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Buying and selling the same stock | No, you can not cheat the IRS. This question is also based on the assumption that the stock will return to $1 which isn't always a safe assumption and that it will continue to cycle like that repeatedly which is also likely a false assumption. |
Reinvesting earnings increases the book value of equity? | The book value is Total Assets minus Total Liabilities and so if you increase the Total Assets without changing the Total Liabilities the difference gets bigger and thus higher. Consider if a company had total assets of $4 and total liabilities of $3 so the book value is $1. Now, if the company adds $2 to the assets, t... |
What do brokers do with bad stock? | Market makers, traders, and value investors would be who I'd suspect for buying the stock that is declining. Some companies stocks can come down considerably which could make some speculators buy the stock at the lower price thinking it may bounce back soon. "Short sellers" are out to sell borrowed stocks that if the s... |
Why is Insider Trading Illegal? | I'm surprised at the tone of the answers to this question! Trading with insider information is corruption and encourages fraud. As in many areas, there's an ethical line where behavior the gap between "ok" and "illegal" or unethical is thin. The classic local government insider information example is when the local cou... |
Should I sell a 2nd home, or rent it out? | It sounds like you plan to sell sooner or later. If your opinion is that there is still room for the housing market to grow, make your bet and sell later. The real estate market is much less liquid than other markets you might be invested in, so if you do end up seeing trouble (another housing crash) you may be stuck w... |
Does bull/bear market actually make a difference? | The main difference between a bull market and a bear market is due the "the leverage effect". http://www.princeton.edu/~yacine/leverage.pdf The leverage effect refers to the observed tendency of an asset’s volatility to be negatively correlated with the asset’s returns. Typically, rising asset prices are accompanie... |
Can I invest in the USA or EU from an Asian 3rd-world country, over the Internet? | Absolutely. It does highly depend on your country, as US brokerages are stricter with or even closed to residents of countries that produce drugs, launder money, finance terror, have traditional difficulty with the US, etc. It also depends on your country's laws. Some countries have currency controls, restrictions on... |
Best steps to start saving money for a fresh grad in Singapore? | Firstly, make sure annual income exceeds annual expenses. The difference is what you have available for saving. Secondly, you should have tiers of savings. From most to least liquid (and least to most rewarding): The core of personal finance is managing the flow of money between these tiers to balance maximizing retur... |
Money market account for emergency savings | So long as you have complete, virtually instant access to funds through checks, debit card, or ATM transaction, then yes it would be a better option than a "vanilla" savings account. If it's in a brokerage account that you would need to process a transfer and potentially wait a few days for everything to settle, then... |
Why are the banks and their customers in the United States still using checks? [duplicate] | In a system where electronic payment is well developed you can consider the following 2 scenarios: Now let us zoom in. Regardless of what costs are actually charged, it should not be hard to see which system is most (real cost) efficient once electronical payments are well developed. And so, the conclusion is not hard ... |
Placing limit order and stop loss on same stock at same time | Although this is possible with many brokers, it's not advisable. In many cases you may end up with both trades executed at the same time. This is because during the opening, the stock might spike up or down heavily, bid/ask spread widens, and both of your orders would get picked up, resulting in an instant loss. Your b... |
devastated with our retirement money that we have left | Get a job, if you don't have one right now. Take deductions from your paycheck for an IRA or 401K if the company has one. |
If I have all this stock just sitting there, how can I lend it out to people for short selling? | Lending of securities is done by institutional investors and mutual funds. The costs of dealing with thousands of individual investors, small share blocks and the various screw-ups and drama associated with each individual are too high. Like many exotic financial transactions, if you have to ask about it, you're probab... |
How should I prepare for the next financial crisis? | Your asset mix should reflect your own risk tolerance. Whatever the ideal answer to your question, it requires you to have good timing, not once, but twice. Let me offer a personal example. In 2007, the S&P hit its short term peak at 1550 or so. As it tanked in the crisis, a coworker shared with me that he went to cas... |
What publicly available software do professional stock traders use for stock analysis? | Another one I have seen mentioned used is Equity Feed. It had varies levels of the software depending on the markets you want and can provide level 2 quotes if select that option. http://stockcharts.com/ is also a great tool I see mentioned with lots of free stuff. |
If I'm cash-flow negative, should I dollar-cost-average the money from my bonus over the entire year? | You will maximize your expected wealth by investing all the money you intend to invest, as soon as you have it available. Don't let the mythos of dollar cost averaging induce you to allocate more much money to a savings account than is optimal. If you want the positive expected return of the market, don't put your mon... |
Anticipating being offered stock options in a privately held company upon employment. What questions should I ask? | Good questions. I can only add that it may be valuable if the company is bought, they may buy the options. Happened to me in previous company. |
Analyze stock value | A Bloomberg terminal connected to Excel provides the value correcting splits, dividends, etc. Problem is it cost around $25,000. Another one which is free and I think that takes care of corporate action is "quandl.com". See an example here. |
How to donate to charity that will make a difference? | In the. US, i'd suggest hitting the Charity Navigator website for evaluation of how efficiently various charities will use your money. At this point I won't donate money to anything that gets less than three stars unless I know the organization very well indeed -- and I've been progressively swapping out 3-star groups ... |
How can I compare having accounts at various banks without opening an account? | I think that your best option is to use the internet to look for sites comparing the various features of accounts, and especially forums that are more focused on discussion as you can ask about specific banks and people who have those accounts can answer. "Requests for specific service provider recommendations" are off... |
Are TD e-Series Funds worthwhile, or am I better off with ETFs? Why or why not? | M Attia, the advantages of the TD e-series are that they are a low cost way to index your portfolio as well it gives you to opportunity to invest small amounts at a time. With ETF's, purchasing small amounts at a time would simply get too expensive. |
What are the risks & rewards of being a self-employed independent contractor / consultant vs. being a permanent employee? | When I worked for myself it was bad because But Ultimately I gave up my business and went to work for a school teaching, and through a series of other jobs ended up in a very stable reliable trustworthy job. When I was younger the variable paycheck didn't outweigh the freedom. Now that I am a dad I only think about h... |
Will the ex-homeowner still owe money after a foreclosure? | Yes, the borrower is responsible for paying back the full amount of the loan. Foreclosure gives the bank possession of the property, which they can (and do) sell. Any shortfall is still the borrower's responsibility. But, no, the bank can't sell the property for a dollar; they have to make a reasonable effort. Usually ... |
Should Emergency Funds be Used for Infrequent, but Likely, Expenses? | If you think about it, it's really all one big pot of money. The idea behind an "emergency fund" is that you want to make sure your financial life has stability: it's not going to be suddenly driven into the red, below $0. As long as that doesn't happen, you can figure out how to live your life as you want. The reaso... |
If a stock doesn't pay dividends, then why is the stock worth anything? | Securities change in prices. You can buy ten 10'000 share of a stock for $1 each one day on release and sell it for $40 each if you're lucky in the future for a gross profit of 40*10000 = 400'0000 |
What is the best source of funding to pay off debt? | Thirty thousand in credit card debt is a "big elephant to eat" so to speak. But you do it by taking a bite at a time. One positive is that you do not want to borrow from your 401K. Doing so is a horrible idea. The first question you have to ask yourself and understand, is how you accumulated 30K in credit card debt ... |
Does girlfriend have too much savings, time to invest? | There are ETF funds that only purchase preferred stock from banks. I have one that pays a monthly dividend of a little under 6% per year. That means that it pays just under 0.5% every month. The purchase price of this stock just slowly goes up and up. You can do a whole lot better than 2% per year. The crux of the is... |
After consulting HR Block, are you actually obligated to file your taxes with them, if they've found ways to save you money? | It sounds like they want to enter you into a contract in which they are allowed to charge a flat fee for filing contingent on money saving results from a tax review service, paid in full. Like those who answered before I have no legal experience. IRS Circular 230 defines the ethics for tax practitioners and the defini... |
Is my mortgage more likely to be sold if I pre-pay principal? | It's not unusual/undesirable. If everyone prepaid their mortgage, banks would not like this, but we're in no danger of that :). Also, the amount you are pre-paying is not so significant as to make them pay special attention. In many cases when a borrower pre-pays, they will not continue to do so over the life of the lo... |
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... |
Germany: Employee and Entrepreneur at same time (for getting AppStore payments) | In Germany you can register a Einzelunternehmen and receive payments into your personal bank account with a German bank. Apple will certainly be able to transfer to accounts in Germany as payments go via the European SEPA standard. Tax wise if you are living in Germany you will need to pay tax in Germany, so this is re... |
Is there a good forum where I can discuss individual US stocks? | I've used Wikinvest before and think that's close to what you're looking for - but in Wiki-style rather than forums. Otherwise, I agree with CrimsonX that The Motley Fool is a good place to check out. |
Estimated Taxes Fall Short of tax liability — how do I pay extra online (Federal and NYS) | If you qualify for the safe harbor, you are not required to pay additional quarterly taxes. Of course, you're still welcome to do so if you're sure you'll owe them; however, you will not be penalized. If your income is over $150k (joint) or $75k (single), your safe harbor is: Estimated tax safe harbor for higher incom... |
Should I invest in a Health Insurance +1 policy from my Employer? | One thing to look into is if there is an extra fee for covering a spouse under you plan, if she is covered under her own employer's plan. I know that my wife's company charges around $100-$200 a year if I was to be covered under her plan, since I am eligible for the coverage where I work. As far as tax issues, there s... |
How can I help my friend change his saving habits? | If he's not used to cooking, recipes might not be enough. Maybe he needs cooking lessons. I used to think if you could read, you could cook -- but I grew up "helping" my mom in the kitchen and in the process learning what all the instructions in cookbooks meant. But it also might just be force of habit, in which case a... |
Where to Park Proceeds from House Sale for 2-5 Years? | With 100K, I would dump the first 95K into something lame like a tax advantaged bond or do as the others here suggested. My alternative would be to take the remaining 5K and put into something leveraged. For instance, 5K would be more than enough to buy long term LEAPS options on the SPY ETF. @ Time of post, you c... |
Offer Price for my stock not shown on quote and a subsequent sale higher than my offer | There are a few things you are missing here. These appear to be penny stocks or subpenny stocks. Buying these are easy.... selling is a total different ball game. Buying commissions are low and selling commissions are outrageous. Another thing you are missing in this order is... some trading platform may assume the "AO... |
Transfer money from a real estate sale in India to the US | How would I go about doing this? Are there any tax laws I should be worried about? Just report it as a regular sale of asset on your form 8949 (or form 4797 if used for trade/business/rental). It will flow to your Schedule D for capital gains tax. Use form 1116 to calculate the foreign tax credit for the taxes on the g... |
30% share in business | Get involved a lawyer and Accountant. Without it you may not be sure what you are getting. What exactly will 30% mean for me? It will mean exactly what gets written in contract. It can mean you are owner of 30% of the company. If this is structured as partnership, it would also mean you are party to 30% loss. It can me... |
I forgot to write the name on the check | If you forgot to put the name on the "pay to the order of" line then anybody who gets their hands on the check can add their name to the check and deposit it at their bank into their account. If it goes to the correct person they will have an easy time making sure that the check is made out correctly. They don't have t... |
New 1099 employee with Cobra insurance | For the first four months of the year, when you were an employee, the health insurance premiums were paid for with pre-tax money. When you receive your W-2 at the end of the year, the amount in Box 1 of the W-2 will be reduced by the amount you paid for health insurance. You can't deduct it on your tax return because... |
Should the poor consider investing as a means to becoming rich? | Given that a poor person probably has much less to invest, how can odds be in their favor? To add to Lan's great answer, if one is "poor" because they don't have enough income to build wealth (invest), then there are only two ways to change the situation - earn more or spend less. Neither are easy but both are usually... |
Are AAA private-sector corporate bonds safer than government bonds? | Haven't there been examples of governments defaulting, delaying payment and imposing haircuts on investors? Greece and Argentina come to mind. Quite a few Govt have defaulted in the past or were very of default or crisis. Most 3rd world countries or developing countries have under gone stress at some point. Greece was ... |
Why is everyone saying how desperately we need to save money “in this economy”? | Saving some money for the future is a good idea. But how much to save is a tough question. I retired with a small fraction of what the experts said I would need. Three years later, I can confidently say I did not even need what I had saved. |
Should I pay off my credit card online immediately or wait for the bill? | It does not matter. Your credit score is affected by late payments, by credit usage and by age of credit. DO NOT PAY LATE. Paying early is only good in that it means you don't pay late. Your credit usage is calculated by percentage of the credit you have that you actually use. Keep your usage to under 20% of your lim... |
What's the point of a benchmark? | Yes an index is by definition any arbitrary selection. In general, to measure performance there are 2 ways: By absolute return - meaning you want a positive return at all times ie. 10% is good. -1% is bad. By relative return - this means beating the benchmark. For example, if the benchmark returns -20% and your portfol... |
Query regarding international transaction between governments | Buyer A didn't send money to the US government, Buyer A sent money to Seller B, a US resident. I think the most common way to facilitate a transaction like this is a regular old international wire transfer. Buyer A in India goes to their bank to exchange X INR to $1mm USD. $1mm USD is then wire transferred to Seller ... |
How do I interpret this analysis from Second Opinion? | No, you shouldn't buy it. The advice here is to keep any existing holdings but not make new purchases of the stock. |
How to spend more? (AKA, how to avoid being a miser) | Maybe minimalism is an option for you. Make your self clear what you really want You only buy what you really need and for that you spend the money. Then there is no point of saving money, i.e. I for example like to invite friends and cook them some fancy diner with expensive products, but the value I get from that exc... |
Why does BlackRock's XIN page show XIN as having only 1 holding? | EFA must be bought and sold in US dollars. XIN allows people to buy and sell EFA in Canadian dollars without exposing their investment to unpredictable swings in the USD/CAD ratio. This is what's known as a currency-hedged instrument. Now, why the chart sums up to over 100% is anyone's guess. Presumably it's the resu... |
Where I am I liable for taxes? | You will have to pay your taxes in the UK not USA. For tax purposes it is the company's tax residency not where the server is located. You are just hiring a server in USA. Take for example a CDN being used for your same service then would you pay taxes in 300 different countries if you use Akamai? Does not work that wa... |
It is worth using a discount stock broker? I heard they might not get the best price on a trade? | Always use limit orders never market orders. Period. Do that and you will always pay what you said you would when the transaction goes through. Whichever broker you use is not going to "negotiate" for the best price on your trade if you choose a market order. Their job is to fill that order so they will always buy it ... |
Recommended finance & economy book/blog for a Software Engineer? | Another good economic comment blog is Naked Capitalism. |
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 ... |
Can the risk of investing in an asset be different for different investors? | In a perfect market, share prices are by definition a perfect reflection of the true value of a share. Hence, you always get $10 for a share that's worth that much. In reality, the market is imperfect. Prices are somewhat of an average of all different estimates, and there's a cost-of-trading margin between sales and b... |
What type of returns Vanguard is quoting? | From the Vanguard page - This seemed the easiest one as S&P data is simple to find. I use MoneyChimp to get - which confirms that Vanguard's page is offering CAGR, not arithmetic Average. Note: Vanguard states "For U.S. stock market returns, we use the Standard & Poor's 90 from 1926 through March 3, 1957," while the ... |
Why could rental costs for apartments/houses rise while buying prices can go up and down? | Economically, you would say that purchased and rented real estate are not perfect substitutes--they are largely separate markets. Only a few people are able to easily switch from one to the other and that choice is sticky--for example, once you buy a house, prices would have to rise a lot for it to be worth it to sell... |
What can I do with “stale” checks? Can I deposit/cash them? | Find smaller payments he can make. Maybe a % of each client he takes payment from. Consult with a lawyer or google buisness contract elements and find fill them out and see what he can do. If the checks are no good bouncing them isn't going to help anything. Nor is getting a judgment from a small claims court. He can ... |
What is the smartest thing to do in case of a stock market crash | If the market has not crashed but you know it will, sell short or buy puts. If the market has crashed, buy equities while they are cheap. If you don't know if or when it will crash hold a diversified portfolio including stocks, bonds, real estate, and alternatives (gold, etc). |
What should I look at before investing in a start-up? | Previous answers have done a great job with the "Should I invest?" question. One thing you may be overlooking is the question "Am I allowed to invest?" For most offerings of stock in a startup, investors are required to be accredited by the SEC's definition. See this helpful quora post for more information on requir... |
Why would a car company lend me money at a very low interest rate? | They aren't actually. It appears to be a low interest rate, but it doesn't cover their true cost of capital. It is a sales tactic where they are raising the sticker price/principal of the car, which is subsidizing the true cost of the loan, likely 4% or higher. It would be hard to believe that the true cost of a car lo... |
I received $1000 and was asked to send it back. How was this scam meant to work? | The initial story sounds normal. Happens every day. Checksums cannot prevent this, since it is a typo by the sender. The sender typed in a wrong account number. That account number happened to exist (so the sender wouldn't get any immediate error message), your account. But, that innocent story can also be used as part... |
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 evidence or research suggests that mid- or small-capitalization stocks should perform better than large caps? | Efficient Frontier has an article from years ago about the small-cap and value premiums out there that would be worth noting here using the Fama and French data. Eugene Fama and Kenneth French (F/F) have shown that one can explain almost all of the returns of equity portfolios based on only three factors: market ex... |
Taxes due for hobbyist Group Buy | You do actually have some profits (whatever is left from donations). The way it goes is that you report everything on your Schedule C. You will report this: Your gross profits will then flow to Net Profit (line 31) since you had no other expenses (unless you had some other expenses, like paypal fees, which will appear ... |
What should I be aware of as a young investor? | As a young investor, you should know that the big secret is that profitable long term investing is boring. It is is not buying one day and selling the next and keeping very close tabs on your investments and jumping on the computer and going 'Buy!' , 'Sell'. That makes brokers rich, but not you. So look at investments... |
How to acquire assets without buying them? | There are a number of ways someone acquires assets without buying it. People could have inherited assets. They could have been gifted assets. They might have won assets in a lawsuit (unlikely to be a mall, but not impossible). They could have married into the assets. So there's other ways of acquiring assets without pu... |
Combined annual contribution limits for individuals [duplicate] | Your contribution limit to a 401(k) is $18,000. Your employer is allowed to contribute to your 401(k), usually a "matching contribution". That matching contribution comes from your employer, so is not subject to your personal contribution limit. A contribution to a regular 401(k) is typically made with pre-tax money ... |
How to calculate PE ratios for indices such as DJIA? | You could look up the P/E of an equivalent ETF, or break the ETF into components and look those up. Each index has its own methodology, usually weighted by market cap. See here: http://www.amex.com/etf/prodInf/EtAllhold.jsp?Product_Symbol=DIA |
Smart to buy a house in college? | I've heard success stories but personally, I was considering it and I'm so glad I didn't. I ended up hating the atmosphere; left after one semester. To take care of that house I rent out, I'd need to hire someone, or drive 2.5h each way for anything that needed my attention. If you plan to stay in the area, I'd conside... |
Changes in Capital Gains Tax in the US - Going to 20% in 2011? | Consider doing things that will allow for tax deductions, such as short selling. The IRS has regulations on this as well. And consider that Futures are taxed more favorably than other kinds of investments. (60% taxed as long term, 40% taxed as short term) |
Does the Black-Scholes Model apply to American Style options? | Just a few observations within the Black-Scholes framework: Next, you can now use the Black-Scholes framework (stock price is a Geometric Brownian Motion, no transaction costs, single interest rate, etc. etc.) and numerical methods (such as a PDE solver) to price American style options numerically, but not with a simpl... |
Why is day trading considered riskier than long-term trading? | But I don't see how it's any different than buying a stock at a low price and holding on to it for some months. Based on your question, I would say the difference is time. Day trading by its nature is a 6-hour endeavor. If you buy low and are planning to sell high, then you only have a few hours to make this happen. As... |
Can I actually get a share of stock issued with a piece of paper anymore? | Yes, indeed. For example, Ford Motor Company's website has a bit about them. Is there any advantage to having an actual physical note instead of a website? You can safeguard them yourself. Which may or may not be a good thing. It certainly brings up a bit of hassle and extra costs if you want to sell them. Though y... |
How much time would I have to spend trading to turn a profit? | Yeah, too subjective of a question I shorted BP last year during the deep water crisis, using a leveraged account 20 times larger than the amount of cash I actually had, instantly profitable. I was long Freddie Mac in March 2009 and that took several months to turn to move and turned a 100% gain I've flipped penny stoc... |
What kind of life insurance is cheaper? I'm not sure about term vs. whole vs. universal, etc | Term is the way to go. Whole/universal are basically a combo of term and savings, so buy term life insurance and invest the difference in cost yourself. You should make a lot more that way (as far as savings go) than by buying whole life. By the time term life gets too expensive to be worth (when you're a lot older) yo... |
Using stock options to lower income tax in the USA? | You're talking about NQO - non-qualified stock options. Even assuming the whole scheme is going to work, the way NQO are taxed is that the difference between the fair market value and the strike price is considered income to you and is taxed as salary. You'll save nothing, and will add a huge headache and additional co... |
Are my purchases of stock, mutual funds, ETF's, and commodities investing, or speculation? | This depends on what your definition of the word is is. Strictly speaking, you are only investing in a company when you buy stock from them somehow. This is usually done during an IPO or a secondary offering. Or, if you are someone like Warren Buffet or an institutional investor, you strike a deal with the company to... |
How do I use investments to lower my taxes [US]? | Not exactly. There are a few ways to manage your taxes with investments. 1) For most investments you get taxed on any gain in value in the investment or dividends paid by that investment. Most investments (with some exceptions for mutual funds) you don't take the tax hit until you sell the investment and realize the ga... |
Why do put option prices go higher when the underlying stock tanks (drops)? | When you buy a put on a stock, you buy the right to sell the stock at fixed price, F, that his usually different from the market price, M. You paid a price, P, for the put. Your potential profit, going forward, is represented by the DIFFERENCE you get to collect between your fixed price F, and that market price M, plu... |
How do I get into investing in stocks? | The best way I know of is to join an investment club. They club will act like a mutual fund, investing in stocks researched and selected by the group. Taking part in research and presenting results to the group for peer review is an excellent way to learn. You'll learn what is a good reason to invest and what isn't.... |
Changing Bank Account Number regularly to reduce fraud | Couple of my friends went through a fraud agent who ran off with their money and the landlords were none the wiser. So it always pays to be a bit diligent. Are they a well known letting agents nationally ? Many agents do have different accounts to manage their properties. Yours seems a case as such probably i.e. they ... |
why is the money withdrawn from traditional IRA taxed at the ordinary income tax rate? | You are missing something very significant. The money in a traditional IRA (specifically, a deductible traditional IRA; there is not really any reason to keep a nondeductible traditional IRA anymore) is pre-tax. That means when you pay tax on it when you take it out, you are paying tax on it for the first time. If you ... |
What happens to people without any retirement savings? | There are a host of programs in the US to help low/no-income seniors: Many states discount property taxes for the elderly as well. Not a dream retirement, but plenty of people are provided for without having prepared for retirement whether due to poor decisions or unfortunate circumstances. |
Got charged ridiculous amount for doctor's walk in visit. What are my options? | You should start by calling the clinic and asking them to tell you how the visit was coded. Some clinics have different billing codes based on the complexity of the visit. If you have one thing you are seeing the doctor about, that could be coded differently than if you have 4 things you are seeing the doctor about. In... |
Why is retirement planning so commonly recommended? | In addition to the choice that saving for retirement affords - itself a great comfort - the miracle of compounding is so great that even if you chose to work in old age, having set aside sums of money that grow will itself help your future. The are so many versions of the "saving money in your 20s" that equals million... |
How do I treat the income from an ESPP I sold now that I am a non-resident alien? | That's a tricky question and you should consult a tax professional that specializes on taxation of non-resident aliens and foreign expats. You should also consider the provisions of the tax treaty, if your country has one with the US. I would suggest you not to seek a "free advice" on internet forums, as the costs of m... |
Using P/E Ratio of an ETF to decide on asset mix | P/E alone would not work very well. See for example http://www.hussmanfunds.com/html/peak2pk.htm and http://www.hussmanfunds.com/rsi/profitmargins.htm (in short, P/E is affected too much by cyclical changes in profit margins, or you might say: booms inflate the E beyond sustainable levels, thus making the P/E look more... |
Insurance broker - Online vs. physical location? | Traditional insurance agent guy here. There is no right answer in my opinion because your individual needs cannot be generalized. There are a variety of factors that influence the price charged to you including but not limited to your past claims history, geographic location, credit profile, and the carrier's book... |
What are the advantages/disadvantages of a self-directed IRA? | There is nothing wrong with self directed IRA's the problem is that most of the assets they specialize in are better done in other ways. Real estate is already extremely tax advantaged in the US. Buying inside a Traditional IRA would turn longterm capital gains (currently 15%) into ordinary income taxed at your tax rat... |
Currently a Microsoft Money user on PC, need a replacement suitable for Mac | Long time Quicken user, but I have Bootcamp on my Mac, and one reason is so I can run Quicken Windows. That's one solution. You didn't mention what version of the Mac OS you're running, but Bootcamp is one alternative if you have (or can purchase) a Windows license. Be advised, Bootcamp 4, which is available with OS 10... |
Why does Bank of America sometimes refer to itself as Banc of America on some documents? | From https://secure.wikimedia.org/wikipedia/en/wiki/Banc: Banq (also Banc, banc-corp, bancorp, or bancorporation) is an intentionally erroneous spelling of the word bank, but pronounced the same way. It has been adopted by companies which are not banks but wish to appear as such, and satisfy legal restrictions on the u... |
Where are Bogleheadian World ETFs or Index funds? | Half VTI (Vanguard Total Stock Market ETF) and half VEU (Vanguard FTSE All-World ex-US ETF), and stop futzing. The US is roughly half the world market cap so this is like a total world equity index. Very low costs. VTI Expense ratio is 0.04% as of 04/27/2017. I don't know what you mean by RSG, but it could be either ... |
Is candlestick charting an effective trading tool in timing the markets? | From what I have read from O'Neil to Van Tharp, etc, etc, no one can pick winners more than 75% of the time regardless of the system they use and most traders consider themselves successful if 60% of the trades are winners and 40% are losers. So I am on the side that the chart is only a reflection of the past and cann... |
Is Amazon's offer of a $50 gift card a scam? | Amazon has 2 different cards you can apply for, a store card and a credit card. The credit card is through Chase. The deal is not a scam, I can confirm this because I applied for their credit card and got $70 in the form of a digital gift card. By giving customers free money for signing up for their cards they get more... |
How can someone with a new job but no credit history get a loan to settle another debt? | The more I think about this the more I think you are actually better off letting it go to collections. At least then you would be able to agree an affordable repayment schedule based on your real budget, and having a big dent in your credit score because it's gone to collections doesn't actually put you in any worse po... |
How smart is it really to take out a loan right now? | The logic "the interest rate on the mortgage was so low it didn't make sense not to buy" is one reason the housing bubble happened. The logic was that it made the house affordable even at high prices. Once the prices collapsed people still had affordable payments, but were unable to sell because they were upside down o... |
Frequency of investments to maximise returns (and minimise fees) | Wow, this turns out to be a much more difficult problem than I thought from first looking at it. Let's recast some of the variables to simplify the equations a bit. Let rb be the growth rate of money in your bank for one period. By "growth rate" I mean the amount you will have after one period. So if the interest rate ... |
Ethics and investment | Markets are amoral. If you don't buy stock in a company that has high growth/earnings, someone else will. By abstaining you will actually make it cheaper for someone else who is interested in making money. Investing in "socially responsible" funds will only ensure that you have less money to make a moral difference in... |
Investing in the stock market during periods of high inflation | The relation between inflation and stock (or economic) performance is not well-understood. Decades ago, economists thought inflation corresponded with periods of high growth and good real returns, but since then we have had periods of low inflation and high growth and high inflation with low growth. It is generally u... |
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