Official Investing Thread

Discussion in 'The Mainboard' started by Joe Louis, Jul 12, 2010.

  1. letan

    letan Just looking for the gator board
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    Real MadridJacksonville JaguarsFlorida GatorsTampa Bay Rays

    What’s your logic for TBT? The Fed is providing liquidity and if stocks drop, which I can see, wouldn't treasuries be a safer alternative?
     
  2. Lyrtch

    Lyrtch My second favorite meat is hamburger
    Staff Donor

    it feels like there's no way we hit bottom but line keep go up
     
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  3. dukebuckeye

    dukebuckeye I’m OK with your low opinion of me.
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    I think readily available testing and treatments are not that far off- a month or two away.

    That said, all of these loans/stimulus/etc is going to come back and bite us in the ass at some point.
     
    construxboy likes this.
  4. pacey

    pacey Well-Known Member
    Donor

    hank, i have a stop in that will give me profits.
     
  5. BP

    BP Bout to Regulate.
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    If that happens I would expect a dip in number of cases, but what happens when you start opening things back up. Sports venues/arenas will just reignite it. I would imagine the market will be pretty volatile until there is a vaccine.
     
  6. dukebuckeye

    dukebuckeye I’m OK with your low opinion of me.
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    Correct. You're not just going to go back to the way it was. It'll be a slow climb back for the next 12-18 months until a vaccine is to market.
     
  7. dukebuckeye

    dukebuckeye I’m OK with your low opinion of me.
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    Bars, Restaurants, Sporting Venues, Casinos, Airlines, Cruise lines, etc... will slowly trickle back, very slowly, until there is a vaccine.
     
    Vinegar Strokes likes this.
  8. g8r

    g8r Well-Known Member
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    I feel like you are drastically underestimating the desire of the general population to go back to life. I think bars, restaurants and casinos will ramp up as fast as they open post social distancing. Sporting venues will draw people the minute they allow people in. I feel like the vacation related providers will come back slower due to people’s loss of income.
     
    construxboy and beist like this.
  9. Trofie

    Trofie Well-Known Member
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    I'm pulling everything out. No way this doesn't crack
     
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  10. Houndster

    Houndster Well-Known Member
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    My poor SPXS
     
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  11. Stagger Lee

    Stagger Lee Crazy. Sexy. Cool.
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    Markets are falling pretty sharply right now
     
  12. Baseballman86

    Baseballman86 Well-Known Member
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    Lots of articles today about everybody just not paying their mortgage. I’m not a financial guru, but it seems like that mixed with whole industries taking huge hits, plus 6-7M newly unemployed every week would absolutely have some repercussions down the road. Add in that we were on an 11yr bull market run and everything was at an all time high, and also that this would be twice as short as the shortest bear in market history (I think) and the potential that the virus comes back worse in fall and I just don’t see how it goes up.

    The only way I could understand it is if somehow all this only adds up to a 20% dip or so in the economy, and that initial 37% drop was just drastically oversold. Of course, that would be easier to accept if we weren’t at ATHs when this all started though.
     
    g8r likes this.
  13. Baseballman86

    Baseballman86 Well-Known Member
    Alabama Crimson TideAtlanta BravesAtlanta Falcons

    Feds ending funding for popup test sites tomorrow I believe. That will certainly lead to drop in # of cases, but then we won’t know if it’s because we turned the curve or if we just are testing less.
     
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  14. Bo Pelinis

    Donor TMB OG
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  15. Baseballman86

    Baseballman86 Well-Known Member
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    Just a casual 15M barrels of oil a day cut to production.
     
  16. texasraider

    texasraider thanks
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    drop in the bucket
     
  17. pacey

    pacey Well-Known Member
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    It wants to drop so bad. Nasdaq did why not Dow? Come on.
     
  18. southside

    southside Well-Known Member
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    This economy is fucked. Record corporate debt (and now growing). Highest % of slowing EPS growth on record prior to the shutdown. The math doesn't add up for a quick recovery. This rally is just riding the hope of the economy opening back up shortly. Whether that's May 1st, June 1st, July 1st only matters in terms of magnitude to the downside, not that this isn't going right back down.
     
    user15000 likes this.
  19. Sportfan

    Sportfan From Six to Dumptime
    San Antonio SpursHouston TexansNew Mexico State AggiesTexas AandM Aggies

    /aintnothingonnahappen.gif
     
  20. g8r

    g8r Well-Known Member
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    Damn uco fell off the table
     
  21. Gotch Yarbrough

    Gotch Yarbrough Canada eh?
    Donor

    I for one am shocked that leaks about a Russia/SA agreement, which came out before the meeting even started, may have been little more than a pump and dump.
     
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  22. southside

    southside Well-Known Member
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    Bought some dave and busters puts on this jump
     
  23. momux

    momux AFAM Scholar
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    This is how you trade right here folks.
     
    Lyrtch and Jesse Palmer like this.
  24. Jesse Palmer

    Jesse Palmer Hair Product & Roses
    Donor

    I am surprised I do not see more of this.

    Almost all of my friends are entering the market with some new money right now and make me feel like shit for not throwing more into it. I've decided to no buy into this market any further than the minimal amount I did on this recent upswing. I'm scared.

    For reference age group is early 30s.
     
  25. Fusiontegra

    Fusiontegra My life is dope and I do dope shit.#SparedByThanos
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    Did the same with planet fitness.
     
  26. southside

    southside Well-Known Member
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    1. It doesn't fit the narrative that people in the media want. They get paid off people buying stocks.
    2. People don't understand the drop and bounce here is related to liquidity. We more likely have more liquidiation, but could also be done. That would be a bottom if you're looking in a near term i.e. a few months as an example.
    3. They further don't understand the solvency crisis that is inevitably coming, and that is when the real, massive drop happens that would be >50%
     
    user15000 likes this.
  27. Fusiontegra

    Fusiontegra My life is dope and I do dope shit.#SparedByThanos
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    Outside of the general stonk fuckery going on, ZM is absolutely baffling me.

    They started the week out with getting a lower valuation, then security questions popped up, they pretended to resolve these by hiring someone from fucking Facebook, of all places, and now government agencies and major corporations all over the country are saying don't use their software until some shit gets fixed....and they're still fucking climbing.

    I think Elon is running Zoom tbh
     
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  28. Houndster

    Houndster Well-Known Member
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    I think I’m just going to keep buying SPXS in 50 share increments until I’m out of cash
     
  29. Fusiontegra

    Fusiontegra My life is dope and I do dope shit.#SparedByThanos
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    I can't say that's necessarily a smart choice, but I respect the all-in mentality.
     
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  30. southside

    southside Well-Known Member
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    I saw a tweet yesterday that sums them up perfectly IMO. People are saying "let's zoom" is now a verb, thus it's taking off. Remember when "lets skype" was also justification for take off?

    That said it may go another 25% over the next 6 months. Who the fuck knows
     
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  31. texasraider

    texasraider thanks
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    Chamath is crushing it on CNBC right now. Everyone should watch it when they throw it online
     
    Anison likes this.
  32. Fusiontegra

    Fusiontegra My life is dope and I do dope shit.#SparedByThanos
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    cliffs?
     
  33. texasraider

    texasraider thanks
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    he's saying that what the Fed has done is great but the market is broken because it's propping up zombie companies and creating obfusication.
     
  34. pacey

    pacey Well-Known Member
    Donor

    He is saying that what is happening with the Fed prop up is only helping institutional investors and institutions. He says it all needs to go down in flames. Hedge funds and CEOs will come out of this and individuals are getting fucked.
     
  35. Fusiontegra

    Fusiontegra My life is dope and I do dope shit.#SparedByThanos
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    So...standard wall street operations, got it.
     
  36. pacey

    pacey Well-Known Member
    Donor

    What i found disturbing that i saw yesterday is that 500 billion is going to failed for profit universities and private, charter, schools. Don't think Public schools get anything. Hate Devos
     
  37. Fusiontegra

    Fusiontegra My life is dope and I do dope shit.#SparedByThanos
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    In an administration chock-full of POSs, she is waaayyyyy up the list.
     
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  38. Oranjello

    Oranjello Well-Known Member
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    Odd timing for this question, but before I pay for professional advice I am hoping some of you may have some pointers. In mid-February, my sister and I inherited some stock. It's not a ton of money but it's a good chunk of change. The last account statement we had was from 12/31/19, and at the time it was enough to allow me to sell my half, pay off my student loans, and pay off all taxes associated with selling the stock. I just spoke with the bank today, and the account value is now where it'll only allow me to pay off the loans but not the taxes. If I were to adjust my payroll withholding to account for the increased tax obligation for 2020, the amount of taxes associated with the sale (assuming a $0 basis) is, ironically enough, about the same as my monthly student loan payment, so for 2020 I will not have any change in cash flow.

    Given all this volatility and that we are currently in the green, would it make sense to go ahead and sell it now? Or should I ride it out for a bit? Or maybe put stop limit orders in at a certain amount and if things tank take what it is and go with it?

    ETA: Currently in the process of obtaining online access to ascertain which stocks are owned, so that may inform the decision. But I feel like I need to move fairly quickly here, so wanted to post this while it was on my mind.
     
    #14789 Oranjello, Apr 9, 2020
    Last edited: Apr 9, 2020
  39. letan

    letan Just looking for the gator board
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    While he had some good points I’m sure if we just let everything go down in flames that would work out great for everyone
     
  40. pacey

    pacey Well-Known Member
    Donor

    for those that care, Hanks model bought 1000 DXD and 800 TWM around 11am est.
     
  41. Ty Webb

    Ty Webb Living rent free in Jigga's head
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    Is it a taxable account or a retirement account? To make it easy, are the letters 'IRA' anywhere on the statement?

    If it is taxable, there will be a step-up in basis: https://www.investopedia.com/terms/s/stepupinbasis.asp
    If it is retirement money, i.e. a beneficiary IRA, money taken out would be taxed as ordinary income.
     
    #14792 Ty Webb, Apr 9, 2020
    Last edited: Apr 9, 2020
  42. southside

    southside Well-Known Member
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    The last hour of trading today is going to be wild
     
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  43. Ball Gag Giorgio

    Ball Gag Giorgio do you like being chief of police?
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    Yeah you’d get a step up or step down depending on the value at Date or Death. I.E your basis in the stock becomes what the value was at DOD. It’s likely the stock values decreased since DOD so not sure what taxes you’d owe?

    Also inherited stock is automatically long term (regardless if you sell it immediately after receiving) so max 23.8% tax rate.
     
  44. Oranjello

    Oranjello Well-Known Member
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    It's in a trust, so there's no basis step up due to the death. I'll be liquidating the trust and taking ownership myself. My understanding is that the liquidation is nontaxble to me, but when I sell the stock it'll be taxable.

    I also work in tax, so my question is a financial one of sell now or hold, the decision is just being driven by tax considerations.
     
    #14795 Oranjello, Apr 9, 2020
    Last edited: Apr 9, 2020
  45. Joystick Izzy

    Joystick Izzy Well-Known Member
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    Only the capital gains are taxed. Those gains are based on the day you inherited the stock. I assume there have been losses on the stock, not gains. You probably won’t owe any taxes.
     
  46. NoNatty

    NoNatty Keyboard Cowboy
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    I just bought spxs for the first time. Hold me tight.
     
  47. Ty Webb

    Ty Webb Living rent free in Jigga's head
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    Oh. This is all sounding not right to me. What type of trust? Are you the trustee? If you liquidate the trust, you won't have any stock to sell, you'll only have cash.
     
    Joystick Izzy likes this.
  48. g8r

    g8r Well-Known Member
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    Damn uco done got me. I am guessing I should plan to hold it for a little while
     
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  49. Oranjello

    Oranjello Well-Known Member
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    The step up applies to trusts as well? I haven't had time to look into that aspect, but based on what a CPA told me that was not the case.

    A testamentary trust is all I really know. Currently a bank is the trustee, but the plan is for them to resign and appoint me (or someone else) as trustee so as to give my sister and I greater control and to avoid fees. Currently, the trust owns stock. At the end of the day, I want cash to pay off student loans, so I will need to convert the stock to cash to do so. My goal is to have the sale of stock picked up on my personal income tax return rather than a trust return due to the lower trust tax rates.

    My understanding is that it would be that stock sale--after the trust has distributed the stock to me--that would be the first event to trigger the tax. And the basis of the stock would be a carryover basis from the trust. Based on Joystick Izzy it seems the basis may not be a carryover basis but rather a ~FMV basis.
     
    Joystick Izzy likes this.