Money, Investments and the Economy

  • Whats your favorite investment?
  • Stocks
  • Bonds
  • Real Estate
  • Gold
  • Cash/Sterling
  • Collectables: art, wine, cars ect
  • LFC Memorabilia
  • Derivatives
  • Commodities

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So, everyone is always looking at how they can make more from what they have. What is your prefered way to increase how your money best works for you?

I tried Forex trading a few years back, and crashed spectacularly. But looking back, I learnt a few things, and have a better idea of where I went wrong and what I should have done. I do believe that currency trading is a way to make some good returns, but it requires a lot more time, effort and study than people expect or are willing to but in. It also requires more starting capital than a lot of people would consider comfortable with.

Currently am investing in crowdfunding property investment, which feels more comfortable for my personal circumstances, as the risk is better managed, but the potential returns are less than currency trading, and gives a monthly dividend, which a lot of investments don’t offer, so you get to see what returns you make far quicker.

“Investors hate this simple little trick!”

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How does that work?

Forex strikes me as gambling, unless you are actually hedging another offshore asset.
Gold is an okay hedge against the FIAT deflationary/hyper inflationary era we are heading into.

Property (at least in Australia) is hugely overvalued but having somewhere nice to live (which is not an investment) makes sense I suppose.

Stocks - a diversified listed shares portfolio should, over the longer term, give you good exposure to the economy that it mirrors.

In the past I have invested heavily in certain shares listed on the ASX, TSX and FTSE with a couple of crazy successes more than making up for the mostly mediocre but now prefer boring index funds although I still take the odd position in interesting small cap biotech or tech companies (preferably before listing) or using playmoney on PUTs and CALLs. I never write them though.

The crowdfunding in Property can work in a few different ways dependng on how the company is set up, but the basic is once a property is identified and a price is finalised, investors are offered the opportunity to buy a portion, based on how much they are willing to invest. The one I use, offeres shares in the property and then sets it up as an individual company, so each property is seperately owned and registered meaning that they can all be continued to run should something happen to the investment company. The 2nd part, is the exit strategy, and if you are tied for the length or is there a 2nd resale option if you want to sale part/all of your stake.

Hmm

Sounds like you forgo a lot of the benefits of direct ownership (leverage, control and ability to add value) without gaining the key benefits of listed property trusts (diversification, ready market to value/sell into).
I suppose for a particularly special, rare and unusual asset it could be ok but you’d want to keep investor numbers small, have oversight of the property identification and management and ensure these interests really aligned with investors and have thorough rules about selling out that covered liquidation risks.
Sounds tricky!

The company I use it is a lot simpiler, as it has a 2nd resale market, so you can opt to sell your shares, you have a degree of control over the price you set, then if any other investors take up the offered price, you sell them your share. They also will appoint local Property Managers to handle the day to day stuff including finding tenants, collecting rent, maintanence, once the 5 year mark gets close, they will then organise for a valuation before the shareholders are given the choice if the want to sell or not, which needs 80% agreement. So it is more like a normal stock market exchange the only differnece is in stead of trading shares in a company, your trading shares in a property. If your interested, pm me and I’ll give you more info.

Thanks, doesn’t sound like my type of investment. Hope it all goes well for you though!

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I’m more concerned with security than growth. I invested in a state deposit scheme for my daughter’s future.

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The two don’t have to be mutually exclusive.

NS&I slashing their rates from November 24th. Income Bonds down from 1.15% to 0.01%. We are literally being scammed by our own government.

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Wankers,i just checked and from November they are also changing the Premium Bond winning odds from 24k-1 to 34k-1 and lowering the amount of prizes from December aswell.

Made me laugh,it gives you all this info on the home page then says “stay safe,stay secure” you’re in safe hands,do you know how to protect yourself from fraud?? yeah pull all my money out and get your dirty mitts off me fucking cash,cunts!!!

It was inevitable really,this is how we start paying for coronavirus,taxes will be next.

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Wow! How does this resolve itself, a sharp increase in GDP, a sharp fall in prices, or a gradual meet somewhere in the middle?

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If you’re interested in the markets then check out WallStreetBets. They’ve been around for a short while now but they’re a phenomenon and traction is only increasing. There’s over 2 million of them now and the impact these retail traders are having on certain markets or equities is remarkable.

They’re pumping stocks through buying the stock and or options in a rather disorganised manner. GameStop is the latest example, up over 500% this year alone in a short squeeze.

Thanks @lfc.8 I was going to post about this as I just saw the Game Stop news but wasn’t aware of WallStreetBets.

WallStreetBets (WSB) are on Reddit and Discord.

Gamestop up another 44% in after hours trade. Melvin Capital is one prominent hedge fund getting squeezed who’re short selling the stock.

Just had a look, but fuck me reddit looks like it is almost as messy and dick measuring contest as twitter.

I have found a couple of tips that look promising, so will test them on my demo account and see what comes of it.

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Are they deliberately targeting heavily shorted stocks?

I’ve just seen that Melvin Capital have closed their short position in Game Stop!

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