I keep reading something about all the richest people selling all their stocks in preparation of an upcoming collapse. Is this true or just boomer conspiracy nonsense?
I keep reading something about all the richest people selling all their stocks in preparation of an upcoming collapse.
yeah
Thank you. I will sell all my individual stock now then and put in my HYSA
Ok
Executive officers in companies are required to notify and be granted approval by the SEC to sell shares of the companies they manage months ahead of time. The sec publishes this information. This is to prevent insider trading and market manipulation. The sales are real but the headlines are clickbait.
What should be more concerning is that the similar laws regarding the purchase or sale of securities by members of Congress are not enforced, with the public often being notified weeks or months After lawmakers have made highly profitable trades using insider information. If Martha Stewart were a congresswoman, she'd have never went to prison.
Do you think it's worse buying congressman stock even if it's month out? Maybe worth holding what they have? or is the money already all made before their trades are released?
You can't buy the same Nvidia call options like pelosi weeks after the options expired lol.
I don't really know what calls or options are but it went public she bought Nvidia like 2 months ago right? If I just bought them on my fidelity wouldn't I have made money?
Pretty sure she bought call options (a highly leveraged derivative that allows you to profit from many shares of stock with less initial investment) the day after a closed door hearing on AI, but sure, you can buy things after they pump. You might even make money if there's enough momentum.
Insider trading info isn't useful after the big movements have happened lol.
>a highly leveraged derivative that allows you to profit from many shares of stock with less initial investment
How does this work? Why would you get more money for having less investment?
>Insider trading info isn't useful after the big movements have happened lol.
My plan is to spend 80% of my money on popular stocks. The popular ones have gone up in the past 5 years from like 400-1200% depending on which one. I have no bills living at home so no worries so it seems like that's the best choice for me to make the most amount of money. 20% will be just put randomly in stocks that I see congressmen buy even if I lose it all just to see what happens
with options trading, you only make money from big changes in price
if you buy call options, but the price of the stocks stays the same, you lose money
Ask ChatGPT to explain what calls and puts are.
>with options trading, you only make money from big changes in price
Not really true, even on the buy-side.
What combination of options can you buy to make money when the price stays the same?
>What combination of options can you buy to make money when the price stays the same?
This exists, it's called an Iron Condor. Made up of simultaneously buying and selling calls and puts at different strike prices.
What I meant originally though is that fairly small changes in stock price can make big differences in the price of a single option depending on how close to the money the option is and how far away expiration is.
Dude you're gonna get frickin wrecked. Buy bonds and gold or start reading before you "invest" anything.
How will I get wrecked? Is Google, Apple, Microsoft etc going to crash?
There's a chance they stop going up. If you're dead set on stocks but don't know what you're doing, look for the handful of bluechip dividend paying orphan stocks. You'll receive payments every quarter, even if the stock price itself goes down, but I'm completely serious about bonds. Laddering into 90 day t bills is the easiest garunteed returns, especially if you expect volitilty, which most people do. Our stock market as a whole is overvalued and there's like 5 tech stocks keeping the NASDAQ propped up rn lol. If it wasn't an election year shit would've crashed already.
I don't want 6%. After inflation is like 3% literally nothing. I want to actually make some money. Not make $800
>look for the handful of bluechip dividend paying orphan stocks.
what are these?
When you buy a 90 day tbil every month and reinvest the capital plus returns from the last 90day bond that matured, you compound the interest in your favor, giving you a much hugh return than the individual apy of any single bond. It's called laddering and your local bank will set it up as an autobuy for you. It's literally moron proof.
Orphan and widow bonds are high dividend paying bonds. You receive a portion of the companies profits for as long as you hold the bond and the company is profitable. You're gonna need to read up on this stuff for yourself. Try investopedia. They have great articles and beginner guides.
Sorry, orphan and widow *stocks. There's not many of them left. There's a dividend reinvesting general on here sometimes that I've never clicked on but I assume those guys would know the current best ones if you search the archives.
>a highly leveraged derivative that allows you to profit from many shares of stock with less initial investment
it's not leverage, you just don't need the actual money to buy and sell the stock at the strike price like you said you would. if the option is profitable you get money. if it's not you lose your initial investment, but you didn't borrow any money to make that initial investment more than it is.
The leverage isn't on margin which is what you're describing, but it is a form of leverage.
Ok, I'll play dictionary then.
Margin
>Borrowing money using your investment assets as collateral
Leverage
>Borrowing money to invest in an asset
When you buy a call, you promise to buy an asset at a price. If that asset becomes more valuable than your strike, you execute the call. If you don't have the money to buy what you called, the option is immediately sold at the market price, netting you the difference.
You don't borrow anything.
>Thinking ((they)) are going to allow you to hold cash.........
Digital credits will be law of land.
Cyber pandemic.
If there was going to be a "collapse" why would you want dollars?
Not collapse I meant like recession in which case having dollars is the best because then you buy up all the houses and stocks. I was 8 in 2008 so this time I will be prepared
I bought my first house in 2008. Sold it in 2017 for 3.5x. That was a comfy deal.
Why is I see genie doing that with her fingers?
old school gestural equivalent of "tsk, tsk" or "naughty, naughty"
and learn to engrish plottery
Meh, there is no collapse in sight. If there was, you would know about it when the roof fell on your head, not through the ~~*media*~~.
Back in january 2020, there was a massive quitting of ceos, like the highest there was innhistory, very few outlets picked up on that news, and those that did were supressed hard. So, knowing about a few stock sales, amount to pretty much nada.
you fricking morons need to learn what a 10b5-1 is
kinda, i personally think it wont affect the crypto world that much or maybe just some particular coins, for example: the elections are coming right? that means all political coins will bump when they happen cuz of all the media focus on them, even memecoins like bigmike.
all that aside, i don't see any evidence of the probability of an actual collapse.
If you have any, show us.