Welcome to StkyTreat

[IIC]

I wan't able to buy IBD because I'm not 18 and do not have a credit card. My brother used his CC for me and we got a good deal from IBD. College student (my brother) rate of $149 per year. They wouldn't give us a book because we were already getting a deal they say. Oh I have been calling them asking loads of questions. lol they tell me to stop calling them and use the Q&A online. Thought I share with you guys.

Use their info...but don't count on anyone down there to tell you how to take advantage of it...I think you have to flunk a test to work there...Doug(IIC)

[JohnHenry]

IPO Question

For example, I owe ABC Company, the IPO price is $10 with one million outstanding shares. sold. The company or I get $10 million dollar once the shares are sold to re-invest?

Once that IPO has sold the company doesn’t not get any more incoming revenues from selling the shares, the shares are traded between the traders once they are sold?

If the asking price is $1 and sell price is $0.95, where did the nickel go and who gets to keep it?

I have XYZ shares and want to sell all of them, do I have to have wait for a buyer to buy them from me or I place a sell order and my broke takes care of them for me?

Thanks for your inputs.

[DSteckler]

For example, I owe ABC Company, the IPO price is $10 with one million outstanding shares. sold. The company or I get $10 million dollar once the shares are sold to re-invest?

Once that IPO has sold the company doesn’t not get any more incoming revenues from selling the shares, the shares are traded between the traders once they are sold?

If the asking price is $1 and sell price is $0.95, where did the nickel go and who gets to keep it?

I have XYZ shares and want to sell all of them, do I have to have wait for a buyer to buy them from me or I place a sell order and my broke takes care of them for me?

Thanks for your inputs.

The answer to all these questions and many more can be found in, "The Wall Street Journal Guide to Understanding Money and Investments," by Kenneth Morris. It's available at Amazon.

[JohnHenry]

Pascal’s Triangle

In algebra the instructor(s) teach us how to expand (x+y)^4.


(x+y)^4

=(x+y)^2 * (x+y)^2

=x^4 + 4x^3y + 6x^2y2 + 4xy^3 + y^4.

This is a longer way and I understand it’s for the thinking process but why not also show Pascal’s Triangle?

SEE JPG...how do I attach a jpg into the body?


With (x+y)^n, n equal the row (row n)

(x+y)^4, just look at row 4 and pug in X starting from n and decreasing to zero.
Y starting from zero increasing to n, to get the answers (see below) I think this is easiest.

1x^4y^0 + 4x^3y^1 + 6x^2y^2 + 4x^1y^3 + 1x^0y^4…same answer as above.

This also works for probability of finding four fair toss coins, what’s the probability of three heads?

Use the triangle and look at row 4, add up 1+4+6+6+1 to get 16.
Replacing x for heads (H) and y for tails (T)..getting

1 4 6 6 1
4H 3H 2H 1H 0H
The probability of three heads is 4/16 = ¼. Sorry if my explaining is not clear.
I need to learn how to put my thought on paper.

Thanks for your feedback.

[JohnHenry]

Are there any Math people in here?

To ask question on the subject? Thanks

[JohnHenry]

Roth IRA

Hi Jiesen

I saw you in the BRKA room talking about Roth IRA. I can’t open a Roth or an IRA until I am a legal age to work. I think that age is 15.5 with a work permit or 16 without a work permit. I found that I could invest as little as $25 to TIAA CREF funds. I don’t know it they are good until I do more research but I think it doesn’t matter because time is my friend with the Roth. Do you have suggestions? Thanks

[Lyehopper]

(Are there any math people in here?) To ask question on the subject? Thanks

I'm more a "metal shop dude" Sticky.... Ya wanna talk about single-point cutting of double-reverse Acme threads in stainless steel on a manual engine lathe using an offhand ground highspeed steel cutting tool? I can do that.... But I'm no advanced math guy (wish In were).... Hey, maybe IIC, Jiesen or Rockin'Rob can talk math with you.

btw.... Do they offer "Machine Shop" as a vocational curriculum at your high school?.... I was on the advisory board (Corp Advisor) at our local Votech school. The goal of the Corp advisors was to communicate to the school what industry needed from new students as they were brought through the program. My biggest complaint was the quality of students taking Machine Shop. When I was in school (North Carolina 78-81) there seemed to be a decent bunch of (generally smart) guys signing up for the vocational classes. But in this particular school they could only get the misfits and basic idiots into these programs. I wanted to recruit good solid math students from the 8th and 9th grade levels and talk to them about taking Machine Shop. Of course the guidance counselors never would do that, they'd rather encourage a solid student to become an unemploy'd marine biologist and make $18k for the rest of their life.lol....

Here's an idea for you Sticky. Do some research on the dying art of "Tool and Die Making". I would guess that the average age of skilled Tool Makers is about 55+ years old right now. There's big money in the trade both as an employee and as a business owner.... And.... An experienced (hands on) CNC machinist that also has a Mechanical Engineering degree?... Is VERY VERY rare dude!.... btw, I started working in a machine shop when I was just 15 in 1978.... Just a thought.

[jiesen]

Hi Jiesen

I saw you in the BRKA room talking about Roth IRA. I can’t open a Roth or an IRA until I am a legal age to work. I think that age is 15.5 with a work permit or 16 without a work permit. I found that I could invest as little as $25 to TIAA CREF funds. I don’t know it they are good until I do more research but I think it doesn’t matter because time is my friend with the Roth. Do you have suggestions? Thanks

Well, a Roth IRA is an excellent way to avoid being taxed out of your investment gains, in the long run. I highly recommend opening one, as soon as you're able to. If that means waiting a year or two, so be it. It also means you'll need to get a job, if just part time. The great thing about the Roth is the government can't touch your investment gains, since the money you put in has already been taxed when you earned it. So if you are able to grow your $4000 to $400,000 over 40 years, it's all yours.

Now, just because it's a great way to save doesn't mean you have to run out and open one right away. I don't recommend you selling your investments you have now just so you can put the money in a Roth, it really should be money you earn yourself. So get a job first, and if that means taking some shop classes to get some job skills, or if it means getting your EE degree first, do whatever you need to, and make sure you can earn enough to be able to put away a few thousand every year into your Roth. A small but disciplined savings plan will make a HUGE difference in the long run, especially over the timeframe you've got ahead of you.

As for the math question, go ahead and shoot. I'll give it a try, as I used to be a pretty decent math nerd myself back in the day, and I'm sure if I screw it up, there are plenty of other nerds lurking here who'd be more than happy to point out my errors. Just don't ask me anything about gauge theory or diffeomorphisms.

[JohnHenry]

Price Jump/Decline with low Vol

Hi

Is it a good sign when the price of a stock jumps up one point or more on low volume (below its avg. vol.)?

The same when the stock price declines one point or more on low volume (below its avg. vol.)? Thanks

[Rob]

Is it a good sign when the price of a stock jumps up one point or more on low volume (below its avg. vol.)?

Not necessarily, but neither is it necessarily bad.

The same when the stock price declines one point or more on low volume (below its avg. vol.)? Thanks

Same thing.

Obviously every long on a particular stock would like to see price appreciations accompanied by huge volume. What may foreshadown a short-term sell-off is when you see big gains in price per share on very low volume. Each stock may establish a recognizable pattern of behavior over time, and you sort of get to know intuitively what to expect after you've watched that pattern repeat many times over a few years. Ask Lyehopper; I know that's one of the things he firmly believes in.

[JohnHenry]

FED questions

Ok for over a month one every one was afraid and hoping the feds would not raised rates but we all knew that they would. So the market took a nose drive. This I understand.

When a rate increase was announced as expected, the market took off like bat out of hell. I don’t understand? Are they looking at the future of a no rate increase?

Ok Ok before the increased to day of a quarter point, the interest rate was 5%. I saw bank advisements of home loans at 6.29 to 7%. I called a few banks and no one wanted to explain to me because I sound young many service people told me. Those stupid people thought I was pranking calls or maybe they didn’t know themselves.

So I walked the credit union by my house and I had a nice lady who spent her lunch time trying to explain to me. I understand the process of getting a home or car loan. But she didn’t explain why the rates are higher then what the fed sets it at.

Since I’m on the subject of home loan, how come a person buying a house if they do not have 20% for a down payment must have a second for PMI or PIM (I forget)?

Why is the second loan much higher than the first loan and the amount are smaller?

So after a person gets the two loans after a year or how long it takes combine those two loans into one at a lower rate?

Is this the best time to buy a house? I notice the new homes in my area have lower their prices. I think that since the price of a home is low (fixed) but interest rate is high it’s a better deal then buying a house at a higher price with low interest rates. My thinking is that if you buy a house when the price is low and can’t be changed but the interest rate can always go lower at some point. But with a price is higher is fixed and you can’t change it.

If the interest is was 5% then how come home loans, car loans, especially credit card rates are higher up to 22%?

Can someone help me out in a nut shell explain in 9th grade English? Thanks

[Lyehopper]

Sticky.... You might just make it dude!....jejeje

[Rob]

Hey, Sticky, this page may have the answers you're looking for. This is a great site for information on all kinds of stuff. And it's presented in a fairly easy-to-understand format. Check it out.

[DSteckler]

Sticky, did you buy that book I recommended to you a couple of months ago? It answers all your questions and more. Try reading it before you drive yourself crazy.

[New-born baby]

They do laundry, too.

Hey, Sticky, this page may have the answers you're looking for. This is a great site for information on all kinds of stuff. And it's presented in a fairly easy-to-understand format. Check it out.

Rob,
That's not all banks do for money. They also do laundry. But I didn't see on your link how banks
launder money. .