money goes back in, the registered business with ... |
Algorithmic trading in linux using python | A couple options that I know of: Interactive Brokers offers a "paper trading" mode to its account holders that allows you to start with a pretend stack of money and place simulated trades to test trading ideas. They also provide an API that allows you to interface with their platform programmatically for retrieving quo... |
Which banks have cash-deposit machines in Germany? | HypoVereinsbank (member of UniCredit group), a few savings banks ("Sparkasse") and VR Banks offer cash (bill) deposit machines. However, it can take a few business days until the deposit is credited to your checking account, which has to be with the same bank. Google for "Bargeldeinzahlungsautomat" (=cash deposit mach... |
First time homeowner and getting a mortgage? | Check with you local bank where you have an account. Sometimes they can offer a discount that results in a good rate. I just refinanced a month ago with Bank Of America and their rates were very competitive. What set them aside from the rest was their low closing fees. Otherwise I would shop around on bankrate.com an... |
Is there a list of OTC stocks being added to the major exchanges? | Check your broker's IPO list. Adding a new stock to a stock exchange is called "Initial Public Offering" (IPO), and most brokers have a list of upcoming IPO's in which their clients can participate. |
Opening offshore account from UK | I think your best bet here would be HSBC. They will provide the required currencies, credit/debit cards, and very easy to use online banking transfers. This includes an online "Global Account View" which features all of your accounts on a single screen and allows you to "drag and drop" money between accounts. Regardi... |
How do I calculate the dwelling coverage I need from the information I have? | This is where an insurance agent is very useful. They will help you choose appropriate coverage, based on local rebuilding costs, the build quality of your house (higher quality or historic/semi-historic construction requires a different type of coverage), etc. They can also help advise you on things like the need for ... |
Would I qualify for a USDA loan? | Just general advice but you should pay off your credit cards and car loans before buying a house. Or you may be able to add some extra on to the mortgage to pay off your credit card and car debt right away. Credit card interest rates can be ten times the interest rates on mortgages and car loans are not far behind. The... |
Pros & cons in Hungary of investing retirement savings exclusively in silver? What better alternatives, given my concerns? | First is storage which is a big and a detrimental headache. Security is another big headache. Investing in precious metal has always been an investment opportunity in the countries in the east i.e. India and China because of cultural reason and due to absence of investment opportunities for the less fortunate ones. It ... |
Is CFD a viable option for long-term trading? | Something really does seem seedy that if I invest $2500, that I'll make above 50k if the stock doubles. Is it really that easy? You only buy or sell on margin. Think of when the stock moves in the opposite direction. You will loose 50k. You probably didn't look into that. Investment will vanish and then you will have d... |
Want to buy expensive product online. Credit line on credit cards not big enough. How do “Preferred Account” programs work? | The preferred accounts are designed to hope you do one of several things: Pay one day late. Then charge you all the deferred interest. Many people think If they put $X a month aside, then pay just before the 6 months, 12 moths or no-payment before 2014 period ends then I will be able to afford the computer, carpet, or... |
Can I move my 401k to another country without paying tax penalty? | Transfers can be made from U.S. pension plans to Canadian RRSPs, if the following conditions are met: Way more details here: http://www.howlandtax.com/answers/05Sept21.htm And googling 'transfer 401k to rrsp' yields much fruit. |
Bank of the Sierra: Are they legit? How can the checking interest APY be so high? | I believe MrChrister's answer is correct: Since they're FDIC insured, they are "legit." Second, on the seemingly too-good-to-be-true rate: They're basically making up the difference on other fees (not necessarily paid by you) in order to offer you the higher-than-market rate. I'd like to point out two things not ment... |
What risks are there acting as a broker between PayPal and electronic bank transfers? | I too received a "job offer" from this CENEO outfit but mine was a proof reading position.Supposedly,I was to edit the email they were sending to U.S. customers. They needed proof reading alright,I've never seen such atrocious grammar and syntax.Half the time I could not figure out what these polaks were trying to conv... |
Getting started in stock with one special field of activity | I don't think investing in only one industry, which you may know well, is very wise. You may want to invest in that industry but you should not restrict yourself from investing solely in that industry. There are many times when your chosen industry may not be performing very well and other industries are performing mu... |
How is the Dow divisor calculated? | The details of the DJIA methodology is outlined in the official methodology document on their website. In addition, you will need their index mathematics document, which gives the nitty-gritty details of any type of adjustments that must be made. Between the two you should have the complete picture in as fine a detail... |
Do I pay a zero % loan before another to clear both loans faster? | Wow, you guys get really cheap finance. here a mortage is 5.5 - 9% and car loans about 15 - 20%. Anyway back to the question. The rule is reduce the largest interest rate first ("the most expensive money"). For 0% loans, you should try to never pay it off, it's literally "free money" so just pay only the absolute minim... |
Can banks deny that you've paid your loan? | Yes, if their record keeping is faulty or failed. It is best to keep all records of repayment. Incomplete records such as signing for a loan yet no repayment receipt can be at least a headache and at most expensive. The most important document is a record of 0 balance then there is nothing that the courts will allow c... |
Contributing factors to historical increase in trading volume | It's not primarily more people investing. In the 1980s stock exchanges went from open outcry trading floors where all trades involved actually exchanging pieces of paper to electronic trading. Once that happened, it wasn't long before most trades were executed by computer programs rather than human beings, turning stoc... |
What is the best asset allocation for a retirement portfolio, and why? | Aggressiveness in a retirement portfolio is usually a function of your age and your risk tolerance. Your portfolio is usually a mix of the following asset classes: You can break down these asset classes further, but each one is a topic unto itself. If you are young, you want to invest in things that have a higher retur... |
Comparing the present value of total payment today and partial payments over 3 months | What's the present value of using the payment plan? In all common sense the present value of a loan is the value that you can pay in the present to avoid taking a loan, which in this case is the lump sum payment of $2495. That rather supposes the question is a trick, providing irrelevant information about the stock ma... |
What should a 21 year old do with £60,000 ($91,356 USD) inheritance? | I assume you've no debt - if you do then pay that off. I'd be tempted to put the money into property. If you look at property prices over the past 20 years or so, you can see returns can be very good. I bought a house in 1998 and sold it in 2003 for about 110% of the purchase price. Disclaimer, past performance is n... |
What is a trade exchange and are they reputable or not? | I think this is off topic, but here is a stab: So these are cashless. It could be a way to smooth out the harsh reality of capitalism (I overproduced my product, I have more capacity than I can sell) and I can trade those good to other capitalists who similarly poorly planned production or capacity. Therefore the mark... |
Can I predict if it is better to save money in USD or local currency? | Typically, the higher interest rates in local currency cover about the potential gain from the currency exchange rate change - if not, people would make money out of it. However, you only know this after the fact, so either way you are taking a risk. Depending on where the local economy goes, it is more secure to go wi... |
PayPal wants me to “add a bank account”, another funding source. Credit card isn't working. Why? | I'm pretty sure it's merchant-dependent. If a credit card transaction doesn't go through, PayPal will automatically charge your bank account. Some merchants may want that extra insurance. |
What happens when a calendar spread is assigned in a non-margin account? | I would think that a lot of brokers would put the restriction suggested in @homer150mw in place or something more restrictive, so that's the first line of answer. If you did get assigned on your short option, then (I think) the T+3 settlement rules would matter for you. Basically you have 3 days to deliver. You'll ge... |
What is a normal amount of money to spend per week on food/entertainment/clothing? | As THEAO suggested, tracking spending is a great start. But how about this - Figure out the payment needed to get to zero debt in a reasonable time, 24 months, perhaps. If that's more than 15% of your income, maybe stretch a tiny bit to 30 months. If it's much less, send 15% to debt until it's paid, then flip the mon... |
Can I profit from anticipating a drop in value? | To summarize, there are three basic ways: (3) is the truly dangerous one. If there is a lot of short interest in a stock, but for some reason the stock goes up, suddenly a lot of people will be scrambling to buy that stock to cover their short position -- which will drive the price up even further, making the problem w... |
Legality of facilitating currency exchange between private accounts | I can't answer from the Indian side but on the UK side, if you and your friend are not related then there is no tax implication - you are effectively giving each other gifts - other than a possible inheritance tax liability if one of you dies within 7 years of the transfer and has an estate above the IHT allowance. |
Why ever use a market order? | The original poster's concern is valid. Sometimes, market orders do get executed at seemingly ridiculous prices. In addition to Victor's reasons for using a market order, sometimes a seller does not care how low the price is. For example, after a company goes broke, its stock continues to trade for a while. This all... |
How to read a chart after a split? | The share price on its own has little relevance without looking at variations. In your case, if the stock went from 2.80 to 0.33, you should care only about the 88% drop in value, not what it means in pre-split dollar values. You are correct that you can "un-split" to give you an idea of what would have been the dollar... |
Effect of Job Change on In-Progress Mortgage Application | Best advice is to ask your lender. That being said, if you are changing jobs, but keeping the same type of job you are usually ok and if the loan was approved before, it would still be approved. If you switch from W-2 to 1099 or vice-versa, permanent to contract, switch industries (software dev to accountant), or make... |
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