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Frequent Social Butterfly
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Re: How Worlds 1% Rips You Off in Stock Market

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Message 21 of 25

In fact, haha, let me add to my comments...  I think that by buying low cost mutual funds, and index funds at that, we'll be "sticking it to the man" and the 1% !   L.O.L.!

'cause that's how a lot of the high percenters make their money...selling us Joes and Janes expensive financial products, etc.

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Frequent Social Butterfly
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Re: How Worlds 1% Rips You Off in Stock Market

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Message 22 of 25

The vast majority of people are best off buying mutual funds, not individual stocks.

 

And are better served simply buying "index" funds from a low cost vendor like Vanguard, Fidelity, Schwab, etc. And staying away from salespeople. Then holding these for a long period of time and ignoring monthly fluctuations.

 

Editing to add: There are two concepts at work here. (1) ignore the volatile short-term changes in share prices as for stocks. Sure, "someone" may get rich(er) with programmed trading. They might also get driven into the ditch when these "quant" (for quantitative analysis) programs fail...often spectacularly. Just ignore all this, the average Joe/Jane just won't make any money moving out of one position and then into another position, too much friction from trading costs and idle time. Be patient. (2) as no one knows what stocks (or mutual funds) will be "winners" over time, just stick with the index ...yes, that's "assured mediocrity" but the ability to, and likelihood of, beat the index over time is very unlikely. So most people are better off just buying the market ...the index.

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Valued Social Butterfly
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Re: How Worlds 1% Rips You Off in Stock Market

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Message 23 of 25

   The origins of this sort of trading had its original meltdown in the late 90"s.    I only remember it because at about the same time as the LTCM meltdown and bailiout by the US FED, I was receiving phone calls from stock brokers trying to get me to invest in this sort of gambit.   

    My answer:  why would anyone invest in something they did not understand.      Apparently I was a minority of the responses and that is why we are where we are today....glad I won't be part of the next melt-down.  

 

https://en.wikipedia.org/wiki/Long-Term_Capital_Management

PRO-LIFE is Affordable Healthcare for ALL .
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Valued Social Butterfly
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Re: How Worlds 1% Rips You Off in Stock Market

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Message 24 of 25

The worst part is when the Insanely Wealthy hide their Millions o erseas to avoid paying their fair share of Taxes to keep our Nation running. President Obama tried to address these unpatriotic folks , but as always , the Republican's ( Plutocrats ) in control of Congress were fine with this and nothing was done.

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How Worlds 1% Rips You Off in Stock Market

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Message 25 of 25

New York (CNN Business)Artificial intelligence and machine learning might sound like the stuff of sci-fi movies.

 

But hedge funds, major banks and private equity firms are already deploying next-generation technologies to gain an edge.

 

Domeyard, a Boston hedge fund that focuses on high-frequency trading, depends on machine learning to decipher 300 million data points in the New York Stock Exchange's opening hour of trading alone.
 
"We rely on the help of machines to make easier and faster predictions of what will happen in the next second or minute," said Christine Qi, Domeyard's co-founder and partner.

 

How elite investors use artificial intelligence and machine learning to gain an edge

 

Citigroup (C) uses machine learning to make portfolio recommendations to clients. High-frequency trading firms rely on machine learning tools to rapidly read and react to financial markets. And quant shops like PanAgora Asset Management have developed complex algorithms to test sophisticated investment ideas.
 
"It takes emotion out of it. Everything is rational," Mike Chen, an equity portfolio manager at Boston-based PanAgora, told CNN Business from the sidelines of the Cayman Alternative Investment Summit in Grand Cayman.
 
"We're not crazy pointed-hair scientists," said Chen, whose quantitative investment firm manages about $43 billion in assets.
 
"The rise of machine learning will really make our industry unrecognizable in the future," said Anthony Cowell, head of asset management for KPMG in the Cayman Islands. His clients include some of the world's largest asset managers, hedge funds and private-equity firms.
 
For instance, Citi Private Bank has deployed machine learning to help financial advisors answer a question they're frequently asked: What are other investors doing with their money? By using technology, the bank can anonymously share portfolio moves being made by clients all over the planet.
 
"Traditionally that kind of information was sourced from your network. You might have had a few coffees or heard about it over a cocktail," Philip Watson, head of the global investment lab at Citi and chief innovation officer at Citi Private Bank, told CNN Business. "Now, we can share insight that is very valuable."
 
Citi also built a recommender engine that uses machine learning tools to advise clients. The platform recommends tailored research reports, solutions and even alerts clients of major events such as the maturity of a bond in their portfolio.
 
 
 
 
 

( " China if You're Listening - Get Trumps Tax Returns " )

" )
" - Anonymous

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