Which stonks are you buying if any?

[Umfriend]

I am still, to my liking, somewhat overweight in stock. This is because I refuse to sell stock and rather write call options at prices where I would make a small profit. This works to some extent as long as the stock do not fall to far such that the option premium on a stock is close to zero (I dislike anything below 0.18). One option there is to buy additional stock and write an option at a bit above of purchase price but, of course, if it declines further I face the same issue. Objectively speaking, my strategy is absolutely bonkers. Still, that portfolio that I manage actively is, although a bit heavy in stock, running a good profit (because of the other stock in there).

Should the two stocks rise, even if slowly, then I'll exit parts at pre-set prices though so in a way, if you believe that markets are generally overreacting, it is way to buy low and sell high and make some premium in between.

If you are a saver and suffer from FOMO, then I would suggest putting part of monthly savings into mutual/equity funds (assuming low transaction cost). I think that for most (myself included) the best thing to do is slowly build up a position in trackers or funds (I wish there were funds that acted like trackers but I have not found any).

I really like what is happening with GameStop and AMC but, of course, the enthousiasts are bound to lose money. It would have been better if they had some sort of valuation assuming no shorters and not buy above that. I would not entertain such a thing other than for very small amounts and just for fun.

Funny thing: I've read a few articles in WaPo actually defending the private equity / hedge fund shorters with the idea that shorters have a real function to correct overvalued equity/firms. It is not without merit I believe but, as very often IMHO, people ignore the price setting power some parties have nowadays. In a perfect market, where no participant has any significant effect on price/volume, it makes sense. In real life, not so much. Anyway, that was my ramble for the day.

[UtwigMU]

Musk was on Clubhouse and asked Teney what happened,

https://nypost.com/2021/02/01/elon-m...gamestop-saga/

They didn't tell this at first, Webull had similar problems. I heard there were cals to Citadel and Robin Hood from higher ups.

Anyway since it's not worth to buy less than 2k worth of shares in my current account and I'm not willing to drop 2k on meme stock I'm staying out.

I was checking SPY (SP500) on tradingview and it's higher than a year ago pre covid with Trump in office and great economy while economy is objectively not as good. The steepness of curve has increased post covid due to all money printing. So the whole market could correct at some point. I have more cash than stocks.

[Dr Mordrid]

Musk was on Clubhouse and asked Teney what happened,

https://nypost.com/2021/02/01/elon-musk-grills-robinhood-ceo-vlad-tenev-over-gamestop-saga/

Under questioning from billionaire Tesla boss Elon Musk, Tenev broke down how Robinhood restricted trading on several “meme stocks” while under pressure from the National Securities Clearing Corporation, a financial institution that clears and settles stock trades between brokers.

“Spill the beans, man — what happened last week?” Musk asked Tenev during an early Monday morning broadcast on Clubhouse, an audio-streaming app.

“The people demand an answer, and they want to know the details and the truth,” he added.

As Tenev explained, Robinhood has to deposit money with the clearinghouse — commonly known as the NSCC — based on several factors, such as the volatility of trading activity and “concentration intro certain securities.”

At 3:30 a.m. Pacific time on Thursday — the morning after Reddit’s WallStreetBets message board sparked a flurry of trading in GameStop and other “meme stocks” — Robinhood received a request from the NSCC for a roughly $3 billion deposit, a far larger number than normal, according to Tenev.

“Just to give context, Robinhood, up until that point, has raised … around $2 billion in total venture capital up until now,” Tenev said. “So it’s a big number.”

The NSCC eventually lowered the request to $700 million after Robinhood officials outlined a plan to “manage risk” in GameStop and other volatile stocks on Thursday, according to Tenev.

That was why Robinhood temporarily blocked traders from buying new GameStop shares, a move that sparked widespread outrage and several lawsuits. Robinhood has since allowed its customers to buy limited numbers of GameStop shares and options contracts.
>

[dZeus]

I'm reading reports of RobinHood users that are not allowed to exercise their GME call options... I'm not sure what's going on exactly behind the scenes, but it sounds like this is going to end very badly for RobinHood (and all its users) very soon.

[Dr Mordrid]

Seems that way sometimes, and I definitely didn't get on the Game Stop bandwagon, but I agree something should be done with the predatory activity of some short-sellers. AIUI Japan, France, Spain, Italy and Belgium have taken some measures.

[UtwigMU]

So I'm autistic, doing my own thinking and my own research but my portfolio is overall down 0.5%. OK - first rule is to not loose money
insurance company recovered to pre corona levels
pharma up 30% + 5% dividend
IBM down 10%
MSFT up 6%

If I were just a follow the crowd sheep and bought AAPL and TSLA i'd do great. I need to rethink being independent thinker. Seems being a sheep is the more successful life strategy.

[Dr Mordrid]

One word: gamestonk

As WSB said: We can stay retarded longer than they can stay solvent.

I think this is a general frustration & counter-strike against predatory short-sellers; those who don't just make the bet but try to manipulate the market to get their preferred result.

[UtwigMU]

One word: gamestonk

As WSB said: We can stay retarded longer than they can stay solvent.

[Umfriend]

I can trade at E4 + 0.04% on the Euronext exchanges, NYSE, Nasdaq, Milan and Swiss exchange. But I do pay E48 p.a. fixed fee and 0.2 p.a. holding fee as well.
I do have real people on the helpdesk.

Options are E2.25 per contract. EUR 0 for closing out with premiums of 0.10 or lower. I have a bit of a beef with that because closing out at 0.11 or 0.12 is actually worse then closing out at 0.10.

There are cheaper brokers available but as I invest out of my "company", many of those won't serve me.

[UtwigMU]

Depending on how much that monthly amount would be, the real thing is transaction cost. I invest tens of euros in about 7 equity/mutual funds each. You can't do that with stocks as transaction costs would be killing. I would prefer to do this with trackers (low management cost) but they run into the same transaction costs. With my bank at least, I can periodically invest small amount in certain (about 200+??) mutual funds at zero transaction cost (but a sell might be charged at regular equity transaction cost) but of course, there you are implicitly charged management fees, about 1.1% p.a. I think.

I have one long term saving mutual which I shifted to Murica stocks (need to rethink shifting that after Biden win) where I invest 10s of EUR monthly on autopilot.

The bank owned brokerage I have has high transaction costs but they do all taxes and real people answer emails and calls. Around 0.,5% transaction costs and because of high minimum purchases it's optimal to buy 2.5k foreign stocks or 800 EUR Slovenian stocks. So I buy stocks quarterly. With quarterly strategy some months are better than others. January-February and September-October are common low market periods.

IBKR allows put / call options.

[Umfriend]

Adding a monthly amount sounds like a good plan.

Depending on how much that monthly amount would be, the real thing is transaction cost. I invest tens of euros in about 7 equity/mutual funds each. You can't do that with stocks as transaction costs would be killing. I would prefer to do this with trackers (low management cost) but they run into the same transaction costs. With my bank at least, I can periodically invest small amount in certain (about 200+??) mutual funds at zero transaction cost (but a sell might be charged at regular equity transaction cost) but of course, there you are implicitly charged management fees, about 1.1% p.a. I think.

[dZeus]

I bought my current shares in March, mostly for dividends (except IAG). I guess they should provide a pretty good return in the long run, so I'll wait this out unless valuations really go out of wack (like seen with technology sector shares).

Adding a monthly amount sounds like a good plan.

[Umfriend]

I got 15 EUR in dividends after taxes today. Enjoying that passive income.

ROFL! But yeah, the idea that thousands, tens of thousands of ppl worked hard to get me (you) that EUR 15 is strangely satisfying.

[Dr Mordrid]

Tesla Q4 2020 earnings call set for January 27.

Their Full Self Driving system (NOT Autopilot!) and neural network continues to evolve and is in public beta. Besides the massive new software suite, and the Dojo supercomputer for training their vehicle neural networks, their radar sensor system gets an upgrade;

From the filing,

The equipment under test (EUT) was a Vehicle Millimeter-wave Radar Sensor operating in 60 GHz band (60-64 GHz)

The Model Y crossover SUV gets a 5-star safety rating from NHTSA, and the 3rd row seat/7 passenger & standard range version are appearing .

[UtwigMU]

I got 15 EUR in dividends after taxes today. Enjoying that passive income.