Hi there,
I apologise if this is more appropriate for the daily discussion thread, but I figured many of us would be interested and benefit from a direct discussion about this topic.
I am only in my 20s, but I’m married and have a little baby. I’ve never been involved in investing in stocks/bonds/gold etc. because I always felt like it was a bit like gambling. I preferred to keep my hard-earned money in a simple checking account or in a safe. Not to mention, what happened in 2008 made any trust I had in those systems completely disappear.
Now I feel for the first time in my life that I ‘know’ something will happen on a global scale (apart from the Lord returning for us) and with all this talk of going back to the gold standard, decentralised banking etc. I was wondering if some more financially-minded brothers could share some investment (or divestment) advice regarding what to do with our money over the next couple of months?
I understand that it is still not certain what will happen, but I feel like there must be at least certain principles to stick to or general advice. But I will definitely also welcome specific advice or ideas!
Should I buy as much gold as I can? Should I try to ‘short’ companies that I predict will go under as a result of this (media companies, Chinese-owned US companies etc.)?
Thanks so much in advance,
- a little tadpole in a lake full of alligators
Would you mind briefly explaining what puts are and how I would even start to go about buying them? Do I use a stock trading app or something?
They're risky and confusing at first if you don't watch a few vids. Basically you pay a set amount for the right for you to sell 100 shares of a stock at a price you agree upon when you pay the set amount.
Ex. You pay $10 to SELL 100 shares of ACME for $100/share. For every dollar the share price drops below $100/share, you'll make $100. This works because for $10 you are buying the right to SELL 100 shares for $100/share, meaning that once the stock goes as low as you want it to, you can 'execute the option' which means you buy the shares for the current price and instantly turn around and sell them for the price you agreed to sell them at.
On the other hand, that $10 disappears if the price doesn't go below $100
I'm certainly not a financial guru, but if you think there is a good chance of a company getting hit like most did in March it's a good option.
Watch a few youtube vids. It's risky but can definitely pay off. $10 can make you $1500 if you know something is going to fall and buy at the right time.
Good luck
Thanks so much for this. I used to look at wallstreetbets on reddit (for the memes) and you’ve helped me finally understand some of what they were talking about