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    Tuesday, June 5, 2018

    It's moronic Monday, your chance to ask any of those lingering questions without fear of harassment. Investing

    It's moronic Monday, your chance to ask any of those lingering questions without fear of harassment. Investing


    It's moronic Monday, your chance to ask any of those lingering questions without fear of harassment.

    Posted: 04 Jun 2018 05:05 AM PDT

    We encourage all our visitors to ask those investing related questions they were always too afraid to ask.

    The members of /r/investing are here to answer and educate!

    NOTE If your question is "I have $10,000, what do I do?" or anything similar. There is no single answer to this question, but we will also need A LOT MORE information if we are to give some sort of answer

    • How old are you?
    • Are you employed/making income? How much?
    • What are your objectives with this money? (buy a house? Retirement savings?)
    • What is your risk tolerance? (Do you mind risking it at blackjack or do you need to know its 100% safe?)
    • What are you current holdings? (Do you already have exposure to specific funds and sectors?)
    • Any other assets? House paid off? Cars? Expensive girlfriend? (not really an asset)
    • What is your time horizon? Do you need this money next month? Next 20yrs?
    • Any big debts?
    • Any other relevant financial information will be useful to give you a proper answer.

    Be aware that these answers are just opinions of Redditors and should be used as a starting point for your research. You should strongly consider seeing a registered financial rep before making any financial decisions!

    submitted by /u/AutoModerator
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    Mexico set to impose 20% tariff on US pork legs on June 6th

    Posted: 04 Jun 2018 08:41 PM PDT

    For reference: the June contract for lean hogs futures expires on June 14th. Could get interesting if Mexican importers decide to front-run the tariffs tomorrow

    submitted by /u/Lost_in_Adeles_Rolls
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    Tesla has refunded nearly 23% of all Model 3 reservation deposits in the US

    Posted: 04 Jun 2018 03:17 PM PDT

    Netflix Market Cap has doubled in 6 months - Could we hit 1999-style tech valuations again soon?

    Posted: 04 Jun 2018 06:29 AM PDT

    Twitter getting added to S&P 500; Stock jumps 4% afterhours

    Posted: 04 Jun 2018 03:36 PM PDT

    If your portfolio could only consist of 1-10 single stocks (no ETF's) for the next 30 years, what would you choose and how would it be weighted?

    Posted: 04 Jun 2018 11:33 AM PDT

    California Cities Keep Declaring Fiscal ‘Emergencies,’ and Investors Are in on It

    Posted: 05 Jun 2018 03:48 AM PDT

    McDonald’s is making a big bet on self-service kiosks

    Posted: 04 Jun 2018 12:34 PM PDT

    Any Good Podcasts?

    Posted: 05 Jun 2018 03:18 AM PDT

    Does anybody know of a good daily or weekly (preferably morning) podcast? Looking for something that gives a recap of the market from the prior day, but also gives insight on the long-term and secular trends. Also interested in views/opinions on different asset classes (international equity vs u.s. equity for example, different types of fixed income instruments and their uses, ESG, REITs, and other real asset strategies). Much appreciated in advance!

    submitted by /u/mlorusso12
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    'Carbon bubble' could spark global financial crisis, study warns | Advances in clean energy expected to cause a sudden drop in demand for fossil fuels, leaving companies with trillions in stranded assets

    Posted: 04 Jun 2018 12:45 PM PDT

    https://www.theguardian.com/environment/2018/jun/04/carbon-bubble-could-spark-global-financial-crisis-study-warns

    The existence of a "carbon bubble" – assets in fossil fuels that are currently overvalued because, in the medium and long-term, the world will have to drastically reduce greenhouse gas emissions – has long been proposed by academics, activists and investors. The new study, published on Monday in the journal Nature Climate Change, shows that a sharp slump in the value of fossil fuels would cause this bubble to burst, and posits that such a slump is likely before 2035 based on current patterns of energy use.

    Crucially, the findings suggest that a rapid decline in fossil fuel demand is no longer dependent on stronger policies and actions from governments around the world. Instead, the authors' detailed simulations found the demand drop would take place even if major nations undertake no new climate policies, or reverse some previous commitments.

    That is because advances in technologies for energy efficiency and renewable power, and the accompanying drop in their price, have made low-carbon energy much more economically and technically attractive.

    Setting aside concerns about financial crisis, this sure seems like a compelling reason to divest from oil-based energy stocks. But it also seems to me that it doesn't actually argue in favor of investing in clean energy tech because prices are dropping so quickly and solar/wind has gotten totally commodified.

    submitted by /u/unfixablesteve
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    How is CSPX (S&P ETF) outperforming the S&P500 by 13% (over 5 years)?

    Posted: 05 Jun 2018 12:15 AM PDT

    So I'm investing in a S&P 500 ETF and I've had a look at a few. Primarily SPY, VOO and CSPX. I'm thinking of CSPX because it re-invests your dividend payments automatically. But one thing I'm worried about is that it's outperforming the S&P500. I'm worried because although it's good now, during the tough times I assume it could do worse than the S&P500 by a large margin as well. In comparison SPY and VOO are within 1% over a 5 year period. I thought it may be due to a currency conversion (since it's on the london stock exchange and I'm buying it from the UK), however, the actual share is traded in USD so I'm not sure why that would be the case. On their actual website (https://www.ishares.com/uk/individual/en/products/253743/ishares-sp-500-b-ucits-etf-acc-fund) I think it even mentions it's hedged.

    submitted by /u/MoronInGrey
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    Personal Savings Rate down to 2005 levels

    Posted: 04 Jun 2018 01:27 PM PDT

    Yes I know the title is click-baity but I didn't know how else to put it.

    This is a chart of the % of disposable income put toward savings in the U.S. compared to inflation and prevailing 3 month CD rates.

    As is clear, it was a secular downtrend until Q3 2005 starting what was to be an 8 year upward drift to the savings rate of Q2 1992. Ironically, the inflation rate in both periods was the almost identical.

    What I found interesting is that savings % tend to spike when CD Rates are lowered which is probably because CD Rates would fall in recessions which is when savings would spike.

    I am not saying we are heading for disaster but if savings rise when the public thinks things are getting bad and fall when the public thinks there are better times ahead, then it seems public sentiment definitely is towards "things are looking up!" which has historically been the time just before recessions.

    edit: it seems to be that people took on too much debt and now that rates are rising, they just don't have the money to save. Forget investing, people seem to be running out of debt carrying capacity.

    submitted by /u/wanmoar
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    Bayer to retire Monsanto name

    Posted: 04 Jun 2018 06:43 AM PDT

    Merrill Edge blocks you from buying certain stocks... what now?

    Posted: 05 Jun 2018 02:58 AM PDT

    Posted this originally on /r/stockmarket, but there are more people here so maybe I can get a quicker answer... =)

    I have a few investments that I've had for a while, and a few weeks ago began studying again and really deciding to focus on growing my portfolio. However, after reviewing $ROBO for a bit I decided to buy a few shares... but I got this:

    "This security is currently blocked and unavailable for trading."

    Apparently after doing a bit of research, Merrill Edge BLOCKS certain stocks that you can buy... fuck.

    What do I do now?

    I downloaded the Robinhood app and really like it, I could do that. But then what... move all my shares from Merrill Edge over to Robinhood? Or leave them there and only buy the new ones I want to buy (ROBO) on Robinhood?

    Are there other websites / apps to use to buy stocks that don't restrict you?

    submitted by /u/whatwouldnietzschedo
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    Is investing in cryptocurrency still worth it?

    Posted: 05 Jun 2018 01:30 AM PDT

    The drastical reduction in the prices of Cryptocurrencies presently is making me skeptical. I want to know from the community if it's still okay to invest some funds in cryptocurrencies.

    submitted by /u/Esant11
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    Where to park funds until tax time

    Posted: 04 Jun 2018 09:41 PM PDT

    Hello! Fairly novice investor here.

    So I've got an extra ~60k from a capital gain that I know I will owe come tax time next year, but I'd rather not have it sit around and lose out to inflation.

    I've already index funds etc in my regular investing account but I don't really want to risk losing the money so what safe investments are a good option here?

    Should I just park it in a 6 month duration bond(s) or CD? If so, does anyone have any particular ones they recommend?

    Or should I just dump it in with my other investment money and sell out at tax time and take the risk?

    I'm open to any suggestions - I'm sure there are a lot of options I'm not aware of. Thanks!

    submitted by /u/boosoft
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    How to not forget to look again if a company goes public?

    Posted: 04 Jun 2018 09:11 PM PDT

    I mean, maybe this is as easy as using some sort of portfolio tracker, but I'm kicking myself because 3 or 4 years ago, I thought Square was awesome and going to be a big deal, and I looked and it wasn't public. Then I never looked again. Is there a way to get alerts when a private company issues an IPO?

    This has happened with a few others as well, and I'm kicking myself. Other than making a list and checking it periodically, is there another way to do this?

    submitted by /u/wastedkarma
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    Should I keep my ETFs in Robinhood?

    Posted: 04 Jun 2018 08:46 PM PDT

    So here's the deal. I have a life cycle fund 401k through work which I contribute the max match. I have a Roth IRA in which I have mainly sector focused mutual funds which I max every year. Then, I have a Robinhood account which I hold VOO, VBK, ITA, QQQ, and a handful of blue chips with a few speculation plays.

    My thinking lately, is that I should cut the ETFs from my Robinhood account, to put those funds into my IRA to get tax advantage and then just keep Robinhood as a play account. What are your thoughts on this?

    submitted by /u/rdavis787
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    If an IPO is to raise capital, are there any examples of large companies that reverse IPO?

    Posted: 04 Jun 2018 10:33 PM PDT

    When a company holds an IPO and sells say 1M stock and retains say 2M stock for future growth, suppose they want to buy back all outstanding shares and not be a public company. Can it be done?

    TL;DR

    • Private ---> Public : IPO
    • Public ---> Private : Reverse IPO?
    submitted by /u/Timelapze
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    Moving brokerage from TD Ameritrade to Vanguard?

    Posted: 04 Jun 2018 06:42 PM PDT

    Looking to invest in VTSAX in my brokerage account but is unavailable on TD Ameritrade. Is it worth it to switch to Vanguard? Anyone else with similar experience? I have previously purchased VTI on TD Ameritrade but seems like going the mutual fund route (VTSAX vs. VTI) is worth it.

    submitted by /u/majurets
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    Rolling as old Fidelity 401k, stick with Fidelity or go elsewhere?

    Posted: 04 Jun 2018 06:16 PM PDT

    I have an E Trade brokerage account and I see they offer IRAs now. I know Fidelity is fairly decent for retirement accounts. I am planning to roll into a rollover IRA and continue contributing into it the account bi weekly.

    I am not knowledgeable enough to know if what I'm currently invested in ( AF TRGT DATE 2045 R6 (RFHTX) ) is something I should just stay in. From what I was told it has lower fees. My plan was to put half of the roll over into VOO/VTI and find something else to do with the other half.

    Stick with Fidelity? Start up with E Trade? Check out Vanguard?

    I know these are basic questions and will annoy half the sub, but I'm trying to get my finances back under control with very limited time so I gotta do what I gotta do.

    The 401k is about $50K and my wife and I are in a high tax bracket.

    Thanks.

    submitted by /u/j_will_82
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    Recession Signals: The Yield Curve vs. Unemployment Rate Troughs (St. Louis FED article)

    Posted: 04 Jun 2018 06:29 AM PDT

    In early May 2018, The Wall Street Journal asked professional forecasters to predict when the next recession would begin. Nearly 6 in 10 answered that the next recession will begin sometime in 2020. [...] Overall, both indicators tend to be reliable signals of a coming recession. But as with all recession signals, the wise economic analysts should examine many indicators rather than betting the farm on one or two.

    Full article at:

    https://research.stlouisfed.org/publications/economic-synopses/2018/06/01/recession-signals-the-yield-curve-vs-unemployment-rate-troughs/

    submitted by /u/InvertedYieldCurve
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    What's the difference between Vanguard Target Retirement 2050 Fund (VFIFX) and Vanguard Target Retirement Trust Select (VTRS50)?

    Posted: 04 Jun 2018 03:33 PM PDT

    What's the difference between the two funds? I have a ROTH IRA with 100% VFIFX and noticed my work 401k now offers VTRS50. Should I do the same and reinvest 100% VTRS50? Are they the same/similar?

    submitted by /u/cenoob
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    Too late to enter ADBE?

    Posted: 04 Jun 2018 08:23 PM PDT

    Planning to enter ADBE with a quite large (for me) sum, around 15k. It's not fomo, I really use and trust adobe. Also not gonna chicken out @dips. Problem is it is waaay overpriced. Why the hell is this overpriced. Why are people willing to pay 252$ per share?

    If it falls back to 170-200 (normal price range) and as i'm planning this on long term 1-3 years, will it bounce back to 250-300? Excuse the stupidity, begginer here.

    submitted by /u/weltscheisse
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    What stops tech from eating everything else?

    Posted: 04 Jun 2018 01:44 PM PDT

    Uber/Lyft and various similar plats in other markets and in trucking is eating transportation

    Amazon is eating retail and CPG

    Netflix is eating traditional broadcasting

    Spotify is eating music records/radio

    Facebook and Google are eating traditional advertising

    Apple is eating PCs and phones

    AirBnB is eating hotels

    Yelp/Urban Spoon is eating traditional QSR brands due to customer ratings

    It seems like today nearly every sector is ripe to disruption and traditional businesses are getting destroyed left and right or at best barely holding on due to legacy infrastructure, marketing and distribution. The 10 larges tech companies have a combined revenue of 1 trillion and is still growing on average by 20%, compared to the S&P500 at 5-8%.

    submitted by /u/vegaseller
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