Iron Edge
Iron Edge => Off Topic Discussion => Topic started by: delling on August 04, 2010, 02:54:12 am
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Sooo... does anyone around here know something about investing money?
There's no interest from banks at the moment, and long-term investments don't really interest me.
I was thinking of high-risk stocks (technology, I guess), but are there better options? Is there a good place to start?
-D
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If you still have contact with Mike, i recall him having some high interest longterm stuff.
Edit, why am I writing here?
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Hehe. Just some other info: I'm not talking huge amounts of money.
A few thousand maybe -- but I'm not interested in waiting years for it grow. I want to double my investment quickly. I don't mind about the associated risks.
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If you want to grow your money quickly, shares is definitely the way. Right now is a very good time to buy shares cause they are still mostly below their pre-crisis levels and they have potential to grow. Of course you really have to watch what is happening around the company you invested in cause anything that happens matters and can kill you.
Good idea would be to check the pre-crisis numbers and then see what is really low, do some research about that and see if it has a potential to grow back. But it's always a risk, we took a big hit when the crisis started, but it's slowly getting better now.
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Not really my part of the market, but for high risk high return investments you'll definitely want to look at new markets like China/India, even Russia. You might want to look into any (tele)communication companies that operate in those countries as that segment generally tends to lead the trends. Making it highly profitable investment when the company breakthrough.
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Sadly stocks is quite a bit like the lottery as the financial crisis has shown there is no such thing as safe investments and the experts seem to be as bad as guessing as the rest of us.
Some economists are talking about "the double dip" which means in case they are right the crisis isnt over and we will get another big crash, in that case Shifteys strategy might fail in the short run.
I agree with Yoica that investing in countries with high growth rates makes more sense in terms of getting a high return on your investment fast, although they do ofcourse have a lot more risk involved.
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Ya, my first thought was telcos in India and China!
I presume I need to do this all through a broker?
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Yes, all transactions have to go through certified brokers.
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Do I need to find... a good one? One that specialises in emerging markets? I presume they all have the same commission or whatever...
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The industry is full of vultures, I would ask around in the family for someone they trust.
Although if you know what you want to buy and you dont care about advice from the broker then you can probably just call your bank.
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If you want "quick" money you can try out starting buying and selling call and put options. It's the fastest way of doubling (or losing ofc.) you investments, but remember it's very risky!
Here some basics about call and put options.
http://www.financialexpress.com/news/options-the-basics-of-call-and-put/194327/ (http://www.financialexpress.com/news/options-the-basics-of-call-and-put/194327/)
Just take your time and watch the stocks etc. for a while before jumping in, that can save you from losing money. (Believe me, been there done that :( )
Or you can try what i'm doing with some friends for the last couple of years.
We where all "investing" our money (not that it was muchos.) personally. Just buying/selling stocks and call/put options, when we decided it would be just as fun to pile some of it all up (a fixed equal amount of money) and come together every once in a while to decide what to buy/sell etc.
We started out with 1k euro's each the first year and decided we didn't want to much risk so we went for the long term strategy and bought various stocks, especially from companies who deal in basic everyday needs like food/oil/cloth (not the overpriced designer ones, the cheap ones who no one ever goes to, but strangely they still exists after so many years and still make huge profits. Especially in these financial hard times. :P)
We don't get to be billionairs any time soon unfortunally, but we do get around 4 times the % you normaly would get at an average bank. (What to they offer nowadays on a saving account? Somewhere between 2.3 and around 4% max. nowadays i guess.)
Ad up the fact you don't have to worry so much and it doesn't cost much time either and every year we all add 1k, in the long run it's a couple of extra holidays for all of us plus we can't touch that 1k we put in every year.
*edit* muchos typos missing ., etc. and still barely readable :)
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Yes, all transactions have to go through certified brokers.
Just open a stock account at a bank and buy/sell stocks yourself, in this way you pay the bank for all your transactions.(after all they are certified)
In that way you don't have to deal with some kind of broker or adviser who all want a piece of the pie.
Imo if you have a couple of 100k to spend it's time to start thinking about brokers/advisers etc., untill then just do it yourself is my advice. And only put in the money you can really miss ofc. :)
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Sounds good! I had no idea I could just open an account with my bank and start immediately.
I guess it depends on the bank, but how do I buy/sell stocks?
I guess there are some banks that even provide cool Web interfaces so I can do it all myself...
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I don't know if you are aware or not but Turkey is also good to invest. Since Turkey chosen the best developed or w/e you call Country in Europe, and many investors are investing their money here. I cannot really say where you should invest because what we(my father) do is investing to Iraq :)..so consider Turkey as well.
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Well atleast in Holland you can just open a stock exchange bank account and once you have a account like that you are able to buy/sell stocks through a secured web ui.
So you can do it all from your couch :)
Looks like you can do it it also it seems.
http://www.bankofscotlandhalifax.co.uk/sharedealing/products/share_dealing_account.asp
Here's a list with online stockbrokers.
http://www.independentinvestor.co.uk/share-dealing/compare-brokers.php
But isn't it just possible to open a stock account at the bank you have your normal account also?
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We have such web interfaces in denmark, but usually you only have access to certain exchanges, so Im not sure if you can get access to all stock exchanges by default.
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I don't know if you are aware or not but Turkey is also good to invest. Since Turkey chosen the best developed or w/e you call Country in Europe, and many investors are investing their money here. I cannot really say where you should invest because what we(my father) do is investing to Iraq :)..so consider Turkey as well.
I didnt think Turkey was classed as Europe.
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It's not yet. but considered is part of europe. some countries doesn't like it but if they don't accept Turkey to be part of EU, it's their lose.
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Europe != EU !
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Not really, the strain it would put on the rest of europe would be insane, hence why most european countries are throwing money at turkey to build them up so that when they join they wont drag everyone else down.
The economic gains are practically non existant, the only plus side is a strategic global position for middle eastern affairs, and the fact that you guys have a ridiculously huge army, but i personally dont see it being any real benefit as you guys have stabbed us in the back too many times whilst in iraq and afghanistan.
Is it Turkey trying to punish us for not letting them in the EU? or will the snake bullshit continue if they are let in?
Turkey: "Hey you can use turkish territory to aid in moving supplies in and out of afghanistan and iraq!"
Nato: "Thanks bro, that will be a huge advantage in the war against terror (oil)"
Turkey: "Wtf you guys are killing muslims?!?!?! ok get your shit out of our country, and demolish the the multi million dollar american air/supply base you guys built a few months back, your not welcome anymore"
Nato: "FUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUU"
Based on a true story
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Well as I live and work in denmark, I don't know if it's the same in england.
But in denmark you can get direct acces to the stockmarket through your online-banking system thats associated with your bank, you just need to sign some papers, so the bank is not resposable for your loss if you decides to risk your money on stuff that the bank not usually reccomend =)
As im working in a bank i would say i know quite a bit about this, but then again things could be very diffrent in england.
Personally i've invested up to ~£5.000 at a time in Danish shares with great sucess, during the past 2 years.
As some mentioned the next step from normal shares, is put and call option, its what we call geared-investment, basically the risk of loosing all your money is much greater than with normal shares, on the other hand, you can gain up to 5-600% on a normal deal if things works out as you want them to .. ^^
I'm only dealing with the danish stock market, so i wont be able to give you any direct advice besides that.
But if you have any general questions or if you are intrested in the danish market, i guess I can tell you a thing or 2.
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you guys have stabbed us in the back too many times whilst in iraq and afghanistan.
WOw, Destro... is this how you see it ?
a limited perspective is what i see.
Without any explanation, only this sentence would be enough to deny the aid u asked for. "THIS IS NOT A WAR, THIS IS SLAUGHTER, THIS IS INVASION, THIS IS NOT FAIR"
Anyway, i am not surprised to see you saying "if we have a benefit, why won't we kill those people. They are only muslims, orientals... "
If u want a non romantic, humanistic explanation, since u dont seem to understand that: The Fact Turkey did not want to send an army to Iraq or Afghanistan is that we had close relationships with those countries in the past, and we want it to continue with it. A war against them, supported by Turkey could ruin the potential trade, relationships in the future.
We are not a country with full awareness about Middle East, We are not placed in the far West like you, We are not in American Continent. We have borders with countries u want to invade. While u just get benefits fighting those countries,
We loose our reputation against our neighboor countries, with countries we trade, with countries who are on the way of our FAR EASTERN friends.
So, it seems like u dont have the empathy and knowledge to judge fairly, but it's not a shame. In some point u may learn it. Well at least, that's what turks can bring to EU at least. A new perspective ! even that is a worthy reason, isnt it ?
PS. this is so much out of topic , sorry for ruining your post Delling !
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Yeah, take it to another topic!
(Cyprus/Greece will never let you join anyway!)
Thanks for the info, Luthor.
I'm basically trying to trade on my knowledge of the technology sector. I just don't know if I'm more knowledgeable than other people... I assume I am, but...
I just wonder if it's more about knowing technology, or about knowing THE SYSTEM.
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you guys have stabbed us in the back too many times whilst in iraq and afghanistan.
WOw, Destro... is this how you see it ?
a limited perspective is what i see.
Without any explanation, only this sentence would be enough to deny the aid u asked for. "THIS IS NOT A WAR, THIS IS SLAUGHTER, THIS IS INVASION, THIS IS NOT FAIR"
Anyway, i am not surprised to see you saying "if we have a benefit, why won't we kill those people. They are only muslims, orientals... "
If u want a non romantic, humanistic explanation, since u dont seem to understand that: The Fact Turkey did not want to send an army to Iraq or Afghanistan is that we had close relationships with those countries in the past, and we want it to continue with it. A war against them, supported by Turkey could ruin the potential trade, relationships in the future.
We are not a country with full awareness about Middle East, We are not placed in the far West like you, We are not in American Continent. We have borders with countries u want to invade. While u just get benefits fighting those countries,
We loose our reputation against our neighboor countries, with countries we trade, with countries who are on the way of our FAR EASTERN friends.
So, it seems like u dont have the empathy and knowledge to judge fairly, but it's not a shame. In some point u may learn it. Well at least, that's what turks can bring to EU at least. A new perspective ! even that is a worthy reason, isnt it ?
PS. this is so much out of topic , sorry for ruining your post Delling !
I dont have the empathy and knowledge to understand? you just wrote a wall of text after completely misreading what i said...
I never once suggested that Turkey should invade iraq or afghanistan, nor did i imply it, and nor would i expect them too, as i know that turkey has close ties with its surrounding countries. The main reason the EU want turkey in the EU, is largely for its army, its strategic positioning, and to aid in the unity of a majoritively christian europe with the middle eastern and muslim countries.
If you had read my post properly you would see i said that turkey fucked us over by cutting off our supply line, something stupid like 80% of supplies were being routed via turkey to iraq, then one day some stupid american general made a comment praising turkey for letting them use the country as a supply route, and at the end of his speech he included something along the lines of "Turkey are making up for there past atrocities of the 1915 mass genocide by helping the allied coalition in its war against terror."
Thats when turkey cut off the supply line and refused to let coalition forces move equipment through its borders, as they were outraged of what that american general had said, and assumed that his one voice represented all coalition forces thoughts and perspective of turkey as a nation. So we went back to good old oman to solve our supply problems for the remainder.
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I just wonder if it's more about knowing technology, or about knowing THE SYSTEM.
A combination of both will probably make you a lot of money or knowing someone who knows the system. :P
Europe != EU !
THIS.
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On topic, Its definately knowing how to play the system, doesnt matter about the product or your knowledge about said product. I have a friend who does exactly what your trying to get into, and the stuff he told me that goes in is crazy, theres so much backstabbing and sneaky shit going on it completely put me off from getting involved, after he offered me to get into it and that he would teach me some basic skills, i told him i wasnt interested as it was too risky and sounded like a shadey business, he then smiled slyly and told me i had made the right choice. DO NOT trust anyone.
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if you want to double your investment in a short amount of time, you need to leverage up by using derivatives. for example:
instead of buying stock A for 5000 GBP,
you buy call options with stock A as underlying asset for 5000 GBP. your exposure will be ALOT higher but potential reward alot higher as well (obviously).
there is also alot of index linked financial products with leverage as well. you can for example buy omx30bullx3 (swedish stock exchange index) which means for every point the whole index rise, you gain 3 points. obviously it is the same the other way around. you can also buy omx30bearx3 so you can speculate on stocks going down without actually having any stocks to sell.
i guess i dont have to tell you about the risks associated using these isntruments. just be aware that with some instruments you can lose MORE money than you actually invested in the first place. look out for those.
good luck
ps. i work with financial instruments but i dont use them with my own money :). i have loans on studies and appartment so i do not se any reason to speculate when i have loans (although loans are very cheap now they wont be forever)
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Derivates - those lovely papers that had the EU issue new laws to prohibit unfunded derivate trade?
In this thread, much madness.
/y Minimum bid: 5g | Maximum bid: Unlimited
/y How to play: Trade your bet amount
/y Do NOT roll before I announce your name
/y If you do, your roll is NOT counted
/y 1-85 = Lose | 86-97 = Double amount | 98-100 = Triple
Sounds familiar.
(http://i38.tinypic.com/aw72ig.jpg)
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Royal Dutch Shell and Unilever.
Oil & food.
Mine till i buy a house or drive over some pregnant lady while drunk.
www.alex.nl is "the" dutch online trade portal.
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agreed goza, but doubling an investment within a short period of time is pretty hard, obviously. otherwise everyone would do it and soon you wouldnt be able to do it anymore.
you might as well go to the casino, perhaps. but derivatives can be used for alot and are very flexible. i use them to REDUCE different types of risk. most people do, actually.
hedge funds are the main speculators in more sophisticated derivatives and even though they have ph d's in math, physics, macro economics and very advanced computer models, they fail too. some becomes incredibly rich though, of course. mad skillz? i dunno.
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Roulette can make you rich. If you are lucky.
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Hehe, well, if a casino game has a 'system' and you know how to break it, then yes... it's the same as making money on the stock markets. Like counting cards, I guess.
I still want to invest in companies that I know a lot about. I also receive information quite early because of my job, so there's a chance that I can make trades ahead of the rest of the market.
Obviously that's optimistic thinking, though :)
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Isn't that called insider trading and prohibited? ;)
Well I always wondered how they prove it in order to sue folks.
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Ya, that's insider trading -- and I think it's only really detected if you're a large-scale stockbroker that obviously moves millions of stocks just before it makes a huge change :)
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some ppl argue (and i would to some extent agree) that over a long period of time, the ONLY time you can make more money than the market (be it stocks, commodoties, interest rates, etc) is when you have more INFORMATION than the other participants on the market. its not always illegal, there are some creative use of game mechanics :).
otherwise its just zero sum. you win some you lose some.
however, i do think one can make money from good risk management. this is the philosphy i use when I trade at work:
there is an old tale of some german investors who rolled a dice every morning (even numbers, buy the bund, which is the german treasury bill or odd numbers, sell the bund). then basically what you need to do is manage your risk: lets say you buy at 123, you will sell it at 122,5 or 125(numbers depending on technical analysis but for sake of argument). the idea here is to get out of a bad position fast and keep a good position longer. so even if you are 50/50 you should over time make money. it is a bit more complex but you get the idea.
this is the type of intra-day trading i do. however i dont roll the dice. id like to think that over time i am a little better than 50% in my bets (but probably not much hehe)
so i guess my tip for short term (intra day) trading is to exit bad positions fast (even if you really like the stock or whatever, be very consistent) and play aggressive when it turns out in your favour ( keep it longer, add on more risk, etc). this is of course hard to do on your spare time since you really need to keep track of alot of stuff all the time.
oh well, wall off text completed
gl
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Did you just walltextcrit us saying
a) information is good
b) sell crap keep good stuff
?
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haha I guess so :)
but you'd be suprised how many ppl keep bad positions and get ruined because "they really believe in the trade"
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http://www.ted.com/talks/laurie_santos.html
Why we lose money, using monkeys! (Very cool talk.)