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Stock-Age: Stocks, Options and Dividends oh my!

Interesting. My Kiadis Pharma is up almost 100% over the past week. Didn't even notice. 10% more and we are back in the green. Glad I hold on then if this continues. Apparently they got some FDA approval for their blood cancer drug.
 
So I already have about 70 in ETFs, and another 40 sitting on the wayside, but I look at the current environment and can't help but feel we're in for a correction once tax reform inevitably fails and the ride of positive tax-cut vibes dies off. Am I stupid for sitting on the money at this point?

I can't quite bring myself to pull my money out, but I can't quite bring myself to invest right now either.
 
I just continue to invest in my ETFs every month a bit. I wouldn't put the whole sum in now - although there are also good arguments to be made to do so, where time in the market is more valuable - but keep to a schedule so you don't keep it on the side indefinitely waiting for the possible correction.
 

tokkun

Member
So I already have about 70 in ETFs, and another 40 sitting on the wayside, but I look at the current environment and can't help but feel we're in for a correction once tax reform inevitably fails and the ride of positive tax-cut vibes dies off. Am I stupid for sitting on the money at this point?

I can't quite bring myself to pull my money out, but I can't quite bring myself to invest right now either.

What's your International allocation look like? If you are concerned that US stock valuations are too high, seems like more International is the natural answer.
 
So I already have about 70 in ETFs, and another 40 sitting on the wayside, but I look at the current environment and can't help but feel we're in for a correction once tax reform inevitably fails and the ride of positive tax-cut vibes dies off. Am I stupid for sitting on the money at this point?

I can't quite bring myself to pull my money out, but I can't quite bring myself to invest right now either.

What is your goal with this money? Short term or long term?

Quick answer:
Short - you're uneasy, leave it out or go for a bond etf.
Long - doesn't matter what happens in the next 5 years, put it in.
 

Kal

Member
Hi all! I'm new to this so please bear with me! :)

ARK8ofD.png

Here is my portfolio; first shares I ever bought (between September 2015 and January 2016). I decided to invest in stocks because the money was sat in my ISA and I was hoping to get more returns. TBH honest I was scared shitless as I had no clue what I was doing despite doing quite a bit of research (I'm still a complete newbie). The reason I bought these specific stocks was because I was at least a bit familiar with the companies and their products, and I felt like I was making somewhat of an educated risk buying rather than buying from some random companies due to hype/word of mouth. Overall I'm happy I haven't lost any money but I do have a few questions;

Is it worth getting rid of DIS and purchasing something else? The dividends I've accrued on all 3 stocks is about half of what I've lost on the DIS stock (which I suppose isn't too bad) however I'm just concerned the value would keep dropping or remain the same over the next few years.

I have about £15,000 and I would like to buy more stocks; I'm considering TSLA and NFLX. Thoughts?

The high 3 figure value of a single AMZN or GOOGL stock is scary af; it is even worth looking at these considering how little I have to invest? Will there be a stock split soon? I know it sounds stupid but can one realistically expect decent growth if the stock value is high?
 
Hi all! I'm new to this so please bear with me! :)

Here is my portfolio; first shares I ever bought (between September 2015 and January 2016). I decided to invest in stocks because the money was sat in my ISA and I was hoping to get more returns. TBH honest I was scared shitless as I had no clue what I was doing despite doing quite a bit of research (I'm still a complete newbie). The reason I bought these specific stocks was because I was at least a bit familiar with the companies and their products, and I felt like I was making somewhat of an educated risk buying rather than buying from some random companies due to hype/word of mouth. Overall I'm happy I haven't lost any money but I do have a few questions;

Is it worth getting rid of DIS and purchasing something else? The dividends I've accrued on all 3 stocks is about half of what I've lost on the DIS stock (which I suppose isn't too bad) however I'm just concerned the value would keep dropping or remain the same over the next few years.

I have about £15,000 and I would like to buy more stocks; I'm considering TSLA and NFLX. Thoughts?

The high 3 figure value of a single AMZN or GOOGL stock is scary af; it is even worth looking at these considering how little I have to invest? Will there be a stock split soon? I know it sounds stupid but can one realistically expect decent growth if the stock value is high?
Good returns, you can't always win with all picks. I am not going to tell you to sell or not, since that is a decision you have to make. If you expect Disney to go higher later on, keep it. If not, sell. No use in holding it for the dividend, since it is only 1.5%. I have some stocks I am fine with holding even if they drop, but those are all 3%+ in dividend at current prices.

This trading you do is next to regular retirement funds? Because otherwise, I'd put that 15.000 in some ETFs and add to that every month.

The height of a stock does not matter. It is about the total value of the company. 10 stocks of $1000 or 1000 of $10, doesn't make a difference in returns, so don't look at that. What you need to look at is if you think it will go up still. For Amazon and Google, I am also thinking they are a bit high at the moment. Same with Netflix really. Tesla, no clue what to expect there. Lot of people here love Tesla though, and it is doing well for them.

If you want to get into tech, maybe have a look at Alibaba and Tencent. I am in those two and considering the Chinese market size think they will keep growing. But biased here, since I am holding them.

You do seem to focus a lot on tech stock. Might also want to look at some other sectors. Don't just stare at the hot tech stocks of the moment. Judging from the £ sign, you are in the UK? Keep in mind the currency risks with Brexit if you are going to buy foreign stocks.
 

Kal

Member
Good returns, you can't always win with all picks. I am not going to tell you to sell or not, since that is a decision you have to make. If you expect Disney to go higher later on, keep it. If not, sell. No use in holding it for the dividend, since it is only 1.5%. I have some stocks I am fine with holding even if they drop, but those are all 3%+ in dividend at current prices.

This trading you do is next to regular retirement funds? Because otherwise, I'd put that 15.000 in some ETFs and add to that every month.

The height of a stock does not matter. It is about the total value of the company. 10 stocks of $1000 or 1000 of $10, doesn't make a difference in returns, so don't look at that. What you need to look at is if you think it will go up still. For Amazon and Google, I am also thinking they are a bit high at the moment. Same with Netflix really. Tesla, no clue what to expect there. Lot of people here love Tesla though, and it is doing well for them.

If you want to get into tech, maybe have a look at Alibaba and Tencent. I am in those two and considering the Chinese market size think they will keep growing. But biased here, since I am holding them.

You do seem to focus a lot on tech stock. Might also want to look at some other sectors. Don't just stare at the hot tech stocks of the moment. Judging from the £ sign, you are in the UK? Keep in mind the currency risks with Brexit if you are going to buy foreign stocks.

Thanks for the advice. I do not have any retirement funds so maybe I should look at ETFs. I did consider them previously but naively thought they were riskier; how do you decide which ones to buy?

And yes I am in the UK :) I should really look into diversifying my portfolio.
 

Ether_Snake

安安安安安安安安安安安安安安安
You choose which to buy according to your desired portfolio distribution and their expense ratios, as well as their ability to properly track the index they are supposed to match.
 
I had and sold DIS last year and took a loss on it. I don't expect DIS to do much of anything. They have been a disappointing stock for several years now mainly because of the fading light of ESPN.
 
Thanks for the advice. I do not have any retirement funds so maybe I should look at ETFs. I did consider them previously but naively thought they were riskier; how do you decide which ones to buy?

And yes I am in the UK :) I should really look into diversifying my portfolio.
If I understand correctly, you have nothing set up for retirement yet? If so, I'd go to this thread and read up a bit: http://www.neogaf.com/forum/showthread.php?t=749978

The basic idea is you put aside money every month and put it in your index funds. Over time the market goes up and you end up with enough to retire on. Your 35.000 is a good deal of money and putting a part of that aside for now will generate a good return for you in the long term. I'm not from the UK, so I don't know the specific ways it goes there, but I imagine there are ways there also so it comes out good with taxes (basically, you will be taxed on the money when you pull it out, and not right now, so you can invest more in it. Downside is you need to set aside the money long term and can't pull it out before without fines).

When talking about ETFs it is mostly about index funds that track the total market or a piece of that. So you have an ETF for the total UK market, for Eurostox, S&P 500, World market, etc, etc. This is less risky, since it follows thousands of companies in one fund. That way you are diversified without having to buy all the individual companies. Just look out for the costs, you want a passive fund with like 0,10% expense ratio. Managed funds charge a lot more and you should ignore them.

For this I have 3 ETFs I put money in, one S&P 500, one Total World and one Eurostox. I'm Dutch, and our own market is a bit small and basically 3 companies dominating, so I didn't go in a local one (The Eurostoxx one does hold the largest companies from here anyway). For the UK one that follows the FTSE might be a good idea, but that should be your choice.

And then next to that I have some money in individual stocks to play around with (Daimler, Ahold, ArcelorMittal, Tencent and Alibaba mostly now).
 

Kal

Member
If I understand correctly, you have nothing set up for retirement yet? If so, I'd go to this thread and read up a bit: http://www.neogaf.com/forum/showthread.php?t=749978

The basic idea is you put aside money every month and put it in your index funds. Over time the market goes up and you end up with enough to retire on. Your 35.000 is a good deal of money and putting a part of that aside for now will generate a good return for you in the long term. I'm not from the UK, so I don't know the specific ways it goes there, but I imagine there are ways there also so it comes out good with taxes (basically, you will be taxed on the money when you pull it out, and not right now, so you can invest more in it. Downside is you need to set aside the money long term and can't pull it out before without fines).

When talking about ETFs it is mostly about index funds that track the total market or a piece of that. So you have an ETF for the total UK market, for Eurostox, S&P 500, World market, etc, etc. This is less risky, since it follows thousands of companies in one fund. That way you are diversified without having to buy all the individual companies. Just look out for the costs, you want a passive fund with like 0,10% expense ratio. Managed funds charge a lot more and you should ignore them.

For this I have 3 ETFs I put money in, one S&P 500, one Total World and one Eurostox. I'm Dutch, and our own market is a bit small and basically 3 companies dominating, so I didn't go in a local one (The Eurostoxx one does hold the largest companies from here anyway). For the UK one that follows the FTSE might be a good idea, but that should be your choice.

And then next to that I have some money in individual stocks to play around with (Daimler, Ahold, ArcelorMittal, Tencent and Alibaba mostly now).

Thanks again for the help!!!! I'll check out the thread. My plan now it to sort out retirement, then ETFs, and potentially more shares in the future.
 

Maxximo

Member
Haha I hope you did. It's going to go crazy if the governor of Puerto Rico actually agrees to let TSLA rebuild the entire PR power grid with Tesla Solar infrastructure.

Yeah bought @ 336$ and sold the day after...I don't know, I guess I'm just not confortable in owning this stock. xD

Now I'm thinking about buying and riding ATVI trough earnings.
 
Stopped out of Daimler. Don't know if that is smart, buying it back if it drops. Got like 8% on it, so that's fine. See if Randstad does well in earnings later this month. Economy is going well, so agencies like that should do fine.

And Alibaba setting new highs. See where that goes.
 
No clue why, but ArcelorMittal (steel) is up 5.65% suddenly today. Hopefully it sticks after the markets in the US opens. Finally in the green and setting a stop loss to lock it in. Took a few months, but hopefully it continues a bit now.
 

Atrus

Gold Member
So I've got $5000 in a TFSA (Canadian) and am not sure what to do in a market at all time highs.

I'm over-weighted in financials and everything promising has already been on a tear, up 40-50% for the year.

It's one of those times where you want to be in but have the unsettling feeling that you're going in the exact day of a pullback or sector turnover.

Any interesting ideas?

I'm thinking railroads like cp rail or cn rail.
 

Mrbob

Member
Wow at Celgene. Missed on earnings, lowered 2020 guidance and stock is getting crushed today. Also way down from all time high over 140. Might be shocker of the year.
 

otake

Doesn't know that "You" is used in both the singular and plural
I've been wondering.

In the US, everyone I know is in the stock market. Through their 401K or 401B or whatever. Even the old man who has a pension with the military has been investing in the stock market for the past 5 years or so.

Most of the people I know are in mutual funds and bond funds. target date, high income, blue chip funds. etc.

If most people are in the stock market doesn't that mean it's an ever increasing amount of buyers. It's not like there are other retirement options. The fact that there's more and more people buying the same stuff, doesn't that inevitably push prices higher.
 

longdi

Banned
Google and Amazon are rising to heaven after earnings report. ^^

Nice.

If we have bought those 5 years back, we can retire in peace! It is not like 5 years ago, we didnt know the potential of these 2, everyone googles and do black friday shopping!

Which new stock is the potential next Googazon? I cant miss that now!
 
I've been wondering.

In the US, everyone I know is in the stock market. Through their 401K or 401B or whatever. Even the old man who has a pension with the military has been investing in the stock market for the past 5 years or so.

Most of the people I know are in mutual funds and bond funds. target date, high income, blue chip funds. etc.

If most people are in the stock market doesn't that mean it's an ever increasing amount of buyers. It's not like there are other retirement options. The fact that there's more and more people buying the same stuff, doesn't that inevitably push prices higher.
I googled 'are too many people in the stock market' and literally the first result was this article stating that 'Not investing is an American problem for all age groups' :D
http://www.businessinsider.com/why-so-few-millennials-invest-in-the-stock-market-2016-7?IR=T

I think the 2008 crisis is still keeping people away from stocks.. Stock ownership is still lower now than it was before the crisis:
http://news.gallup.com/poll/211052/stock-ownership-down-among-older-higher-income.aspx
 

tokkun

Member
I've been wondering.

In the US, everyone I know is in the stock market. Through their 401K or 401B or whatever. Even the old man who has a pension with the military has been investing in the stock market for the past 5 years or so.

Most of the people I know are in mutual funds and bond funds. target date, high income, blue chip funds. etc.

If most people are in the stock market doesn't that mean it's an ever increasing amount of buyers. It's not like there are other retirement options. The fact that there's more and more people buying the same stuff, doesn't that inevitably push prices higher.

The attitude around stock ownership today is nothing like it was in the heyday of the dotcom bubble. Back then you had average joes quitting their jobs to do day trading. The closest thing I see to that level of irrational exuberance today is the cryptocurrency market, but thankfully it still seems to be relatively small and isolated enough that it won't kneecap the rest of the economy when it crashes.

I am more worried that people / groups who were already investors have shifted to more stock-heavy portfolios due to paltry bond yields. People these days do not want to use target date funds, because they think that even 90% stock allocation is not enough. Pension funds and retirees are exchanging bonds for stocks and taking on excess risk in order to meet their return targets.This has put us in a position where it is difficult to get back to sane bond yields without tanking stocks.
 
The attitude around stock ownership today is nothing like it was in the heyday of the dotcom bubble. Back then you had average joes quitting their jobs to do day trading. The closest thing I see to that level of irrational exuberance today is the cryptocurrency market, but thankfully it still seems to be relatively small and isolated enough that it won't kneecap the rest of the economy when it crashes.

I am more worried that people / groups who were already investors have shifted to more stock-heavy portfolios due to paltry bond yields. People these days do not want to use target date funds, because they think that even 90% stock allocation is not enough. Pension funds and retirees are exchanging bonds for stocks and taking on excess risk in order to meet their return targets.This has put us in a position where it is difficult to get back to sane bond yields without tanking stocks.

Isn’t it better if morey money goes into stocks than government bonds? After all, companies use the excess money to further their profitability by increasing productivity, thus investing in research and development.
 
Hey everybody. I've managed to save up a little cash over the last few years and im looking to learn to the stock market and invest. I am a complete noob, so everything is kinda new to me.

Im currently based in the UK and picked up the book 'shares made simple' by Rodney Hobson. Its a terrific book and one which is teaching me alot. Do you guys have any advice for a complete newbie.

Thanks a bunch .
 

otake

Doesn't know that "You" is used in both the singular and plural
Hey everybody. I've managed to save up a little cash over the last few years and im looking to learn to the stock market and invest. I am a complete noob, so everything is kinda new to me.

Im currently based in the UK and picked up the book 'shares made simple' by Rodney Hobson. Its a terrific book and one which is teaching me alot. Do you guys have any advice for a complete newbie.

Thanks a bunch .

The usual advice is that if you are young and want something simple and broad, invest in an S&P500 index fund.

I think the S&P500 is high and funds are expensive. Treasure bond funds are cheap and could get cheaper. I would buy what's cheap but this is not the kind of advice you will see often.
 

SMattera

Member
°°ToMmY°°;252954960 said:
Isn’t it better if morey money goes into stocks than government bonds? After all, companies use the excess money to further their profitability by increasing productivity, thus investing in research and development.

Only if they're investing in productive projects.

The problem with a stock bubble is that leads to bad investments. Companies using their inflated stock to buy other companies when it doesn't make sense. Workers going to companies that are ultimately doomed to fail because the stock options are too lucrative. Trash companies being able to raise money and go public without a solid business model, etc.
 

hurzelein

Member
What are your favourite European dividend stocks?

Single stocks if you have any recommendations, no index / dividend focused funds etc. please.
 

Azelover

Titanic was called the Ship of Dreams, and it was. It really was.
Big guys are moving out carefully.. if you have a lot of money in the stock market now I'd suggest taking some out and investing in other self-producing assets..

Don't trust your broker 100 per cent, he's looking after himself and honestly a lot of people in the markets can't tell you much. You have to study all the backgrounds and decide for yourself. what is the right thing..

If there was a downturn to happen, nobody would say it to you.. but very soon there will be a downturn, the rise of the stock market is partly being done in a way that can't be sustained, though for now it's very good.. but I will say this: there's clearly more selling than buying now, you just have to look closely. The central banks are buying a lot of these stocks with debt.. The whole thing is probably gonna go up quite a bit still, and the big companies will get more value, but with no question there will be a severe drop in the not too distant future. Everybody who is anybody is preparing.. you should too..
 

otake

Doesn't know that "You" is used in both the singular and plural
Big guys are moving out carefully.. if you have a lot of money in the stock market now I'd suggest taking some out and investing in other self-producing assets..

Don't trust your broker 100 per cent, he's looking after himself and honestly a lot of people in the markets can't tell you much. You have to study all the backgrounds and decide for yourself. what is the right thing..

If there was a downturn to happen, nobody would say it to you.. but very soon there will be a downturn, the rise of the stock market is partly being done in a way that can't be sustained, though for now it's very good.. but I will say this: there's clearly more selling than buying now, you just have to look closely. The central banks are buying a lot of these stocks with debt.. The whole thing is probably gonna go up quite a bit still, and the big companies will get more value, but with no question there will be a severe drop in the not too distant future. Everybody who is anybody is preparing.. you should too..

  • Brokers make money off transactions, if were being cynical , they would be advising people to sell now.
  • If there were more selling than buying then why is the index rising? When there's more selling than buying prices go down, not up.

There's a lot of money automatically coming into the stock market every month. Bond yields remain terrible, real estate is expensive, interest rates remain low, stocks are expensive. I can't think of where to go that's cheap right now.....

international is a joke...
 
Is Crypto currencies worth the investment? I know bit coin is skyrocketing at the moment.

Bitcoin isn’t an investment. It’s just pure speculation, the only reason it’s going up is that demand is higher than the offer, thus inflating the price. An investment by definition has to generate a cash flow, bitcoin doesn’t.
 

glddrgn

Member
°°ToMmY°°;253005127 said:
Bitcoin isn’t an investment. It’s just pure speculation, the only reason it’s going up is that demand is higher than the offer, thus inflating the price. An investment by definition has to generate a cash flow, bitcoin doesn’t.

Call it what you will, speculation or investment, but cryptocurrency has definitely generated dollars... and value.

But before you invest, like everything else, you should first research it. It's very volatile, so you should make sure you believe in it for the long term. And there are 1000+ cryptocurrencies out there, so you got your work cut out for you. I switched over all my stocks (amd, nvda, fb, s&p, googl, ... have been very good to me the last 6 years) over to Bitcoin, Ethereum, Dash,... earlier this year. Checkout the Neogaf thread too.
 

Atrus

Gold Member
Call it what you will, speculation or investment, but cryptocurrency has definitely generated dollars... and value.

But before you invest, like everything else, you should first research it. It's very volatile, so you should make sure you believe in it for the long term. And there are 1000+ cryptocurrencies out there, so you got your work cut out for you. I switched over all my stocks (amd, nvda, fb, s&p, googl, ... have been very good to me the last 6 years) over to Bitcoin, Ethereum, Dash,... earlier this year. Checkout the Neogaf thread too.


Aside from the increase in value generated from speculation fueling demand, what value does any given cryptocurrency create? What is the ROI of a cryptocurrency outside of said speculation?
 
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