Questions tagged [investing]
Investing is the process of buying assets such as securities, real estate and other items of value that will hopefully increase in value over time, providing a return in the form of income payments or capital gains.
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What Investments are available in Canada to offset inflation impact?
I would sincerely appreciate your advice on the following topic: what investment opportunities are available in Canada to offset (at least, partially!) impact of inflation.
I am not a financial expert,...
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How does SIPC insurance help a small investor with a fixed portfolio that is currently down below original value?
If your original portfolio was worth $500k started a year ago but the same amount of shares holdings is currently only worth $350k, does it mean you are insured at most $350k? Or all of the stock ...
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What are some well known or well regarded arguments against investing?
I'm looking to research the arguments against investing, or at least arguments that present a rather different view of investing than is the conventional wisdom. By "investing", I mean putting money ...
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Margin Trading Questions (Reg T, Scaling in, Deposits)`
I'm researching how to effectively trade on margin and I'm having trouble visualizing some scenarios and I haven't been able to find anything online so any help would be greatly appreciated.
Here are ...
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When is it worth taking out a loan for something I could pay in cash?
I'm trying to better understand the time-value of money and how to compare interest rates vs. investment returns.
In general, if I can pay for something in cash or short-term credit (paid off monthly),...
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Invest on etf when you are young
I started to work a year ago and I'm putting all my savings in one ETF (SCHD), to have a lot of dividends when I'll turn 60 and then retire.
Is that a good solution, given the fact that I'm still ...
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What does "investing in credit" mean?
I have seen saying such as "invest in credit/be long credit", what does it actually mean? For example, I can buy high yield etf which is essentially a basket of low rated corporate bonds. ...
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Is it possible to hold stock certificates directly without any counterparty risk whatsoever?
I would like to invest in stocks of various companies, however I am deeply concerned with the counter-party risk that the institution which holds the assets on my behalf carries (e.g., a bank or a ...
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Position size calculator which includes fees in the risk
Problem:
I have a position calculator for scalping, but currently it does not include entry/exit fees in my risk calculation.
Since scalping, in most scenarios, requires leverage, those fees really ...
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Why is YTW (Yield-to-Worst) not available for some callable bonds?
E.g., I am looking at 67765QDG8 ("Oh St Wtr Dev Auth REV 5% 06/01/2023") on Schwab. It is callable but the yield to worse isn't indicated:
Bond details: https://i.stack.imgur.com/GNt20.jpg (...
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Are assets held under brokerage at risk of a bank's bankruptcy proceedings?
I know that the FDIC guarantees cash deposits up to a maximum of 250K, but what happens to assets held in a bank's brokerage arm?
For instance, if someone has 10,000 shares of MSFT deposited in a bank ...
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What are the downsides, if any, of purchasing bonds on the secondary market instead of the primary market?
Let's ignore the transaction fees from my broker, which tend to be higher for the secondary market. Are there any other downsides of purchasing bonds on the secondary market instead of the primary ...
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DEGIRO: Is Debit Money better than an MMF-ETF short for leveraging?
I was looking into the options of leveraging my main index fund by a certain amount and was recommended to use Degiro's inhouse credit product "Debit Money". Current annual cost: 1.25% pa
...
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How can someone invest in areas that require you to be an accredited investor [without qualifying as an accredited investor]?
I have some money that I would like to invest. I have some money invested in the stock market and I have found some other places I'd like to invest as well, but it seems that many places require that ...
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Is it financially preferable to purchase Treasury bonds on the primary market or on the secondary market? [duplicate]
Assume a retail investor who:
can purchase Treasury bonds on the secondary market through their broker without any fees or markups (e.g., via Charles Schwab).
can only submit non-competitive bids ...
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Why does buying Treasury bonds on the secondary market make it easier to sell Treasury bonds at a later date?
I read:
Buying on the secondary market also makes it easier to sell Treasury bonds at a later date.
Why does buying Treasury bonds on the secondary market make it easier to sell Treasury bonds at a ...
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How should I invest if I have much disposable income and cash on hand?
I'm a 29-year-old living in Europe and I'm looking for some investment advice.
I’m fortunate enough to be earning roughly $28k per month after tax, and I currently have about $400k in cash sitting in ...
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Are there any downside in investing in a municipal money fund instead of purchasing municipal bonds assuming the money fund's yield > muni bond yield?
I wonder whether there exists any downsides in investing in a municipal money fund instead of purchasing municipal bond, assuming the money fund's yield (tax-free) is higher than the muni bond yield (...
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Investing in basket of stocks in the style of ETF but without re-balancing
Is there any product that offers you to at once buy baskets of stocks according to the market at that moment (or some time in the past) like ETF's do but without any re-balancing after?
I think a ...
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How can one compare the yield of a municipal money fund with the yield of a municipal bond?
Let's consider the following municipal money fund and the following municipal bond:
The Schwab Municipal Money Fund (Investor Shares) (SWTXX) discloses a 7-day yield (with waivers) as of 02/28/2023 ...
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How to pick an initial investment mix
Assume I have a task at hand to construct an investment portfolio. At first I need to allocate the main parts and choose small/large caps, emerging markets, fixed income etc. I would think there are ...
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How shall one take into account the accrued interest when purchasing a bond on the secondary market?
For example, I'm looking at the following US Treasury bonds ordered by decreasing yield to maturity (YTM) on Charles Schwab:
If I simply want to maximize the returns, assuming no default risk, should ...
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What is the way to get money managed without hiring a personal financial advisor?
What is the way to get money managed without hiring a personal financial advisor? I do not think I need any personalized approach, I'd rather have a target retirement date and I would like to get ...
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How to structure a company/entity that accepts money from friends/family to invest and gain interest/dividends/gains?
I have a few interested friends and family that are looking to invest money. They come with various backgrounds/experiences in investing but given a connection they are willing to try a different ...
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NPS contribution charges and eNPS
What are the benefits of eNPS?
How can we avoid (a) POP trail commission & (b) Payment Gateway Charge while making a contribution in NPS Tier-1 account?
3.What is the recommended/generalized % ...
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Empirical evidence on active vs passive investing
Many people believe that passive investment (say buying into an ETF) typically outperforms actively managed funds because the latter induce more fees.
Are there any (solid) empirical studies ...
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Why do deep in the money options trade below their intrinsic value?
I have an investment account where I'm currently holding about $200K in SPY shares (S&P 500 index). I'm a bit worried that we are in a bubble, so I'm looking into strategies to hedge my downside. ...
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Using a trust vs stocks to purchase land
I plan to purchase land to build a new home within the next year. I am receiving an inheritance in the form of a trust account; the account is in my name and I am also the trustee. I had planned to ...
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Can chinese investor buy stocks in indian stock market?
I have seen some material on the web such as "New Foreign Investment Restrictions Imposed by India",New Foreign Investment Restrictions Imposed by India.
In the article:Historically, ...
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Best way to invest emergency fund
Asking from the EU. I have emergency fund in a savings account yielding almost nothing. What is the best way to growth this emergency fund without taking too much risks, ie. not investing in stocks. I ...
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Do I need to, and how do I, pay tax on income from investing? (UK)
I live in the UK and have recently started doing some small investing (using eToro), buying stocks and such, and I was wondering the following.
For important context, I am employed at a company where ...
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Stock Analysis Equation Questions
I am a newer value investor and I am trying to slowly learn. I came across these equations and I am not able to find for sure online or in the books I have available what these abbreviations/acronyms ...
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What is the easiest and cheapest way to invest to HY corp bonds?
I would like to invest in high yield US debt. Picking companies with that rating sounds very involved and I don't have the knowledge for it. Do I buy index or ETF instead? Or what is the easiest and ...
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Trying to understand stock share dilution
Say I pay $100,000 for 10% of a new company founded by a entrepreneur, and then the entrepreneur decides to give 20% of the business to person X, for free, as they feel person X can add tremendous ...
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How do I simulate a trailing limit order
How do I simulate a trailing limit order, since many brokerages don't
offer this? Details:
XYZ last traded at 10 and I want to buy it at 9 or lower.
However, if XYZ rockets to 12, I'm now willing to ...
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Formula to calculate time needed for an investment to meet a goal
Given the following.
Target (t): 100000
Initial Capital (c): 2000
Monthly Contribution (pmt): 1000
Yearly contribution Growth Rate (k): 3
Rate (r): 5
C/Y (y): 1 (Compounded annually), 12 (Compounded ...
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Fixed deposits in 10 banks vs Mutual Funds
This question is to be answered in terms of security of the money as well as how profitable the investment is.
Let's say a person is in India under 30% tax slab.
In India, FDs are more secure than ...
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Cross Brokerage Wash Sale Help Needed
The following trades happened in a month:
Day 4: Bought 83 Shares of Company A using Fidelity
Day 5: Bought 118 Shares of Company A using E-Trade
Day 7: Sold 118 Shares of Company A bought in E-Trade ...
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Why is EPS looked at much more than FCF/S (Free Cash Flow Per Share)
I understand that eps is an important metric to look at when analyzing a company. (And I wont go into all the details of eps) But at the end of the day, the amount "you" have in "your&...
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Online tutorials for calculating DCF (Discounted Cash Flow)? [closed]
What is the best online tutorial to learn calculating DCF (Discounted Cash Flow) for a stock?
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Starting a family fund, owned by a parent company?
first post here.
I have been doing some research, but I am still not 100% sure on this. A little background: I live in NY state, have a Bachelors Degree in finance and data analytics.
My situation: I ...
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Selling covered calls when the contract is over 5x the cost of the stock share
I just discovered that a stock I've held onto a few hundred shares of for a while, which is currently trading for about half what I paid (under a dollar a share) has an options contract for a covered ...
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How to determine what would be considered a good rate for 4-52 week Treasury bills?
According to the information provided by treasurydirect.gov, currently the rates for any Treasury bill ranging from 4-52 weeks are all above 4% (expressed yearly).
Looking at the 10 year/3month ...
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Value investing
Does value investing work? More specifically, I've taken Dr. Damodaran's course on valuation (available online at his website) and have read parts of his textbook "Investment Valuation", and am coming ...
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Cashing out of mutual funds for a large purchase
It's currently January, and I am looking to make a large purchase some time between April and July.
About 60% of the money I want to use for the purchase is currently held in mutual funds in a ...
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Curious observations about efficient frontier calculations
I was using Portfolio Visualizer to try out a few efficient frontier calculations. You can run the same calculation using this link. I find it quite curious: 1) What causes Portfolio 2 to stop at σ ~ ...
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What is the best way to manage my savings and possibly increase my cash flow despite inflation in Egypt?
With the very quickly rising prices in Egypt, What is the best way to manage my savings and possibly increase my cash flow?
I’ve also got some ideas, Are they good or not?
Ideas that I have:
Work as ...
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May I Invest as a non accredited investor?
I want to join a website where they allow only accredited investors to participate in investments that they manage.
I am not an accredited investor. However, in the past, I worked for the company and ...
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If I can continuously get short-term interest free personal loans with no fee, is there a way that I can use this money to generate more money?
I can get a $120 interest-free loan each day, but I need to return the money in 30 days (when my credit card bill is due). There is no fee I need to pay; instead, I can get small cashback from this ...
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safe investment for maintaining purchasing power
I have $100,000. I am going to need the money over the next year.
I want to protect its purchasing power relative to inflation and also have some reasonable low risk return.
What would be a good ...
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