Posted on December 13, 2011 at 1:15 pm UTC
Online investing is changing rapidly. New tools, investment platforms and advice are whirling around online and in social media.
Here’s some ideas to cut through the noise.
1. Touting Viagra-like performance until you can’t
I can’t count how many times I’ve read newsletters or investing services online claim huge returns. How I made 1000% on this no-name stock in 3 days – no risk! C’mon. The thing is — even smart investors fall for this sometimes. Without a real way to provide transparent returns (audited?), many of these stock pumpers get rich while leaving their clients in a pool of stock-picking vomit. Seriously, Chris Camillio (recent Tradestreaming guest) had his results audited. So did fly-boy, microstock shorter, Tim Sykes.
Seriously, if I weren’t locked-in to my broker dealer, I’d have Hedgeable managing my money (up 11% for 2011). But that’s it — most of these guys are jokers. We do need a better way to rate investment advice — Covestor and LikeAssets are just two ways. We need more.
Posted on December 12, 2011 at 1:15 pm UTC
Chris Camillo isn’t a professional investor but he know how to invest.
He turned $20,000 into over $2,000,000 by shopping at the mall, connecting on Facebook, and reading tabloids. Without even looking at a balance sheet or income statement, Chris takes big bets on trends he believes others aren’t aware of.
Then he heads to Facebook to validate his ideas with his social network.
He tells all in a new book, Laughing at Wall Street: How I Beat the Pros at Investing (by Reading Tabloids, Shopping at the Mall, and Connecting on Facebook) and How You Can, Too
Join Chris and me as we discuss his investment philosophy, how it works, and why he believes it’s a better way to invest.
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Posted on December 11, 2011 at 3:00 pm UTC
Direxion Shares, the fund group known primarily for its leveraged ETFs, is moving into more buy-and-hold strategies.
And the firm is doing it first by launching 2 ETFs that use variants on Sabrient’s Insider Sentiment Index. Direxion announced that it was floating 2 funds:
- Direxion Large Cap Insider Sentiment Shares (NYSEArca: INSD)
- Direxion All Cap Insider Sentiment (NYSEArca: KNOW)
You can see the prospectus for both funds here.
These two funds join Guggenheim’s Insider ETF ($NFO) — also powered by Sabrient’s Insider Sentiment Index.
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Posted on December 8, 2011 at 9:29 pm UTC
For those of you thinking about investing in an NFL franchise, you have your chance. The Green Bay Packers are the only publicly traded team in the NFL and their current stock offering is off to a brisk start.
Packers fans can buy stock in the only publicly owned U.S. sports franchise at $250 a share until Feb. 29. The sale got under way two days ago and raised $400,000 in the first 11 minutes for the team, based in Green Bay, Wisconsin.
According to Bloomberg’s Dave Wilson
The current sale is the first since 1997, when the stock fetched $200 a share. Earlier sales were made in 1950 and 1935, as well as 1923. The prices depicted in the chart are adjusted for a 1,000-for-1 split, completed before the 1997 sale.
Owners of Packers shares can only transfer them to members of their immediate family, according to the sale’s prospectus. The team can buy back any shares that change hands improperly for 2.5 cents each, or 1/10,000th of the current sale price.
The Packers are organized as a non-profit company, so shareholders aren’t entitled to dividends on their investment or proceeds from a sale of the team. The prospectus adds this warning: “It is virtually impossible for anyone to realize a profit on a purchase of Common Stock.”
Sounds like a strange investment — investing in the Packers is like sinking money in a non-profit, rent-controlled apartment that you’re forced to let your friends stay in for free.
Posted on December 5, 2011 at 1:45 pm UTC
Delivering investment advisory services solely through the online channel is a game changer. But getting it right has eluded even the biggest of investment managers.
Fresh after a big funding round, Rob Foregger’s Personal Capital aims to be a dominant player in online finance. Rob’s got over 20 years experience in direct-to-consumer finance that he’s bringing to the table with the rest of Personal Capital’s A-team management.
Join Rob and me as we discuss the genesis of Personal Capital, how the online advisor intends to scale, and the future of online investing.
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