ASX Thread: "Cheers Granny" Edition

kizzmybutt
kizzmybutt

Alright fellow ausfags, didn't see an ASX thread so I thought I'd start one and use it as an opportunity to ask a question of my own.

My grandmother passed away a few weeks ago and now I'm the proud owner of around $40,000. I'm a 19 year old student and obviously want to make this money work for me as much as possible.

I know that most people would say to just pump all of it into ETF's and wait. But I thought given the sum of what I've inherited, I would at least ask you fellow /biz/nessmen what your thoughts are. Should I use a portion to hold some bitcoin, are there any long term non memestocks you are shilling? I'd love to hear.

Also is anyone following LRS? It's down a shitload over the past few months. What do you think the bottom is? is lithium a no-go?

All urls found in this thread:
http://www.asx.com.au/products/etf/managed-funds-etp-product-list.htm
https://au.finance.yahoo.com/q/ks?s=CLQ.AX
Deadlyinx
Deadlyinx

@kizzmybutt
This is the advice I got a few weeks ago which i know is the popular opinion right now. Should I just follow this?

TreeEater
TreeEater

40 grand? Mate haven't you thought about property? Even if the bubble bursts in the next 2 years (if it bursts at all), 20 years from now you would have a very valuable asset.

I realize you probably don't want to be tied down to any sort of debt, don't want to mortgage a place, but with interest rates pretty much as low as they'll ever be, if you could get a fixed rate you'd be pretty well off.

@Deadlyinx
On another ASX thread an user claimed that if you buy a shares in a grocer, a mining company, and a big 4 bank, you can pretty much match the ASX200. I suck at maths so I wasn't able to model this to corroborate it, but I suggest you look into that, why pay an index fund percentage to do what you can do yourself.

I do like the idea of investing 30% internationally in a index fund a because I think the States is going to have a better economic outlook than Australia, maybe even Europe once the PIIGS finally turn around.

You might want to plug about one grand in Bitcoin during the next dip, since it's so liquid as an investment you can pull out anytime.

Burnblaze
Burnblaze

@kizzmybutt
Also, just talk to an accountant. you might get fucked over by Capital Gains if you ever cash out your investments, so make sure you keep to keep your gains.

Soft_member
Soft_member

@Deadlyinx
Follow that advice dude.

Never in a milliion years should you ever follow any investment advice from this website that isn't an ETF because I have seen that many posters here shill their shitty stock and people follow and buy it and then it drops and they lose everything.

Regardless of how convincing their argument sounds, never follow them. Do not invest in individual stocks unless you have money to burn, you are very smart and can analyse a company fairly well, or you are insider trading. Someone of your age, with your limited wealth and limited knowledge, should not ever consider individual stocks.

TreeEater
TreeEater

I got 20k, about 5 years ago when I was 19, and I don't have a single cent. lessons learned:

- if you don't know what to do with it, put it in a fixed term for a year and come back to it
- only buy things that will last you for more than 3 years.
- separate it from your regular "spending money" because it is not regular.

the fact that you're on Veeky Forums at this point is desu a good thing, but seriously just sit on it until you know what you fucking need to do. and remember that you don't know shit because you're still young.

if you really want to live it up a little, i'd probably take a grand out to spend. rest in fixed term for one year. then that year is the year you learn.

~~~~~~~~~~~~~~~~~~~~~~~~~
anon claimed that if you buy a shares in a grocer, a mining company, and a big 4 bank, you can pretty much match the ASX200

probably can the miner, go for services.

Snarelure
Snarelure

@TreeEater

Mining is a major part of the Australian economy and is in a slump at the moment.

ZeroReborn
ZeroReborn

@TreeEater
40 grand is probably barely enough to put down a deposit where I live. I know I could put the deposit down and use income earned from renting it out to pay the mortgage. But I'm really looking for a more long-term passive solution.

I'm not super convinced about the diversification benefits or having a portfolio of 4 stocks, I still think an ETF would offer far better diversification benefits in terms of risk. But you do make a good point in terms of the fees.

Can anyone else concur with the benefits of buying bitcoin, I've followed it for a long time but it's honestly so hard to wade through all the banshee screaming and crypto-shilling sometimes.

Stupidasole
Stupidasole

@TreeEater
Shilling property to someone with only 40k

Shilling crypto currency

Poor NEET confirmed.

... My God this board is cancerous.

Need_TLC
Need_TLC

@ZeroReborn
At low levels of wealth, diversification is for cucks.

You either research and invest well in a small number of stocks, or you put your money in a bank like the smarter plebs.

My advice:

Put all 50k in Cleanteq (ASX:CLQ) tomorrow morning.

Sell Wednesday midday.

Do NOT under any circumstances get into crypto shit.

Sir_Gallonhead
Sir_Gallonhead

@Deadlyinx

A 19yo does not need invest in bonds.

In fact at current yields, no one does.

massdebater
massdebater

@Need_TLC
this

Techpill
Techpill

@kizzmybutt
I currently live in Sydney and am in my gap year. Is it better to save up for a place or try my hand at investing? Housing here is expensive as hell and if I lose in it it could be drastic however a making more money would be swell.

Poker_Star
Poker_Star

@Techpill
Buy an ETF.
Don't invest in individual stocks, especially anything that isn't blue chip.
I would personally buy a property and rent it out, but the bank may not be willing to give you a mortgage with you being a student with no regular income

Skullbone
Skullbone

@Need_TLC
Can you tell me why CLQ is worth a buy and not just a memestock shillfest? I think I will follow your advice about the crypto stuff, it is tempting to buy even 1 or 2 bitcoin, just on the off chance that it skyrocket someday, but I think it will end up being a dud most likely.

@Soft_member
@Poker_Star
I know that Vanguard seems to be the most popular ETF within Australia, but could you recommend any others, genuinely curious just to see what the competition is

Deadlyinx
Deadlyinx

@Skullbone

http://www.asx.com.au/products/etf/managed-funds-etp-product-list.htm

Select ETPs

CodeBuns
CodeBuns

@Skullbone

https://au.finance.yahoo.com/q/ks?s=CLQ.AX

The enterprise value (market cap plus debt minus cash) is more than 100x the company's earnings. In other words, it earns peanuts.

Before even looking at profit/loss, the company loses money simply by operating (see Cash Flow Statement)

Cleanteq looks like a company trying to find a viable business model. There's no guarantee it will.

Nojokur
Nojokur

@CodeBuns
It's an exploration/tech company in early stages, user.

Of course it will have weak earnings to market cap ratio.

Look at the value of the resource they own, look at the potential of their water treatment technology, particularly in the Chinese market where they have no fresh water.

These motherfuckers are in a really juicy position, which is why so many people are jumping in.

Like anything on the markets, there is risk, but that is why there is great potential for gains.

When a company has sound management and resource value in excess of current capitalisation, you can relatively safely get involved.

King_Martha
King_Martha

@Need_TLC
On what basis? The highest it has ever traded is like .70 cents, you recommend he goes balls deep in this for $7,000p?

farquit
farquit

@King_Martha
If he'd have bought this morning and sold Wednesday, he'd have fucked himself out of at least 2k at this point. So there's that advice out the window.

Nothing wrong with picking up 7k on a few weeks hold, though. The stock is good.

Other recommendations are GXY or ZMI.

possible decent short term earnings.

DeathDog
DeathDog

@kizzmybutt
20k In monero, 20k in a fixed term.

If Monero is going to do what I think it's going to do.. 20k is your ticket to a free house.

And if it flops and fails youl'l be able to salvage atleast 10k, and youl'l still have your 20k in the fixed term while you finish your studies and land a job.

Think of it as your ticket to massive wealth.

Flameblow
Flameblow

hotcopper.com.au/threads/class-action.2842983/

Every time. Without fail.

iluvmen
iluvmen

A powerful meme magic is awakening. Soon it will rise from it's 12 month slumber. SRT shall hatch from it's cocoon into a marvelous meme to be sure. A meme of such majesty that has not been seen for a generation.

Playboyize
Playboyize

@iluvmen
fucking stupid phone ITS NOT IT'S YOU FUCKFFFFFFFFFFFF

BlogWobbles
BlogWobbles

@Deadlyinx
cheers man

@farquit
The second i saw it was up 20% I knew that there was no way in hell I was going to buy any. Good thing I didn't, memestock shillerz will be the death of me

tfw fell for the memes and bought LRS and RAP

@DeathDog
Monero looks like a far shitter bitcoin to me, I feel like 1000% surges for crypto has come and gone for the next while. We'll have to wait for WW3 or something.

w8t4u
w8t4u

Is it worth buying 88e when it has such a high P/B ratio? Not much else to go on considering it's future, much like Tesla's is very conjecture based.

Nojokur
Nojokur

hows mxc going. was shilled here pretty hard in the past

Supergrass
Supergrass

@Need_TLC
this entire post

good prediction user

viagrandad
viagrandad

@Supergrass
I would've lost like $3000. But I've learned to never listen to memestock shillers. I fell for the LRS meme and its down too much for me to even sell at this point...

Techpill
Techpill

@Supergrass
Eh, huge spikes on the back of good announcements usually carry a bit of momentum.

Still up over 120% on this stock since I began shilling a few months ago, year on returns for the stock are over 200%

He'd have been fine if he got it, just would have had to be a longer hold than the 2 day ~5% spice I was expecting.

FastChef
FastChef

Instead of posting speculative companies without two cents to rub together, let's post some long-running high quality businesses with good balance sheets and returns on capital.

Reece Group (REH)
CSL (CSL)
Computershare (CPU)
Transurban Group (TCL)
Corporate Travel Management (CTD)

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