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1500 questions
24
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3 answers
If US Treasuries at yielding 4-5% right now, why can't I find an ETF that yields that amount?
If US Treasuries at yielding 4-5% right now, why can't I find a 1 month US Bond ETF or 6 month US Bond ETF that yields 4-5%? The best I can find is SGOV but it only yields 2%.
Picture of US yields on 3/8/2023 for reference:
Katsu
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11 answers
Why should I hold stocks for the long term when the risk of more companies going bankrupt increases over time?
The longer the time frame, the larger the risk that any given company is going to go bust. If this is the case, then why is long term stock investing encouraged? Isn't it more risky to invest for the long term rather than the short term? In the long…
Flux
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24
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2 answers
Ordered bike parts, paid with Paypal, received face masks. How do I get my money back from this scam?
My wife fell victim to a scam that she will not let go of. She was looking for a bicycle online and came across what appeared to be a legit web site. My wife assumed that it was safe to use Paypal because recipients would not get her credit card…
maple_shaft
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24
votes
3 answers
Why would a financial institution prevent their clients from trading a specific security?
Ameritrade restricts trading of Gamestop:
"In the interest of mitigating risk for our company and clients, we have put in place several restrictions on some transactions in $GME [GameStop], $AMC [AMC Theaters] and other securities," reads the TD…
Franck Dernoncourt
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24
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2 answers
What happens to my shares if a company reverse splits its stock 10 to 1, but I own fewer than 10 shares?
Company A decides to do a reverse stock split and reduces the number of shares by, say 10 to 1.
Before the reverse split I only owned 7 Stocks on that company. How will this reverse stock split affect me? Will I now own only 0.7 shares, or what…
greenrabbit
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24
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8 answers
How could an amateur investor make money off of a market crash?
Assume someone 'knows' that a market crash could occur within the next couple of months, and has no access to 'professional tools'.
What methods could this person use to prepare for the crash in such a way that not only will they not lose money, but…
ispiro
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24
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8 answers
Does dollar cost averaging really work?
Does dollar cost averaging really work? If I have money available now, why shouldn't I invest it all at once? If the market's going up, wouldn't that be better?
anonymous
24
votes
4 answers
Buying a house. Seller wants cash now and move only next year, renting same house in meantime
A relative of mine found a fantastic house on the market (Canada), evaluated 750k. He knew there were 3 other buyers making offers and he was entering a bidding war. He made an 800k offer and was the highest bid, offering to take ownership 3 months…
Alex L
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24
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10 answers
Does the “15% into retirement” rule include employer contributions?
I keep seeing that you should be putting 15% of your income (link2, link3) into a retirement account. Does that include the employer match? For instance, if my employer has a 4% match, do I still put in 15% or do I drop it down to 11%? What if my…
rhavelka
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24
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10 answers
How can I determine if my stock picking performance was due to luck or due to skill?
From 2000 to 2020, the S&P 500's compounded annual growth rate (CAGR) is about 6-7% (assuming dividend reinvestment). With a CAGR of 6.5%, every $1 invested in 2000 grows to about $3.50 by 2020.
Scenario A: I have outperformed the S&P 500 nearly…
Flux
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24
votes
11 answers
Why do people invest in the stock market when it is forecast that a drop should occur?
When reading different financial media, it is often mentioned that the stock market's drop in the spring of 2020 was not the actual bottom. Some believe that there will be a recovery close to the level before the crisis began. If looking at several…
Limon
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24
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9 answers
What exactly happens to my mortgage debt when I sell my mortgaged home?
Let's say I am buying a house for 100k. I put 10% down (10k) and my bank gives me a loan of 90k. However I also become liable for paying interest on that 90k, e.g. with total of 30k that I need to pay off in 20 years. This makes my overall debt be…
Little
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24
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6 answers
What does Benjamin Graham mean by "Those who speculate make money for their brokers"?
In The Intelligent Investor, page 36, Zwieg, who is writing the commentary, states "those who invest make money for themselves. Those who speculate make money for their brokers." Why is it the case that brokers profit off speculators?
Franklin V
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5 answers
Who are the buyers and sellers that determine the bid and ask price?
It's commonly explained that the price of a stock is determined by supply and demand. You can see the bid price (highest price a buyer is willing to pay for the shares) and the ask price (lowest price a seller is willing to sell the shares).
My…
CognisMantis
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24
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9 answers
401(K) Very high negative rate of return
I am 26 yo and have total $27.5k contributed to my 401(K). I have chosen 2045 Blackrock target date fund and my 2020 first quarter rate of return is -37% due to the current market blood bath. I have lost around 7.5k in the first quarter itself in…
qrius
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