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Discount Rate vs. IRR | The IRR is the Discount Rate r* that makes Net Present Value NPV(r*)==0. What this boils down to is two ways of making the same kind of profitability calculation. You can choose a project with NPV(10%)>0, or you can choose based on IRR>10%, and the idea is you get to the same set of projects. That's if everything is ... |
Can I sell my ESPP in a different order than I acquired it, to avoid paying too much tax on profits? | That's up to you. If you instruct your broker to sell shares purchased in specific lots, they can do that -- but doing so requires that you and/or they track specific fractional lots forever afterwards so you know what is still there to be sold. FIFO simplifies the bookkeeping. And I am not convinced selecting specific... |
Tracking my spending, and incoming and outgoing (i.e cashflow) | Honing in on your last question: Is there a better way? I think there is, but it would require you to change the way you handle your spending, and that may not be of interest to you. Right now you have a lot of manual work, keeping track of expenditures and then entering the, every day. The great thing about switchin... |
Starting an investment portfolio with Rs 5,000/- | Given that you are starting with a relatively small amount, you want a decent interest rate, and you want flexibility, I would consider fixed deposit laddering strategy. Let's say you have ₹15,000 to start with. Split this in to three components: Purchase all of the above at the same time. 30 days later, you will have ... |
How safe is a checking account? | While Rocky's answer is correct in the big picture there is another factor here to keep in mind: The disruption while you're waiting to resolve it. If a fraudster gets your card and drains your account you'll get your money back--but there will be a period while they are investigating that it won't be available. For th... |
For young (lower-mid class) investors what percentage should be in individual stocks? | The short answer: zero. dg99's answer gives some good reasons why. You will basically never be able to achieve diversification with individual stocks that is anywhere close to what you can get with mutual funds. Owning individual stocks exposes you to much greater risk in that random one-off events that happen to aff... |
Do stocks give you more control over your finances than mutual funds? | In my opinion, the ability to set a sell or buy price is the least of my concerns. Your question of whether to choose individual stocks vs funds prompts a different issue for me to bring to light. Choosing stocks that beat the market is not simple. In fact, a case can be made for the fact that the average fund lags th... |
How do I begin investment saving, rather than just saving in a bank account? | In general, the higher the return (such as interest), the higher the risk. If there were a high-return no-risk investment, enough people would buy it to drive the price up and make it a low-return no-risk investment. Interest rates are low now, but so is inflation. They generally go up and down together. So, as a low r... |
How do brokers make money from margin accounts? | nan |
My bank refused to do a charge back | Call Comcast during a non-peak time (first thing in the morning?), wait on hold, and politely explain what happened and request a $50 credit. Also politely request that your premium support request be handled for free given how much hassle you've had getting disconnected. They'll be able to tell your premium request wa... |
Opportunity to buy Illinois bonds that can never default? | Sovereign immunity is the state's ultimate "get out of bankruptcy free" card. After all, the state has a hand in defining what bankruptcy even is in their state. Federal law is a framework, states customize it from there. The state's simplest tactic is to simply not pay you. And leave you scrambling to the courtho... |
What are the consequences of IRS “reclassification” on both employer and employee? | You are confusing entirely unrelated things. First the "profit distribution" issue with Bob's S-Corp which is in fact tax evasion and will probably trigger a very nasty audit. Generally, if you're the sole employee of your own S-Corp, and the whole S-Corp income is from your own personal services, as defined by the IRS... |
Rationale behind using 12, 26 and 9 to calculate MACD | The values of 12, 26 and 9 are the typical industry standard setting used with the MACD, however other values can be substituted depending on your trading style and goals. The 26d EMA is considered the long moving average when in this case it is compared to the shorter 12d EMA. If you used a 5d EMA and a 10d EMA then t... |
What is the future of 401(k) in terms of stability and reliability? | Let's pretend that the author of that article is not selling anything and is trying to help you succeed in life. I have nothing against sales, but that author is throwing out a lot of nonsense to sell his stuff and is creating a state of urgency so that people adopt this mindset. It's clever and it obviously works. F... |
Online tutorials for calculating DCF (Discounted Cash Flow)? | Check out Professor Damodaran's website: http://pages.stern.nyu.edu/~adamodar/ . Tons of good stuff there to get you started. If you want more depth, he's written what is widely considered the bible on the subject of valuation: "Investment Valuation". DCF is very well suited to stock analysis. One doesn't need to know,... |
Efficient International money transfer | Typical wire transfers are not with 4-5%; but it all depends on the bank that does the transfer. You can chose to send ('wire') the money in source currency or in US $; the former, the target bank in the US does the conversion (so pick one that adds no or little spread); the latter, the sending bank does the conversion... |
Using credit card points to pay for tax deductible business expenses | For simplicity, let's start by just considering cash back. In general, cash back from credit cards for personal use is not taxable, but for business use it is taxable (sort of, I'll explain later). The reason is most personal purchases are made with after tax dollars; you typically aren't deducting the cost of what you... |
Methods for forecasting price? | well there are many papers on power spot price prediction, for example. It depends on what level of methodology you would like to use. Linear regression is one of the basic steps, then you can continue with more advanced options. I'm a phd student studying modelling the energy price (electricity, gas, oil) as stochasti... |
How does 83b election work when paying fair market value at time of grant? | 83(b) election requires you to pay the current taxes on the discount value. If the discount value is 0 - the taxes are also 0. Question arises - why would someone pay FMV for restricted stocks? That doesn't make sense. I would argue, as a devil's advocate, that the FMV is not really fair market value, since the restric... |
How to avoid getting back into debt? | Spend less than you earn. If you have no job (source of income), then you can not possibly stay out of debt as you have to spend money to live and study. |
Static and Dynamic, Major/Minor Support and Resistance in Stock Trading/Investing | Simply static support or resistance levels are ones that do not change with time. Two examples include horizontal lines and trend lines. Dynamic support or resistance levels are ones that change with time. A common example of a dynamic support/resistance are Moving Averages. |
Why are there many small banks and more banks in the U.S.? | Wikipedia has a good summary: Historically, branch banking in the United States - especially interstate branch banking - was viewed unfavorably by regulatory authorities, and this was codified with the enactment of the McFadden Act of 1927, which specifically prohibited interstate banking. Over the next few decades, so... |
Can I make my savings keep in check with or beat inflation over a long time period via index funds? | See the following information: http://www.bogleheads.org/wiki/Treasury_Inflation_Protected_Security You can buy individual bonds or you can purchase many of them together as a mutual fund or ETF. These bonds are designed to keep pace with inflation. Buying individual inflation-protected US government bonds is about as... |
A friend wants to use my account for a wire transfer. Is this a scam or is it legitimate? | This is not only a scam but it is potentially fraud that may get you in trouble. This "friend" of yours will wire you some money in which you do not know where this money is really from. It's obvious from other answers that his story is fictitious. Thus it is likely that this money was stolen through another scam/hack ... |
What happens when a calendar spread is assigned in a non-margin account? | I can't speak for all brokerages but the one I use requires cash accounts to have cash available to purchase the stock in this situation. With the cash available you would be able to purchase the stock if the option was exercised. Hope this helps |
Savings account with fixed interest or not? | As observed above, 1.5% for 3 years is not attractive, and since due to the risk profile the stock market also needs to be excluded, there seems about 2 primary ways, viz: fixed income bonds and commodity(e,g, gold). However, since local bonds (gilt or corporate) are sensitive and follow the central bank interest rates... |
A little advice please…car loan related | Let's assess the situation first, then look at an option: This leaves you with about $1,017/mo in cash flow, provided you spend money on nothing else (entertainment, oil changes, general merchandise, gifts, etc.) So I'd say take $200/mo off that as "backup" money. Now we're at $817/mo. Question: What have you been doi... |
Is 401k as good as it sounds given the way it is taxed? | when you contribute to a 401k, you get to invest pre-tax money. that means part of it (e.g. 25%) is money you would otherwise have to pay in taxes (deferred money) and the rest (e.g. 75%) is money you could otherwise invest (base money). growth in the 401k is essentially tax free because the taxes on the growth of the... |
Large volume options sell | Yes this is possible in the most liquid securities, but currently it would take several days to get filled in one contract at that amount There are also position size limits (set by the OCC and other Self Regulatory Organizations) that attempt to prevent people from cornering a market through the options market. (getti... |
Optimal way for withdrawing vested company match from my 401k? | You can borrow against a 401k for 5 years. This defers any penalty fees that the IRS mandates. Put the cash back in your 401k within those 5 years. you can also solo administer 401k plans even if you have an unincorporated business, so you can start one of those if you have any other form of cashflow, and there may be ... |
Which shareholders cause news-driven whole market stock swings? | News-driven investors tend to be very short-term focussed investors. They often trade by using index futures (on the S&P 500 index for instance). |
Looking for a good source for Financial Statements | The best source of financial statements would be from the company in question. On corporate websites of public listed companies, you can find such financial statements uploaded in the Investor's Relations section of their website. If their company does not have an online presence, another alternative would be to go to ... |
Can I use FOREX markets to exchange cash? | Because the standard contract is for 125,000 euros. http://www.cmegroup.com/trading/fx/g10/euro-fx_contractSpecs_futures.html You don't want to use Microsoft as an analogy. You want to use non financial commodities. Most are settled in cash, no delivery. But in the early 80's, the Hunt brothers caused a spectacular sh... |
Can a bank hold my deposit on a closed account? | What I'm reading is that they subtracted the $85 you owe them and they're cutting you a cashier's check for the rest. Ethically speaking, you owed them the money, they subtracted it and made you a check for the rest. Once you cash that check, nobody owes anyone anything in this equation. Sounds like they're in the cl... |
Should I buy a house or am I making silly assumptions that I can afford it? | The rules of thumb are there for a reason. In this case, they reflect good banking and common sense by the buyer. When we bought our house 15 years ago it cost 2.5 times our salary and we put 20% down, putting the mortgage at exactly 2X our income. My wife thought we were stretching ourselves, getting too big a house c... |
How much power does a CEO have over a public company? | This is a very good question and is at the core of corporate governance. The CEO is a very powerful figure indeed. But always remember that he heads the firm's management only. He is appointed by the board of directors and is accountable to them. The board on the other hand is accountable to the firm's shareholders an... |
collateralized mortgage obligations | Actually, you're missing the key feature of CDOs. Most CDOs use (much to our economic misery, ultimately) a system call tranching. To simplify this idea, I'll make a two tranch example. Suppose I buy mortgages covering a face value of $120,000,000. Because they are subprime, if I just put them in a pool and finance... |
How much percent of my salary should I use to invest in company stock? | What most respondents are forgetting, is when a company allows its employees to purchase its shares at a discount with their salary, the employee is usually required to hold the stock for a number of years before they can sell them. The reason the company is allowing or promoting its employees to purchase its shares at... |
First concrete steps for retirement planning when one partner is resistant | I would suggest you do three things: If you do all three of these, the time will come when "2 months off to go to Italy this winter and ride bikes through wine country" is something you both want to do, can afford to do, and have arranged your lives to make it feasible. Or whatever wow-cool thing you might dream of. Bu... |
Can banks deny that you've paid your loan? | Yes, if their record keeping is faulty or failed. It is best to keep all records of repayment. Incomplete records such as signing for a loan yet no repayment receipt can be at least a headache and at most expensive. The most important document is a record of 0 balance then there is nothing that the courts will allow c... |
Cash out 401k for house downpayment | Does it ever make sense? Yes, but almost never. If you're in a situation where you're invested in something with low rates (think government securities) or cash equivalents, then you do need to think about rate spread as you mention. Does the savings over the life over the mortgage beat out the 35% hit now, plus all t... |
Pros & cons of investing in gold vs. platinum? | Why Investors Buy Platinum is an old (1995) article but still interesting to understand the answer to your question. |
I bought a new car for a month and wanted to return it | Following up on @petebelford's answer: If you can find a less expensive loan, you can refinance the car and reduce the total interest you pay that way. Or, if your loan permits it (not all do; talk to the bank which holds the loan and,/or read the paperwork you didn't look at), you may be able to make additional paymen... |
Where to find Vanguard Index Funds? | You cannot actually buy an index in the true sense of the word. An index is created and maintained by a company like Standard and Poor's who licenses the use of the index to firms like Vanguard. The S&P 500 is an example of an index. The S&P 500 "index includes 500 leading companies", many finical companies sell pro... |
Where can publicly traded profits go but to shareholders via dividends? | Where can publicly traded profits go but to shareholders via dividends? They can be retained by the company. |
Buying from an aggressive salesperson | I often spend weeks or months (and sometimes even years) deciding whether to buy something. Certainly the dealer should recognize you by now if you take a third opportunity to look at the same instrument. You could politely remind him that you've twice declined his excellent prices. From there you can assert that you w... |
Purchasing first car out of college | I respectfully disagree with @JohnFX's comment regarding new vs used. (John knows what is talking about though; he gave an awesome answer on buying a car: What are some tips for getting the upper hand in car price negotiations?) The answer to your question is based on whether or you not you can stand to have a small,... |
When looking at a mutual fund, how can you tell if it is a traditional fund or an ETF? | An Exchange-Traded Fund (ETF) is a special type of mutual fund that is traded on the stock exchange like a stock. To invest, you buy it through a stock broker, just as you would if you were buying an individual stock. When looking at a mutual fund based in the U.S., the easiest way to tell whether or not it is an ETF ... |
Which student loans to pay off first: Stafford or private? | Without knowledge of the special provisions of your loan contract, the one with the highest interest rate should be paid first. Or, if one's fixed payment is much larger than the other, and it is a burden, then it should be paid first, but refinancing may be an option. Socially speaking and possibly even economically s... |
Pros/cons of borrowing money using a mortgage loan and investing it in a low-fee index fund? | Risk is the problem, as others have pointed out. Your fixed mortgage interest rate is for a set period of time only. Let's say your 3% might be good for five years, because that's typical of fixed-rate mortages in Canada. So, what happens in five years if your investment has dropped 50% due to a prolonged bear market, ... |
How can I detect potential fraud in a company before investing in them? | Given that such activities are criminal and the people committing them have to hide them from the law, it's very unlikely that an investor could detect them, let alone one from a different country. The only things that can realistically help is to keep in mind the adage "If something sounds too good to be true, it prob... |
Why do financial institutions charge so much to convert currency? | Perhaps it's the terminology "fee" that makes it a little confusing. I'm not sure whether it's due legislation or if it's tradition but banks and money changers in my country don't charge "fees". Instead they advertise separate prices for buying and selling money. For example they'd normally advertise: USD, we buy: 4.5... |
Why are interbank payment (settlement) systems closed for weekends and holidays? | The second part of your question is the easiest to answer, how much manual work is involved in settlement processes? Payment systems which handle low value (i.e. high volume) transactions work on the basis of net settlement. Each of the individual payments are netted across all of the participant banks, so that only on... |
How will I pay for college? | You sound like you're well educated, well spoken, and resourceful, so I'm going to assume that you are somewhere in the neighborhood of top 5% material. That means you can pretty much do anything you want to if you put enough effort into it. There are two types of people in this world: those who run the world and those... |
If I pay someone else's property taxes, can I use it as a deduction on my income tax return? | You cannot deduct. Even if you could, unless you also hold the mortgage, it's unlikely that you would have sufficient deductions to exceed the standard deduction for a married couple. |
How do Islamic Banking give loans for housing purposes? | As I understand it, if the "borrower" puts a down payment of 20% and the bank puts down 80%, then the bank and the "borrower" own the home jointly as tenants in common with a 20%-80% split of the asset amongst them. The "borrower" moves into the home and pays the bank 80% of the fair rental value of the home each mo... |
How will going from 75% Credit Utilization to 0% Credit Utilization affect my credit score? | I wrote an article about FICO scoring which shows that 30% of your score is based on utilization or amount owed. I can't say exactly how much your score will rise, or how long it will take, but your score will improve dramatically from what you propose. This chart is from Credit Karma, and it shows how zero utilizat... |
Annuities question - Equations of value | These are the steps I'd follow: $200 today times (1.04)^10 = Cost in year 10. The 6 deposits of $20 will be one time value calculation with a resulting year 7 final value. You then must apply 10% for 3 years (1.1)^3 to get the 10th year result. You now have the shortfall. Divide that by the same (1.1)^3 to shift the ... |
How can I stop a merchant from charging a credit card processing fee? | You can report the violation to the payment network (i.e., Mastercard or Visa). For instance here is a report form for Visa and here is one for MasterCard. I just found those by googling; there are no doubt other ways of contacting the companies. Needless to say, you shouldn't expect that this will result in an immed... |
Dealing with event driven market volatility | If you are worried about an increase in volatility, then go long volatility. Volatility itself can be traded. Here in the US there is an index VIX that is described as tracking volatility. What VIX actually tracks is the premium of S&P 500 options, which become more expensive when traders want to hedge against volatili... |
How can a person with really bad credit history rent decent housing? | Here's some ideas: Hope that helps. |
How can I diversify $7k across ETFs and stocks? | You may want to look into robo-investors like Wealthfront and Betterment. There are many others, just search for "robo investor". |
How to account for startup costs for an LLC from personal money? | An LLC is a pass-through entity in the USA, so profits and losses flow through to the individual's taxes. Thus an LLC has a separate TIN but the pass-through property greatly simplifies tax filings, as compared to the complicated filings required by C-corps. |
What can a CPA do that an EA cannot, and vice versa? | Enrolled Agents typically specialize only in tax matters. Their status allows them to represent clients before the IRS (which a CPA can also do) See the IRS site regarding Enrolled Agents Their focus is much narrower than a CPA and you would only hire them for advice or representation with tax related matters. (e.g. ... |
Advantages of paying more of your mortgage while you know you won't continue to live there your whole life | The main factors you have to consider are: Could you get a better return on that money by investing it somewhere? The investment rate should basically be more than the mortgage rate. If you find yourself suddenly in need of money (eg, loss of job) do you have enough savings to ride that out? If not, investing the ext... |
what is the likely reason that the bank have a different year end than the other companies | The exact Financial calander followed is different for different regions/countires. The difference is more historical and a convinient practise that has no advantage / reason to change. Many Countries like US/Japan the Financial year can be choosen by companies and needs to be same every year. This need not be same as ... |
Should I buy a home or rent in my situation? | Another reason, and to me the main reason not to buy a house if you're in your early 20s (regardless of your income), is mobility. If you rent, you can move pretty much whenever you want after the first year of your rental lease is up, even before then in some cases. If your fiancee finishes school and gets a great job... |
Tips for insurance coverage for one-man-teams | Like most forms of insurance, health insurance is regulated at the state level. So what is available to you will depend greatly upon which state you live in. You can probably find a list of insurance companies from your state's official website. Many states now provide "insurance of last resort" for individuals who can... |
Does it make sense to buy a house in my situation? | I think your best course of action depends on the likely outcome of the divorce proceedings. The alimony/child support payments are controlled externally. I don't like to plan around things that I have no control over. In your shoes, I would probably avoid buying until things are settled down. |
Are non-residents or foreigners permitted to buy or own shares of UK companies? | Yes it is legal, in fact according to statistics.gov.uk, foreign investors are the largest holders of UK shares (as of 2008). Investors from outside the UK owned 41.5 per cent of shares listed on the London Stock Exchange at the end of 2008, up from 40.0 per cent at end of 2006, according to the latest Office for Natio... |
where to get stock price forecast | I believe you are looking for price forecasts from analysts. Yahoo provides info in the analyst opinions section: here is an example for Apple the price targets are located in the "Price Target Summary" section. |
Is there a significant danger to market orders as opposed to limit orders? | If you want your order to go through no matter what then you should be using market orders rather than limit orders. With limit orders you may get the price you are after or better but you are not guaranteed to get your order transacted. With a market order you are guaranteed to get you order transacted but may get a p... |
Work on the side for my wife's company | Depending on how much freelance work we're talking about you could set up a limited company, with you and your wife as directors. By invoicing all your work through the limited company (which could have many other benefits for you, an accountant/advisor would... well, advise...) it's the company earning the money, not ... |
Protecting Gains: Buying a Put vs. Leveraged Bear Market vs. Liquidating Long Positions? | Buying a put is hedging. You won't lose as much if the market goes down, but you'll still lose capital: lower value of your long positions. Buying an ultrashort like QID is safer than shorting a stock because you don't have the unlimited losses you could have when you short a stock. It is volatile. It's not a whole ... |
How will the fall of the UK Pound impact purchasing my first property? | There are two impacts: First, if the pound is dropping, then buying houses becomes cheaper for foreign investors, so they will tend to buy more houses as investments, which will drive house prices up. Second, in theory you might be able to get a mortgage in a foreign country, let's say in Euro, and you might hope that ... |
Price Earnings Ratio | Your question asks us to explain why a false statement is true. From the point of view of an investor, a high price to earnings ratio is not necessarily desirable. From the point of view of an investor, a desirable stock is one that is likely to provide future dividends or price increases that more than compensates fo... |
Comprehensive tutorial on double-entry personal finance? | I found this book to be pretty decent: It is a workbook, and full of little exercises. |
Why are bank transactions not instant? | It is a rather complex system, but here is a rough summary. Interbank tranfers ultimately require a transfer of reserves at the central bank. As a concrete example, the bank of england system is the rtgs. Only the clearing banks and similar (e.g. bacs) have access to rtgs. You can send a chaps payment fairly quickly, b... |
Does 83(b) cause a tax liability when exchanging startup stock for public stock? | I was told by the lawyers there was no tax consequence because the two numbers were the same. That is correct. However, a tax professional tells me that since the start-up stock was "realized" there invokes a taxable event now. That is correct. I'm now led to believe I owe cap-gains tax on the entire 4 year vest ... |
How to calculate P/E ratio for S&P500 sectors | To calculate a sector (or index) P/E ratio you need to sum the market caps of the constituent stocks and divide it by the sum of the total earnings of the constituent stocks (including stocks that have negative earnings). There are no "per share" figures used in the calculation. Beware when you include an individual s... |
Mutual fund capital gain on my 1099-DIV : no cost basis? | The capital gain is either short-term or long-term and will be indicated on the 1099-DiV. You pay taxes on this amount as the capital gain was received in a taxable account (assuming since you received a 1099-DIV). More info here: https://www.mutualfundstore.com/brokerage-account/capital-gains-distributions-taxable |
I have about 20 000 usd. How can invest them to do good in the world? | In the UK, one quirky option in this area (OK, admittedly it's not a passive) is the "Battle Against Cancer Investment Trust" (BACIT). Launched in 2012, it's basically a fund-of-funds where the funds held charge zero management charges or performance fees to the trust, but the trust then donates 1% of NAV to charity e... |
A friend wants to use my account for a wire transfer. Is this a scam or is it legitimate? | As a woman who was once married to someone who worked offshore in the North Sea, in the Gulf of Mexico, off the coast of Nova Scotia, in fact all over the world...and my husband's rig was contracted through Exxon (by the way, Exxon contracts rigs, but doesn't own any), this is most certainly a scam. Even if you do not... |
How to process IRS check as a non-resident? | I suspect @SpehroPefhany is correct and that your bank will cash a check from the US Department of the Treasury. Especially since they're the same ones who guarantee the U.S. Dollar. They may hold the funds until the check clears, but I think you'll have good luck going through your bank. Of course, fees and exchang... |
How can people have such high credit card debts? | I'm not sure if the rules in Canada and the US are the same. I'm as amazed as you are by the amounts of debts people have, but I can see how this credit can be extended. Generally, with good credit history and above average pay - it is not unheard of to get about $100K credit limit with a bunch of credit cards. What yo... |
Advice for college student: Should I hire a financial adviser or just invest in index funds? | If you use a financial planner not only should they be a fiduciary but you should just pay them an hourly rate once a year instead of a percentage unless the percentage is cheaper at this time. To find a good one, go to the National Association of Personal Financial Advisers website, NAPFA.org. Another good resource is... |
Why did my number of shares of stock decrease? | During a stock split the only thing that changes is the number of shares outstanding. Typically a stock splits to lower its price per share. Sometimes if a company's value is falling it will do a reverse split where X shares will be exchanged for Y shares. This is typically done to avoid being de-listed from an exch... |
Rejecting a second hand car from a dealer under UK Consumer Rights Act | Dumb Coder has already given you a link to a website that explains your rights. The only thing that remains is how to execute the return without getting more grief from the dealer. Though the legal aspects are different, I believe the principle is the same. I had a case where I had to rescind the sale of a vehicle in t... |
Are my parents ripping me off with this deal that doesn't allow me to build my equity in my home? | You're paying 5.2% 'interest' on the $115K (500 * 12 / 115,000) * 100 but the amount you pay back is not $115K but 75% of the property value at sale. Is that right? A mortgage would have cost about half that rate and the balloon payment would have been fixed - you would pay back $115K at maturity plus you could have so... |
Pros and Cons of Interest Only Loans | Given the current low interest rates - let's assume 4% - this might be a viable option for a lot of people. Let's also assume that your actual interest rate after figuring in tax considerations ends up at around 3%. I think I am being pretty fair with the numbers. Now every dollar that you save each month based on th... |
Just getting started and not sure where to go from here | There's a lot going on here. I'd be making the maximum ($5500 for a single person under 50) contribution to the Roth IRA each year. Not too late to put in for 2014 before Wednesday, 4/15. Not out of your income, but from the T Rowe Price account. As long as you have earned income, you can make an IRA deposit up to the... |
Are traders 100% responsible for a stock's price changes? | Yes traders, living or algorithmic, are the only direct factors that can cause a change in the price of a marketable item. Traders can be affected by news, broken exchanges ;), emotional cycles, lunar cycles, time the trader goes to lunch (or a power cycle if you are an algo running on that unfortunate OS), anything. |
How to rescue my money from negative interest? | This does not really fit your liquidity requirement but consider buying a one or two room apartment to rent out with part of your savings. You will get income from it and small apartments sell quickly if you do need the money. This will help offset the negative interest from the rest. One downside is that other people ... |
help with how a loan repayment is calculated | In this case, it looks like the interest is simply the nominal daily interest rate times number of days in the period. From that you can use a spreadsheet to calculate the total payment by trial and error. With the different number of days in each period, any formula would be very complicated. In the more usual case wh... |
Why do the 1 and 2 euro cent coins exist and why are they used? | I guess other than tradition and inflation, probably because the merchants want them. In the US, what currently costs $2.00 used to cost $0.10. So 75 years ago, those individual cents made a pretty bid difference. Inflation causes prices to go up, but doesn't get us to just change our currencies patterns. In your ... |
How can I deal with a spouse who compulsively spends? | compulsive eating, and other compulsions, are also an issue If this is true, then this is not a money problem. This is a psychological problem that manifests itself in overspending. I would make an appointment with a counselor or therapist ASAP to start dealing with this problem before the symptoms get any worse. Th... |
Canadian personal finance software with ability to export historical credit card transactions? | Yodlee and Mint are good solutions if you don't mind your personal financial information being stored "in the cloud". I do, so I use Quicken. Quicken stores whatever you give to it for as long as you want: so the only question is how to get the credit card transactions you want into it? All my financial institutions al... |
Understanding the T + 3 settlement days rule | The key word you forgot to include from Slide 29 is: Free-Riding Investopedia defines free-riding as: In the context of a brokerage firm, a free rider problem refers to a situation where a client has been allowed to purchase shares without actually paying for them, and then subsequently sells the shares (ideally for pr... |
Why would you not want to rollover a previous employer's 401(k) when changing jobs? | The biggest reason why one might want to leave 401k money invested in an ex-employer's plan is that the plan offers some superior investment opportunities that are not available elsewhere, e.g. some mutual funds that are not open to individual investors such as S&P index funds for institutional investors (these have ex... |
Does an issue of bonus shares improve shareholder value? | It sounds like "bonus shares" are the same as a stock dividend. Stock dividends are equivalent to a stock split except for accounting treatment (good explanation here: http://www.accountingcoach.com/online-accounting-course/17Xpg05.html). As an investor, the only likely effect of a stock dividend is to make it more com... |
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