/biz/ - Business & Finance

I is porud.

>>235035
>buying anything close to an all-time high
>buying stuff when stock market might crash due to russia doing shit
getting some hookers and coke would be a better investment

>Star Wars coming out in two years

Yes

>>235035
If you're putting $10k into DIS for any longer than 1 hour, no, I'm not proud of you at all.

Why?

>picking stocks

>>235035
This better be a social engineering attempt.
Otherwise, I genuinely pity you.

$10k is actually enough to set up a halfway decent portfolio. OP is an idiot

>>236334
'splain

Star Wars comes out, Disney stock hits $200.

We'll see who has the last laugh.

>>236414
Your approach to trading is simply laughable.

- You're making an extremely long-term estimation based on nothing other than your own hope that you'll profit that much.
- You have made no determination of an exit if things turn sour. You have 0 risk management.
- You are keeping your capital locked up, waiting for a boom months way, instead of using that capital on a day-to-day basis, profiting you even more money.
- I doubt you've even made a target of $200. You seem to be the kind of person who'd ride the wave to a peak and then exit when it seems like the fun-times are over, other then a precisely determined stop point.

The vast majority of traders don't become rich on rare booms, kiddo. Traders become rich through the discipline described above as applied to a multitude of small, common transactions that, in the aggregate, add up to a lot of money.

You're going to lose everything one of these days if you don't watch the fuck out. Seriously.

>>236369
He is probably an indexer splitting his allocations to broad indexes rather than trying to select individual stocks.

That being said, dumping $10,000 into a single stock is retarded. Even a Dow stock like DIS

Always bet on the mouse

>>236435
Yeah can't argue with you, but TBH I'm using this as a better savings account, not trying to play the market and make my income off it... I make my own income else where.

I'm really stupid though and have a lot of cash so I gotta stick it somewhere safe and I don't gonna think about it.

It might not get that big, but c'mon... very safe place to put your money.

>>236466
>He's using the stock market as a vehicle to preserve wealth just through buying and holding
God damn you have no idea why that's an awful idea. It's not safe. It's not a preserver of wealth. Just use a savings account, please.

>>236466
>very safe place to put your money.
>stocks
>Disney
NO.

>>236492
>>236516
I'm going on instinct and I know I at least won't lose money.

>>236535
plus I'm young and make ~$15k per month, I'll just keep dumping 10k into Disney until I'm rich.

I feel it in 2015 bros, I fucking feel it.

> 2014
> not diversifying
> putting all your eggs in one basket

honestly OP you are retarded, especially investing in a company as large as Disney. You will not get rich off them.

>>236414
Yeah, I'm sure that the stock hasn't adjusted to the predictable return of the SW movies after two years... Markets may or may not be efficient, but they are not THAT inefficient. Unless they are exceedingly successful or bomb exceptionally, that price will stay right where it is.

>>236576
http://en.wikipedia.org/wiki/Shanghai_Disney_Resort

2015 will be a good year, bro... trust me.

>>236435
>using capital on a day-to-day basis
>profit
Yeah, no. Day trading is a great way to make money for your brokers.

>>236567
You don't get rich off of diversifying either. You just guarantee a more steady gain.

>>236622
there is literally no reason not to diversify unless you really want to gamble and then you might as well go to the casino and bet everything on one number

>>236580
Again, public information and since it's not the first project of its kind, you can probably analyze the fundamentals pretty well.

Also...
>Disney minority owner
Toppest of keks, that is one hell of a bribe they had to pay to get that off the ground.

>>236626
No, because the stock market has better odds than the casino, since the stock market is rigged to give you money on average. Chances are that you'll do worse than a mutual fund, but underperforming the market is far better than losing all your money like you would with blackjack.

And anyway, that doesn't change the fact that you don't get rich off of a highly diversified portfolio.

>>236642
>the stock market is rigged to give you money on average

please explain, how is it rigged to give you returns?

>>236651
i assume he's referring to the positive average returns over history. I think a lot of that is due to leverage and globalization, both of which are showing diminishing returns now. I don't have much faith in the reliability of long term equity gains anymore now that extreme boom and bust are so prevalent; you better hope you don't get fucked by timing when you want to exit equities as you age..

>>236664
I think he's mistaking indices for the actual market

>>236664
> I don't have much faith in the reliability of long term equity gains anymore now that extreme boom and bust are so prevalent
Extreme boom and bust don't matter as long as you put in money at a constant rate of x dollars per month. As for the growth of the stock market, first remember that it will grow along with inflation, which contributes maybe 3-4% per year, and is still better than cash.

>you better hope you don't get fucked by timing when you want to exit equities as you age.
That's why it's generally recommended to move more money in bonds (up to 50% instead of less than 25%) when you need to be defensive. But nothing is perfect. If you keep all your money in cash, you're guaranteed to lose to inflation. And bonds can decline in price just as stocks can.

>>236672
It makes no difference. If some subset of the market is rigged to give you money on average, then you can restrict your investing to that subset.

>>235035
buy and hold dont do any of that in and out shit you will never make money that way other then that good pick

>>236674
then it's still a diversified subset, you want to invest into a single stock

>>236678
Lets take the Dow. The companies in the index are changed relatively infrequently, so lets pretend that they remain constant. If the Dow index increases by 8% in a year, that means that if 10000 people picked a random stock listed in the index and put all of their money into it, then on average they would get an 8% return.

This is a big contrast to putting in all on red in roulette, in which case they would lose 1% (estimate) of their money on average

>>236683
yes but some would lose money and some would gain it. If you diversify into the dow you have a higher certainty of actually getting the 8% you are talking about.

I can't see the point of not diversifying unless you are trading on insider information.

>>236687
>yes but some would lose money and some would gain it. If you diversify into the dow you have a higher certainty of actually getting the 8% you are talking about.
None of that contradicts anything I have said.

>>236690
then what's the deal with you talking diversification down?

>>236692
I said it doesn't make you rich. I'm right.

You have to also consider the utility value of money. If you don't have much money, the chance of hitting a lottery ticket can be worth it. Because if all you have is $2000 (beyond what you need for living and safety in case of an emergency) then getting it to $20,000 could make a huge difference, while losing everything might only set you back a couple months.

If you have 5 million dollars, losing everything sets you back a huge amount, and you can live a great lifestyle without turning it into 50 million.

>>236699
now you are using the gambling example yourself

>>236703
You're fucking retarded.

It is gambling in a sense, but I have already explained why gambling in the stock market is much better than gambling in a casino.

>>236707
>you are retarded
>what you said is correct

your single stock idea is still not smart if you want higher returns at a higher risk you will have better chances with an index future.
You can have your capital leveraged and your "safe" return from the market

>>236718
> you will have better chances with an index future.
What a nice claim with absolutely no evidence.

>what you said is correct
Correct statements can still come from retarded people.

All of you bashing OP don't understand it. I totally do. He wants to invest in a company he feels is right due to, what he believes to be, overlooked public information. This is totally fine.

OP, i think you should put your eggs all in one basket if you feel strongly about it. Everyone telling him to diversify doesn't understand that OP wants HIGH risk with little effort. Is it a gamble? in a way, yes, but he has a feeling about something that isn't controlled completely by chance, so i wouldn't not compare this to roulette, but rather poker.

Go for it OP

>>236721
>What a nice claim with absolutely no evidence.

You made the claim that the indexed market is rigged to give you positive returns. The burden of proof is on you.

Also please stop using ad hominem arguments, I'm very sensitive.

>>236726
>You made the claim that the indexed market is rigged to give you positive returns. The burden of proof is on you.
Historically it is. Certainly I can't prove that it will continue, just like I can't prove that the sun will rise tomorrow. But by definition, stocks within an index will on average perform the same as the index itself, assuming the stocks are chosen with probabilities corresponding to their weight in the index.

>>235035

They bought Polaris.

SELL OP SELL

>>236435
>Day-trading

Eww man, I learned not to do that in Personal Finance 101.

>>236414

Ha this was my logic when I bought Activision stock when I was 17

MW2 COMES OUT SOON DOG IT'S GONNA SKYROCKET

>mfw it didn't

>>236826
18*

>>236826
Did your 17 year old self really think you knew about mw2 while all the experts out there didn't?

>>236833

no, I just had a very obviously flawed understanding of how things work

>when they make a lot of sales they go up in price right?

>>236854

Nearly every 18 year old junior investor put it all on Sony at the launch of the PS2. It didn't go so well.

Though in general, vidya stocks are an ass and a fools game unless you go against vidya beliefs

>MFW when owning EA

>>235035

RFMK, dude. RFMK. You will get fucking rich. I bought in at .002. Nobody here listened, I got out at .01 and made 300k.

>>236898
>RFMK

>"Rapid Fire Marketing"

I couldn't think of a less legitimate sounding company name if you paid me

>>236898
>>236909
Social media marketing for medicinal marijuana and ecigs? My head is spinning

Holy shit, when did the price of DIS go up form $32? My grandparents bought me 10 shares when I was little, this is kinda surprising.

Either way, neato.

>>236898
The whole business idea sounds like shit. I'm sold. Some dumbasses will still buy this pump and dump. What's your exit strategy? Any stops?

>20 p/e
>10% gain yearly estimate
>analysts have it as a recommended sell
>shitty 1% dividend
Disney is going to underperform the market and if the economy tanks its going to get hit too. Its going to be somewhat stable on account of it being a largecap but srsly OP, why DIS?

>>236898

I keep seeing this on /biz/. I was gonna buy it, but now can't help but think this is a big pump-and-dump.

>>236985
penny stocks are always going to be pump and dump. Once market capitalization is above 100million and they have growing sales over multiple quarters its no longer a pump and dump.

Why are you buying Disney now? Seems like you missed your opportunity.

Protip: Look up WSTG

>>236991

You think RFMK will get those numbers?

Well if you guys hate the idea of putting all your excess money into Disney, what is a stock that's good to put all your money into?

I just want one stock.

>>237228
LMT

>>237228
gentoo

Actually, fuck you people.

When the stock market opens I'm placing my first investment, and 10k every month.

Next year I'll be back on /biz/ and repost this thread show my gains.

>>237236
We'll be here.

>>237236
If you get 10k disposable income a month you'll be rich no matter what you do.

>>237236
why are you tard ignoring this guy >>236317
even if you are dumb enough to invest call your shit in only one single stock then at least not in one that just reached an all-time high.
get some gold or silber, maybe some lead (pretty cheap atm) and some bluechips if you want to make long-term investments. but investing all your money in only one stock is pretty much the dumbest thing you can do if you already have more than just few k...

>>236541
Like ur spirit m8.

Shouldve bought some sonic stock last night