… investing to maximize wealth-building and financial growth.
What are the differences between investing, trading, and speculating?
These three basic stock market money-making strategies have many variations.Investors use the simple strategy of buying high-quality dividend-paying stocks as long-term income and wealth-building assets in all market conditions. Traders chase …
… dishonest.
To minimise those impacts there is one basic strategy fund investors can use. That strategy gets buyers to focus their purchases on funds with the lowest turnover ratios. Those low turnover ratios will put a limit on the impact HFT costs have on your wealth.
Pocket picking by high frequency trading
Individual investors …
… That has the effect of giving them advanced looks at your and all other investor orders. Doing so lets them trade against those orders for guaranteed profits time after time. In contrast, IEX provides no special data access.
Liquidity rebates not offered – Forth innovation
IEX offers no rebates to liquidity providers. As a result and …
… can keep the impact of such actions small. However, as always, informed investors make better decisions and can trades without fear of HFT.
Arbitrage price plays are basic HFT strategies.
Statistical arbitrage seizes price differences between markets.
Latency arbitrage seizes time delayed price advantages.
ETF arbitrage plays on changes in fund and stock prices.
Index …
… courtesy of a heads up! Although it was their orders now being served to HFT! One outcome was that with rapid growth, newly supported HFT shifted the basic purpose of markets.
HFT firms blossomed to become the most important customers of stock exchanges. As a result, HFT displaced listed companies and investors. They were no …
… how to execute well and be prepared to actively manage their positions. Playing short is a very hands-on active strategy requiring active management. Shorts get no time off! Advanced topics like the techniques of effectively managing short positions are beyond any basic discussion of shorting and are covered in other lessons.
Management’s counterattack …
… that short sell the right stock with good timing and sharp execution can produce significant profits. It is worth noting that short selling can test your character and psychological fortitude! It is not easy; proceed with caution!
Is there a time limit for short selling?
There is no time limit for short-selling in …
… Racing for profits drives high frequency trading
How investors buy dips
Mortal investors see immortal debt
Optimism and unrealistic investor minds
FED begins Quantitative Tightening
Investing factors time and knowledge
Who’s selling your stock?
3 Basic stock market strategies
Comments and questions on, Racing for profits drives high frequency trading, welcome here.
Ask questions …
… and holding the CEO accountable, boards typically stand shoulder to shoulder with management. But not always. Cracks and factions develop.
Public nastiness can air dirty laundry
Betrayals do happen. At times dirty laundry gets aired to the glee of the short sellers. Should fractures develop, substantive changes become inevitable. In most cases, at least …