benchmark

I think WFC needs spend money on lobbying. They need the cap removed -- "look ma, there are all these deposits that we need to take for the stability of the banking system, can you please remove the cap so that we can help?"

I'm curious what's the best margin rate out there from brokerage firms? IBKR has 5.3%, is that the best?

@modiva Love to learn more about this as well.

thanks @johnpane.

I have some INTC that I want to sell for tax loss before the year end, but also thinks that it will go up. I'm wondering if I sell the share today (at $26.xx) and then buy Jan 25 $20 option, would IRS consider that a 'wash sell'?

One of my neighbors sent his son to Tsinghua, China's MIT.

This is because Harvard is doing wholistic admission and looking for 'characters/charisma', which asian kids apparently lack , but black/hispanic and other minorities have plenty. There was a law suit a few years ago on this.

This is spot on.

Did the same, but was a bit more aggressive -- May 20th $65 for $1.85.

https://www.nytimes.com/2022/04/09/business/dealbook/09db-browder-russia-santions.html Bill Browder's view is that this is likely going to drag on for a long time.

Curious if there are recommendation of books/blogs etc. on how to start in VC investing? Specifically, how do you get connected into deal flows? and how to evaluate a deal? Thanks.

I agree with this. China is patient, as long as Taiwan is not forcing Xi's hand by declaring independence, they are not going to invade anytime soon. However, if Taiwan does declare independence tomorrow, Xi/China will act.

Totally get this and I agree. However, if US were to defend Taiwan, I don't think it can do it w/o doing an all-out-war with China -- that means bombing/destroying military basis on the mainland, and that's a very dangerous path for us (and them). In the end, I think that the west will do what it is doing now with Ukraine, PR/sanctions, but not getting involved militarily.

There is no doubt that US has the most powerful military force. I think the question is will US be able to afford/win a sustained war with China over Taiwan? We haven't been able to do that with Vietnam or Afghanistan.

Seems like a decent return, except that you'd tie up your capital for the year.

can you sell a stock at a loss, and buy a long term option within 30 days? for example, if one sells 100 shares of BABA today at a loss, can one buy 1 contract of Jan 24 BABA $125 option? does that trigger the wash sale rule?

Do you know the "15% band" rule documented somewhere? searching on IRS website didn't get me anything.

Got it. And the reason that you chose $10 put vs $12.5 is mostly just a consideration on how expensive the put is I assume, 30c vs 80c? If the stock does go down to below $10 by May 22, then you total loss is $14.5 - $10 + margin cost + put cost.

I think I get it, the carrying cost is the margin cost + put cost annualized. One question, if you think ATCO is going to double, why not buy a long dated put option to get some long term protection?

does buy $180 put implies that a non-constructive sale? I actually have various strikes, does that mean that I have to buy puts at the various strikes so that it's not constructive sale? If I do this, then my carrying cost is the margin cost + the cost of the puts, is that right? As long as FB appreciating faster (assumption), I'm in the green -- do I get this right?

If I understand you correctly. You are saying that exercise at $180, the buy some puts say Jan 24 $380 to hedge the potential drop of FB shares? I don't know much about 'portfolio' margin. The key difference seems to be that long options are marginable, but I don't know why this is required to execute the strategy?

Can you expand on this? Are you saying that I if exercise at $180, then turn around and sell some long dated calls say $350 in Jan 24, IRS would somehow tax me? Are they taxing me because I exercised the option w/o paying taxes or are they taxing me on the long dated calls?

Unfortunately, it will be greater than that The other choice I have is to sell some BAC to exercise FB, I think FB has a high growth potential than BAC -- w/o the dividend though

I have some Jan 22 FB $180 option that are in the money. Selling it would mean sizable tax bill. I think FB has some additional growth to go -- my guess is that FB share would still grow at 10% going forward for the next 2-3 years, even with their meta adventure. However, exercising the option means that I'd have to use margin. Margin rate is manageable at the moment, but is this playing with fire? Are there other strategies that I'm not aware of?

when you roll out the puts, don't you lose money on your current puts already?