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    Thursday, October 29, 2020

    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: 28 Oct 2020 05:11 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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    Boeing Cutting More Jobs in Response to Pandemic

    Posted: 28 Oct 2020 11:43 AM PDT

    The company expects to reduce its headcount by another 11,000, including 7,000 layoffs, on top of almost 20,000 already announced and end next year with around 130,000 employees, about 40% less than when it merged with McDonnell Douglas in 1997.

    The collapse in airline traffic and reduced aircraft production have already cost the U.S. aviation industry around 100,000 jobs so far this year and another 220,000 are at risk, according to the Aerospace Industries Association, a trade group.

    https://www.wsj.com/articles/pandemic-drives-more-boeing-job-cuts-11603887197?mod=latest_headlines

    submitted by /u/radkapital1
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    Discussion on the massive 3.5% drop in the markets today

    Posted: 28 Oct 2020 01:20 PM PDT

    Given this is an investing forum with 1.2m members, I figure we should have a discussion on the drop today. I would like to hear from the community about their thoughts. Here are some questions to get started:

    1. Q3 GDP numbers are out tomorrow. Does this coincide with that? Is the drop related to the predicted GDP performance?
    2. Some articles tie this to rising case numbers, but they have been rising for weeks now. What has changed today?
    3. Bonds stayed put or slightly increased, while gold dropped a point and half. So are people selling and moving into bonds?
    submitted by /u/purplebrown_updown
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    Consumer Reports: Tesla Autopilot 'a distant second' to GM's Super Cruise in hands-free test

    Posted: 28 Oct 2020 12:22 PM PDT

    Tesla Autopilot 'a distant second' to GM's Super Cruise in hands-free test: Consumer Reports

    DETROIT (Reuters) - General Motors Co's (GM.N) Super Cruise once again edged Tesla's (TSLA.O) Autopilot in an evaluation of 17 vehicles equipped with active driving assistance systems (ADAS) by Consumer Reports, the testing organization said on Wednesday.

    A Tesla Model Y fitted with Autopilot finished "a distant second," the group said, to a Cadillac CT6 equipped with Super Cruise, which GM is rolling out to more than 20 vehicles - including its new Hummer electric pickup truck - over the next three years.

    Safety and insurance researchers have frequently warned of the risks of consumers overestimating ADAS systems' abilities, a misconception increased by some automakers calling their products Autopilot, ProPilot or Co-Pilot.

    In 2018, the Cadillac CT6 with Super Cruise scored higher than a Tesla Model 3 with Autopilot, in a Consumer Reports test of just four vehicles equipped with ADAS.

    In the latest test, conducted this summer on a track and on public roads, the Cadillac scored 69 points out of a possible 100, while the Tesla scored 57. A Lincoln Corsair equipped with Ford Motor Co's (F.N) Co-Pilot 360 system, finished third with 52.

    The critical difference in the Super Cruise system is a driver-facing infrared camera to make sure he or she is paying attention to the road and is ready to take over manual control when necessary, said Kelly Funkhouser, head of connected and automated vehicle testing at Consumer Reports.

    The group noted that Autopilot can shut off abruptly in some situations, while Super Cruise did a better job of notifying the driver when the system is disengaging.

    In recent European safety testing, a Tesla Model 3 with Autopilot placed sixth out of 10 systems, getting high marks for performance and ability to respond to emergencies, but falling short on its ability to maintain a driver's focus on the road.

    https://www.reuters.com/article/us-autos-selfdriving-safety-idUSKBN27D1B7

    submitted by /u/MoesBAR
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    EQQQ or EQEU

    Posted: 29 Oct 2020 02:26 AM PDT

    Hi guys,

    Looking to buy an ETF tracker to follow the Nasdaq 100 as well as possible. Since I'm a European investor, there's also a currency risk to be considered. Someone that can explain me the pro's and cons of buying EQQQ vs EQEU?

    Any recommendations are welcome. Thanks.

    submitted by /u/Teezyy12
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    Pinterest +23% after global jump in users, revenues in Q3

    Posted: 28 Oct 2020 02:12 PM PDT

    Pinterest (NYSE:PINS) has jumped 23.8% and counting postmarket after easily clearing analyst expectations with its Q3 earnings, with a heavy rise in international users along with some continuing high-margin growth at home.

    That user growth was paired with revenues that rose 58% to $443M. While U.S. revenues increased 49% to $374M, international revenues increased 145%, to $69M.

    GAAP net loss improved to $94.2M from a year-ago loss of $124.7M.

    And EBITDA rose to $93M from a prior-year $3.9M.

    Monthly active users jumped 37% overall to 442M; U.S. MAUs rose 13%, to 98M, but International MAUs jumped 46% to 343M.

    Average revenue per user was up 15% to $1.03; U.S. ARPU rose 31%, to $3.85, while International ARPU rose 66%, to $0.21.

    Cash and equivalents rose to $652.7M from last December's $649.7M.

    Its "current expectation" is that Q4 revenue will grow about 60% Y/Y, a "modest acceleration compared to our growth rate in Q320."

    https://seekingalpha.com/news/3627663-pinterestplus-23-after-global-jump-in-users-revenues-in-q3

    submitted by /u/Omg_Keynes
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    Not keeping an emergency fund is better than keeping an emergency fund in even really bad case scenarios?

    Posted: 28 Oct 2020 09:28 PM PDT

    Someone on Bogleheads did an analysis backtesting a worst case scenario where an emergency occurred during a severe market crash (2002, 2008), where both investors lost their jobs and had to rely on either their emergency fund or stocks (100% VTI/VTSAX). The person who had to rely on stocks did better than the person who had an EF over a 20 year period. Obviously best case scenario where both investors maintained a full time job, 0% cash / 100% equities beats x% cash / 100-x% equities.

    https://www.bogleheads.org/forum/viewtopic.php?f=10&t=311324

    So it seems that cash really is trash. Even in situations where you need to deploy a lot of funds immediately, you can use credit for that, and then just pay it off after selling stocks or wait until next pay period.

    Another benefit of not keeping cash is that it also protects you from people asking for loans. Can't give any loans if you barely have any cash in the first place. It's probably useful to always have some cash on hand, but not so much that it covers 6-12 months of living expenses? What do you think?

    submitted by /u/Okmanl
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    Visa beats earnings and revenues by 1.94% for Q3

    Posted: 28 Oct 2020 04:27 PM PDT

    Visa beats even after Mastercard missed earlier today. Payment volume rose by 4%.

    Q3 revenue was $5.10 billion vs $5 billion expected. Adjusted net income per share was $1.12 vs $1.09 expected.

    Stock is up 1% in after hours after a 4.8% drop today.

    Feels like the right time to add to the position for a long term investor. The digitalization of payments and their continued investments in tech will continue to deliver value.

    https://www.marketwatch.com/story/visa-tops-earnings-expectations-but-feels-the-sting-from-travel-slowdown-11603917003

    submitted by /u/tellg1291
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    What’s your move?

    Posted: 28 Oct 2020 05:01 PM PDT

    Although it is debated whether we're in the midst of a correction or not, what is your plan? I foresee more red tomorrow (personal opinion, disagree if you wish) and will be making a few buys. Planning on buying:

    • Doubling holding of ARKF, ARKG, ARKQ

    • VTI

    • AMD

    • CSCO

    • HASI

    What are your guys moves going to be?

    submitted by /u/thekidtheycountedout
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    The Economy of Tomorrow: Recovering and Restructuring after COVID-19

    Posted: 28 Oct 2020 09:32 AM PDT

    https://rooseveltinstitute.org/wp-content/uploads/2020/10/RI_-RecoveringandStructuringAfterCOVID19_IssueBrief_202010.pdf

    In The Economy of Tomorrow: Recovering and Restructuring after COVID-19, Roosevelt Chief Economist Joseph Stiglitz outlines what we know about the US economy from past crises, explains how we can apply those lessons to the ongoing COVID-19 recession, and offers policy recommendations to enable a robust and equitable recovery, including:

    • Prioritizing resources to end the pandemic;

    • Providing liquidity assistance to the businesses and individuals at greatest need;

    • Shoring up funding to state and local governments; and

    • Guaranteeing unemployment benefits to workers for as long as is necessary.

    submitted by /u/Annapurna__
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    ARKK Companies vs. Sector ARK Etfs

    Posted: 28 Oct 2020 02:34 PM PDT

    Does anyone know how ARK decides which companies to include in ARKK in comparison to their sector ETFs? ARKG invests in 48 companies but ARKK only invests in 18 of them. ARKF invests in 46 companies but ARKK only invests in 14 of them. What makes ARKK decide to invest in some but not all of their sector ETFs? I would expect ARKK to actually hold most if not all companies in each of ARKF, ARKG, ARKQ, and ARKW.

    submitted by /u/kman2324
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    Tax redaction

    Posted: 29 Oct 2020 12:52 AM PDT

    I am a investor from greece using the stock platform degiro. For the dividends I receive a 30% reduction is taken from the U.S.A, and i am not sure( and franky scared to ask) if the greek goverment will again tax this income.

    My question to European investors is if there is a way to cut the u.s.a. portion, and if not with this platform, if there is one that can do it? Also since i dollar cost average, if the same will happen when I sell the stock?

    Thank for all your comments in advance

    submitted by /u/pavlosdominikos
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    is it time to buy into the dip?

    Posted: 28 Oct 2020 03:29 PM PDT

    I know it's always hard to time the stock market, especially within the regulatory trading requirements of the 401(k), but assuming one has 35 percent of funds in the money market, would this be a good time to trade money market shares for more growth mutual funds?

    submitted by /u/nothingisrevealed
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    New to everything

    Posted: 29 Oct 2020 04:04 AM PDT

    I hope this does not go against the rule of "personal situation posts", but I'll give it a go.

    I just want to quickly ask in here, do you have any recommendations of books, websites, videos etc. to learn about investments and stocks, for someone looking into investing in stocks for the first time ever?

    I want to sort of understand how it works, and how you decide what, where, and how much to invest and all that. Thanks~!

    submitted by /u/IAmKea
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    Granite shares short Rolls royce (3SRR)

    Posted: 28 Oct 2020 05:34 AM PDT

    Can someone here help to explain to me whats going on here? I own shares of granite (3SRR) and have been losing heavily today. The stock is supposed to move inversely to rolls royce share price and is leveraged 3 fold. Rolls is down 65% as yet but this hasn't been reflected in a gain but a significant loss. Also the charges that are incurred from holding this stock aren't abundantly clear. I know there is charges but not how much or if it is taken as a percentage of when you sell. Anybody else confused by this stock?

    Edit: Stock price this morning was incorrect and has since been corrected. No need to google rolls royce share price now and point out the obvious

    submitted by /u/Super--sunday
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    What are good books about the history of macro investing?

    Posted: 28 Oct 2020 02:49 PM PDT

    I am looking for a book that analyzes how different asset classes performed (e.g., stocks, bonds, gold, ...) in different decades / time periods from a macro perspective. Potentially also explained with terms such as inflationary periods, deflationary periods, stagflation etc., and with a perspective of technology revolutions (e.g., electricity).

    Is there any book that you can recommend?

    submitted by /u/truResearch
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    What are your "unknown" stocks you bought because you are convinced by the product and the company?

    Posted: 28 Oct 2020 11:24 AM PDT

    I'm talking about companys where you were convinced by the product/service because it was just so much better when it seemed in the beginning.

    For me it was beyond meat. I was curious how it tastes since all the meat alternatives taste to me like shit. Also I would never give up meat for any reason. However it tasted so good that I'd buy it again. Not as an alternative to meat but just as a vegetarian meal.

    submitted by /u/brokester
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    Precious metals and mining investing?

    Posted: 28 Oct 2020 08:03 AM PDT

    With the current political climate and a potential shift of focus to renewables in the near future, what is the best method to profit off of precious metals and mining? Invest directly in cobalt and lithium commodities? Mining companies? If so, are there any particular companies that are in a position to really take off?

    submitted by /u/Petey_Pablo_
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    Noob question about dividends

    Posted: 29 Oct 2020 02:15 AM PDT

    Dear fellow investors

    When a company announces to give a dividend. Can you still buy the company and get the dividend for that year? Or do they just pay it to people who got the stock prior to a certain date.

    Shell did announce they will raise their dividend. If i buy the stock, do i still get the dividend?

    Thx for helping

    submitted by /u/Bothjen
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    AMD Stock?

    Posted: 28 Oct 2020 09:46 AM PDT

    Complete noob to investing, after the big AMD Big Navi reveal for a Q4 release, buy or wait? It's currently dropping down to $75 right now. AMD should kill it this Quarter with sales, so shouldn't I buy? Their market share and capitalization should go up due to game changing new products, and finally eating into intel and NVidias market shares? Is my logic correct or? Please again, I am a noob and have rarely invested before.

    submitted by /u/HerpleSnurp
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    How do you guys valuate and pick stocks in 2020?

    Posted: 28 Oct 2020 05:57 PM PDT

    Over the past 5 years I've developed my own way of investing in the stock market that seems to work well for me, so I'm not really looking for advice here, but I would be really interested to know how other people decide which stocks to buy and when in current stock markets.

    How exactly do you determine which companies you want to have in your watchlist?

    And then how do you determine when is the right time to start buying certain company's shares?

    What kind of research do you do, and which tools do you use for that research?

    Thanks

    submitted by /u/Pacifica150
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    Why do some investment firms publish their market predictions?

    Posted: 28 Oct 2020 03:20 PM PDT

    Investment firms often publish their market predictions. E.g. JPMorgan Sees S&P at 3,900 If Trump Wins Election (mirror 1, mirror 2) (no intent to comment on US politics, I'm not a US citizen anyway). Why do they publish their market predictions instead of keep them for themselves to maximize their profits (assuming they view their predictions as better than random)?

    Another way to rephrase the question: why pay for people if their findings are made publicly available?

    submitted by /u/Franck_Dernoncourt
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    Is it possible for the SPY or VOO to fluctuate significantly differently from the underlying security?

    Posted: 28 Oct 2020 08:23 PM PDT

    I'm trying to understand the connection between an ETF and the underlying assets. I know they are correlated: when Apple goes up 10%, SPY goes up .5% or whatever. But is that because when you buy SPY you're putting .5% of your purchase into Apple, or because SPY is simply "worth" more now because of its inclusion of Apple.

    I hope this question makes sense.

    submitted by /u/God-of-Memes2020
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