Talking stocks, trading, and investing in general

[stimulacra]

I always sell immediately lol

Yeah I thought I could save on some taxes by waiting for LTGC to kick in after 12 months post purchase…

 

[venividivicibj]

Yeah I thought I could save on some taxes by waiting for LTGC to kick in after 12 months post purchase…

The opportunity cost of waiting 12 months isn’t worth the minor decrease in taxes (for me)

 

[otc]

I should have turned on the tax loss harvesting on my robo-advisor. I'm sure they would have made some nice loss-sales.

 

[venividivicibj]

Trump said today "There was a glitch in the stock market last month"

problem solved?

 

[stimulacra]

The opportunity cost of waiting 12 months isn’t worth the minor decrease in taxes (for me)

Yeah lesson learned… also the 7% discount isn't really much of an incentive to participate in the first place. I'll probably opt out of it mid-2019.

 

[jbarwick]

Those employee purchase plans are interesting. I have seen wide differences in discounts and holding periods which you have to look at to see if they even make sense. I am the type of person though that would immediately sell but I am a lowly worker and not mid-to-senior manager that may be pushed to hold a certain %.

 

[venividivicibj]

Yeah lesson learned… also the 7% discount isn't really much of an incentive to participate in the first place. I'll probably opt out of it mid-2019.

Yeah, ours is 15% so it makes sense to do a quick flip twice a year, but 7% is iffy

 

[patrickBOOTH]

We have to hold for a year. We get an 11% discount. That said the only Company shares I own is what they have given me.

 

[Piobaire]

Apple stock in after hours free fall due to market guidance. The DOW and Q's get hammered tomorrow.

 

[imatlas]

The one downside of being in my business unit is that we don't get to participate in the company ESPP (we're a wholly owned subsidiary of CRM), which is a 15% discount. Instead, we get a better 401(k) match and our insurance premiums are fully paid. Not a bad trade, and it discourages over-concentrating in my employer's stock.

 

[Omega Male]

Random though for the day. The Nikkei peaked at 38,915 in 1990 and almost 30 years later it still trades at around half that. Buy and hooooooooooooooooold?

 

[otc]

If you factor in total return including dividends (and just reinvest them)...Jan 1990 to July 2018 is only -13.6% total return, -0.5% annualized.

That's still negative, but it is buying at the peak and then never buying again (except for dividend reinvestment). If you did some buying in the 80s before it blew up, and did some buying during the subsequent 30 years...you'd be coming out ahead. Still poor returns, but ahead.

Diversification I guess?

 

[jcman311]

I recall that the Japanese economy has been pretty stagnant since the 90's. Probably has something to do with it. This GDP chart looks fairly similar. https://tradingeconomics.com/japan/gdp

 

[jbarwick]

I feel like having the global currency helps the US. Here are some of my favorite 80s Japan facts:

-From 1956 to 1986 land prices increased 5000% even though consumer prices only doubled in that time.
-In the 1980s share prices increased 3x faster than corporate profits for Japanese corporations.
-By 1990 the total Japanese property market was valued at over 2,000 trillion yen or roughly 4x the real estate value of the entire United States.
-The grounds on the Imperial Palace were estimated to be worth more than the entire real estate value of California or Canada at the market peak.
-There were over 20 golf clubs that cost more than $1 million to join.
-In 1989 the P/E ratio on the Nikkei was 60x trailing 12 month earnings.

 

[patrickBOOTH]

If you factor in total return including dividends (and just reinvest them)...Jan 1990 to July 2018 is only -13.6% total return, -0.5% annualized.

That's still negative, but it is buying at the peak and then never buying again (except for dividend reinvestment). If you did some buying in the 80s before it blew up, and did some buying during the subsequent 30 years...you'd be coming out ahead. Still poor returns, but ahead.

Diversification I guess?

If you dollar cost averaged + dividends you'd be fine.