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    Thursday, October 31, 2019

    Daily Advice Thread - All basic help or advice questions must be posted here. Investing

    Daily Advice Thread - All basic help or advice questions must be posted here. Investing


    Daily Advice Thread - All basic help or advice questions must be posted here.

    Posted: 30 Oct 2019 05:12 AM PDT

    If your question is "I have $10,000, what do I do?" or other "advice for my personal situation" questions. If you are going to ask how to invest you should include relevant information, such as the following:

    • 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 significant other?
    • 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.

    Please consider consulting our FAQ first - https://www.reddit.com/r/investing/wiki/faq

    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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    Apple earnings: Revenue: $64 billion vs. $62.99 billion estimate. EPS: $3.03 vs. $2.84 estimate.

    Posted: 30 Oct 2019 04:11 PM PDT

    Revenue: $64 billion vs. $62.99 billion estimate.

    EPS: $3.03 vs. $2.84 estimate.

    Q1 revenue guidance: $85.5 billion to $89.5 billion vs. $86.92 billion estimate.

    iPhone revenue: $33.36 billion vs. $32.42 billion estimate.

    Services revenue: $12.51 billion vs. $12.15 billion estimate.

    https://www.cnbc.com/2019/10/30/apple-aapl-earnings-q4-2019.html

    submitted by /u/wballz
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    US GDP rose 1.9% in the third quarter, vs 1.6% growth expected

    Posted: 30 Oct 2019 05:32 AM PDT

    U.S. gross domestic product — the broadest measure of the U.S. economy — grew faster than expected in the third quarter at an annualized rate of 1.9%, according to the U.S. government.

    https://www.cnbc.com/2019/10/30/us-gdp-q3-2019-first-reading.html

    submitted by /u/Publicks
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    Fed cuts rates but indicates a pause is ahead

    Posted: 30 Oct 2019 11:02 AM PDT

    A ‘growing club’ of ‘very powerful countries’ is steering away from using the dollar

    Posted: 30 Oct 2019 09:39 PM PDT

    https://www.cnbc.com/2019/10/31/de-dollarization-russia-china-eu-are-motivated-to-shift-from-using-usd.html

    The U.S. dollar has been the world's major reserve currency for decades, but that status could come under threat as "very powerful countries" seek to undermine its importance, warned Anne Korin, from the Institute for the Analysis of Global Security.

    Korin says China, Russia and the European Union are some "major movers" behind this push.

    One of those reasons driving their shift away from the dollar is the prospect of being subject to U.S. jurisdiction if they transact in dollars.

    submitted by /u/coolcomfort123
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    You're the product at your brokerage now

    Posted: 30 Oct 2019 08:20 PM PDT

    The saying goes: "when the service is free, you're not the customer. You're the product."

    As commissions fall to zero across the major online brokerages, how are we being monetized already (mutual fund fees, what else?) And how are we going to be monetized in the near future that we aren't even thinking about yet?

    I just keep wondering when I'm going to find the drain on my investments that I didn't realize existed. Because nothing's free.

    submitted by /u/orion2145
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    Manufacturing Is Now Smallest Share of U.S. Economy in 72 Years

    Posted: 30 Oct 2019 06:39 AM PDT

    What is your cash position currently?

    Posted: 30 Oct 2019 05:10 PM PDT

    Do you keep a percentage of your investment account in cash or are you building a cash position in the event of a drawback?

    submitted by /u/Drewcrew12
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    SPY all time high - BRK YTD return lower than inflation

    Posted: 30 Oct 2019 03:01 PM PDT

    YTD Berkshire is returning its lowest return since 1997 at 1.88% below 2.12% inflation. Meanwhile the S&P 500 returns YTD 20.44%.

    Buffett on his underperformance https://www.youtube.com/watch?v=4zpAgROp8dw

    submitted by /u/gymaliz
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    General Electric shares jump after earnings beat, company raises 2019 cash flow forecast

    Posted: 30 Oct 2019 04:40 AM PDT

    https://www.cnbc.com/2019/10/30/general-electric-earnings-q3-2019.html

    EPS: adjusted 15 cents a share, vs. 11 cents a share expected, according to analysts surveyed by Refinitiv.

    Revenue: $23.36 billion, vs. $22.93 billion expected, according to analysts surveyed by Refinitiv.

    GE's closely watched industrial free cash flow (FCF), which is used as a gauge of efficiency, totaled $650 million.

    submitted by /u/coolcomfort123
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    VTWAX for Roths. VTSAX/VTIAX for Brokerage. Why?

    Posted: 30 Oct 2019 02:12 PM PDT

    Since VTWAX was recently introduced this year, this seems to be the ideal plan for apparently tax reasons.

    Can anybody go into detail on why that is?

    submitted by /u/tyoooo92
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    Facebook stock rises on better-than-expected revenue and earnings

    Posted: 30 Oct 2019 01:11 PM PDT

    https://www.cnbc.com/2019/10/30/facebook-fb-q3-2019-earnings.html

    Earnings: $2.12 vs. $1.91 per share forecast by Refinitiv.

    Revenue: $17.65 billion vs. $17.37 billion forecast by Refinitiv.

    Daily active users: 1.62 billion vs. 1.61 billion forecast by FactSet.

    Monthly active users: 2.45 billion vs. 2.45 billion forecast by FactSet.

    Average revenue per user: $7.26 vs. $7.09 forecast by FactSet.

    submitted by /u/coolcomfort123
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    If you had to invest your entire life savings on one stock for the next year, which stock would it be?

    Posted: 31 Oct 2019 04:29 AM PDT

    Hong Kong's first recession in a decade could be even worse than feared

    Posted: 31 Oct 2019 04:26 AM PDT

    https://www.cnn.com/videos/media/2019/10/30/hong-kong-recession-10-years-pkg-vpx.cnn

    Hong Kong plunged into recession in the third quarter, according to official data released Thursday. The economy shrank 3.2% during the three months to September, compared to the previous quarter. That's a sharp slowdown from the 0.5% contraction recorded in the second quarter, and much worse than economists had expected.

    submitted by /u/MrCrickets
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    Why Foreign Investors are Putting Their Money in Thailand?

    Posted: 30 Oct 2019 12:30 PM PDT

    I just want a foreigner point of view for educational purposes. I live in Thailand, and I do not believe that Thailand and its Thai Baht is not a good investment, definitely in the upcoming years. In my opinion as a Thai person:

    1) Our prime minister, general Prayut Chanocha, is not capable of managing the country. He has no idea about economic and the strength of the Baht is rising unnecessarily.

    2) Our prime minister is hurting the country by borrowing unnecessarily funds for his unnecessary campaigns.

    3) The Thai's economy internally is extremely bad. Nobody is using their money. Most of the companies (in the Thai stock market) are performing not so well. Most companies profit are reduced to like less than half this year compared to last year.

    4) The Thai's economy externally, export, is not performing well because the strength of the Thai baht and the weaknesses of Thailand's trade partners currency.

    5) Thai companies are laying off workers because of the bad economy.

    6) Thailand's household debt is so high right now. Combining with the layoff workers, financial institutions have a high chance of not recieving their money back.

    7) Thai's household debt is mainly comprised with assets that are not capable of making a return (eg. house, car, mortorcycle)

    submitted by /u/suddenforce
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    What do we do if interest rates go negative?

    Posted: 30 Oct 2019 08:35 PM PDT

    If the Fed cuts rates over the next years down to 0% and then potentially -X%, what are we supposed to do with our investments? Would buying long term bond funds before this happens be the way to go? What are you supposed to do with your non-tax deferred investments also? I don't think Mr. Market likes negative rates in the long run.

    submitted by /u/gallonsoficecream
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    Starbucks beats same-restaurant sales estimates on digital push

    Posted: 30 Oct 2019 01:40 PM PDT

    https://www.nasdaq.com/articles/starbucks-beats-same-restaurant-sales-estimates-on-digital-push-2019-10-30

    'Oct 30 (Reuters) - Starbucks Corp SBUX.O beat quarterly same-restaurant sales estimates on Wednesday, as the world's largest coffee chain's loyalty program and new delivery options boosted demand and helped fend off competition, especially in the U.S. and China.

    Shares rose 3% in extended trading after as of the Seattle-based company also forecast 2020 comparable restaurant sales largely above estimates.

    Starbucks has beefed up its "Rewards" program with perks including access to Happy Hours events and the ability to skip lines with a mobile payment option as it battles rising competition from niche independent coffee shops in the United States, as well as local startups such as Luckin Coffee LK.N in China.

    The program saw its active membership in the United States jump 15% to 17.6 million in the fourth quarter.

    Sales at restaurants open for at least 13 months rose 5% in the fourth quarter ended Sept. 29. Analysts had forecast same-store sales growth of 3.95%, according to IBES data from Refinitiv.'

    submitted by /u/ShaidarHaran2
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    France outshines Germany as euro zone economic gloom deepens

    Posted: 31 Oct 2019 03:54 AM PDT

    https://www.saltwire.com/business/reuters/france-outshines-germany-as-euro-zone-economic-gloom-deepens-369815/

    France saw national output rise 0.3% in the third quarter - defying forecasts for slightly slower growth - as unemployment in Germany rose faster than expected and its chambers of commerce warned that exports would shrink next year for the first time since the financial crisis as trade friction mounts.

    submitted by /u/MrCrickets
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    Twitter Shares Fall on Move to Ban Political Ads

    Posted: 31 Oct 2019 03:27 AM PDT

    Shares of Twitter Inc. fell in after-hours trading after the company announced it is banning all political ads.

    The new policy was revealed in a series of tweets from the social media titan's CEO Jack Dorsey.

    "We've made the decision to stop all political advertising on Twitter globally," he wrote. "We believe political message reach should be earned, not bought."

    Twitter's new policy begins Nov. 22.

    Twitter shares stood at $29.52 in after-hours trading, down 1.2%.

    https://www.thestreet.com/investing/twitter-shares-fall-after-it-bans-political-ads-15147305

    submitted by /u/worldnews_is_shit
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    How to setup Twitter to stream the latest economic releases and breaking news

    Posted: 30 Oct 2019 05:27 PM PDT

    I wrote a guide here on how to setup Twitter / Tweetdeck to have a clean and concise live streaming news feed that caters to traders who are impacted by economic data and breaking news.

    How to setup Twitter to stream the latest currency and economic news in 2019 and 2020

    I hope people find it useful and I'm looking for any feedback you might have regarding which sources might be good to add to the list I provided.

    Let me know what you think. :D

    submitted by /u/finance_student
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    Stop loss or Tail-hedging with Put options?

    Posted: 30 Oct 2019 11:09 PM PDT

    What's the most recommended strategy? using a stop loss to get out of the market or use Put options to reduce drawdowns? I am a long term investor.

    submitted by /u/gymaliz
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    Looking for business ideas related to investments

    Posted: 31 Oct 2019 02:06 AM PDT

    I am looking for ideas on how I can earn more income by doing similar activities or similar businesses while not doing the same things that I already am doing.

    I have been in technology professionally from 2001-2018. On the side, I have been investing in the stock market since my first corporate technology job in 2001; but most of my earlier years were really just doing my best as a novice retail trading that gained a lot of experience while paying fat "tuition fees". In 2016, however, I finally pieced together an operation (my principles, my approach to analyzing instruments that I trade, trade strategy, risk management and compounding) that has thus far been consistently successful. I opened a new non-retirement account with about $70,000 in 2016. By 2018, I had grown the account to $500,000. That is when I decided to leave my corporate job to operate in the stock market as a business full time. To minimize my burn rate and potential risk of losing my house if things go horribly wrong, I sold my house that same year. The house netted me $300,000 from the sale. I utilized that $300,000 into my trading account for a total of $800,000 to operate with. I have since been renting an apartment for a roof over my head and I have grown my account to about $1,150,000.

    Most of my trading requires me to wait after my trade plan has been executed. This means I have a lot of time on my hands that I try to use productively. So, everyday via an online private group chat (and web conference as needed) I mentor 16 other amazing and wonderful individuals in compounding their financial wealth for free. I have been mentoring some of these individuals for about 1.5 years. Their returns range from 30% to 100% over a one year period. If I were not confident about my operation, I would not have mentored them in the first place. I am passionate and very skilled at how I operate, and I believe in lifting up good people; and I would want to continue doing this until my time is up.

    I considered managing other people's portfolios, but the cost and complexities of managing other people's money as a licensed firm is not really where I want to go.

    I love teaching and have considered teaching others for a fee; but I believe courses in class room settings are not sufficient. Like plumbers or electricians that require long term apprenticeships before they start their own businesses, I also believe commitment of mentorship for 1 to 2 years would be needed to help someone learn to fish on their own consistently and successfully in the stock market. The individuals I have been mentoring for the past year and a half has been for free. I feel great about the quantitatively impactful value that I am adding to their lives and I enjoy it; but ironically, I do not want to provide mentorship as a full-fledged business because it would suck up too much of my energy and time. This is why I am frustrated and looking for business ideas that are related to what I am doing; but not doing exactly the same thing.

    Any constructive feedback would be greatly appreciated.

    Thanks in advance.

    submitted by /u/thatswhatshesaidtwss
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    Opinions on alibaba

    Posted: 30 Oct 2019 11:56 PM PDT

    Wanted to get some of your guys' opinion on alibaba as a medium to long term hold (1-3 years). It's my favourite out of the bigger Chinese stocks... or would you play $kweb and $fxi instead?

    submitted by /u/dunkaroojk
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    Private payrolls increase by 125,000 in October, topping expectations

    Posted: 30 Oct 2019 05:41 AM PDT

    Companies hired 125,000 employees in October, data released Wednesday by ADP and Moody's Analytics showed.

    Economists polled by Dow Jones expected an increase of 100,000 payrolls.

    Medium-sized businesses, those employing between 50 and 499 people, led the pace of hiring as their payrolls expanded by 64,000.

    However, September payrolls were revised down by 42,000 to 93,000. On Oct. 2, ADP and Moody's Analytics said September payrolls had risen by 135,000.

    https://www.cnbc.com/2019/10/30/us-private-payrolls-october-2019.html?__source=iosappshare%7Ccom.apple.UIKit.activity.CopyToPasteboard

    submitted by /u/NineteenEighty9
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    How to analyze a stock signal app to find search criteria?

    Posted: 30 Oct 2019 10:59 PM PDT

    Recently I stumbled across a stock signal app on Instagram that I've been checking out. I'm doing their free 7 day trial to see what their deal is.

    If you couldn't guess, they release signals of stocks with a buy below price, and a sell above price. They have a historical list that show closed signals. Of the 20 most recent signals, 18 reached their target with an average of 3.74% gain. The 2 that didn't reach their target averaged a 7.28% loss. The reason the losses are so much higher is because the signal comes with a stop loss price, and if the stock falls below that price then it is deemed closed. The stop loss prices they use however are often pretty ridiculous for some stocks (Example that I saw: Buy below- $203.26. Stop loss- $152.36)

    I've always been a trader that likes to do my own due diligence when it comes to trading. While I feel that this app historically is quite successful, I still would like to do my own research. I'm very curious as to what the selection criteria is in order for the app to open a signal. I never want to rely on one source to provide the information I need, as I would rather learn it myself.

    My question is pretty straight forward. Would it be possible to use the historical data that this app provides to come up with a list of indicators that explain why a certain stock gets alerted?

    Thanks everyone!

    submitted by /u/tozli
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