Comments by "" (@ThePlainBagel) on "Plain Bagel Qu0026A 8 | Extreme Questions on Technical Trading, Double Taxation, u0026 Rebalancing" video.

  1. Happy Friday everyone! Any questions you'd like me to cover in a future video? Leave a comment below :)
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  2. Great minds think alike! Thanks for putting up with what I’m sure is an old joke for you :)
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  3. Good point, I'll add the link :)
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  4. It doesn't make sense to sell after a 10% increase if you're just going to buy back right away unless you're entering a new position, but obviously there's no guarantee you'll even earn 10% on a given position. In 30 years, earning 10% a year, you would turn $1 into $17.45 (1745% total return). In 40 years, you would turn $1 into $45.26 (4526%). That is a great return, but even if you invest a million dollars, you'll end up with $1.7B or $4.5B, far from a trillion. It all depends how much (and how often) you invest. Hope this clears things up!
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  5. They do not! You could take that into account by subtracting the inflation rate from the investment return. So if you assume inflation is 2% a year, your "real" 30 year return would be 1006% and your real 40 year return would be 2172%.
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  6. Thanks for the kind words! You would be down by more than 3%. Think of it this way: You buy a $100 position using $60 of your own cash and $40 that you borrow. Now say the position falls to a value of $97 right away (3%). If you pay back the $40 you borrowed, then you are left of $57, so the money you invested is actually down 5% ($3 off of your $60 investment). If you had just invested $60 of your own money without the debt, you would have only lost $1.80. Such is the impact of leveraging. Taking out debt to invest means that you reap higher rewards when things go well, but you lose more money when things go poorly. The above example also ignores interest, so you would likely lose more after paying for the amount you borrowed.
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  7. No worries! Still a great return that can make a lot of money if you can achieve it consistently :)
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  8. I'll keep that in mind for future videos :)
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  9. Hi Linton! You wouldn't directly have an opportunity to buy the shares, they would go to the company managing the fund. The manager would likely carry out whichever outcome is most beneficial for the unit holders without changing that company's weight in the portfolio (i.e. they may exercise the right and sell some of the stock immediately if it's profitable). Hope this addresses your question!
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  10.  @Nughug  Correct! You will never need to put more money into an ETF
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  11. Hi Kelvin. I might answer this in a video but I thought I'd leave a comment reply too. The biggest advice I could give would be to organize yourself, give yourself enough time and study every day. Whenever I studied I would take the number of pages in my book and divide it by the number of days I had to study (I usually started 5-6 months before the test), giving myself an extra month and a bit to review and do additional practice questions. I got into the habit of studying every day for around an hour or two, but I would sometimes give myself a break and other times work a bit harder. It's a lot of work, but once it becomes routine it really isn't that bad. Also, make sure you do the practice questions! A lot of the information only clicks once you see it in action and struggle your way through some problems. Hope this helps! Best of luck :)
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  12. Canada apparently has a partial imputation system. Some investment companies like real estate investment trusts (real estate operators that meet certain payout requirements) do see some imputation, but most dividends do not
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  13. I've definitely thought about it; at the moment I have a lot of other topics I want to cover but it's certainly a possibility in the future!
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  14. In that case, you would actually have to pay more money to pay off your debt. Using the same example, if your investment went to $0, you would have lost your $60 and would need to still pay back the $40. So even though you only invested $60, you lost $100, meaning your return would be -167% instead of just -100%.
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  15. This is a great question! Not sure if I have the expertise to do it justice, but I'll look into the subject :)
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  16. Thank you!
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  17. I'll keep that in mind, thanks for the feedback!
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  18. Thank you! Glad the videos are binge-able!
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  19. I don't believe the Federal Reserve actually owns any gold (they are simply a custodian for some accounts holding gold) so the U.S. dollar likely wouldn't depreciate directly with the price of gold. The USD came off the gold standard in the early 1900's.
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