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Choosing the “right” NAPFA advisor, and whether fees are fair, etc.? | The nature of this question (finding a financial adviser) can make it a conundrum. Those who have little financial experience are often in the greatest need of a financial adviser and at the same time are the least qualified to select one. I'm not putting you or anyone in particular in this category. And of course it's... |
Is it sensible to keep savings in a foreign currency? | Is it sensible to keep savings in a foreign currency? The answer varies from one country to the next, but in the UK (or any other mature economy), I would advise against it. There are better ways to hedge against currency risks with the funds readily available to you through your ISA. You can keep your money relatively... |
Why did Apple instantly become the most volatile stock in the US? | I looked at data from Sept 2010 to present: Standard deviation is what shows the spread shape of returns over time, and it meanS that about 2/3 of the time, AAPL return was within +/- 1.65 higher/lower than the daily average return which was .21 %. Not sure where to go with this except to suggest that in fact, AAPL is ... |
Why do shareholders participate in shorting stocks? | Because they receive compensation (generally interest + dividends) for loaning out the shares. I own an asset X. Somebody else wants to borrow asset X for some time period. I agree to loan them asset X in return for some form of compensation (generally a rate of interest plus, in this specific case, any dividend pa... |
Is there any instance where less leverage will get you a better return on a rental property? | leverage amplifies gains and losses, when returns are positive leverage makes them more positive, but when returns are negative leverage makes them more negative. since most investments have a positive return in "the long run", leverage is generally considered a good idea for long term illiquid investments like real es... |
Is there an advantage to keeping a liquid emergency fund if one also has an untapped line of credit? | Why can't you have both? If you do have both credit and an emergency fund, and an emergency occurs, you can draw from the line of credit first. Having debt + cash is a much more stable situation than having neither, because then you have the option to use the cash to pay off the debt, or use the cash to pay other expen... |
How do you measure the value of gold? | 1) Get some gold. 2) Walk around, yelling, "Hey, I have some gold, who wants to buy it?" 3) Once you have enough interested parties, hold an auction and see who will give you the most dollars for it. 4) Trade the gold for that many dollars. 5) You have just measured the value of your gold. |
What is the Difference between Life Insurance and ULIP? | I would refer you to this question and answers. Here in the US we have two basic types of life insurance: term and whole life. Universal life is a marketing response to whole life being such a bad deal, and is whole life just not quite as bad. I am not familiar with the products in India, but given the acronym (ULIP),... |
Cheapest way to wire or withdraw money from US account while living in Europe | Atm machine and my Credit Union account. Low fees (often zero, if the machine is on any of the same networks) and decent exchange rate, and no need to carry cash or traveler's checks to be exchanged. Alternatively, pay by credit card, though there is a foreign transaction fee on that. |
Advice on preserving wealth in a volatile economic/political country | You might find some of the answers here helpful; the question is different, but has some similar concerns, such as a changing economic environment. What approach should I take to best protect my wealth against currency devaluation & poor growth prospects. I want to avoid selling off any more of my local index funds... |
Is insurance worth it if you can afford to replace the item? If not, when is it? | This entirely depends on two factors: Now let's look at what AppleCare gives you: What it covers is any manufacturing defect. It also covers you for phone support, as otherwise it's a $49-per-incident charge even for simple issues. It also covers any software issues that you may come across as long as the issues pertai... |
Capital gains loss, can IRS waive the loss? | The cap loss can be used to offset future gains or $3000/yr of ordinary income. (I just used up the last of mine from the dot com bubble.) I hope you have future gains that let you use this up quickly. The IRS debt is separate, and I don't imagine they'll let you use any of the loss to offset it. As always, it can't h... |
Calculating the cost of waiting longer for money | This looks correct to me, for simple interest. If you are dealing with compound interest, the formula would be: So, A = 500000(1+0.036/365)^(30), or 501,481.57, or an interest of 1481.57, assuming the 3.6% is the annual nominal interest rate and it is compounded daily. Note that you are ignoring the depreciation and al... |
What are your experiences with 'self directed' 401ks? | I use the self-directed option for the 457b plan at my job, which basically allows me to invest in any mutual fund or ETF. We get Schwab as a broker, so the commissions are reasonable. Personally, I think it's great, because some of the funds offered by the core plan are limited. Generally, the trustees of your plan ar... |
Will my Indian debit card work in the U.S.? | Whether your card will work, I believe, depends on the institution that issued it. You'll just have to try. What I can tell you, is that the process of using a debit card or credit card in the US is fairly straight forward. If your card has a chip, you'll 'insert' your card, chip end first, into the bottom slot of the ... |
What's an economic explanation for why greeting cards are so expensive? | Competition, or actually lack of competition, mostly due to a demand curve that has minimal change due to price. You would buy the equivalent, cheaper option if it was available, but the store has little interest in offering multiple, competing options that would drive their same store revenue down. And the competing s... |
Investing in the stock market during periods of high inflation | The answer would depend on the equities held. Some can weather inflation better than others (such as companies that have solid dividend growth) and even outpace inflation. Some industries are also safer against inflation than others, such as consumer staples and utilities since people usually have to purchase these reg... |
Non Resident Alien(Working full time on F1-OPT) new car sales tax deduction | A non-resident alien is only allowed for deductions connected to producing a US-sourced income (See IRC Sec. 873). Thus you can only deduct things that qualify as business expenses, and State taxes on your wages. In addition you can deduct a bunch of stuff explicitly allowed (like tax preparation, charitable contributi... |
Why are for-a-fee wires faster than 2+ day free ACH | ACH transfers are the evolution of paper check clearing houses. Transactions are conducted in bulk and do not immediately settle -- the drawer and drawee still retain liability for a period of days or weeks after the transaction date. (I'd suggest looking to the legal definition of a check or draft to understand this b... |
How is your credit score related to credit utilization? | Curious, why are you interested in building/improving your credit score? Is it better to use your card and pay off the bill completely every month? Yes. How is credit utiltization calculated? Is it average utilization over the month, or total amount owed/credit_limit per month? It depends on how often your bank repo... |
I received $1000 and was asked to send it back. How was this scam meant to work? | I would have asked for the intended recipient's account number and pursue sending the money there. If it's the same as yours (except for one digit) that would be a good sign. But even here, the crook could send money to dozens of different accounts, all off by one digit, just to make it look authentic. I'm going with s... |
Will the popularity of index funds cause a pricing bubble in the stocks that make up an index? | With regard to commodity futures, a paper released in January 2010 by Aulerich, Irwin, and Garcia, concluded that index funds have essentially no impact on commodity futures. Looking at stocks, a stock that gets included in a major index does increase in price. It increases its turnover by 27% and increases its price b... |
Why do some symbols not have an Options chain for specific expiration dates? | All openly traded securities must be registered with the SEC and setup with clearing agents. This is a costly process. The cost to provide an electronic market for a specific security is negligible. That is why the exchange fees per electronic trade are so small per security. It is so small in fact that exchanges co... |
Why does it seem unnecessary to fully save for irregular periodic expenses? | If you just had one expense once a year of $1200, you would put in $100 a month. The average balance is going to be $600 in that case - the 0 and $1200 months average to $600, as do the $100 and $1100, the $200 and $1000, and so on. If you had one expense twice a year of $600 and put in $100 per month it will average t... |
Currently a Microsoft Money user on PC, need a replacement suitable for Mac | I switched from Quicken for Mac to Moneydance, and have not regretted it. I see only one weakness in MD compared with Quicken: its reporting is not very good. Your information is all there and well organized, but sometimes it's hard work to extract it in a convenient form. Of course a lot depends on what you need fr... |
Shouldn't a Roth IRA accumulate more than 1 cent of interest per month? | Terminology aside. Your gains for this year in a mutual fund do seem low. These are things that can be quickly, and precisely answered through a conversation with your broker. You can request info on the performance of the fund you are invested in from the broker. They are required to disclose this information to yo... |
Are lottery tickets ever a wise investment provided the jackpot is large enough? | I estimated that the mean expected cash value of a $ 1.00 MegaMillions ticket in the July 5, 2016 drawing was about $ 1.23 = $ 0.18 consolation prizes + 258,890,850:1 chance of winning part of a cash jackpot that increased from about $ 289.6 million to about $ 313.3 million. I estimated that the mean expected cash valu... |
What are the ins/outs of writing-off part of one's rent for working at home? | Tax regulations vary from country to country - some permitting more deductions, some less - but here are a few guidelines. As regards the home-office: As regards the deductions: Think of it like this: in order to have space for a home-office you needed a bigger home. That leads to increased rates, heating, insurance a... |
How can I stop wasting food? | Let me start out by saying I know your pain. One of the most important things to do is have the basics in stock in your larder. They are the sorts of things that keep well, and you can make great simple meals from them whenever, without having to worry about them going off in a matter of days. A simple inventory like ... |
What is a good size distribution for buying gold? | You are really tangling up two questions here: Q1: Given I fear a dissolution of the Euro, is buying physical gold a good response and if so, how much should I buy? I see you separately asked about real estate, and cash, and perhaps other things. Perhaps it would be better to just say: what is the right asset allocati... |
Previous owner of my home wants to buy it back but the property's value is less than my loan… what to do? | I would not trust Zillow for an appraisal. The numbers I see on there vary a lot from real prices. I'm not sure I'd get a full appraisal either, as that means you "know" the value of the house and may be obliged to reveal it. I'd ask for the loan amount and see what the previous owner says. |
What intrinsic, non-monetary value does gold have as a commodity? | Borrowing Wikipedia for a bit, it seems like the intrinsic uses are these. I've ordered these approximately in technology-level order: The importance of any of these uses largely depends on the state of a civilization and the level of technology of that civilization. However, most of these applications have far cheaper... |
Why would you elect to apply a refund to next year's tax bill? | If you have non-salary income, you might be required to file 1040ES estimated tax for the next year on a quarterly basis. You can instead pay some or all in advance from your previous year's refund. In theory, you lose the interest you might have made by holding that money for a few months. In practice it might be wort... |
Resources to begin trading from home? | Your plan won't work. Working 40 hours a week at federal minimum wage (currently $7.25 / hr) for 52 weeks is an annual income of just over $15,000. Even assuming you can reliably get a return of 15% (which you definitely can't), you'd need to start with $100,000 of assets to earn this poverty income. Assuming a more re... |
Purpose of having good credit when you are well-off? | People just love becoming more well-off than they currently are, and one of the ways they do it is with leverage. Leverage requires credit. That desire is not exclusive to people who are not already well-off. For a well-off person who wants to become more well-off by expanding their real estate ventures, paying cash fo... |
Where can publicly traded profits go but to shareholders via dividends? | If a company earns $1 Million in net profit (let's say all cash, which is not entirely realistic), it can do one of three things with it: On the balance sheet - profits that have not been distributed show up as "retained earnings". When dividends are paid, Retained Earnings and cash are reduced. None of the other opti... |
Will I be paid dividends if I own shares? | Yes, as long as you own the shares before the ex-dividend date you will get the dividends. Depending on your instructions to your broker, you can receive cash dividends or you can have the dividends reinvested in more shares of the company. There are specific Dividend ReInvestment Plans (or DRIPs) if you are after stoc... |
incorrect printed information on check stock | Even where national law might allow such a practice, the law in an individual province or state (either for issuing or receiving bank) might not; or if that does then the receiving bank may have its own regulations or compliance practice which may not permit them to accept an altered cheque. In any case, printed numbe... |
When a Company was expected and then made a profit of X $ then that X$ increased it's share price. or those the Sellers and Buyers [duplicate] | There are a few reason why share prices increase or decrease, the foremost is expectation of the investors that the company/economy will do well/not well, that is expectation of profit/intrinsic value growth over some time frame (1-4 qtrs.)there is also demand & supply mismatch over (usually) short time. If you really ... |
Should I have a higher credit limit on my credit card? | As long as you're not trying to get a higher limit in order to actually spend more money, or might be tempted to do so, it's generally advantageous to have a higher limit if available. A large part of credit score is based on utilization rate (balance due at statement closing divided by credit limit). Basically, you wa... |
UK Online Stock Tradiing for Beginner and Small Amounts? | Try something like this: http://www.halifax.co.uk/sharedealing/our-accounts/fantasy-trader/ Virtual or fantasy trading is a great way to immerse yourself in that world and not lose your money whilst you make basic mistakes. Once real money is involved, there are some online platforms that are cheaper for lower amount i... |
Using stop-loss as risk management: Is it safe? | A stop-loss order becomes a market order when a trade has occurred at or below the trigger price you set when creating the order. This means that you could possibly end up selling some or all of your position at a price lower than your trigger price. For relatively illiquid securities your order may be split into trans... |
Would you withdraw your money from your bank if you thought it was going under? | There's obviously a lot of discussion surrounding your question, but if I thought a bank was going under, then yes, absolutely I would withdraw my money. Now, we can debate whether me thinking the bank was going under was foolish or not, but if I truly believed it, I can't see why I would sit around and do nothing. |
Does high frequency trading (HFT) punish long-term investment? | No, at least not noticeably so. The majority of what HFT does is to take advantage of the fact that there is a spread between buy and sell orders on the exchange, and to instantly fill both orders, gaining relatively risk-free profit from some inherent inefficiencies in how the market prices stocks. The end result is t... |
How often does a stock price change and where is this defined? | Stocks prices are determined whenever a buyer and seller agree to trade at a given price. The company (you use AAPL as an example) doesn't set its own stock price. Rather, the investors set the price every time it trades. There's no "official" price -- just the last trade. Likewise, you can offer to trade a stock at wh... |
Co-signer deceased | People act like lawsuits are the end of the world, her suing shouldn't be considered a threat, it should be considered the accurate course of action to resolve contractual obligations. Of course, it would be convenient if she did nothing at all! If you believe her real goal is to "get it off her credit", then have her... |
Best way to start investing, for a young person just starting their career? | First off, I highly recommend the book Get a Financial Life. The basics of personal finance and money management are pretty straightforward, and this book does a great job with it. It is very light reading, and it really geared for the young person starting their career. It isn't the most current book (pre real-esta... |
As a minor in the UK do I need to pay taxes on self-employment income, and if so how? | As a minor you certainly can pay tax, the government wants its cut from you just like everyone else :-) However you do get the personal allowance like everyone else, so you won't have to pay income tax until your net income reaches £10,800 (that's the figure for the tax year from April 2015 to April 2016, it'll probabl... |
Can I participate in trading Facebook shares on their IPO day from any brokerage? | Yes. The real question is whether you should. You should consider your investment options, and take into the account that there's much more hype than value in many companies. |
Canceling credit cards - insurance rate increase? | Your credit score can be part of the algorithm for setting your rates for auto insurance. It is one of many factors including sex, age, zip code, driving record, type of car... There are some states that are concerned about using credit scores, some sates have passed legislation regarding this issue |
Why invest in becoming a landlord? | Let me add a few thoughts that have not been mentioned so far in the other answers. Note that for the decision of buying vs. renting a home i.e. for personal use, not for renting out there's a rule of thumb that if the price for buying is more than 20 year's (cold) rents it is considered rather expensive. I don't know... |
What can cause rent prices to fall? | Sure! Anything that affects the balance of supply and demand could cause rent prices to fall. I'll betcha rent prices in Wilmington, Ohio collapsed when the biggest employer, DHL, shut down. An economic depression of any sort would cause people to substitute expensive rentals for cheaper ones, putting downward pressure... |
Is the stock market too risky for long term retirement funds? Why should a 20- or 30-something person invest in stocks? | The stock market, as a whole, is extremely volatile. During any 3 year period, the market could go up or down. However, and this is the important point,the market as a whole has historically been a good long term investment. If you need the money in 5 years, then you want to put it in something less volatile (so ther... |
What's the general principle behind choosing saving vs. paying off debt? | Think of yourself as a business with two accounts, "cash" and "net worth". Your goal is to make money. "Cash" is what you need to meet your obligations. You need to pay your rent/mortgage, utilities, buy food, pay for transportation, service debt, etc. If you make $100 a month, and your obligations are $90, you're clea... |
Borrowing 100k and paying it to someone then declaring bankruptcy | This sounds like a crazy idea, but in reality people don't make the wisest decisions when considering bankruptcy in Australia. My suggestion would be to get some advice from an insolvency specialist. |
Can you recommend some good websites/brokers for buying/selling stocks in India? | Most of the Indian Brokers started offering API's to retail client these days. And NSE Exchange also supports algo trading at retail level. Currently two levels of API are offered. 1)Semi-automatic or one touch trading (Retail Traders) 2)Fully Automatic ( Dealers) I had tested the API with a discount broker www.tradeji... |
Why does the stock market index get affected when a terrorist attack takes place? | There are more than a few different ways to consider why someone may have a transaction in the stock market: Employee stock options - If part of my compensation comes from having options that vest over time, I may well sell shares at various points because I don't want so much of my new worth tied up in one company sto... |
Is insurance worth it if you can afford to replace the item? If not, when is it? | The answer to this question is very different depending on the type of item. From a purely financial perspective you would want to answer these questions which you may not have enough information to answer: Realistically the question I prefer to ask are: When something fails there is a big difference to me between hav... |
How to know more about my tax situation in the States | The LLC (not you) is probably in debt to the California FTB. Any LLC registered in California must pay at least $800 a year, until it is officially dissolved (i.e.: notice of cancellation/dissolution properly filed with the California Secretary of State). The FTB may come after members (including you) personally, if it... |
What happens if a purchase is $0.02 in Canada? | I think it should be free. Why? I had a coupon for 35, I bought something for 35.01 including taxes and total to pay was 0.01, rounded to 0.00. I think it's almost the same scenario. |
What can I replace Microsoft Money with, now that MS has abandoned it? | If you would like to use linux I suggest you to use KMyMoney http://kmymoney2.sourceforge.net/ It is based on gnucash but it is easier to use IMO |
What is the incentive for a bank to refinance a mortgage at a lower rate? | The big one is to keep you from refinancing it with someone else to get a better rate. There may also be some funny-money reasons having to do with being able to count this as a new sale. |
Why does Yahoo! Finance report different prices for the same index? | Are you sure you're using the same date range? If you're using Max, then you're not, as ^FTMC goes back to 12/1/1985 while ^GDAXI only goes back to 11/1/1990. If I enter a custom date range of 11/1/1990 through 10/24/2015, I get: and: which, other than the dates it chose to use as labels on the x-axes, look identical... |
Is the Swiss stock market inversely correlated with the Swiss Franc like Japan today? | Roughly about 1 of 2 Swiss francs is won abroad. So, yes it is easier for Swiss companies to export when the Swiss franc is not "too high" as it has been those last years. The main export market for Switzerland is the UE. Some companies are doing most or all of their business on the Swiss market. Others are much more e... |
Dad paying for my new home in cash. How can I buy the house from him? | Presumably this house is a great deal for you for some reason if you are willing to go to great lengths such as these to acquire it. I suggest you have your father purchase the house with cash, then you purchase the house from him. You might want to discuss this with the title company, it's possible that there are some... |
Should I continue to invest in an S&P 500 index fund? | You shouldn't. The Dow has gained 7% annually on average since October 1915(inflation-adjusted). It has also lost 73% of its inflation-adjusted value from 1966 to 1982 meaning that it would have lost you 4.5% annually for 16 years. Furthermore, past performance is not indicative of future results. If stock markets keep... |
How do I invest and buy/sell stocks? What does “use a broker” mean? | Very simple. You open an account with a broker who will do the trades for you. Then you give the broker orders to buy and sell (and the money to pay for the purchases). That's it. In the old days, you would call on the phone (remember, in all the movies, "Sell, sell!!!!"? That's how), now every decent broker has an onl... |
Which is better when working as a contractor, 1099 or incorporating? | Unless the amounts involved are very small, it is MUCH better to incorporate. First, incorporation gives you limited liability for your acts as an employee. As an individual, you have unlimited liability. Second, incorporating allows you to deduct (for tax purposes) the costs of doing business, including all of your he... |
How a company can afford to give away so many shares as part of its ESOP | There are two sources for shares that employees buy through ESOPs. A company can simply buy the shares on the open market. The company must pay for the stock, but the employee then pays the company for the shares. If employees get a discount on the ESOP shares, the company would pay for that percentage directly. The co... |
Can a car company refuse to give me a copy of my contract or balance details? | The comments are getting too much, but to verify that you are not insane, you are being bullied. It sounds like this is a sub-prime loan, of which you are wisely trying to get out of. It also sounds like they are doing everything in their power to prevent you from doing so. For them you are a very profitable custome... |
Paying off a loan with a loan to get a better interest rate | If it's possible in your case to get such a loan, then sure, providing the loan fees aren't in excess of the interest rate difference. Auto loans don't have the fees mortgages do, but check the specific loan you're looking at - it may have some fees, and they'd need to be lower than the interest rate savings. Car loan... |
Gym membership tax deductible? | Assuming its in the US: No, it is not, and such things are usually treated as "red flags" for audit (and no, golf club memberships are not deductible either). The food expenses are not deductible in their entirety as well, only up to 50% of the actual expense, and only if it is directly business related. From what you'... |
How can I transfer and consolidate my 401k's and other options? | You should ask your broker of choice for paperwork to move funds to them. You can't move into an account that doesn't exist, so when I wanted to move my money from an old pension plan to an IRA I set up the IRA with the broker first. When I told them it was to receive this money, they weren't asking for any initial dep... |
Wash Sales and Day Trading | You are correct. She cannot claim the initial loss of $1,000 on her taxes, she can only report the $500 profit. However, the IRS does allow her to add the $1,000 loss to the basis cost of her replacement shares. e.g. |
What to do with an expensive, upside-down car loan? | First suggestion: Investigate refinancing the auto loan with a reputable credit union or bank. I reduced my costs by changing my auto loan to Pentagon Federal Credit Union, which charges about 4% interest rate (compared to 6% which was the standard about 2 years ago). (for instructions on how to join penfed, look at ... |
How can the Samsung Upgrade Programme offer 0% APR? | The financing is built into the price. I do not have hard facts, but I strongly suspect that very few people buy brand-new smartphones at full price upfront. Most pay a monthly installment to the carrier or retailer equal to 1/24 of the full price, which in effect is "0% financing for 2 years". Samsung might be able... |
Calculate time to reach investment goals given starting balance? | The Finance functions in spreadsheet software will calculate this for you. The basic functions are for Rate, Payment, PV (present value), FV (Future value), and NPER, the number of periods. The single calculation faces a couple issues, dealing with inflation, and with a changing deposit. If you plan to save for 30 ye... |
I spend too much money. How can I get on the path to a frugal lifestyle? | I agree with the first poster- the first step is to measure your spending and put it down into raw numbers. Once you have the raw numbers, you will feel a natural inclination to improve on those numbers. Set yourself a daily target for cash / incidental expenses. It doesnt have to be a crazy target - just something you... |
Former public employer that we have options in just sold | The deal is expected to close sometime in Q4. The fluctuation though the day is just noise. The price will reflect a discount to the full takeover value, reflecting the risk of the deal falling through. Cashless exercise is a good idea if you don't wish to own any QVC shares. |
Incentive Stock Option (ISO) tax question - more specific this time | Alternatively you could exercise 12000 shares for $36000 and immediately sell 7200 shares to recover your exercise price. Then you use the remaining 4800 share to pay the exercise price of the remaining 8000 options. Both scenarios are equivalent but may have different fees associated, so it's worth checking the fine p... |
Does material nonpublic information cover knowledge of unannounced products? | So is knowledge of unannounced products simply not considered material nonpublic information? Well "material" is relative but it certainly is nonpublic information. And trading based on that information would likely be considered illegal if it is actually material. Many companies require that employees with material... |
How to get started with savings, paying off debt, and retirement? | Communicate. I would recommend taking a course together on effective communications, and I would also suggest taking a course on budgeting and family financial planning. You need to be able to effectively communicate your financial plans and goals, your financial actions, and learn to both be honest and open with your ... |
Should I use regular or adjusted close for backtesting? | If you want to monitor how well you did in choosing your investments you will want to use stock prices that account for the dividends and splits and other changes (not just the closing price). The adjusted close will include these changes where the straight close will not include them. Using the adjusted close you wi... |
How do I calculate the actual dividend amount for a monthly dividend payout mutual fund? | In the absence of a country designation where the mutual fund is registered, the question cannot be fully answered. For US mutual funds, the N.A.V per share is calculated each day after the close of the stock exchanges and all purchase and redemption requests received that day are transacted at this share price. So, t... |
Where can I invest for the Short Term and protect against Inflation? | Your goals are mutually exclusive. You cannot both earn a return that will outpace inflation while simultaneously having zero-risk of losing money, at least not in the 2011 market. In 2008, a 5+% CD would have been a good choice. Here's a potential compromise... sacrifice some immediate liquidity for more earnings. Sa... |
How to change a large quantity of U.S. dollars into Euros? | The right answer to this question really depends on the size of the transfer. For larger transfers ($10k and up) the exchange rate is the dominant factor, and you will get the best rates from Interactive Brokers (IB) as noted by Paul above, or OANDA (listed by user6714). Under $10k, CurrencyFair is probably your best ... |
Do the gain and loss during futures rollover each month will be even out in long run? | There are 2 schools of thought in determining the price of a future contract in a day prior to expiration. The cost of carry model, states that the price of a future contract today is the spot price plus the cost of carrying the underlying asset until expiration minus the return that can be obtained from carrying the ... |
How does delta of an option change with time if underlying price is constant? | The question is always one of whether people think they can reliably predict that the option will be a good bet. The closer you get to its expiration, the easier it is to make that guess and the less risk there is. That may either increase or decrease the value of the option. |
Auto balancing portfolio through new purchases | Finding the "optimal" solution (and even defining what optimal is) would probably take a lot of searching of all the possible combinations of stocks you could buy, given that you can't buy fractional shares. But I'd guess that a simple "greedy" algorithm should get you close enough. For any given portfolio state, look ... |
One of my stocks dropped 40% in 2 days, how should I mentally approach this? | Don't throw good money after bad. If you bought on the peak of an event like news/earnings hoping for more and ignored its value than you might be doomed. Determine the stocks value and see it as a buying opportunity if it's still sweet. If not buy more carefully. Those kinds of moves in that range you must have been ... |
What are the best software tools for personal finance? | I like You Need A Budget (YNAB) Pros: Cons: |
How would bonds fare if interest rates rose? | When interest rates rise, the price of bonds fall because bonds have a fixed coupon rate, and since the interest rate has risen, the bond's rate is now lower than what you can get on the market, so it's price falls because it's now less valuable. Bonds diversify your portfolio as they are considered safer than stocks a... |
What type of investments should be in a TFSA, given its tax-free growth and withdrawal benefits? | I think "optimal" is a term that needs to be better qualified - what's optimal investment for one person is not necessary optimal for another, as it depends on the investor's time horizon, risk tolerance, and investment knowledge. I would personally put fix-income (or products that generates incomes that CRA considers ... |
Is 401k as good as it sounds given the way it is taxed? | When you are investing for 40 years, you will have taxable events before retirement. You'll need to pay tax along the way, which will eat away at your gains. For example, in your taxable account, any dividends and capital gain distributions will need taxes paid each year. In your 401(k) or IRA, these are not taxable ... |
Should I buy or lease a car given that its not a super luxury car and I only drive 15 miles/d on avg? | I usually recommend along these lines. If you are going to drive the same car for many years, then buy. Your almost always better to buy, and then drive a car for 10 years than to lease and replace it every 2 years. If you want a new car every two years then lease. You're usually better off leasing if you're going to ... |
How to find SEC filings that are important to stock market | 10-Q is the quarterly report, and accordingly is filed quarterly. Similarly, 10-K is the annual report. 8-K is a general form for notification of material events. It is filed every time a material event is required to be reported to the shareholders. It may accompany the periodical reports, but doesn't have to. It can ... |
How does one value Facebook stock as a potential investment? | In the long term, a P/E of 15-25 is the more 'normal' range. With a 90 P/E, Facebook has to quadruple its earnings to get to normal. It this possible? Yes. Likely? I don't know. I am not a stock analyst, but I love numbers and try to get to logical conclusions. I've seen data that worldwide advertising is about $400B,... |
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... |
Are these scenarios considered as taxable income? | You can always reduce the income by the direct expenses required to earn it, and figure out whether it is ultimately a net profit or loss. The net profit is taxable income. The loss may be tax deductible if the underlying thing is tax deductible. For the book, the $50 revenue required a $100 expense, so that's a ... |
Should I lease, buy new, or buy used? | Rule of thumb is always BUY, NEVER lease, unless you plan to use it for a business where you can expense the lease payments. Leasing is the biggest scam. Lease is just a fancy word for renting and the dealerships PRAY that people like us lease. As for new or old, new cars have better warranty but you may get a great d... |
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