Better MGTOW investing ideas

[INFINITYmachineSpectator 83]

I graduated with a BA in Finance, but I never worked in any type of finance industry. But I have spent time trying to “day trade”, and have decided upon long term “buy and hold”-type of investing. I have a few pointers I think mgtow investors can benefit from. I disseminate this information free of charge, because of the apparent profound amount of ignorance that exists.

Do not ever invest in a mutual fund. Just don’t do that. A mutual fund advisor makes his money on the value of your account, before any losses that he causes you to incur. He is not incentivized to trade your account in such a way that will earn a profit. In fact, many of them over the years lose their licenses and positions because of the kind of over trading they will do, whenever a new mutual fund comes out, and when it does they will incentivize your advisor to put your money into this “black box”. The odds of it succeeding are nearly impossible.

I mentioned that the advisor makes money on your account regardless of your performance. If the mutual funds you are in decline by 10% in a year, you still will pay the advisor, and normally they will automatically sell your shares to pay the advisor’s fee. Now with fewer shares in your account, it is more difficult to get back to break even, on top of the fee to the advisor, which needs to be included in your rate of return.

The latest trend I have noticed is that financial advisors like to figure out ways to incorporate deposits you have made throughout the year, and mess around with number games so that it appears that your account has grown. All that has really happened is that you have increased your account size through deposits, not through the increase of the value of the shares you own.

There is a solution. I suggest finding a “deep discount broker”. You can still have a Roth IRA, a traditional IRA (if you have more money), a rollover, or a standard brokeridge account. I will not name names here, but you do not want any type of advisor relationship. You should not pay a fee to an advisor based on your assets. I pay a standard commission of $5 per trade. That is the total cost to me for the trade. I do not have to pay a percentage of my assets year after year. Why should you?

Several deep discount brokers are out there, you will have to find them on your own. Once you have the account set up and the money deposited, you will have a self directed account. What I recommend are your choice of one or two stocks, either DIA or SPY ticker symbols. You can do the research yourself about them, I will give a brief explanation here. DIA is a tracking stock that follows the Dow Jones Industrial Average. The Dow is made up of the 30 largest American companies. It pays a dividend monthly, and for the year, a total of around 2%. For most people, merely holding this stock for a year covers the $5 commission through received dividends. SPY is the same type of tracking stock, except it tracks the S&P 500, an index of the 500 largest companies. The dividend here is a little lower, and pays quarterly. Also the stock price is a little more expensive. They are both very expensive stocks. But they both have long histories of price appreciation. Maybe split your account between the two.

This is enough diversification to be safe and still have appreciation. We were taught in investment analysis that when a person buys stocks in 30 different industries, they have reached the point where they cannot have more safety through increased diversification. Since the S&P 500 (SPY) index has 500 stocks, you will have reached overdiversification with that stock alone. The DIA only contains 30 stocks. Since there is likely to be some industrial overlap, I would throw in the SPY with DIA to be safest.

If I can be of further assistance, let me know. Note: I do not work in any financial field, am not licensed, and do not recommend products or brokers.

Note the number of times in the Bible that Jesus uses "he" when speaking to groups...

[Handsome VicParticipant 1613]

This is good, conservative advice from INFINITYmachine which has held up over the long term.

I would add that you have to be prepared to stomach (ride out) fluctuations in the economy / the market.

For this reason, it is important to have an adequate emergency fund to cover a few months expenses before deploying savings to the stock market.

One never wants to be forced to sell into a decline to raise money to pay rent, buy groceries etc.

And it’s often in a decline when the big job losses happen.

The market sold off around 40% in 2009 (Great Recession) but it has since recovered those losses and a lot more. With ups and downs along the way.

Investing (different from trading) is like planting a garden. It takes some work up front. It takes time to grow. Once it gets going, it produces a lot for you.

I'm going my own way. Maybe I'll see you there.

[xanthineParticipant 4903]

S~~~, i WISH i had money to be investing right now. Instead i am paying off a six figure debt, which i figure is the smart thing to do. I’m hoping to get it paid off before the next recession hits, but that might be overly optimistic.

[INFINITYmachineSpectator 83]

Handsome Vic wrote:

This is good, conservative advice from INFINITYmachine which has held up over the long term.

I would add that you have to be prepared to stomach (ride out) fluctuations in the economy / the market.

For this reason, it is important to have an adequate emergency fund to cover a few months expenses before deploying savings to the stock market.

One never wants to be forced to sell into a decline to raise money to pay rent, buy groceries etc.

And it’s often in a decline when the big job losses happen.

The market sold off around 40% in 2009 (Great Recession) but it has since recovered those losses and a lot more. With ups and downs along the way.

Investing (different from trading) is like planting a garden. It takes some work up front. It takes time to grow. Once it gets going, it produces a lot for you.

Thank you sir. I would say it is not a good idea to trade in a short term way, in any financial market, be it stocks, options, or futures. Futures, I recommend avoiding at all cost. I have never actually traded them, but we read an article in class about the incredibly high proportion of futures traders who go bust. I want to say the percentage was about 70-80% in a given year. How the brokers and exchanges of futures stay open I do not know.

Options I have extensive history with. The riskier strategies never worked, so in the end I was trading covered calls. Covered calls is known generally as the safest option strategy, but over some years trading it, after commissions, I didn’t really felt like I did more than break even. So for that reason, I do not recommend option trading, no matter what is the underlying financial instrument. Never sell uncovered options. Ever.

Lastly, never, like Vic says, try to trade with money you can’t afford to lose. Even in bull markets, things can change fast, and in fact I would argue that in history, often bull markets can create a “bubble”, which usually crashes.

All kinds of factors are to be considered in buying a stock: the prospects of the company, it’s profitablity, dividends, competition, debt and so on. Sometimes outside factors can affect a company, like a change in its customers’ buying preferences, political factors, climates, wars…

But to jam money into a “financial advisor”? MGTOWs should not be doing that. Men, unlike other people who are not men, are capable of understanding financial concepts. The posts I have created have provided more than enough information for a MGTOW to independently invest for the long run. When you turn on the television and see that financial company with the whale breach, that tv time is bought with your money they are withdrawing out of your account, and they withdraw that money regardless if you have a positive rate of return. Very few of the deep discount brokers advertise. If your broker advertises on television, you are likely to already have a problem. Call your broker, with your statement in hand, or if it’s online, take a screenshot, and ask them how in the heck are they getting compensated. Go through the statement line by line. Ask them what is this charge, what is that charge. Stop being a pathetic sheep.

And start investing in a self-directed way, scroll up for how to do it. If you can’t figure it out still, then message me. I’ll try to help.
-RANT CONCLUDED-

Note the number of times in the Bible that Jesus uses "he" when speaking to groups...

[INFINITYmachineSpectator 83]

xanthine wrote:

S~~~, i WISH i had money to be investing right now. Instead i am paying off a six figure debt, which i figure is the smart thing to do. I’m hoping to get it paid off before the next recession hits, but that might be overly optimistic.

It has always been my opinion that paying debt should be the priority over excessive saving. There should be an emergency fund, but if you can pay off a credit card, do it immediately. Then cancel it. Try to get out of any and all debt, whenever possible. I suggest paying off smaller debts first, regardless of the interest rates of the different debts. For example if you have $1,000 on a credit card and a $20,000 student loan, the student loan interest and interest rate is always going to be way lower, but you can make a bigger dent in getting rid of debt by paying off the $1,000. The main reason for this is that you immediately free up a payment that you no longer have to make if the credit card debt is gone. Then, take that money that you would have paid on the credit card and pay it on the debt with the next highest amount (outstanding balance).

Get out of debt. All that crap people tell you about losing your credit rating when you pay off and cancel credit cards is a flat out lie. It has been some months since mine were paid off, maybe I finished my last card in August, and my score never went down. Now all I have is a car loan. This situation will change when I get another car early next year as I have equity in my car. I know it’s rare, but I nearly have enough to get another car with less debt. (I am not getting a second car, I just meant “the next car”)

Credit cards are a total scam. The interest rate of a credit card is compounded on a monthly basis. A large portion of your payment, when you make a minimum payment, is all interest. This is not wise for a mgtow. Women, do not care if they run up their credit cards or if they run up credit cards you have given them that you are expected to pay for. If you’re still in a relationship, make changes. If you’re divorcing, or are divorced, do not let her have access to any credit card that you might be responsible for. Call the credit card company, tell them you lost your card, and change your address with the credit card company and the post office. To be even more careful, just go ahead and cancel all of your accounts, everywhere during a divorce. If you have a balance still outstanding, tell the credit card company you need a new account number, as yours has been stolen. I also wouldn’t hesitate to close any and all credit card accounts during a divorce process.

It’s time to pay off debt. Just because the government is stupid and self-destructive, doesn’t mean a mgtow should be.

Do not however, let yourself be uninsured at any time. Don’t be stupid.

_and now a message from our sponsors_

Note the number of times in the Bible that Jesus uses "he" when speaking to groups...

[MarketWatcherParticipant]

If I could give you a +1000 I would. EVERYTHING you said is absolutely correct. I appreciate you taking time to explain DIA and SPY for all the lesser experienced men.

Great post.

[INFINITYmachineSpectator 83]

MarketWatcher wrote:

If I could give you a +1000 I would. EVERYTHING you said is absolutely correct. I appreciate you taking time to explain DIA and SPY for all the lesser experienced men.

Great post.

Thank you for the compliment!

Note the number of times in the Bible that Jesus uses "he" when speaking to groups...

[WestcoasttrendkillParticipant 234]

Would love to hear an opinion on NIRP (Negative Interest Rate Percents) as I feel it is an inevitable outcome here in the USA. Gunnebo group is the parent corp of Remington Safes here in the USA.

I’ve looked into the company and they have their hands in a lot of different areas. The common theme is security but the safes are what made me look into finding out who the largest manufacturer is in the USA.

After reading about Japan and how every store sold out all their safe inventories when NIRP was implemented, I don’t think it would be a bad idea to invest in a company like this.

For a long time I have had the opinion that the stock market is a giant casino where people are just looking to make a quick buck. It’s hard for me to adjust that personal view. I just don’t want to risk losing my hard earned federal reserve notes.

[INFINITYmachineSpectator 83]

Westcoasttrendkill wrote:

For a long time I have had the opinion that the stock market is a giant casino where people are just looking to make a quick buck. It’s hard for me to adjust that personal view. I just don’t want to risk losing my hard earned federal reserve notes.

I get that. The market does fluctuate. The solution may be to have a longer time horizon. Start small, maybe a stock as expensive as DIA or SPY is not for you. But I am not a fan of mutual funds, investment companies or even if you have a deep discount broker, to own a small number of companies is risky. If you’ll scroll up I wrote earlier about diversification.

One time I was buying stocks back in the early 2000s and there was a company that was being split off from a conglomerate, and “some network” really hyped them up. Because of the amount of demand for this stock, the IPO was over $100 per share. I bought in some short time after the stock was available to the public.

It was a disaster. Every day, day after day it went down. I didn’t know what to do. Should I sell at a loss or wait it out? But it just kept going down. Finally I couldn’t take it anymore. I sold. The loss was incredible. I don’t know the numbers offhand, so I don’t want to lie, but I could have lost 70-80% or more on that stock. I learned my lesson the hard way. Now you get to learn it for free. Don’t buy too few stocks.

This is why I recommend the SPY and DIA, but SPY is safer. Do you own research.

Note the number of times in the Bible that Jesus uses "he" when speaking to groups...

[Author]

Posts