Question stringlengths 14 166 | Answer stringlengths 3 17k |
|---|---|
Does it make sense to take out student loans to start an IRA? | IRA contributions are limited; you cannot "dump the excess into a retirement account like an IRA" if the excess is more than $5500. Furthermore, as @firefly points out, you need to have earned income (technical term is compensation and it includes self-employment income, not just wages) to contribute to an IRA, and the... |
A good investment vehicle for saving for a mortgage down payment? | Assuming this'll be a taxable account and you're an above-average wage earner, the following seem to be biggest factors in your decision: tax-advantaged income w/o retirement account protection - so I'd pick a stock/stocks or fund that's designed to minimize earnings taxable at income and/or short-term gains rates (e.g... |
Annuities question - Equations of value | The solution is x = 8.92. This assumes that Chuck's six years of deposits start from today, so that the first deposit accumulates 10 years of gain, i.e. 20*(1 + 0.1)^10. The second deposit gains nine years' interest: 20*(1 + 0.1)^9 and so on ... If you want to do this calculation using the formula for an annuity du... |
Can I make my savings keep in check with or beat inflation over a long time period via index funds? | For your base question, yes. (Barring some major collapse-of-civilization event, but in that case you're screwed anyway :-)) On the individual points: 1) Depends on whether you choose to invest in index-type funds (where profit is mainly expected from price appreciation), or more value-based investing. But either or... |
What taxes are assessed on distributions of an inherited IRA? | All transactions within an IRA are irrelevant as far as the taxation of the distributions from the IRA are concerned. You can only take cash from an IRA, and a (cash) distribution from a Traditional IRA is taxable as ordinary income (same as interest from a bank, say) without the advantage of any of the special tax ra... |
Priced out of London property market. What are my accommodation investment options? | NB - I live in Surrey and bought my house in January 2014. If you don't have a very social life, it does pay to stay outside London. Places outside London are cheap and you will get a better deal in relation to houses or flats as compared to London. I feel very priced out of the market regarding London mortgages I will... |
Is the “Bank on Yourself” a legitimate investment strategy, or a scam? | I haven't read the book and have no intention of reading it. This definitely looks like a forced savings plan with "Whole Life Insurance" as the theme – which is pretty bad for someone who is able to take care of his finances. It would be good for someone who is not very good with his finances and wants to be forced in... |
What ways are there for us to earn a little extra side money? | You or your girlfriend might also consider one of the myriad home "franchises" available (Pampered Chef, Thirty-One, etc). The real question, in my mind, though, is how much do you need to add to your monthly income? Is it $50, or $500? Might moving to a smaller apartment/house work? |
How much more than my mortgage should I charge for rent? | While JoeTaxpayer gave a very insightful answer, and clearly the best answer, let me break it down really simple for you. Talk with a good to great property management company. Given that you will be out of state, you will need one anyway. A good one is worth their cost, a great one even better. They will tell you w... |
If a country can just print money, is global debt between countries real? | I think the important fact here is that all of our currencies are Fiat Currencies. So currency technically means nothing, because (as you mentioned) the country could print more any time it wants. Now what makes it useful is the combination of two big things: So I would say, we know they owe us 100 "dollars", and the d... |
Does high inflation help or hurt companies with huge cash reserves? | Inflation will damage the value of those cash reserves. This will harm the company's value. (Other factors may or may not be harmed. or helped.) Borrowing costs may be related to inflation, but they're not directly tied. Inflation happens, in fact, when it's easy to borrow money and more money gets created than new eco... |
What should I be aware of as a young investor? | You can't get much better advice for a young investor than from Warren Buffet. And his advice for investors young and old, is "Put 10% of the cash in short‑term government bonds, and 90% in a very low‑cost S&P 500 index fund." Or as he said at a different time, "Most investors, both institutional and individual, will f... |
What is market capitalization? [duplicate] | Market capitalization is one way to represent the value of the company. So if a company has 10 million shares, which are each worth $100, then the company's market capitalization is 1 billion. Large cap companies tend to be larger and more stable. Small cap companies are smaller, which indicates higher volatility. So i... |
What factors should I consider when evaluating index funds? | The idea of an index is that it is representative of the market (or a specific market segment) as a whole, so it will move as the market does. Thus, past performance is not really relevant, unless you want to bank on relative differences between different countries' economies. But that's not the point. By far the most ... |
Investment Options for 14-year old? | 5 years is a reasonable time period to invest in a stock which will give you a decent return and will generally not lose too much value except in case of 2008 kinda downturn. I would advise you to invest in a large cap stock/s like BP, Royal Dutch or HSBC (Your parents of course can buy them for you). |
What are some time tested passive income streams? | Renting a house out using a management company is mostly passive income. Earning affiliate income from companies that pay on a recurring basis is closer to passive income. |
When can you adjust for (and re-allow) a disallowed year-end (December) wash-sale loss? | Disallowed losses are created when you buy a stock */- 30 days of a sale at a loss. When you sell and have no shares left, the loss is taken. You can't have no shares and leftover disallowed loss. |
Unemployment Insurance Through Options | That's not unemployment insurance. Because it's perfectly possible, and even likely, that your industry will do badly but you'll keep your job, or that your industry will do well but you'll lose your job anyway. Any bet you make to insure yourself against unemployment has to be individually about you -- there are no su... |
Can capital loss in traditional IRA and Roth IRA be used to offset taxable income? | Edited in response to JoeTaxpayer's comment and OP Tim's additional question. To add to and clarify a little what littleadv has said, and to answer OP Tim's next question: As far as the IRS is concerned, you have at most one Individual Retirement Account of each type (Traditional, Roth) though the money in each IRA ca... |
When is the best time to put a large amount of assets in the stock market? | The one thing we know for certain is that holding large amounts of cash isn't ideal - inflation will eat away at your wealth. It's understandable that you're hesitant to put all your wealth in common stock. The S&P 500's price/earnings is 18.7 right now - a little high by historical standards. But consider that the S&P... |
How to avoid maintenance fee when balance drops below minimum? | Looks like you have three options: Outside of this you might need to look for a different type of account. Hope that helps. |
Online streaming video/audio financial/stock programs | The CNBC site is littered with videos. Whenever I click a link to one of their articles, it seems to be a video instead. Not like having the channel streamed, but most of the top stories. |
Does my net paycheck decrease as the year goes on due to tax brackets filling up? | Most countries with income tax, including the USA, design their withholding system so that in straightforward cases, tax is withheld from each month's paycheck on an annualized basis: tax for a month is calculated on the assumption that you will keep earning the same monthly amount for the rest of the year, and the wit... |
Historical stock prices: Where to find free / low cost data for offline analysis? | Go to http://finance.google.com, search for the stock you want. When you are seeing the stock information, in the top left corner there's a link that says 'Historical prices'. Click on it. then select the date range, click update (don't forget this) and 'Download to spreadsheet' (on the right, below the chart). For exa... |
Why do 10 year Treasury bond yields affect mortgage interest rates? | The simple answer is that, even though mortgages can go for 10, 15, 20 and 30 year terms in the U.S., they're typically backed by bonds sold to investors that mature in 10 years, which is the standard term for most bonds. These bonds, in the open market, are compared by investors with the 10-year Treasury note, which i... |
Are Certificates of Deposit worth it compared to investing in the stock market? | The difference is downside risk. Your CD, assuming you are in the US and the CD is purchased from a deposit bank, will be FDIC insured, your $10,000 is definitely coming back to you. Your stock portfolio has no such guarantee and can lose money. Your potential upside is theoretically correlated to the risk that some ... |
Is it adventageous to expedite my wedding before the new year for tax savings? | Yes on taxes. It depends on the other point. As you already see from Ben's comment, if you're both very Western in your culture, you may want to consider Ben's advice because while you will save money, it may not be considered a healthy way to start a relationship. Western culture tends to see marriage as more of a "d... |
How is money actually made from the buying or selling of options? | Not all call options that have value at expiration, exercise by purchasing the security (or attempting to, with funds in your account). On ETNs, they often (always?) settle in cash. As an example of an option I'm currently looking at, AVSPY, it settles in cash (please confirm by reading the documentation on this set... |
What is the process of getting your first share? | nan |
Is there a mathematical formula to determine a stock's price at a given time? | I found the answer. It was the Stock Ticker that I was looking for. So, if I understand correctly the price at certain moment is the price of the latest sale and can be used to get a global picture of what certain stock is worth at that certain instant. |
Does it make sense to buy a house in my situation? | Personally I would hold off on buying a house until you have the credit card paid down even more or paid off completely so that it is one less bill you have to worry about and once it is paid off you free up that much more money to maintain the home. Likewise, you also have a lot of variables right now and the resoluti... |
Preferred vs Common Shares in Private Corporation | Preferred dividends and common dividends are completely separate transactions. There's not a single "dividend" payment that is split between preferred and common shares. Dividends on preferred shares are generally MUCH higher than common dividends, and are generally required by the terms of the preferred shares, again... |
Is it legal if I'm managing my family's entire wealth? | I am not going to discuss legality, because with family members you are able to give a lot of guidance and assistance without running into legal issues. The biggest problem is that when they transfer the funds to you and you invest the money, all the tax rates and tax limits are determined by your situation; plus you ... |
How is taxation for youtube/twitch etc monetization handled in the UK? | The difference between a hobby and a business is income. Yes, every country I know of allows you to do something as a hobby until it becomes profitable and then change it into a business once it becomes likely to turn a profit. There's usually a limit in terms of how much profit or revenue you can make before it must b... |
Can you sell a security through a different broker from which it was purchased? | Many brokers allow you to transfer shares to another broker without selling them. It depends on what kind of account and who the broker is for what forms you might have to fill out and what other hoops you might have to jump through. |
UK Tax - can I claim expenses against a different tax year? | In some circumstances losses from self-employment can be offset against total income and/or capital gains. If this applies to you may be able to claim back some of the tax taken by PAYE from your day job. You can also to some extent carry the loss backwards into previous tax years or forward into the next one if you c... |
Over the long term, why invest in bonds? | I can think of a few reasons for this. First, bonds are not as correlated with the stock market so having some in your portfolio will reduce volatility by a bit. This is nice because it makes you panic less about the value changes in your portfolio when the stock market is acting up, and I'm sure that fund managers wou... |
Is the stock market too risky for long term retirement funds? Why should a 20- or 30-something person invest in stocks? | Look. Here's a graph of the S&P 500. It's up 1200% since the start of the 70's, our late recession notwithstanding. You're not going to get that kind of return on bonds or commodities or savings accounts. (Maybe real estate stands a chance, if your real estate wasn't in, say, Detroit. It's not as easy to diversify real... |
Is it possible to sell a stock at a higher value than the market price? | The core issue is to understand what 'selling a share' means. There is no special person or company that takes the share from you; you are selling on the open market. So your question is effectively 'can I find a guy on the street that buys a 10$-bill for 11$ ?' - Well, maybe someone is dumb enough, but chances are sl... |
Investment strategies for young adults with entrepreneurial leanings? | I talk about this subject on my blog on investing, I share everything that has worked for me personally and that makes sense. I would say the ideal investment would be to continue the entrepreneur route. Just make sure you have a clear plan and exit strategy. For me it's all about passion, I love blogging about person... |
Investment strategy for a 20 year old with about 30k in bank account | Thanks for your service. I would avoid personal investment opportunities at this point. Reason being that you can't personally oversee them if you are deployed overseas. This would rule out rentals and small businesses. Revisit those possibilities if you get married or leave the service. If you have a definite t... |
Do people tend to spend less when using cash than credit cards? | First, let me answer the question the best way I can: I don't know if there are any studies other than those that have already been mentioned. Now, let's talk about something more interesting: You don't need to base your behavior on any study, even if it is scientific. Let's pretend, for example, that we could find a s... |
Taking Losses To Save On Tax | Tax questions require that you specify a jurisdiction. Assuming that this is the US, you owe Federal income tax (at the special long-term capital gains tax rate) on the net long-term capital gains (total long-term capital gains minus total long-term capital losses) and so, yes, if these two were your only transactions... |
Difference between GOOGL and GOOG | Source |
Why do grocery stores in the U.S. offer cash back so eagerly? | The cost to the store is small. They may have to pay a slightly greater fee because the transaction is now bigger. They do need additional cash on hand. Even though the majority of transactions are electronic (credit/debit) or check, the local grocery store still seems to have significant cash on hand. This is seen as ... |
Are RSUs ever taxed as long term capital gains? | I don't know the legal framework for RSUs, so I'm not sure what is mandatory and what is chosen by the company issuing them. I recently reviewed one companies offering and it basically looked like a flat purchase of stock on the VEST date. So even if I got a zillion shares for $1 GRANTED to me, if it was 100 shares tha... |
Would you withdraw your money from your bank if you thought it was going under? | I probably would not take it out, since I have enough layers of backstops: Maybe if I could find a better rate. :) |
Selling put and call Loss Scenario Examples | Here's a simple example for a put, from both sides. Assume XYZ stock trades at $200 right now. Let's say John writes a $190 out of the money put on XYZ stock and sells this put to Abby for the premium, which is say $5. Assume the strike date, or date of settlement, is 6 months from now. Thus Abby is long one put opti... |
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... |
Automatic investments for cheap | ETrade allows this without fees (when investing into one of the No-Load/No-Fees funds from their list). The Sharebuilder plan is better when investing into ETF's or stocks, not for mutual funds, their choice (of no-fees funds) is rather limited on Sharebuilder. |
Forex vs day trading for beginner investor | Are you in the US? Because if so, there are tax discrepancies. Gains from sale of stocks held for less than one year are subject to ordinary income tax, so probably around 30%. If you hold those stocks for a year or more, gains will be taxed as capital gains tax, 15%. For Forex, taxes on your earnings will be split 60... |
Why can't the Fed lower interest rates below zero? | Why can't the Fed simply bid more than the bond's maturity value to lower interest rates below zero? The FED could do this but then it would have to buy all the bonds in the market since all other market participants would not be willing to lend money to the government only to receive less money back in the future. No... |
what would you do with $100K saving? | I would buy an ETF (or maybe a couple) in stable, blue chip companies with a decent yield (~3%) and then I'd play a conservative covered call strategy on the stock selling a new position about once a month. That's just me. |
How can I tell if this internet sales manager is telling me the real “true cost” of a new car to the dealer | I don't buy new cars anymore, but I've helped family members negotiate prices on new cars recently. There are various online services to see the average price paid, as well as the low outliers. I've looked at truecar.com for instance to see what others have paid within 50 miles of my zip-code. I think the only way for ... |
Should I pay off my credit card online immediately or wait for the bill? | Theoretically there is always a time value of money. You'll need to keep your cash in a Money Market Fund to realize its potential (I'm not saying MMFs are the best investment strategy, they are the best kind of account for liquid cash). Choose an accounts that's flexible with regard to its minimum required so you can... |
Why is day trading considered riskier than long-term trading? | Day trading is an attempt to profit on high frequency signal changes. Long term investing profits on low frequency changes. What is the difference? High Frequency Signal = the news of the day. This includes things like an earnings report coming out, panic selling, Jim Cramer pushing his "buy buy buy" button, an oil rig... |
Paid cash for a car, but dealer wants to change price | As others have said, if the dealer accepted payment and signed over ownership of the vehicle, that's a completed transaction. While there may or may not be a "cooling-off period" in your local laws, those protect the purchaser, not (as far as I know) the seller. The auto dealer could have avoided this by selling for a ... |
Should I charge my children interest when they borrow money? | In terms of preserving good relationships one approach is to charge a nominal rate of interest. maybe a few percent of the total and agree a time when it should be paid back. This may actually make them feel better about borrowing them money, especially, especially if it is something like business loan or buying a hous... |
Can a entrepreneur hire a self-employed business owner? | Yes. I can by all means start my own company and name myself CEO. If Bill Gates wanted to hire me, I'll take the offer and still be CEO of my own company. Now, whether or not my company makes money and survives is another question. This is the basis of self-employed individuals who contract out their services. |
Ways to establish credit history for international student | I think you should try to talk with the credit union at your campus first, they may have offer you a credit card even you don't have any credit history. |
What is the easiest way to back-test index funds and ETFs? | check pastsat-backtesting , backtesting tool, where one can can test on well known technical indicators without coding skills |
Malaysian real estate: How to know if the market is overheated or in a bubble? | FYI...during the housing boom here in the US many people spoke about ever increasing home prices. Many thought home prices could never go down. Until they did. If it seems like it is impossible for home prices to continue to go up then they probably will stop going up at some point, although the rising prices can con... |
Want to buy expensive product online. Credit line on credit cards not big enough. How do “Preferred Account” programs work? | First and foremost - make sure where you are purchasing the product is a reputable organization. Secondly (coming from a biased computer geek) - be aware that Apple is a content trap. Now on to my answer to your question... How do "Preferred Account" programs work? They're "Preferred" because they tend to bring in mo... |
Are stock index fund likely to keep being a reliable long-term investment option? | I think you need a diversified portfolio, and index funds can be a part of that. Make sure that you understand the composition of your funds and that they are in fact invested in different investments. |
What is the best way to make a bet that a certain stock will go up in the medium term? | You could try to refine your options strategy: For instance you could buy the USD 750 call option(s) you mentioned and at the same time sell (short) call options with a higher strike price, which is above the share price level you expect that Apple will trade at in one year (for instance USD 1,100). By doing this, yo... |
Low risk withdrawal from market. Is there a converse to dollar-cost-averaging? | When you are a certain age you will be able to tap into your retirement accounts, or start receiving pension and social security funds. In addition you may be faced with required minimum distributions from these accounts. But even before you get to those points you will generally shift the focus of new funds into the ... |
Escrow Removal Fee? | Consider that the bank of course makes money on the money in your escrow. It is nothing but a free loan you give the bank, and the official reasons why they want it are mostly BS - they want your free loan, nothing else. As a consequence, to let you out of it, they want the money they now cannot make on your money upfr... |
Found an old un-cashed paycheck. How long is it good for? What to do if it's expired? | In the UK the official rule is that a cheque is valid for 3 years from the date it was wrote. However after 3 months some banks can choose to turn them down. I had a cheque once that was a year old which is when I looked it up to see whether it was stil valid, and I found the laws regarding it then. I was actually qui... |
Any difference between buying a few shares of expensive stock or a bunch of cheap stock | There is no difference between more shares of a relatively cheaper stock and less shares of a relatively more expensive stock. When you invest in a stock, the percentage increase (or decrease) in the share price results in gains (or losses). This is a fundamental concept of investing. Your question suggests that you wo... |
Financial implications of purchasing a first home? | Congrats! Make sure you nail down NOW what happens to the house should you eventually separate. I know lots of unmarried couples who have stayed together for decades and look likely to do so for life; I've also seen some marriages break up that I wouldn't have expected to. Better to have this discussion NOW. Beyond th... |
What can I replace Microsoft Money with, now that MS has abandoned it? | Uh, Quicken is virtually identical to MS Money. If you liked money and don't want to change, use that. |
Who is the issuer in a derivative contract? | While the issuer of the security such as a stock or bond not the short is responsible for the credit risk, the issuer and the short of a derivative is one. In all cases, it is more than likely that a trader is owed securities by an agent such as a broker or exchange or clearinghouse. Legally, only the Options Clearing ... |
Is paying off your mortage a #1 personal finance priority? | Paying off your mortgage early being good is a myth. It is great for the chronic overspenders to have their mortgage paid off so when they rack up credit card bills and get behind, well they still hae a place to stay. But for those who are more logical with their money paying off your mortgage early in current conditi... |
How does the futures market affect the stock market? | Can someone please explain how traders and investors use this price difference to trade? People use the price difference for small arbitrage between the futures and spot markets, where the larger spreads are reflected in the options markets. The spread in the options market dictates the VIX which many investors also us... |
How much do brokerages pay exchanges per trade? | There is no one answer to this question, but there are some generalities. Most exchanges make a distinction between the passive and the aggressive sides of a trade. The passive participant is the order that was resting on the market at the time of the trade. It is an order that based on its price was not executable a... |
Cash flow implications of converting primary mortgaged residence to rental | You have some of the math right, but are missing a few things. Here's what I can offer - if I leave anything out, someone please expand or clarify. Rental income can be reduced by mortgage interest and maintenance costs (as you mentioned), but also by property tax payments, association fees, insurance costs, landlord e... |
Pay off car or use money for down payment | The best thing to do is pay off the car. Adding more variables to a negotiation with a car dealer (in this case, a trade in), is always going to go in their favor. This is why people recommend negotiating a price down first, before ever mentioning to the dealer you want to do a trade in or financing. |
Are mutual funds safe from defaults? | The only way for a mutual fund to default is if it inflated the NAV. I.e.: it reports that its investments worth more than they really are. Then, in case of a run on the fund, it may end up defaulting since it won't have the money to redeem shares at the NAV it published. When does it happen? When the fund is mismanage... |
UK: Personal finance book for a twenty-something | As you are in UK, you should think in terms of Tax Free (interest and accumulated capital gains) ISA type investments for the long term AND/OR open a SIPP (Self Invested Pension Plan) account where you get back the tax you have paid on the money you deposit for your old age. Pensions are the best bet for money you do ... |
Switch from DINK to SIWK: How do people afford kids? | If you want to have your wife stay home with kids, you'll have to make a plan to get there. As you point out, your situation right now won't support this. Create a budget that will work for you with a single income -- a "zero based" budget, not a budget based on your current expense structure. Figure out what you can a... |
Business Investment Loss from prior year | You need to give specific dates! In the United States, you have three years to file an amended tax return. https://www.irs.gov/uac/Newsroom/Ten-Facts-about-Amended-Tax-Returns Did the restaurant fail in 2012? If so, that's probably the year to take the loss. If you need to amend your 2012 return, which you filed in 201... |
What can I replace Microsoft Money with, now that MS has abandoned it? | I use GnuCash which I really like. However, I've never used any other personal finance software so I can't really compare. Before GnuCash, I used an Excel spreadsheet which works fine for very basic finances. Pros Cons |
Principal 401(k) managed fund fees, wow. What can I do? | In my opinion, the fee is criminal. There are ETFs available to the public that have expenses as low as .05%. The index fund VIIIX an institution level fund available to large 401(k) plans charges .02%. I'll pay a total of under 1% over the next 50 years, Consider that at retirement, the safe withdrawal rate has been... |
Is there any reason not to put a 35% down payment on a car? | I am going to give advice that is slightly differently based on my own experiences. First, regarding the financing, I have found that the dealers do in fact have access to the best interest rates, but only after negotiating with a better financing offer from a bank. When I bought my current car, the dealer was offering... |
When is it necessary to apply taxes for web freelancing services in Quebec, Canada? | AFAIK, there are two kinds of taxes your web freelancing income may be subject to in Quebec: On the income taxes: The net income you realize from your web freelancing activities would be considered taxable income. Assuming you are not operating as an incorporated business, you would need to declare the freelancing in... |
Why would a company care about the price of its own shares in the stock market? | Shareholders get to vote for the board, the board appoints the CEO. This makes the CEO care, which in turn makes everybody else working in the company care. Also, if the company wants to borrow money a good share price, as sign of a healthy company, gives them more favorable conditions from lenders. And some more point... |
Is there a good rule of thumb for how much I should have set aside as emergency cash? | Since it's not tagged united-states, I'd like to offer a more general advice. Your emergency fund should match the financial risks that are relevant to you. The two main classes of financial risk are of course a sudden increase in costs or a decrease in income. You'd have to address both independently. First, loss of i... |
In Canada, how bad must your credit be for a denial of a Secured Credit Card? | A bank or credit card agency can deny your application for pretty much any reason. That said, it's extremely unlikely they'd do so for a secured credit card. This is because the credit is secured. If your sister is to get a card with, say, a $1000 limit, she will have to provide $1000 in security. This means the banks ... |
Basic questions about investing in stocks | A stock represents your share of ownership in a corporation. All of these shares indicate towards your part of ownership in a corporation a shareholder, stockholder or a shareowner in a company. In order to get a stock, be sure to secure the assistance of a licensed stockbroker to buy securities on your behalf. Yes, an... |
For very high-net worth individuals, does it make sense to not have insurance? | Let's face it: most people pay more in insurance premiums than they "get back" in claims. I put "get back" in quotes because, with very few exceptions, the money paid out in claims does not go to the insured, but to others, such as doctors and hospitals. But even if you ignore the question who does the money actually... |
Tax deductions on empty property | This doesn't sound very legal to me. Real estate losses cannot generally be deducted unless you have other real estate income. So the only case when this would work is when that person has bunch of other buildings that do produce income, and he reduces that income, for tax purposes, by deducting the expenses/depreciati... |
How to bet against the London housing market? | Well, Taking a short position directly in real estate is impossible because it's not a fungible asset, so the only way to do it is to trade in its derivatives - Investment Fund Stock, indexes and commodities correlated to the real estate market (for example, materials related to construction). It's hard to find thos... |
Currently sole owner of a property. My girlfriend is looking to move in with me and is offering to pay 'rent'. Am I at risk here? | Edit #2 My whole answer was based on my misunderstanding that you were renting out a totally separate property to your girl friend. I finally understand now that you're renting out a room in YOUR apartment flat to your gf. So, based on my new understanding, I don't think it's necessarily a bad idea. The answer below... |
I'm thinking of getting a new car … why shouldn't I LEASE one? | If you are looking to build wealth, leasing is a bad idea. But so is buying a new car. All cars lose value once you buy them. New cars lose anywhere between 30-60% of their value in the first 4 years of ownership. Buying a good quality, used car is the way to go if you are looking to build wealth. And keeping the c... |
How can a 'saver' maintain or increase wealth in low interest rate economy? | Since the other answers have covered mutual funds/ETFs/stocks/combination, some other alternatives I like - though like everything else, they involve risk: Example of how these other "saving methods" can be quite effective: about ten years ago, I bought a 25lb bag of quinoa at $19 a bag. At the same company, quinoa is... |
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... |
How to protect yourself from fraud when selling on eBay UK | Just ship using a reputable courier (definitely not Yodel or Hermes!) that requires and obtains a surname and signature which you can view on their website (Citylink, Parcel Force to name a couple). Then remember to submit the tracking details when you mark the item as shipped on eBay. If the buyer is still brazen enou... |
Should I pay cash or prefer a 0% interest loan for home furnishings? | Read the terms and conditions very carefully. Many zero percent deals have a requirement that you pay back at a certain date, and if you don't, you'll have to pay some enormous percentage. Nobody will remind you of the date, because the lender has the secret hope that you will forget. |
Should you always max out contributions to your 401k? | While tax deferral is a nice feature, the 401k is not the Holy Grail. I've seen plenty of 401k's where the investment options are horrible: sub-par performance, high fees, limited options. That's great that you've maxed out your Roth IRA. I commend you for that. As long as the investment options in your 401k are ... |
Should I move my money market funds into bonds? | There is a thing called the Sharpe Ratio. This Ratio takes return/risk with risk being defined as the standard deviation of prices over time. According to Financial theory the investment with the highest (best) Sharpe Ratio is a market portfolio. Technically accepting the lower risk of a treasury is accepting an amplif... |
Subsets and Splits
No community queries yet
The top public SQL queries from the community will appear here once available.