Tuesday, June 19, 2018
Undoubtedly, trading options has many benefits compared to trading stocks. Leverage is the most obvious one, as you get 100 to 1 leverage using options versus stocks. Flexibility is another key benefit. You can create trades and strategies that custom fit your risk/return profile. While most investors understand the leverage advantage of options, not as […]
When we last checked, since 2009 the top banks had been fined a total of $204 billion. Bloomberg now reports,“Wells Fargo’s $1 Billion Pact Gives US Power to Fire Managers”: “The settlement covers issues in Wells Fargo’s auto-lending and mortgage units. The bank revealed last year that it had forced unwanted insurance on customers who took […]
Last week a popular high yield stock was hammered after the release of the company’s first quarter earnings report. The background facts for this stock are very similar to another widely held high yield stock that crashed in July 2017. The lessons of a year ago provide good insight on whether the price decline is […]
The Florida Keys are a special part of the world. Longtime residents, referred to as conchs (pronounced conks) have a unique and different culture – a much simpler, laid-back, and relaxed lifestyle. The Keys are a series of islands connected by one road, US-1. The drive from the Florida mainland to Key West is a […]
One of the questions I get a lot when I speak at events like the MoneyShow and TradersExpo is about the benefits of looking at large options trades. Large trades using options, typically called block trades, are often executed by big firms with a lot of capital and resources. As such, block trades can be […]
Legendary congressional veteran Claude Pepper was a spokesman for the elderly. One of his often-copied quotes applies today: “A stockbroker urged me to buy a stock that would triple its value every year. I told him, at my age, I don’t even buy green bananas.” Today his comments apply not only to stocks but also […]
Jo and I were watching an exciting hockey game between our favorite team (Tampa Bay Lightning) versus the Philadelphia Flyers. Tampa had a 3-0 lead with six minutes left on the clock. The referee sent a Tampa player to the penalty box. For those unfamiliar with hockey, the penalty box is an adult “time out”, […]
Will we repeat the mistakes of the past that led up to WWII? Jim Rickards thinks so. His recent article “Now, a Trade War – Is a Shooting War Next?”offers the history leading up to WWII and warns: “Get ready for an all-out financial war between the U.S. and China. Germany is also in the crosshairs…. […]
It’s officially the start of a new trading year, but that doesn’t mean you have to create all new investment strategies. While there are certainly going to be some changes (possibly big ones) in 2018, there is plenty that happened in 2017 which will more or less be repeated this year. For instance, the leading […]
After the 2016 election I wrote about Calexit, a movement urging Californians to sign a petition allowing for a secession referendum. In April 2017, they pulled the plug on the initiative when it was discovered the leader of the campaign, Louis J. Marinelli, had Russian connections. He’s now seeking permanent residence in Russia. It didn’t take long […]
