Let's talk about money - The Finance Thread

[Javid]

So suppose I invest $5000 into this account today:

http://www.banking.pcfinancial.ca/a/products/savingsPlusAccount.page?referid=P1

How much interest am I looking at 6 months down the road? I kinda suck at this kidna stuff, but this is one of the best Canadian high interest accounts.

[AcEtUrNeDjOkEr]

So suppose I invest $5000 into this account today:

http://www.banking.pcfinancial.ca/a/products/savingsPlusAccount.page?referid=P1

How much interest am I looking at 6 months down the road? I kinda suck at this kidna stuff, but this is one of the best Canadian high interest accounts.

Ummm…If I am looking at this correctly, the APR for 5000 would bring you 1%. I’m telling you guys, www.emigrantdirect.com is probably the best one out there (dont know if they are in canada or not, but its all online so I think it shouldn’t matter) I think they are at 5.15%, which is more than 1%.

[akumatrunigga]

So suppose I invest $5000 into this account today:

http://www.banking.pcfinancial.ca/a/products/savingsPlusAccount.page?referid=P1

How much interest am I looking at 6 months down the road? I kinda suck at this kidna stuff, but this is one of the best Canadian high interest accounts.

I suggest getting a financial calculator. Besides when you keep it with you every where you go (such as buying a car through financing) many people will know you arent bullshittin.

Currently in my situation, i finally doing some serious stuff in RE no sales yet but im basically an assistant to the broker. Im salaried plus commission. Im still trying to do the suggestion that I posted in the thread. since im driving now, the first pay period of the month goes to taking care of important stuff such as car note, insurance, monthly parking pass, and health insurance (indvidual). Just about the entire check. However, I dont have to worry about if i go over since there is an overdraft credit that i can use upto $165. So it is like having an additional $165 biweekly. The second pay period goes to debts and going out to social gatherings (if they are cheap). But since i took a $9K paycut to be in RE i cant go out as much.

[mastermind]

Small update: Since opening my EmigrantDirect account in June with a shade under $90/week, I’m now at just a little over $1500 in the account! Gotta love watching money sit and grow.

I have yet to get my quarterly statement for my 401(k), but I actually aggressively increased my investment strategy at the beginning of this thread. I’m really hoping it’ll pay off.

EDIT: just checked online. Wow! …let me just say that going aggressive PAID OFF BIG TIME!

[AcEtUrNeDjOkEr]

ED not Erectial Disfunction is the way to go IMO. I am going to start putting money in mine as soon as I pay off my credit cards (Putting 1600 a month towards them…you dont know how much that shit HURTS); but soon I should be putting all that into an ED account.

[MrBlank]

dude what was your strat mastermind.

im thinking about doing an emigrant acc too now.

[akumatrunigga]

So after this was posted, I** went ahead and opened an Emigrant Direct account. I took akumatrunigga’s advice and put the equivalent of five hours a week into the account. I make $17.90/hr, so that turned out to be $89.50/week added into the account with 4.93% interest.** As of right now, my account’s just under $900. Surely it’s nothing to applause at, but that’s money that I don’t see at payday, pushed off to a rainy day/stashed away fund. And it’s money that I know is going to a good place: away from being spent. =P

this is what he did

dude what was your strat mastermind.

im thinking about doing an emigrant acc too now.

[mastermind]

dude what was your strat mastermind.

im thinking about doing an emigrant acc too now.

For my 401(k)? I haven’t read much into it, but all I remember is that before I first posted in the first page of this thread, my portfolio was on a moderate risk. I had a little guide from MassMutual that work gave me on my first day of the job; it defined what was conservative and what was aggressive, ultra aggressive, etc. I was Conservative for the first quarter of my job because I wasn’t sure if I was gonna stay (get fired, find another job, etc.), then I read this thread and actually switched up my investments, and the investments are paying off.

Unless you’re talking about my EmigrantDirect account, then I followed akumatrunigga’s advice on the first page:

Anyway here is one suggestion is that whatever you make take about 1 hour worth of work for each day and add it into your savings weekly. For example, if you make about $34,000 a year that is the equivalent about $16.35/hr. So you should be saving about $81.73/wk. With interest bearing accounts such as INGDirect (i have) and others, that money will increase in a heartbeat.

I put in about $89.50 a week because my salary, when broken down, is equivalent to about $17.90/hr.

EDIT: I took too long to post. hahah

[Night]

So suppose I invest $5000 into this account today:

http://www.banking.pcfinancial.ca/a/products/savingsPlusAccount.page?referid=P1

How much interest am I looking at 6 months down the road? I kinda suck at this kidna stuff, but this is one of the best Canadian high interest accounts.

I took a quick look at the chart, and above $1k is 4.25%.

5k for one year at 4.25%.

Using a financial calculator (look for “Future Value” calculations), $5,000 present value at 4.25% for 6 months (half a year) is about $105.14 in interest.

When the Feds cut interest rates a few weeks ago, don’t get hopes up of seeing higher interest rates at banks anytime soon.

I’m constantly monitoring stocks and their earnings these days. I sold my Apple stock last week at $157, having bought it at an average of $137 back in July, so that’s about I think around 14% gain in 3 months. Not too bad. The market was definitely up a bit over the past couple weeks, the Dow being over 14,000 for a little while, but it can’t seem to stay above that for very long. I’m expecting somewhat of a pullback as people are cashing in their profits, so now might be a good time to monitor what you’re interested in and find a good price to get in during a possible pullback.

[Okazaki_III]

^Who is your broker? Do you use your local bank or do you have an online broker?

[AcEtUrNeDjOkEr]

Wife and I are getting into stocks as well, we have some shares in VMWare, needless to say its doing well, but really don’t know what we are going to do with it (probably hold on and forget about it)

[akumatrunigga]

I took a quick look at the chart, and above $1k is 4.25%.

5k for one year at 4.25%.

Using a financial calculator (look for “Future Value” calculations), $5,000 present value at 4.25% for 6 months (half a year) is about $105.14 in interest.

When the Feds cut interest rates a few weeks ago, don’t get hopes up of seeing higher interest rates at banks anytime soon.

I’m constantly monitoring stocks and their earnings these days. I sold my Apple stock last week at $157, having bought it at an average of $137 back in July, so that’s about I think around 14% gain in 3 months. Not too bad. The market was definitely up a bit over the past couple weeks, the Dow being over 14,000 for a little while, but it can’t seem to stay above that for very long. I’m expecting somewhat of a pullback as people are cashing in their profits, so now might be a good time to monitor what you’re interested in and find a good price to get in during a possible pullback.

man i envy you right now. Im in the process of getting mutual funds, and an IRA together soon . It is just that paying all of these fees to get my feet off the ground in the RE game is killing me. :lol: If I dont get a sale soon I’ll go mad! Geez im tired of running into people with shitty credit and work history trying to force the issue in getting a home. These clowns dont even qualify for FHA loans

[Night]

^Who is your broker? Do you use your local bank or do you have an online broker?

I just use E*Trade.

Wow, RIMM certainly did well in response to yesterday’s earnings. I’m continuing to watch it, not yet going to buy into it based on hype… but keeping a close watch today and next week…

VMWare I’ve been watching too… floating around at the low 90s for now, and if it dips, I might consider getting into that.

[System_1]

I took a quick look at the chart, and above $1k is 4.25%.

5k for one year at 4.25%.

Using a financial calculator (look for “Future Value” calculations), $5,000 present value at 4.25% for 6 months (half a year) is about $105.14 in interest.

Not that it will make a huge difference, but you’re making the assumption that the 4.25% annual rate is compounded biannually.

If you don’t have a financial calculator, the formula is FV = PV(1+i)^t
where FV = Future Value
PV = Present Value
i = interest rate
t = time

So for this example, with a 5000 present value and 4.25% interest rate:

FV = 5000*(1.0425)^(.5) = 5105.14

[Chozen1]

stocks = meh rather than wasting your time on nonsense you should be investing in your health and retirement at an early age. why deal with shit that fluctuates & run the risk of losing it when you could take time to invest as little as $70 a month into an insurance policy that will help you out in the future rather. Learn to balance what you can afford & shop smart, treat your expenses as bills in general. Be prompt and on time with your payments don’t make minimum payments, always surpass them. I can go on & on but the end result is you decide the determining factor of your economic reasoning.

[System_1]

stocks = meh rather than wasting your time on nonsense you should be investing in your health and retirement at an early age. why deal with shit that fluctuates & run the risk of losing it when you could take time to invest as little as $70 a month into an insurance policy that will help you out in the future rather.

Well, if you invest in financial instruments (stocks, bonds, etc.) your expected outcome is profitable. If you buy an insurance policy, your expected outcome is a loss.

I’m not sure why you think the two are mutually exclusive though. I think it’s wise to have insurance policies (life, health, auto, property, personal liability,) to cover potential catastrophic losses, and invest in financial instruments for retirement. I do not agree with buying life insurance as an “investment for the future.” Commissions are higher than brokerage accounts, and you expected to lose money (how else would the insurance company make money?).

I take it you are extremely risk averse?

[f_man]

Using a financial calculator (look for “Future Value” calculations), $5,000 present value at 4.25% for 6 months (half a year) is about $105.14 in interest.

Not that it will make a huge difference, but you’re making the assumption that the 4.25% annual rate is compounded biannually.

If you don’t have a financial calculator, the formula is FV = PV(1+i)^t
where FV = Future Value
PV = Present Value
i = interest rate
t = time

So for this example, with a 5000 present value and 4.25% interest rate:

FV = 5000*(1.0425)^(.5) = 5105.14

i dont get what you’re trying to correct in his statement?

5105.14 - 5000 = 105.14

it sounds like he just said “twice of 1 is 2.” and you’re saying

“yes but the formula goes 1 + 1 = 2.”

[System_1]

i dont get what you’re trying to correct in his statement?

5105.14 - 5000 = 105.14

it sounds like he just said “twice of 1 is 2.” and you’re saying

“yes but the formula goes 1 + 1 = 2.”

I wasn’t trying to correct anything. First I pointed out that he was making an assumption that isn’t entirely accurate, (but the difference is immaterial unless you’re talking about a whole lot of money or a really long time). Then I showed how to do the calculation (using this assumption) if you don’t have a financial calculator.

[Night]

Not that it will make a huge difference, but you’re making the assumption that the 4.25% annual rate is compounded biannually.

If you don’t have a financial calculator, the formula is FV = PV(1+i)^t
where FV = Future Value
PV = Present Value
i = interest rate
t = time

So for this example, with a 5000 present value and 4.25% interest rate:

FV = 5000*(1.0425)^(.5) = 5105.14

The formula I used was exactly that.

I don’t know where I implied anything about anything compounded biannually or wrote out the formula I used, but to get 105.14 in interest, I used that exact calculation.

[System_1]

The formula I used was exactly that.

I don’t know where I implied anything about anything compounded biannually or wrote out the formula I used, but to get 105.14 in interest, I used that exact calculation.

It’s implied in the calculation. Due to the way rates are quoted, 4.25% compounded bianually would not yield the same interest as 4.25% compounded daily. It’s a minor theoretical point, and I probably shouldn’t have brought it up.