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Be cautious on GME on the 25th on June
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nice that is very close to performance on SPY, IWB is basically the top 1000 companies by market cap while SPY is 500
Biggest ticker I have on my portfolio through them is IWB at $367 per share. I’ve made $400 so far on this one alone
I started adding iwm to my 401k months ago because my primary position is IWB, how am I going to recover from this $10 loss
How I diversify I’d index based ETFs such as QQQ SMH SOXX IWM and IWB in addition to SPY or VOO. Were I an investor. As an active trader. Trade all of these in their 3x LETF versions. Dabble in individual stocks but don’t invest longterm in any. Rather hold an index based ETF. Easier diversification
Put your money in the s&p 500 or IWB 500 etc every time you get paid & dont look at it until you retire
VOO - US Large Cap VTI - US Large Cap QQQM - US Large Cap AVUV - US Small Cap VTV - US Large Cap VXF - US Small Cap IWB - US Large Cap VO - US Mid Cap You have different ticker symbols but you aren’t diversified. Heck, most of your “diversification” is just a repetition of the same companies with a different packaging. Functionally you have 91% VOO. The only real diversification I see here is the 9% you have in Small and Mid cap funds.
100% IWB (Russell 1000), simple and cheap.
RemindMe! 1 year “did IWB outperform the S&P over the last year?”
If you are referring to IWB, it seems to track VOO very closely. I charted it and VOO seems to outperform IWB a small amount overall but there are years that IWB slightly outperforms VOO. Since 2010 to present, VOO is up 392% while IWB is up 383%. Chart your options yourself here: [https://yhoo.it/3pEDbr2](https://yhoo.it/3pEDbr2) Overall, it is a good investment option imo but kinda redundant to an S&P 500 ETF like VOO so pick one or the other. No point having both as they behave and perform similarly - again my opinion. If you are asking the question in the context of adding diversity beyond just VOO / an SP500 fund, consider adding something like VGT or VUG if you want more growth exposure. VGT outperformed VOO by 550% over the same period. Or some sort of good dividend fund like NOBL or SCHD but both of those under perform VOO by 130% over the same period. They seem to drawdown less on down years like 2022 so less volatility. Your choices depend on your risk tolerance and time frame / age. have fun
So your right. While its constituents are market cap weighted, they are not the top 500 stocks by market cap (thats closer to the Russell 1000 is someone wants that). An unknown fact is that they are selected by the S&P committee to represent the large cap stocks. They also have profitability filters (although not strong ones) and liquidity filters to be chosen. However they are unlikely to mess up selection so much that it pulls a cathy woods style error. It almost always outperforms the Russell 1K for that reason (although the Rus 1K is a tiny bit smaller average market cap simply by having more constituents). They also will sometimes exclude one of two very similar stocks in the same industry so that sector weights are less shifted. I think most people dont realize its a committee that decides, although they are systematic in the sense that they follow a rule set and clearly defined filters. Its not just the top 500 by market cap. * [https://www.etfrc.com/funds/overlap.php](https://www.etfrc.com/funds/overlap.php) check out IWB vs SPY * [https://www.etf.com/IWB](https://www.etf.com/IWB) * [https://www.etf.com/SPY](https://www.etf.com/SPY)
Correct but regardless of the price of the underlying stock the price will more proportionately based on the index. IWM is currently trading at about 225. If ^RUT were to move up 5% IWB would move to about 226. VTWO is trading about 90 and it would move to about 95. Therefore proportional strike prices would theoretically see the same % gain or loss. So why IWB vs VTWO
Not sure what you're looking at; if I compare IWB to SPY, they're almost identical. Though the statement is about picking individual securities contained in the index.
“May” being a key word there. It’s still kind of an open question. Some [investment professionals](https://www.investopedia.com/news/etf-open-secret-theyre-tax-loophole/) argue that because VOO and SPY have different managers and expense ratio they’re not “substantially identical.” Of course you could also switch to something that’s still very similar like VTI (US total market) VV (CRSP US Large-Cap Index) or IWB (Russell 1000) but strictly speaking a different index.
In my ETF portfolio I’m holding the following: - SPY (IWB as my tax loss harvesting alternative) - MGC (IWL as my tax loss harvesting alternative) Should I be consolidating or does it benefit me to hold both?
VTI, VV, ITOT, VOO, IWB are all fair-game. But I would just set a dollar amount threshold based on what is worth your time frankly, and can also factor in the cost (including potential risk of an adverse market-move while doing the TLH).
I went to the gun shop today to put in an order for a left hand IWB holster for my M18 and the guy behind the counter was saying we're heading into a primer/powder shortage. They're saying across the board ammo prices are looking at an 11% price jump. Load up on sportman outdoors and smith and Wesson (shares) while we head into election summer and uncertainty. Thank me later.
S&P 500 / Russell 3000 - Basically the same (VOO or IWB) Or just do VTI (US Total Market) and chill.
Russell 3000 is your best bet. Here is a comparison of IWB(Russell 3000) and VFINX(S&P 500). Basically identical: https://www.portfoliovisualizer.com/backtest-portfolio?s=y&sl=68R9fMpdxn4ejKsB1MAd2r
$SOXL, $IWB, $FORM $SE are a few im looking at that have bullish upward trajectories.
I have an extremely low imprint/invisible CCW & IWB holster. Never really carry but it’s nice to be able to do so legally and it’s lit nobody can even notice it
QQQ: 34.2% MSFT: 21.7% PFE: 16.7% IWB: 14.7% F: 12.6% These are percentages of what is currently invested and I have cash which is currently earning about 4-5% interest.
>Pls enlighten me as to scenarios where you would need to tax loss harvest a passive index fund portfolio? When you sell an investment you pay capital gains tax. Capital losses can be carried forward forever to offaet capital gains. If you dont use them for capital gains, you write off $3,000 against income until you have enough gains to offset. Especially with passive investments one should be tax loss harvesting, thats the best way to do it. There isnt much difference between VUG and IWY or SPY and IWB, and if you dont want to hold the replacement you just sell it for your original index 30 days later
This is where I was a few years back. You don't need to take classes for it. You need to learn about personal finance and investing. Business and economics don't really teach about investing and stocks for an individual investing. I'm in my early 20s, and I learned mostly through [Bogleheads subreddit](https://www.reddit.com/r/Bogleheads/) (this is their wiki: [https://www.bogleheads.org/wiki/Main\_Page](https://www.bogleheads.org/wiki/Main_Page)) as well as YouTube (Andrei Jikh and Graham Stephan). Bogleheads (their wiki and subreddit) is your best bet to learn and receive sound, decent financial advice. The sidebar on their subreddit has a ton of helpful posts - read about their classic [3 fund portfolio](https://www.bogleheads.org/wiki/Three-fund_portfolio). Read about ETF's vs mutual funds. The [personal finance subreddit wiki](https://www.reddit.com/r/personalfinance/wiki/index/) also has tons of posts on investing and advice by age groups. For example: [https://www.reddit.com/r/personalfinance/wiki/investing/](https://www.reddit.com/r/personalfinance/wiki/investing/) and for your age group, [https://www.reddit.com/r/personalfinance/wiki/teachme/](https://www.reddit.com/r/personalfinance/wiki/teachme/). Index investing (which is investing in a compilation of many companies) is safer than picking single stocks because you minimize your risk by diversifying. Take time to read through everything. VTI (which is a compilation of entire US stock market) and/or VOO (which is a compilation of top 500 companies in US) are safe bets for investing long term. Andrei Jikh, Graham Stephan, and others on YouTube also have very helpful videos on personal finance and investing: [https://www.youtube.com/watch?v=gFQNPmLKj1k](https://www.youtube.com/watch?v=gFQNPmLKj1k) [https://www.youtube.com/watch?v=\_gm8YzjDkeI](https://www.youtube.com/watch?v=_gm8YzjDkeI) (Fidelity, Charles Schwab, and Vanguard are best brokerages for investing; personally, I would recommend Fidelity or Charles Schwab) [https://www.youtube.com/watch?v=vCdTLteTPtM](https://www.youtube.com/watch?v=vCdTLteTPtM) [https://www.youtube.com/watch?v=JC1W26IWB3A](https://www.youtube.com/watch?v=JC1W26IWB3A)
Second biggest call volume day ever on the IWB yesterday
You have written IWF twice. I also see that IWF and IWB have a lot of superposition, especially in their top holdings (which also form the bulk of the price movement). Maybe drop one of these two? If you feel confident, keep IWF, which tilts more towards technology (and therefore growth). Unlike some other users, I would suggest to eliminate the non-US part. I have noticed that, save for *brief* periods of divergence, the US market leads and all the rest follow. Sad, but such is reality right now. For fixed income, SGOV is excellent, but only as long as the Fed keeps the rates high. As soon as it pivots, get out of it.
I keep cash in a MMF but also utilize it to generate cash with cash covered puts (specifically on IWB right now). I'm happy with the liquidity, the dividend and the ability to leverage additional cash flow as cash covered puts. I'm tracking for 12sh% for the year.
Symbol Total Gain/Loss Percent Percent Of Account SPAXX** n/a 32.97% AAPL 9.69% 24.32% FNILX 3.68% 7.38% IWB 6.96% 6.49% AMD 3.97% 5.19% INTC -16.74% 3.95% O -1.22% 3.06% NVDA 51.62% 2.62% TSM 10.11% 2.57% FBGRX 23.62% 2.52% OXY 1.48% 1.80% TEVA 33.71% 1.47% LCID -55.37% 1.31% TQQQ 28.41% 1.02% CMC 50.09% 0.88% NET 55.46% 0.81% BND -- 0.63% FXAIX -0.37% 0.50% SOFI -14.13% 0.49% F 23.30% 0.44% DM -29.60% 0.33% NUE 48.38% 0.26% CPG 11.78% 0.11% MU 0.00% 0.02% U -12.07% 0.00% Options -RIVN230317P10 -97.28% 0.00% -SOFI230317P6 65.33% -0.01% -TEVA230317C11 65.33% -0.01% -IWB230421P210 39.76% -0.30% -AAPL230616C160 15.84% -0.83% Use the cash to earn interest as well as leverage cash covered puts, primarily on IWB right now. Last time I did one of these you guys recommended IWB which was a solid recommendation.
Pooping gun is whatever comes out the IWB. UNDER THE SINK, p226 Shower gun is the 5.56 Tub gun is the 308 Garage gun in the .458 Socom Couch gun HK p2000 .40SW Yard work Gun, Sig FastBack 1911 nightmare with the meme grips
Oh totaly, IWB with them sucked, i just tape the grippy. Thankfully it’s winter so i can owb with a coat so it’s still concealed
I’m not a 1%er but I’m using my retirement fund to sell covered calls and reinvesting that money. Mostly into IWB. Last time I looked I was up $5k from that strategy
Hello! Looking for advice on long-term investments. Background: early 30s, US, just switched careers (current income ~100k with potential to increase to 200k+ depending on performance). No significant debts at present but hope to buy a house in the next ~5 years (have the downpayment, but the market in my area is currently too competitive). My general investment goals are to save for retirement. Risk tolerance is moderate to high (I plan to work for another 20-25 years) Current portfolio: * Maxed roth IRA on years eligibile, backdoor roth other years * HSA (not max contributing) * Two employer-sponsored retirement accounts (one from prior, one from current employer), maximizing the employer match which is small. * Brokerage account which is where the majority of my investments are currently located. Current allocation is 45% domestic stock (IWB), 35% international stock (EFA), 15% bonds among all my accounts. I have about $10,000 to invest and am wondering how best to allocate that -- domestic? international? I buy the same funds over and over which I feel fine about but should I be diversifying further?
Absolutely nothing wrong with the Russell indices. But their index related products (ETFs) typically have slightly higher fees. Compare IWB (.15%) with something like VOO or VTI (.03%). 15% is not a lot, but why would you invest in the more expensive one?
Have you gotten away with this? You're not supposed to be able to claim losses using two things which are virtually identical. You could replace SPY with IWB which tracks a different index but should still be very correlated with the S&P 500.
Where is the "Loss Porn hits Index Funds" thread? Down $70,000 on $300,000 in SPY, DIA, QQQ and IWB. I'm such a retard...
It means more bags dumped onto retail. IWB vs IWM is kind of a joke.
Russell 1000 (IWB, VONE) and CRSP Large Cap (VV) indices both include large cap and medium cap. https://www.bogleheads.org/wiki/File:Stock_Benchmarks_-_Major_US_Index_Providers.png
Look _CLOSELY_ at wht robos like Wealthfront do, they do not use the same index with the same methodology when swapping. They will go between S&P500 and Russel 1000. There is no objective rule that makes one fund "different" than another and the IRS has refused to clarify the rule. I think the subjective "rule of thumb" is that the methodology of the funds should be different and there should be only, at most, 70% overlap in the major holdings. VTI - SCHB SPY - IWB QQQ - ONEQ Many funds do not have a tax-loss harvesting partner because they have not found a suitable alternative that has the same risk characteristics and a different enough holding strategy.
Hello! I recently went to Wealthfront for the tax-loss harvest + relatively low fees. They do not offer VOO. Would SPY-IWB or GSLC be an appropriate alternative? If so which would be preferred? Thank you very much for the help!
some of us remember when QQQ crashed 80% after the 2000 dot-com bubble and was underwater for 14 years. its rapid run-up is just a few years old. SPY was in the red for 3 years after the dot com crash, and then lost 50% in the 2008 crash, so was underwater for about 12 years (2000-2012). IWB, the Russell 1000, is arguably superior to the S&P 500 as a large/mid cap index. (a) more mid-cap exposure. (b) IWB is purely passive, while SPY has a committee filter at the final stage to select the stocks ... meaning the S&P 500 is actively managed. the S&P committee has a bad history of adding hot stocks at tops and dropping stocks at low points just before they rebound. https://www.researchaffiliates.com/publications/articles/674-buy-high-and-sell-low-with-index-funds
VOO has the lowest expense ratio. Consider IWB for exposure to the Russell 1000.
Maybe piece it together with IWM and IWB? But still limited liquidity is a problem
Not sure if you are aware of it, but you have lots of overlap. Here are a few links to help you understand what I am about to say. [https://www.morningstar.com/etfs/arcx/vug/portfolio](https://www.morningstar.com/etfs/arcx/vug/portfolio) [https://www.morningstar.com/etfs/arcx/iwb/portfolio](https://www.morningstar.com/etfs/arcx/iwb/portfolio) [https://www.morningstar.com/etfs/arcx/ivw/portfolio](https://www.morningstar.com/etfs/arcx/ivw/portfolio) Scroll down to the third section where it says "holdings" and you can see that these are all three just Apple + Microsoft + Amazon + Google + tesla + Facebook + Nvidia just not always in the same order. It is as if you went into a fast food place and ordered a combo meal, a value meal, and a family meal and told yourself you were diversifying. But the truth is that if you open up the bag and look inside you have just bought multiples of the same thing. [https://www.morningstar.com/etfs/arcx/vea/portfolio](https://www.morningstar.com/etfs/arcx/vea/portfolio) [https://www.morningstar.com/etfs/bats/iefa/portfolio](https://www.morningstar.com/etfs/bats/iefa/portfolio) Same with these two. Open the bag and look inside and it is Nestle + ASML + Roche + Toyota + Louis Vuitton + Novartis + AstraZeneca + Novo Nordisk + Sony in both of them [https://www.morningstar.com/etfs/arcx/vtv/portfolio](https://www.morningstar.com/etfs/arcx/vtv/portfolio) [https://www.morningstar.com/etfs/arcx/ive/portfolio](https://www.morningstar.com/etfs/arcx/ive/portfolio) Here you have doubled up on Berkshire + UnitedHealth + JPMorgan + Johnson & Johnson + Procter & Gamble + Exxon (And Berkshire is in IWB too!) Now there is nothing \~wrong\~ with this strategy. Heck, I do something similar in my own portfolio. But this is a very VERY common mistake, so I feel I should mention it just in case you did not realize you were doing it.
I have $35,000 in a "high" (.4%) yield savings account. 30, single male, US-KY, Transportation Engineer, $85k salary Want to use the money to create more money and retire early. Long time horizon, no use for 20+ years. High risk tolerance, not afraid of 100% loss. Currently holding various amounts of VUG, VEA, VTV, VWO, IWB, IEFA, IVW, IVE in Roth IRA & Individual brokerage accounts. Smaller Roth 401k, ESPP, HSA through work. Total \~200k in retirement accounts. Own a paid off rental house worth \~$60k. Rent at $700 a month. Net \~$3-4k/year. I have \~$90k equity in current home. $180k left on 3.125% mortgage. No other debt. How much should I invest? And what funds should I select? I'm opening a Vanguard account to invest. Current monthly expenses are \~$3k. Thank you!
start with a mutual fund or ETF that represents the entire stock market. VOO/SPY, VTI, IWB, etc. dozens or hundreds or thousands of stocks from different industries, this will be much more stable and safe. this should be your 'core' or 'backbone'. be skeptical of anything on YouTube. there's a lot of scammy nonsense. the first people you should take advice from are professionals with decades of experience. anyone can get lucky for a few years, so you want to study people who've been successful through the good and bad times. read books and watch videos from Warren Buffett, Peter Lynch, Howard Marks, Joel Tillinghast, Joel Greenblatt, Will Danoff, etc. there's a great series from Wiley Publishing: The Little Book of [X], all written by established pros, short books for non-professional readers, not too technical The Little Book of Big Dividends, The Little Book that Beats the Market, the Little Book of Value Investing, etc. your local library might have these. https://www.amazon.com/Little-Book-Investing-Series/s?k=Little+Book+Investing+Series
IMO for your core/backbone position you want something that covers most of the market. VOO/SPY + a small cap fund; or IWB (Russell 1000) + a small cap, or VTI. SCHD or HDV is a good large company alternative if you want US large dividend stocks. you want a healthy chunk in overseas stocks of some type, VXUS is good or perhaps something like IGRO if you want dividend stocks. dividend stocks are fine, they tend to be good bets long-term because they're big boring stable established companies. but they're slow-and-steady options, so keep your expectations in check ... they won't zoom up in price like a meme stock or Tesla.
you should start with an ETF covering most or all the market. something like VOO/SPY, IWB, VTI, etc. this will hold hundreds or thousands of stocks from different industries. much safer and more stable. for single stocks, I recommend you check out the Little Book that Still Beats the Market, by Joel Greenblatt. he's a big-deal investor and wrote this for his teen kids, so very simple to understand.
yes too much tech IMO. QQQ has major holdings in Microsoft, Amazon, Tesla, Apple... so there's a lot of redundancy. just FYI some of the best performing stocks of the last 20 years are not tech, companies like Monster Beverage, Tractor Supply or Ross clothing stores. the best stocks aren't always the most obvious options. AQN and SU are good options, but as utility stocks they've been hammered lately. utility stocks pay fat dividends, so they tend to be more slow-&-steady over the years. and IMO if all your investments are going up, you're not diversified enough. so stay the course. and I'd look at an ETF that's covering more of a broad market spectrum. things like VOO/IVV/SPY, IWB, VTI/ITOT. and something with more global/international coverage, as well. US and international stocks tend to move in cycles (very roughly 10 years long), with US outperforming the international options, then it switches and foreign stocks are on top. https://www.fidelity.com/bin-public/060_www_fidelity_com/documents/FiveMythsInternationalInvesting_Webinar.pdf
Ditto the bulk of your assets should be in an ETF or fund that has lots of stocks from different industries. Dozens, hundreds or even thousands of stocks. This a lot safer, because it spread the risk around. Any company can collapse and go out of business and the stock is worthless, but 500 or 1000 companies are not gonna fall apart all at once. Look at options like VTI, VOO, SPY, IWB, HDV. Good fidelity specific options are FZROX, FZILX, FDVV, FNILX, FXAIX, FZIPX. A common rule if you want to do single stocks is keep them a max of 10-15% of the portfolio. they are simply a lot riskier and more volatile. >After about 3 weeks I am down roughly $300 from my initial $8k investment, an average -3.3% return. 3 weeks is too short a period to draw any conclusion. pick 5 stocks at random and 3/4 of them probably have a 15-30% fluctuation over any 12 month period. stocks go up, stocks go down. it's what they do. >Relative just keeps saying, "don't worry, as long as you keep your money invested in these stocks and wait a year or two there will be a positive return." Probably accurate, but never a guarantee. >Trying to grow my savings to purchase a home in 6-12 months investing is for money you can leave alone for 5 years or more. this is because any 5 year period in market history there's an increase in value ~90% of the time. but that assumes a well-diversified portfolio as described above that represents the entire US market. >Really the only resources I have right now are my relative, and The Motley Fool/Stock Advisor that I was talked into purchasing for the next year. my personal guideline is to take investing advice from people only if they have a Wikipedia page. or at least, to give their advice more weight. People like Warren Buffett, Peter Lynch, Joel Greenblatt, Howard Marks, etc. I want advice from professionals, not amateurs. Lynch's books from the 1990s are a bit dated in some ways, but his fundamentals are bulletproof and he's not hard to read or too technical. Greenblatt's "Little Book That Still Beats the Market" is a great starting point, he wrote it for his teenaged kids to understand his career and not too technical either. Warren Buffett and Howard Marks write memos to their investors, that are widely read and followed. Marks's memos: https://www.oaktreecapital.com/insights/howard-marks-memos/ Buffett's memos: https://www.berkshirehathaway.com/letters/letters.html this is the single best introduction to investing that I've ever seen, from an old firm called Davis Advisors: https://www.davisadvisors.com/davissma/downloads/WGI.pdf take notes on all the names of the famous investors they quote...
very good options, not too trendy. chasing trends is usually a bad idea. boring companies are usually better long-term investments. Might want to consider replacing SPY with IWB (the Russell 1000, which has more mid-cap stocks than the S&P 500) or a total-market index like VTI or ITOT to get more mid + small cap stocks. also might want to consider some international ETF. but otherwise looks solid to me.
IMO you should start investing with a mutual fund or ETF that gives you broad exposure to the entire market. something like VOO, IWB, ITOT/VTI. these will give you hundreds or thousands of stocks from different industries, which minimizes your risk if a few of the companies blow up. for single stocks, I recommend you check out Peter Lynch's books; the Little Book that Beats the Market by Joel Greenblatt; and the Little Book of Value Investing by Christopher Browne. all these authors are 'value investors'. the stock price may or may not reflect the fair value of the company, so value investing looks for stocks that are on-sale or underpriced. like finding a used car in good condition that sells for $8000 when Kelly Blue Book says it's worth $11,000. long-term, value investing tends to give you the best bang for your buck. I like the Fidelity app and their website has a ton of great info for customers.
I mean, as long as mid and small caps are struggling, it's not like the SPY could climb forever. Really wish IWB could start breaking to the upside.
Also had to upgrade my pants size last year. For actual wear, I prefer Carhartt due to much better durability and more comfortable for IWB concealed carry. But, I’m not against getting in on this.
IMO trim that to about 10 or 20 stocks, and put the rest of the money into some fund or ETF with broad diversification across the entire economy. something like VOO, IWB or VTI/ITOT. IMO there's no reason to hold single stocks like Microsoft of Apple when they're already a top holding in most ETFs.
Yeah, also GME was an outsized portion of the Russel 2000, comprising like more than half percent, but is just a miniscule portion of the Russel 1000, like a few hundredths of a percent. So, shorting the IWM would actually move the price of GME, but shorting the IWB would do fuck all.
IMO core posistion should be something like S&P 500 (SPY/IVV/VOO) or Russell 1000 (IWB) or total market index (VIT/ITOT), + some good broad international exposure. I have a few sector funds, tech and healthcare, but they're a minority of overall holdings. simply far too volatile. if you want to ramp up the risk/rewards ratio, I'd recommend adding more small and mid cap holdings. for the US, maybe do 40% large cap, 30% mid and 30% small. over a long period, 10+ years, mid and small cap stocks as a group will tend to outperform large cap. they're also more volatile, sharper ups & downs, so you need to commit to riding this plan out for a while and not panicking in the short-term.
Profits should be taken if you are rebalancing, but you have nothing to rebalance to. In your case, when the S&P 500 drops 30% next time, harvest your losses in tax lots that have them (since youve DCA in over time) and use a substitute (Non S&P 500 to avoid the wash) like VV (CRSP), IWB (Russell 1000), or SCHX (Dow Total US Large Cap). Then if you want you can buy back your S&P fund again after 30 days. More importantly IMO, I'd begin to diversify internationally and to emerging markets. IXUS is an easy one for that. Or IEFA and IEMG, can even add in SCZ for int small cap exposure. But anyway, I digress, not financial advice yadda yadda yadda
>What is the best way to get my feet wet as a beginner investor? buy a mutual fund or ETF with broad exposure to the US or international market. IWB, VTI, SPY/VOO, etc. this gives you tiny slices of hundreds or thousands of stock across a variety of sectors.
first step IMO should be to buy a mutual fund or ETF with broad exposure to the US and/or international markets. this will be a lot more stable, as it gives you tiny slices of hundreds of 1,000s of stocks from a wide variety of companies and industries. if 5 of the companies blow up, you've still got stocks in 995 other companies that are doing OK. so you want to buy something like SPY, VOO, VTI, IWB. for single stocks, start with reading Peter Lynch's books, and The Little Book that Beats the Market by Joel Greenblatt
Hi folks, if you check my post history you can see I know a thing or two about GME. GME itself moving from R2K to R1K is bearish. 1) There are more assets under management indexed to the R2K vs R1K. For large caps (R1K) most index money is tied to the S&P 500, not the R1K. For an example of this, see the assets under management of IWB (R1K fund, ~30B aum) vs IWM (R2K fund, $70B aum). 2) The total market cap of R1K is greater than R2K. Combine this with item 1) and that means that LESS money is spread across MORE market cap, i.e. less $ per equity of index buying. 3) it's likely that the rank and relative weighting of gme will be much lower in the R1K compared to where it just was in the R2K. So I anticipate net selling on the 25th. Collars make sense if you're holding. On the flipside, if enough people think GME moving to R1K is bullish, then it might ramp in the meantime from people buying, but I'm not even sure this recent rally is retail driven at all.
ok well you are fine to feel that way. but quantify what you're willing to pay for it: IWB (ishares russell 1000 etf) has a management fee of 0.15% whereas IVV (ishares s&p 500 etf) has a cost of only 0.03%. Thats 0.12% guaranteed loss per year to placate your fears. How much is too much?
It's daunting at first. A quick list of topics to look up/search into for later: 1) Tax advantage retirement accounts - 401(k) through work, IRA, (SEP if self-employed). This is money you generally won't touch until retirement, but the government lets you invest it without getting taxed while doing so. ​ 2) Retirement portfolio - Index ETF investing. Common ETFs: VTI (total market), SPY (S&P 500), QQQ (NASDAQ), DIA (Down Jones Industrial Average), IWB (Russel 1000), and IWM (Russel 2000). You really only need to learn to invest into 4 or 5 things that invest into most of the market for you. When you buy these ETFs you're actually buying tiny amounts of hundreds or thousands of larger companies at once. This is less risky than picking a few individual companies, but less fun. As long as the overall market does well, you do well.
IWB is the iShares Russell 1,000 ETF and IWD is the iShares Russell 1,000 Value ETF. The Russell 1,000 is a different group of stocks than the S&P 500.
Actually do you know what is IWB , IWD?
I mean...you definitely over complicated it. All you need is VOO or VTI. That’s as basic as it gets...or if you want it more fancy like you can add small caps or swap VOO for IWB to get access to mid caps. Then throw in VXUS for international. So the least you need is 1 index fund, and at most maybe 5. Trying to pick sectors is almost akin to picking stocks, meaning it’s slightly better than picking stocks but still statically your choices will fail to beat a simple index fund.
>I’ve noticed my portfolio shrink by 15% even as the market has reached ATH. that's because the market is thousands of stocks, and you have about 15 stocks many of which are trendy/hot, and those always cool off. I think you need to beef up the holdings in ETFs or funds that cover more stocks and more sectors. I'd rather see 50% in SCHD, or options like VOO/SPY/IVV, or IWB, or VTI/VTSAX/FZROX. the usual recommendation is that single stocks should be more more than 10-15% of the overall portfolio. single stocks, even from the best companies, are much more volatile than a collection of hundreds or thousands of stocks.
Just buy a little $K and $IWB then call them and ask them to combine them.
So as you know they have the S&P 500, Nasdaq, Dow 30, etc. So your choice is basically do you want your index fund to have stocks from the S&P 500, Nasdaq or the Dow 30. Or you can do a total market index fund like FSKAX. S&P 500 have the reputation of having the "best stocks", so getting an index fund that follows the S&P is a wise move. Some of the most common index funds are: VTI, VOO, IVV, QQQ, SPY, DIA, RSP, IWB, SCHB Check out finviz.com, go to Maps, and on the left you can click "Exchange traded funds" and you can see the biggest index funds and how they are broken out https://finviz.com/map.ashx?t=etf
> stocks i can buy that would yield >20% in the medium/long term, say 5 - 10 years. nobody knows. anyone who says they know is a liar or deluded. your core position should be a low fee fund or ETF that gives you broad exposure to the entire market or a slice of the market. options like FZILX/VTI, VOO, IWB, etc. single stocks are highly volatile, so there's an old rule to keep them to a minority of your investing world. they can be fun, but keep it in perspective.
>I’m diversified with 8 different companies that's not diversified. even if all 8 were in different industries, that's not properly diversified. I think you need something with broad market exposure: VTI, VOO, IWB, etc. the best performing stock of the last 20 years is Monster Beverage. Not Amazon, Netflix, Google, Tesla or other big tech names. Monster Beverage has beaten them all. Tractor Supply and Ross Dress for Less are also in the top 10 best performing stocks. the point is investors need to stop chasing trends (at least with most of their portfolio) and just buy a big ol' slice of the US market because it's hard to predict what's gonna be the top stock of the next 20 years. It ain't gonna be Tesla. It's gonna be some small company none of us have ever heard of.
IWM YTD return - 10.83% IWB YTD returb - 4.31%
your largest holding or position should be a low-fee fund or ETF, with hundreds or thousands of stocks. this will be much safer and more stable, spreading the risk across all those companies in different industries. look at VOO/SPY, VTI, IWB, FZROX. any of these would be a good place to start. for picking single stocks, I recommend reading the following books: The Little Book of Market Myths by Ken Fisher, free on his website https://www.ken-fisher-investments.com/books/little-book-market-myths Peter Lynch, One Up on Wall Street and Beating the Street. in that order, the first is theory and the second is practice. The Little Book of Value Investing, by Christopher Browne The Little Book that Beats the Market, by Joel Greenblatt
it's good you're paying attention after Gamestop. but putting all your chips on one stock, hoping it blows up, is not a good strategy. that's like buying lotto tickets. anything like GME or Tesla that shoots straight up is bound to come down, and often come down hard all at once. ALVR is not a good option, they have a lot of cash, but are unprofitable and it's crazy overvalued. fair value is actually negative according to the discount cash flow calculator at Guru Focus. if you don't have any stocks, you want to start with a low-fee fund or ETF that gives you broad exposure to the US market. something like SPY, VOO, VTI, IWB or FZROX. for good advice on picking single stocks, read Peter Lynch's books, the Little Book of Value investing by Christoper Browne, or the Little Book that Beats the Market by Joel Greenblatt. the authors are all successful professional investors, and they would all tell you to avoid trendy-overpriced stocks like ALVR. they will all tell you to look for boring, well-managed profitable companies with low levels of debt, and with a stock that's fairly priced or under-priced. >would mean I’m free of all of society’s BS and social class oppression and inequality "social class oppression and inequality"? you need to stay off late stage capitalism or whatever websites are filling your head with these ideas. it's nonsense and it's poisoning your mind. go read Immigrant Mindset by Brian Buffini, and you'll learn why immigrants to America are about 4x more likely to become millionaires than native-born Americans: Immigrants see America for the amazing nation that it is, with more opportunities than most people in the world have access to. a lot of the talk about income inequality is hogwash. they're confusing income brackets (an abstract category) with the flesh and blood people. the trouble is that the brackets are not fixed, we all slide in and out of income brackets all through our lives. an absolute majority of Americans are in the bottom 20% of income, and the top 20% of income ... only at different times in their lives. see Economic Facts and Fallacies by Thomas Sowell. 50% of Americans spend at least a year in the top 10% by income, and about 10% of Americans spend a year in the top 1%. the top 1% has the highest turnover rate of any income bracket in the United States. see Skin in the Game by Nassim Nicholas Taleb. >being debt free at my age, and even 7-10K in the bank savings account doesn’t have much value when you’re so directionless and lack any valuable job skills or qualifications Career Step dot com, or your local community college. you can get some basic career training/certification for a few thousand bucks, or less. there's nothing stopping you. go volunteer or job shadow at a few places. get crackin'.
blindly? yes, foolish. $15k in one stock, as your total investment portfolio? also foolish. as a novice, your first move should be to put the bulk of money into a low-fee fund or ETF covering all, or a large portion of the US market. things like VTI, VOO, FZORX, VTSAX, SPY, IWB, etc. investing in hundreds or thousands of stocks is much safer and more stable than putting all your chips on one stock. single stocks are ok as a small part of the overall picture. but I'd read up on it first before going all in.
Hi. So I’m not arguing that inclusion will make a HUGE difference but you’re a little off on your calcs. That’s because in addition to “Russell 1000” ETFs there are also “Russell 1000 Value” and “Russell 1000 Growth” ETFs, which are actually more popular and have more assets. Safe to assume that UWMC will be in R1000 Value. The iShares ETF (IWD) has $50B in AUM. Vanguard,s is much smaller ($5B) So iShares R1000 (IWB) has $26B its R1000 Value has $50B, Vanguard’s R1000 (VONE) has $5B and its R1000 Value (VONV) has $5B. There add other funds and ETFs that track the Russell 1000 as well. Question is how big UWMC would be in it and I don’t know the calcs.
Yeah... i was seeing conflicting information on float so pointed out. The only information on float i could find on schwab was from that inevestor report from reuters. Anyway, IWB is a better representation of what you are looking for. It also has HST. What you linked here is a subset of r1000 - etf of only growth stocks. Anyway 1m is not massive because that wont happen in a day and stock has 30m daily volume. Guess time will tell but i am convinced inclusion in r1000 is not going to be a reason for pop with a market cap of 16b.
Just wanted to wait looking into this until market closes. I think you may be referring to IWB Russel 1000 ETF. It has a market cap of 26bn. HST is a great approximation for calculating holding of UWMC when it gets there. Currently IWB holds $8.3m value of HST. For a corresponding value of UWMC, IWB needs to buy less than 1m shares at very best. UWMC has 1.60Bn shares outstanding. Meaning even if IWB purchases all the shares on same day, which is unlikely it will still not be anywhere near to making a dent there. I also want to point out that Somone commented here that float is 30m. But as far as i see (based on Reuters investor report on UWMC dated 2/17/21) float is over 1.5bn too. Give me a source if you think float is much smaller.
an old recommendation is that single stocks should be a minority of your overall portfolio. 10-15% is a common guideline. the bulk of your portfolio should be in low-fee funds or ETFs giving you broad exposure to the US market. I'd look at VOO, VTI, IWB for the core position. the ARK etfs are highly volatile and IMO should not be the centerpiece. there's a strong chance they're gonna come down from the sky-high levels of last year.
as your core position, you want something with broad exposure to the entire US stock market. this will be a lot more safe and stable and covers a lot of industries. an S&P 500 index, Russell 1000 index, or total market index is the way to start. SYP and VOO are S&P 500 indexes, IWB is the Russell 1000, and VTSAX covers the entire US market. might want something international, too, like the Bogleheads 3 fund method. there are times US stocks do poorly but global stocks do well, and vice-versa. Fidelity has zero fee funds, FZROX will cover the entire US market and FZILX covers most major international stocks. but it's hard to go wrong with Vanguard, Schwab or many other good investing companies. the ARK etfs are what are known as "sector funds" -- they cover a specific industry or type of business. these are fine, and can have strong performance histories. I hold a tech and healthcare fund in my fidelity IRA. but they should be a small part of the big picture because they are also more volatile -- more ups and downs, and the management fees tend to be higher. >trying to start some generational wealth this is fine as a goal, but in a way it's not up to you if wealth is generational. most inheritance is wasted within a few years, for the same reason most big lotto winners go bankrupt in a few years: they don't have the mindset and habits to handle getting a large amount of money all at once. so IMO a goal should also be training any kids with the right mindset and attitude about money: it's a responsibility to manage it properly, not an excuse to go on vacations and shopping sprees.
Assuming there is a correlation between increased trading volume in ETFs and the shares they are composed of: Russell 3000($IWV): 197,091 Russell 2000 ($IWM): 5,005,568,500 Russell 1000 ($IWB): 711,037
Yeah even IWB lost 1% today, the whole market took a dump at the end there. Not much to do but ride it out I guess.
Thanks for the answer, I hadn't heard of AI vision, but ended up here [https://www.tesla.com/autopilotAI](https://www.tesla.com/autopilotAI) now take a look at this video [here](https://www.youtube.com/watch?v=RuVtpG_feWk) [https://www.mbrdna.com/teams/autonomous-driving/](https://www.mbrdna.com/teams/autonomous-driving/) Looks like almost exactly the same shit being collected, one by a Mercedes in 2014, one by a Tesla...who knows when. Not exactly sure that's game breaking. Like I said, the cars have had the sensors for a decade. To expect that data isn't being collected I think would be naive. Sure they're not updating their fleets information in real time or even regularly so I don't know what they're doing or what advancements they're making behind the scenes, but just look at the videos on their blog post or the video from 2014. They have the technology and data. [https://www.youtube.com/watch?v=IWB4xj7EILg&feature=emb\_title](https://www.youtube.com/watch?v=IWB4xj7EILg&feature=emb_title) [https://www.wardsauto.com/vehicles/mercedes-takes-21-s-class-next-level-autonomous-driving](https://www.wardsauto.com/vehicles/mercedes-takes-21-s-class-next-level-autonomous-driving) [https://www.mercedes-benz.com/en/innovation/autonomous/](https://www.mercedes-benz.com/en/innovation/autonomous/)