Sometimes the best solution to a problem comes by approaching it backwards. Charlie Munger often spoke about the principle of inversion. Instead of looking for things that you should do to achieve a goal, make a list of things you would do to make sure you never reach that goal. Then do whatever you can to avoid those things. Safal Niveshak offers us this related graphic in his post 5 Ways to Destroy Your Wealth. I’m always a sucker for a clever Venn diagram… Definitely a good list. However, I would say this graphic is more focused on “How To Destroy Wealth Investing“, as I can think of plenty of other ways to destroy wealth… “The editorial content here is not provided by any of the … [Read More...]
Bitcoin Price Analysis: Constant Supply Shows Signs of Market Weakness
Over the last few weeks, the bitcoin market has been constantly flooded with high-volume, high-spread moves to the downside. There have been a few impulsive, bullish rallies but nothing that has been sustained and nothing that is showing signs of supply absorption.At the time of this video, the market is testing a very important level for the fourth time and, if we fail to close above the $8,080 level, would likely mean we will be visiting the mid-$7,700s. However, if we manage to close a daily level above $8,080, we will have to reassess our market view. But, for now, the market is looking mid-term bearish and we will have to see how it handles a potential retest of the $… [Read More...]
Report: Canaan Will Be Listed Publicly in the US in November
This article was originally published by 8btc and written by Lylian Teng. Canaan Creative, one of the world’s largest bitcoin mining machine manufacturers, will be listed as a publicly traded company in the U.S. in November 2019, according to a source with knowledge of the matter. According to the source, the Avalon miner producer, which has a valuation of $1.5 billion, is issuing 126 million shares in its company, which will be closed on October 20, 2019. 8btc reached out to Canaan but the company refused to comment. In July 2019, Canaan reportedly filed an application for an initial public offering (IPO) with the U.S. Securities and Exchange Commission (SEC). People close to the company told 8btc that the company had recently finished all of the procedures of an IPO … [Read More...]
Best Brokerage and IRA Transfer Bonuses – October 2019
Fidelity, Schwab, TD Ameritrade, E-Trade, Interactive Brokers, Ally Invest all now offer free stock trades. Vanguard offers free trades on all ETFs, not just their own. The new differentiators are things like user interface, customer service, and interest on cash sweep accounts. How about some cash in my pocket too? The recent shake-up is a reminder brokers are transitioning to maximizing assets under management, as opposed to attracting traders that rack up those commissions. You can often get a cash bonus for switching teams, based on the size of assets that you move over. This usually involves an ACAT transfer of your securities, including tax cost basis history. Here’s a current list of the top brokerage transfer bonuses, along with some additional commentary on … [Read More...]
Fidelity, Schwab, TD Ameritrade, E-Trade, and Interactive Brokers Now All With $0 Stock, ETF, and Options Trades
Update: Fidelity, Schwab, TD Ameritrade, E-Trade, Interactive Brokers, Ally Invest all now offer free stock trades. The new differentiators are things like user interface, customer service, and interest on cash sweep accounts. Original post: Schwab just announced the elimination of online commissions for stocks, ETFs and options listed on U.S. or Canadian exchanges as of 10/7/19 (press release). TD Ameritrade responded later the same day by matching that pricing as of 10/3/19. This will affect retail customers and also the many folks who have their portfolio run by financial advisors that use Schwab and TD Ameritrade as custodians. This could also be hard news for the feisty little guys who went there first like Robinhood, Webull, and Firstrade. Commissions have dropped gradually for a long time, but … [Read More...]
A Guide to Sustainable Investing
More and more investors are supporting sustainable companies and green initiatives by moving their money into eco-friendly stocks and banks. However, even if you aren’t familiar with sustainable investing — even if you don’t know much about investing at all — this guide will teach you how to invest and manage your money in a sustainable way while growing your wealth in the process. Sustainable investing is growing in popularity in no small part because of the public’s increased awareness of our collective impact on the environment. Investors are also beginning to consider the effects of climate change and environmental damage, and what roles they themselves play by holding stock in companies that pollute the environment or release large amounts of carbon dioxide. Even … [Read More...]
Bitcoin Price Analysis: Strong Rally Retests Macro Resistance
Summary: The bitcoin market is experiencing a strong rally that has us testing the strength of the $8,300 resistance level.So far, the support level at $8,090 is holding and as long as the daily candle doesn’t close below the support level the market is poised for a retest of the $8,500s.If we see a close below the $8,090 support we will likely see a retest of deeper support at $7,700. Trading and investing in digital assets like bitcoin is highly speculative and comes with many risks. This price analysis is for informational purposes and should not be considered investment advice. Statements and financial information on Bitcoin Magazine and BTC Inc sites do not necessarily reflect the opinion of BTC Inc. They should not be… [Read More...]
My Money Blog Portfolio Asset Allocation Update, September 2019 (Q3)
Here’s my portfolio update for the third quarter of 2019. Most of my dividends arrive on a quarterly basis, and this helps me determine where to reinvest them. These are my real-world holdings, including 401k/403b/IRAs, taxable brokerage accounts, and savings bonds but excluding our house, cash reserves, and a few side investments. The goal of this portfolio is to create sustainable income that keeps up with inflation to cover our household expenses. Actual Asset Allocation and Holdings I use both Personal Capital and a custom Google Spreadsheet to track my investment holdings. The Personal Capital financial tracking app (free, my review) automatically logs into my accounts, adds up my balances, tracks my performance, and calculates my asset allocation. I still use my manual Google… [Read More...]
Robinhood’s New Savings Account is FDIC-Insured! 2.05% APY
Robinhood brokerage has finally re-launched the high-interest cash sweep option after their failed (and illegal?) 2018 mash-up of checking accounts and SIPC-insurance. Robinhood Cash Management is basically what many other places like Betterment Savings have implemented, a FDIC-insured sweep account backed by a mix of different partner banks. The interest rate is variable and currently 2.05% APY as of 10/8/19. This is a pretty competitive rate when compared to other cash alternatives. Debit card has no fees on the Allpoint ATM network. Unfortunately, as is usual with Robinhood, you’ll have to join a long waitlist first. This was an important move for Robinhood, as many of the established giants have joined the free stock trades party – Schwab, TD Ameritrade, E-Trade, … [Read More...]
S&P 500 Return Breakdown: Earnings, Valuations, Dividends (2015-2019)
The financial news industry loves to provide constant updates of the S&P 500 along with endless guesses as to why it blipped up or down. I like reading about finance and it still drives me crazy! It just makes people focus on the short-term and think of the stock market like a roulette wheel. If you step back and take a longer-term view, here is a basic model for explaining the total return of the stock market: Total Stock Returns = Earnings Growth + P/E Valuation Changes + Dividends Here’s a quick common sense explanation: Earnings growth. If your earnings stay the same, then all other things equal, one would expect the value of your company to stay the same as well. If … [Read More...]
Schwab, TD Ameritrade, E-Trade, and Interactive Brokers Now All With $0 Stock, ETF, and Options Trades
Schwab just announced the elimination of online commissions for stocks, ETFs and options listed on U.S. or Canadian exchanges as of 10/7/19 (press release). TD Ameritrade responded later the same day by matching that pricing as of 10/3/19. This will affect retail customers and also the many folks who have their portfolio run by financial advisors that use Schwab and TD Ameritrade as custodians. This could also be hard news for the feisty little guys who went there first like Robinhood, Webull, and Firstrade. Commissions have dropped gradually for a long time, but it was still bringing in hundreds of millions of dollars to these publicly-traded corporations. That said, commissions only made up about 4% of Schwab’s net revenue. TD Ameritrade’s move was more surprising … [Read More...]
Bitcoin Price Analysis: Macro Resistance Turned Support — Will it Hold?
Summary: Bitcoin’s monthly and weekly close left an indeterminate market model as it closed above support at $8,200.The daily and intraday chart have the market sitting above a macro resistance level that is turned into support at $8,200.As long as the daily chart doesn’t close below the $8,200s, it seems most likely we will be revisiting the highs at $8,750. However, if we close below the support level, we will most likely be visiting the $7,700s shortly thereafter. Either way, we are currently bound within a zone of indecision and we will have to assess the market as it tests either the upper or lower boundary. Trading and investing in digital assets like bitcoin is highly speculative and comes with many risks. This… [Read More...]
Schwab and TD Ameritrade Announce $0 Stock, ETF, and Options Trades
Schwab just announced the elimination of online commissions for stocks, ETFs and options listed on U.S. or Canadian exchanges as of 10/7/19 (press release). TD Ameritrade responded later the same day by matching that pricing as of 10/3/19 (press release). This will affect retail customers and also the many folks who have their portfolio run by financial advisors that use Schwab and TD Ameritrade as custodians. This could also be hard news for the feisty little guys who went there first like Robinhood, Webull, and Firstrade. Commissions have dropped gradually for a long time, but it was still bringing in hundreds of millions of dollars to these publicly-traded corporations. That said, commissions only made up about 4% of Schwab’s net revenue. TD Ameritrade’s move was… [Read More...]
Breaking Down the Components of Financial Advice
Vanguard has been relatively quiet after an SEC filing revealed their plans for a new digital-only advisory service called Vanguard Digital Advisor Services (VDAS). They have yet to send out any press releases or direct announcement about their new service. However, Vanguard is definitely working hard in the background on their advisory practices. Earlier this month, they released a whitepaper called Assessing the Value of Advice based on their Vanguard Personal Advisor Services, which includes human advisors. They introduced a framework for measuring value via three components: portfolio, financial, and emotional. Vanguard also published this short article Behind our passion for advice: Better outcomes for everyone that shows they want to impact the advice industry in the same way they forever changed the mutual fund industry. … [Read More...]
Bitcoin Price Analysis: Macro Support Gives Way During Strong Sell Off
Summary: Bitcoin’s long-held support at $9,750 gave way on September 24, 2019 in a swift and violent 15 percent move to the downside.At the moment, the market is testing a previously untested weekly level at $9,200 and is currently finding support.If the daily candle manages to close below this support level, we can expect to see a test of the $7,700s as this represents the next macro support level below our current range.If the bulls want to see a reversal, now is the time. We really want to see a daily close above $9,200 and, ideally, a weekly close above $9,200. If the weekly candle can close above $9,750 that would be a very, very bullish statement for the market. Trading and investing in digital… [Read More...]