patrick.net

Maybe it will be a good idea. I can refinance at 3.125% and my dividend stocks are averaging about 3.5%. The mortgage interest is deductible and the tax on the dividends (thanks to GW Bush) is 15%.

Should I go for it? What do you think?

xenogear3 says

The stock market seems up every day.
The coast is clear.
Time to get a home equity loan to buy stock?
I am thinking about buying Facebook stock on day 1.

LOL! when Google went public.. dutch auction.. the blind bid price was $137-140. It traded down and opened at $100 on the first day.

Salesforce opened at $17 and went down to $11...

Now dont go getting a heart attack...

Good time to short IPOs at the open then?

It's fine to be in stocks, but getting a home equity loan to do it magnifies your risk.
I didn't think you can buy Facebook on day 1 anyway. But if you could, it might be a good idea.

The coast is clear??? Hahahahaha

Hey you guys, gambling with your home equity a little too risky. Here's one way to raise capital, you should sell puts. You can then use the money to buy stocks. Since stocks will keep going up, just like 2006 home prices, they will expire worthless. Don't worry, 80% of puts and calls expire worthless. I promise to buy, so please sell some puts. Bwahahahahaha!

xenogear3 says

The stock market seems up every day.
The coast is clear.
Time to get a home equity loan to buy stock?
I am thinking about buying Facebook stock on day 1

I have some Tulips at a good price or may I interest you in my new South Sea Company ?

When I went to school in Ireland we had a class called business organisation . It basically covered finance , banking and how companies run and what not . The one golden rule that we were taught was to 'never borrow to invest , only invest what you could afford to lose '

Facebook is just one very big data mining operation . It makes nothing , it sells nothing . It has no assets . People go on about its advertising , yet when I sign in to Facebook I see very little advertising and definitly nothing I would be interested in .

With Facebook I would buy and hope that the price shoots through the roof early and then sell .

However I have no ontention of buying Facebook stock .

I have a feeling Facebook may feel some pressure once they have public stock and shareholders to answer to. This may be the demise of the site.

There are some things that Facebook really needs to be careful about. They need to manage their image and the use of people’s private information. It just takes one bad incident and people will leave Facebook just like they left Netflix. They also need to watch the advertisement section. People won’t tolerate too many advertisements to use that service.

I say you have at least one opportunity in there to wait for a major calamaty after the stock is public. This would plunge the stock and allow you to buy low if you believe the sight has staying power.

I think Facebook has all the potential to go bust because it doesn’t really produce anything. That leaves an opening for the next great social media site to spring up. I left MySpace without a second thought when Facebook came around. I would do the same to Facebook if they become too much of a pain in the ass.

I think Facebook has all the potential because it doesn’t really produce anything.

less employees -> less reliability

The time to buy stocks was late last year. At these levels I rate the entire market as a hold.

Disclosure: I did buy a bunch of stocks late last year when they were much cheaper, so I can't stomach the prices I see today even on recent acquisitions.

Intuit ..software company that is as boring as your tyical accountant type, very much ignored , and cannot be hyped like Facebook is doing just fine...ready for another split 2:1 maybe ??

grinderman says

When I went to school in Ireland we had a class called business organisation . It basically covered finance , banking and how companies run and what not . The one golden rule that we were taught was to 'never borrow to invest , only invest what you could afford to lose '

Most of "high finance" is the finely-tuned game of gambling with Other Peoples Money.

Financiers got bonus not debtor's prison, your teaching is sadly outdated.

At this point, it should be fine to invest in a diversified mutual fund and surround it with a couple of solid dividend payers like T or VZ for safety. I would not go all in though, I would have enough left over to dollar cost average in the rest over the next couple of years.

E-man says

Thanks for the indicator. I will sell some stocks tomorrow.
Cheers. :)

LOL!

E-man says

Thanks for the indicator. I will sell some stocks tomorrow.

Cheers. :)

Learn from your victory. Prosper from your failure.

You just missed the big rally yesterday and today.
I don't see how people can loss money in stock market. Up every day !

Friday is always up big recently. Can hardly wait.

Stocks were meant to be sold, so sell them! :)

I find facebook to be a good way to keep in touch with people from all times of my life. However, that is all it is for me. No actual money comes from me to facebook and I am sure I am not alone here. How they can be valued at 1Billion amazes me, let alone the crazy 80-100B

My advice, in honesty, is sell you home and take the equity and buy some good old American dividend companies (GE, JNJ, T, KO, PG, etc.) They will grow much faster than your house will these next 5-10 years.

Although, I don't think you wanted a real answer here.

This is interesting time. 20% since October, 9% since Jan 1st. Volume is weak, last up leg looks weak. Overbought indicators for too many equities.

From that perspective, there is a pretty good chance of a 5% retrace. The upside is too limited for now.

The biggest winner (like Netflix) may be good short candidates.

*investment advice but please do your own due diligence.

xenogear3 says

The stock market seems up every day.

The coast is clear.

grreat to rope a dope!

Helloeeze says

Sounds like a bad idea to borrow money. Too risky. You need to do stocks slow and steady. Save money each year and after 20 years you will have something.

depends on what year the 20th is.