Fiddling about with stocks, funds, etc. No conspiracy theories, please.

[RenegadeFurther 2,393]

1 hour ago, MikeMelga said:

No it's not. But keep dreaming.

Just to give you a perspective, a $1M bitcoin would mean half the world's money in circulation as market cap. Or from another perspective, it would equate to 25% of all market cap of all trading companies!

And be aware that Bitcoin was a lossy investment in the trailing 12 months. Can't even beat inflation.

 

So are many other things, yet nobody values them at $1M. My grandmother used to collect those limited edition coins from banks... nobody gave her $1M!

 

Yes but you would now give someone 40k for Bitcoin.

[jeba 4,363]

Morgan Stanley sees a weakening dollar: https://linkback.morganstanley.com/web/sendlink/webapp/BMServlet?file=8mb0dhj0-3r67-g002-99e7-3dd0ae287bc2&store=0&d=1&user=ib_195tnzvo0bis-2&__gda__=1893473999_ee25b73fa409dad7b1e1d3110d7587b8#0011&ib_195tnzvo0bis-1&1893473999_8eacabb6f0f8379b55a591c4180a08aa&0001&ib_195tnzvo0bis-0&1893473999_5e077e90eb1b45f714f638fdb83f11c0

 

I´m perplexed, given the risks Europe faces because of the war in Ukraine and the resulting economic damage and loss of competitiveness (not least due to higher energy prices). I´m glad I avoided European stocks.

[DanglingPointer 29]

Dear TTers

I have a question about investments in Germany. Till now I have bought few stocks here and there on my own and sometimes sold them to earn some money. Wirecard was an exception though 😃

Some stocks I have kept for long term but its still not a very big investment. May be I might buy few now as some of them look quite lucrative for long term, but I had not much knowledge about ETFs or Index funds.

 

My Situation:   Right now in early 40s with both me and my wife working, we have now started thinking about Retirement and Pension. Since we both started working in Germany since last 6 years, we joined the pension system quite late and might not get adequate pension by the time we both retire.

We bought a house recently for which we get the possession next year. We have a big mortgage to pay for next 27 years until we retire, but in case of both of us continue to work, I don’t see any problem there.

 

I have an account in Deutsch Bank and they keep on calling every year to explain some investment options. Finally I had a meeting with them last week. The guy explained me some pension and investment plans. He said I can start with small amount like 200-300 € per month and pay into that plan for long term like 15-30 years. Based on historic calculations, he showed me that, if I pay 300€ per month from now by the time I am 67 the fund value could be 400K€. Off course you pay taxes on the profit but it also depends what type of plan it is. There are some tax saving options too.

 

He said right now the costs are very low and on the high level average return per year was 8.x% which includes cost of upto 1.7% (This includes both fund cost and management fees by DB(. So the effective returns comes out to around 6.5%.

 

I wanted to know if it is good idea to invest some part of money in such funds. I can and will still invest into stocks on my own, but I wanted to safeguard some money as in case of DB they will manage the fund and I don’t have any headache apart from 1.7% costs. Are these costs too much or it is like that in other banks also?

 

For e.g.  He showed a Dynamic Fund which has high returns and high risks, but have done really well in last 20-30 years. It’s a Dynamic mode which invest 98% in Stocks and 2% in Bonds. It invests in Blue Chip American companies. Off course we can switch the plans or funds anytime we want free of charge:

 

 

I want to know from the experienced financial people what should I do in my situation, to have some peace by the time I retire. I don’t mind paying 200-300€ per month if overall it’s a good plan. We can afford it right now and if we cannot there are no charges either, if we don’t pay any more to the fund.

Any pointers are welcome.

 

 

TIA

 

[RenegadeFurther 2,393]

29 minutes ago, DanglingPointer said:

 

I want to know from the experienced financial people what should I do in my situation, to have some peace by the time I retire. I don’t mind paying 200-300€ per month if overall it’s a good plan. We can afford it right now and if we cannot there are no charges either, if we don’t pay any more to the fund.

 

Any pointers are welcome.

 

 

 

I have a private pension but do it through my salary. You will get a  small Tax break also.

 

Not sure why you would start doing a private pension through your bank?

[Krieg 15,026]

On 4/28/2022, 9:14:31, MikeMelga said:

 

Want to beat inflation? Buy bricks. They hold their value, are harder to steal than crypto, and if anything else fails, you can build a house with them.

Honestly, this crypto + inflation bullshit is one of the worst arguments i've seen.

 

Mike is angry that he has missed the bus like ten times.  And when he thinks there are no more busses, boom, another bus left the station and he missed again.

 

On 4/28/2022, 10:01:54, MikeMelga said:

No it's not. But keep dreaming.

Just to give you a perspective, a $1M bitcoin would mean half the world's money in circulation as market cap. Or from another perspective, it would equate to 25% of all market cap of all trading companies!

And be aware that Bitcoin was a lossy investment in the trailing 12 months. Can't even beat inflation.

 

And?   So you think the value of all the money in circulation is higher than all existing assets?    As long as assets keep their value you can continue building/making new assets without having anything to do with the cash market cap.   The cash in circulation is so little that it is not even enough to cover all existing money, which is real money, for example, if everyone closed his bank account and wanted his money in cash the whole financial system would crash because there is not enough cash in circulation.

[MikeMelga 7,312]

2 hours ago, Krieg said:

 

Mike is angry that he has missed the bus like ten times.  And when he thinks there are no more busses, boom, another bus left the station and he missed again.

I'm pretty sure my >1300% return since 2017 is better than vast majority of people, but ok.

 

I don't like crypto because:

a) they don't add anything good

b ) just fuck up the environment

c) enable criminal activities

 

By chance, I'm reading the Tesla's yearly Impact report and it's hard to justify investing in Bitcoin, which increases CO2 emissions by the tens of billions per year, while Tesla reduces it. Not to mention the huge electronic waste and component shortage caused by crypto miners.

https://www.tesla.com/ns_videos/2021-tesla-impact-report.pdf

(by the way, it's an interesting read in any case)

[MikeMelga 7,312]

Just received some letter from my bank saying US has "conflicting information" about my stocks, and that I have to fill in a W-8BEN form... wtf? I buy my stocks in Frankfurt and I am not American, what the hell do they want?

[fraufruit 42,164]

Ask your bank or wait for Panda.

 

Maybe some of your funds include US companies or something.

[PandaMunich 16,704]

28 minutes ago, MikeMelga said:

Just received some letter from my bank saying US has "conflicting information" about my stocks, and that I have to fill in a W-8BEN form... wtf? I buy my stocks in Frankfurt and I am not American, what the hell do they want?

Proof that you are resident in Germany: https://www.irs.gov/pub/irs-pdf/fw8ben.pdf

If you don't fill it in, your bank will deduct 30% source tax from the dividends of your US stocks, instead of the 15% permitted by the double taxation agreement between Germany and the USA in article 10 (2) b.): http://pinkernell.de/dbausa.htm#Art10

--> fill it in.

[RenegadeFurther 2,393]

On 5/6/2022, 5:22:14, MikeMelga said:

I'm pretty sure my >1300% return since 2017 is better than vast majority of people, but ok.

 

I don't like crypto because:

a) they don't add anything good

b ) just fuck up the environment

c) enable criminal activities

 

By chance, I'm reading the Tesla's yearly Impact report and it's hard to justify investing in Bitcoin, which increases CO2 emissions by the tens of billions per year, while Tesla reduces it. Not to mention the huge electronic waste and component shortage caused by crypto miners.

https://www.tesla.com/ns_videos/2021-tesla-impact-report.pdf

(by the way, it's an interesting read in any case)

 

Bitcoin was created as a result of the financial crisis. 

 

Fast forward to now. 

 

Interest rates at below 0 (the ECB) and inflation at almost at 8%.

 

If central banks won`t do their jobs why won`t people look for an alternative?

[Gambatte 925]

6 hours ago, RenegadeFurther said:

If central banks won`t do their jobs why won`t people look for an alternative?

On 1/26/2022, 8:06:32, jeba said:

 

On 1/25/2022, 6:11:05, jeba said:

 

On 1/24/2022, 9:06:38, fraufruit said:

 

On 1/13/2022, 10:34:45, dstanners said:

 

 

COVID.

And Ukraine and Russia.

Shortage of food, energy, and everything else.

 

I wouldn't be too critical with central banks. There's only so much they can do.

 

Sorry for the mess caused by my browser.

 

[RenegadeFurther 2,393]

9 hours ago, Gambatte said:

 

COVID.

And Ukraine and Russia.

Shortage of food, energy, and everything else.

 

I wouldn't be too critical with central banks. There's only so much they can do.

 

 

 

 

Interest rates at below 0 and continuing with QE (the ECB) and inflation almost 8%.

 

Are they actually doing anything?

[yesterday 2,022]

Its apparently to protect the weaker members of the EU, ie   Portugal, Italy, Greece and Spain - otherwise known as the PIGS, if interest rates go up its going to hurt them the most, 

 

The other bigger countries like Germany, can just suffer the high rates, if it will help our poorer EU neighbours, it shows us Europeans are sticking together 

[RenegadeFurther 2,393]

6 hours ago, yesterday said:

 

The other bigger countries like Germany, can just suffer the high rates, if it will help our poorer EU neighbours, it shows us Europeans are sticking together 

Not sure monetary policy works this way but get your point,

 

Hence why people invest in crypto, if the central banks won`t do their job (which is price stability), then people will look at other ways and eventually the system will have to adapt.

 

 

[yesterday 2,022]

Even though I pulled out nearly half of the money I had invested, around jan feb time this year, I am still down a car ...

 

But the bigger crash I thought ( 60 or 70 % ) was coming is still not here ... not all the bad news is out there yet, when we see the effects of high oil prices on the economy maybe then that is when it will go bang, cos oil ain't coming down in price for a long time, without Ukraine grain, things are going to look bad for a lot of people.

 

Tesla still dropping, as most of my stocks are, Tesla just went below 600 EURO per share, not seen that since august 21. I think Tesla is a good company and makes a lot of money and it will survive, but fingers can still get burned at that level.

 

I have been trying to buy in to shares that I already own and have dropped a lot, to reduce my average buy in price.

[RenegadeFurther 2,393]

17 hours ago, yesterday said:

 

I have been trying to buy in to shares that I already own and have dropped a lot, to reduce my average buy in price.

 

I am trying to consolidate at the moment.

 

I managed to get the Capital Loss from Wirecard on my account so I could trade the Capital gain on my other stock against that loss (not pay the 25% Tax because of the loss on Wirecard).

 

However what I am confused about and I just found this out, is that you can`t trade a Capital Loss on a stock against a Capital Gain on an ETF. It can only be ETF (Capital Gain) v ETF (Capital Loss) and Stock (Capital Gain) v Stock (Capital Loss). Does anyone know why this is? Seems strange.

 

[PandaMunich 16,704]

Not exactly.

Losses from selling stocks can only be compensated by profits from selling other stocks.

This is laid down in §20 (6) sentence 4 EStG: https://dejure.org/gesetze/EStG/20.html

• 4Losses from capital assets within the meaning of paragraph 2 sentence 1 number 1 sentence 1 arising from the disposal of stocks may only be offset against gains from capital assets within the meaning of paragraph 2 sentence 1 number 1 sentence 1 arising from the disposal of stocks;

*******************************************************************

 

Losses from selling funds (of which ETF - exchange-traded funds are an instance) can be compensated by any kind of capital income, i.e. by profits from trading stocks/funds/bonds/options/..., by stock and fund dividends, by interest and so on.

[jeba 4,363]

Maybe time to buy shares of Lilly. They are developing a promising drug against obesity: https://www.nejm.org/doi/full/10.1056/NEJMoa2206038

[fraufruit 42,164]

If I bought pharmas every time they have a promising drug in the pipeline......

[LukeSkywalker 7,630]

55 minutes ago, jeba said:

They are developing a promising drug against obesity.

Reminds me of a guy who had house arrest in an All-You-Can-Eat Diner otherwise the place would go bankrupt 👻.