Investing in the stock market

[Zan15]

If you're actually serious about this stuff, I would recommend investing in Index Funds rather than individual stocks. It's a lot less risky. Also, avoid crypto like the plague.

Bogleheads 3-fund portfolio is great for this stuff.

hmm i wonder if there is a 'short' crypto fund like there is the Vix for the stock market....hmmmm

[druchii5]

If you're actually serious about this stuff, I would recommend investing in Index Funds rather than individual stocks. It's a lot less risky. Also, avoid crypto like the plague.

Bogleheads 3-fund portfolio is great for this stuff.

This is the way.

[hellhamster]

Always buy the dip, always buy crypto before the holidays and never after, maybe before Easter as well. Always diversify and have at least one big boy with low risk.

Never spend more than 30% of your total wealth.

[snardvarkus]

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If you're actually serious about this stuff, I would recommend investing in Index Funds rather than individual stocks. It's a lot less risky. Also, avoid crypto like the plague.

Bogleheads 3-fund portfolio is great for this stuff.

Yes invest in index funds which crashed horribly during the financial crisis not crypto which has been the best performing investment of anything ever. Brilliant fucking advice.

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COVID is considered a black swan event, in that the situation was already bad and it just acted like the catalyst. The stock market was going to crash one way or another.

You win the "dumbass who uses the term black swan incorrectly" award for this month. COVID is not a fucking black swan. It was an entirely predictable event.

Taleb frequently criticizes dickheads who keep using "black swan" to describe low-probability events, yet there seem to be an endless supply of them queing up to get this wrong.

[Zan15]

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Yes invest in index funds which crashed horribly during the financial crisis not crypto which has been the best performing investment of anything ever. Brilliant fucking advice.
.

Already proven to be wrong several dozen times over in this thread.

"of anything ever"

i guess you are just a kid and really forget the tech boom, penny stocks, biotech and commodity market manipulation like the cornering of the silver market. you know all things that dwarf crypto.

[Themius]

Already proven to be wrong several dozen times over in this thread.

"of anything ever"

i guess you are just a kid and really forget the tech boom, penny stocks, biotech and commodity market manipulation like the cornering of the silver market. you know all things that dwarf crypto.

My strategy has mostly been index... a few companies like AMD (The majority of which I bought between $4-$15) apple and amazon. Few other things too but a good amount is in VOO right now.

[Zan15]

My strategy has mostly been index... a few companies like AMD (The majority of which I bought between $4-$15) apple and amazon. Few other things too but a good amount is in VOO right now.

Crypto is just the "netscape/pets.com" of 2020-2021.


it even has the corresponding bump after the first attempt at correction. Now its moved on from dot.com trail to following penny stocks. Manipulation of a relatively small total cap by people with billions. No fundamentals, no structure, no stability.



I have been a life long larger spread index funds like those tied to index like Russell 2000.

From time to time i do jump into value stocks. This time around i put a bunch into Citibank in the low 40's. After 4+ months of banks proving they could weather the covid storm and still make money hand over fist i knew they would bounce back. Getting ready to dump in the low 70's and back into something with a little more consistency and stability.
Though they do pay a good dividend.....

[Ashnazg]

If you have a lot of wealth and you want to preserve that wealth, invest in stocks (or ETFs).

If you don't have a lot of wealth, but you want to make that wealth quickly, learn and trade options - its the only way you can consistently make insane returns on a small principal. These obviously come with a great deal of risk, and you need to know wtf you're doing to do it right. (You can also trade futures, but that's the next level up in risk/reward chain)

Crypto is kind of in between. It'll probably give you bigger returns than stock investment, but you're more vulnerable to a complete wipeout if it gets regulated, or if you invest into one of the scam cryptos.

[PC2]

Investing in the stock market is good but I think investing in real estate is better since you have more decision making power and you can directly improve the investment.

[Ashnazg]

Investing in the stock market is good but I think investing in real estate is better since you have more decision making power and you can directly improve the investment.

Thing is, we're currently living in an amazing time - this is the biggest bull run since probably forever, and its going to continue until the fed decides to stop pumping liquidity into the markets. We're also living through a paradigm shift - away from dirty energy and work-from-office into tech, clean energy, and work from home environment. This means that you can probably triple your fortunes by just blindly throwing money into clean energy, EV, and small to medium cap tech stocks. I am not even talking about options - where you could probably get 10x return on your investment this year on those stocks. I don't think the real estate market is going to match that.

[PC2]

Thing is, we're currently living in an amazing time - this is the biggest bull run since probably forever, and its going to continue until the fed decides to stop pumping liquidity into the markets. We're also living through a paradigm shift - away from dirty energy and work-from-office into tech, clean energy, and work from home environment. This means that you can probably triple your fortunes by just blindly throwing money into clean energy, EV, and small to medium cap tech stocks. I am not even talking about options - where you could probably get 10x return on your investment this year on those stocks. I don't think the real estate market is going to match that.

Okay but that's just a short-medium term prediction. Over the long-term both will significantly go up so it's not really that big of a deal unless you're insanely preoccupied with constantly moving money around to get a higher ROI.

[Megitsune]

Just dropping some minor general advice. I am one of the people who is lucky enough to be born into a very wealthy family. Real estate and the stock market is how I am continuing to expand my wealth these days. Please don't just jump in and start throwing money, you'll lose it. There are infinite resources you can use to actually learn about every little thing, you just have to be willing to put in the time. Please do very thorough research on the stock market as a whole, and especially on any company you're planning to invest in.

Also like most things in life, a lot of it is just using common sense.

[Zan15]

Investing in the stock market is good but I think investing in real estate is better since you have more decision making power and you can directly improve the investment.

the thing that kills real estate is the interest on buying it if you have to take out loans. the appreciation hardly ever beats the additional cost of even a 5-10 year loan

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big yikes on bitcoin today huh?

[David Shephard]

Passive ETFs of nothing too exotic (e.g. aforementioned S&P500 tracking ones are good one) would get my recommendation. Just pay attention to the expenses they come up with. Some are good, some might be plain robbery. Remember to spread. Geographically, industry-wise etc.
(Semi-)blindly picking stock this and stock that won't be much short of lottery for the majority (that includes me as well). Everyone can look at the historical graphs how company X rose from pennies to billions. Predicting those who will do the same in the next 5 to 10 years, yeah, feel free to come over and tell us, Internet. I won't mind if you give the tips only after you have placed your chips, it'll be millions soon anyway, eh?

How could I get more details? And how to open a demo account and where?

[ifrah]

How could I get more details? And how to open a demo account and where?

There's no universal answer for this. Different countries have different selection of banks, some of which are good, some be to avoided at any cost, and a whole spectrum of grey between them. Then there's the question on how your country of residence and/or citizenship affects your taxes of income from investments on overseas entities etc. which will affect your decisions greatly.
I'd say find a whatever kind of forum that is native to your country of residence and see what sorts of investment talks you find there. A bit tedious part, but will get you going eventually.

[David Shephard]

There's no universal answer for this. Different countries have different selection of banks, some of which are good, some be to avoided at any cost, and a whole spectrum of grey between them. Then there's the question on how your country of residence and/or citizenship affects your taxes of income from investments on overseas entities etc. which will affect your decisions greatly.
I'd say find a whatever kind of forum that is native to your country of residence and see what sorts of investment talks you find there. A bit tedious part, but will get you going eventually.

Yeah, you are right. Thanks for your honest reply. I will definitely try it myself to know more.

[Biglog]

For individuals, it's basically gambling. If you catch it on an upswing like the past year, it can seem like the easiest money in the world. I've traded and in good times made more trading than working my day job.

But...the #1 rule of the stock market is that it is cyclical. The upswing might even last a long time. But eventually it will fall, and the further it rises the more extreme the fall is. And you can easily lose all you made in a good year and then some in a bad week on the downswing.

There are a couple of other issues in the market too. For one, rn MANY MANY companies are WAY overvalued. Like insanely overvalued looking at price to earnings to where it isn't sustainable. You can't have stocks at 100:1 PE for long. They might artificially reach there for a while, but it isn't a fundamental economic situation that can remain because shareholders will never get their return. The second and related problem is that the market is so inflated that many times it's more responding to buy/sell/short runs on share prices than actual good or bad news about company performance. The last problem is that everyone is looking for the next unicorn stock. The next Tesla, and so small company stocks with even a tiny glimmer of optimism about a company's product having a small chance of getting popular or going viral and the stock will skyrocket way beyond any sensible valuation. But reality is there are 1000 companies that go nowhere for every Amazon and Tesla.

[Mister K]

If you're actually serious about this stuff, I would recommend investing in Index Funds rather than individual stocks. It's a lot less risky. Also, avoid crypto like the plague.

Bogleheads 3-fund portfolio is great for this stuff.

Crypto is fine, when you invest during a crash not while its ATH The next money maker is in a few decades when space mining becomes viable and trillions can be made.

[Zan15]

Crypto is fine, when you invest during a crash not while its ATH The next money maker is in a few decades when space mining becomes viable and trillions can be made.

big yikes on crypto this week and past few, down almost 10k from 40k.



You realize supply and demand still exist right?

you capture a huge asteroid full of X, trillions of tons of it. Figure out a way to mine it and bring back to earth.
You will crash that commodities price and it will reset to a new price figure based on the enormous supply.


you think anyone's going to pay today's price for copper if you find 2 trillion tons if it tomorrow and figure out how to mine it.


It would require the current supply to be very limited and the cost to mine those trillions very prohibitive and the need for the supply to be excessive in order for people to make trillions.

[Vash The Stampede]

You guys ever heard of a reddit called Wallstreetbets? They're responsible for why GameStops stock skyrocketed. Apparently Citron was going to show them and the stock is still going. As the meme goes, "stonks always go up". This stuff is hilarious.
https://www.reddit.com/r/wallstreetb...ks_only_go_up/