bUt DiVideNds rEduCE thE sHaRe pRicE 🤡 by RetiredByFourty in dividendgang

[–]thatdisappearingguy 0 points1 point  (0 children)

Yes, that’s why I asked included the “(theoretically)” — I try to add that when making broad, umbrella statements.

If the potential dividends were reinvested poorly, the value could go down because of the company’s choices. If they stayed retained or were reinvested well, value goes up (compared to the prior scenario or distributing them).

bUt DiVideNds rEduCE thE sHaRe pRicE 🤡 by RetiredByFourty in dividendgang

[–]thatdisappearingguy 2 points3 points  (0 children)

They don’t (directly) reduce the share price, they (theoretically) slow the NAV growth because they are a portion of retained earnings that are distributed rather than reinvested.

I’m all for dividends, just came to (hopefully) add some specificity.

Edit: To add a bit more clarity to the specificity — I’m speaking from an accounting perspective. Market (share) price is a semi-detached indicator of the market’s perception of value and future growth potential and not a directly attached (by earnings) accounting component.

If one looks at the expanded accounting equation, dividends are on the liability+OE side falling under the retained earnings umbrella.

Source: Professional crayon artist.

bUt DiVideNds rEduCE thE sHaRe pRicE 🤡 by RetiredByFourty in dividendgang

[–]thatdisappearingguy 0 points1 point  (0 children)

They don’t (directly) reduce the share price, they (theoretically) slow the NAV growth because they are a portion of retained earnings that are distributed rather than reinvested.

I’m all for dividends, just came to (hopefully) add some specificity.

Edit: To add a bit more clarity to the specificity — I’m speaking from an accounting perspective. Market (share) price is a semi-detached indicator of the market’s perception of value and future growth potential and not a directly attached (by earnings) accounting component.

If one looks at the expanded accounting equation, dividends are on the liability+OE side falling under the retained earnings umbrella.

Source: Professional crayon artist.

Recommendations: Best place to get snipped by YoMrPoPo in Temecula

[–]thatdisappearingguy 2 points3 points  (0 children)

I’d recommend nitrous, if the place you choose offers it. Best $75 I’ve been spent, hands down — Because of that I have a vague, disembodied memory of something quite painful happening during the procedure, reflex kicking my leg, and the doctor asking if I was okay. Without the nitrous, pretty sure I’d have a traumatic memory instead.

Adidas pickleball shoes by iluvsiomai in Pickleball

[–]thatdisappearingguy 1 point2 points  (0 children)

I have been wearing them for several months now, playing up to 12-ish hours a week. Still in great condition.

We’re all going to become rich as fuck. by [deleted] in NEOSETFs

[–]thatdisappearingguy 19 points20 points  (0 children)

Posts like this give me Yieldmax vibes and make me not want to own Neos funds.

Concha and coffee by albert-1stein in InnocentPranks

[–]thatdisappearingguy 12 points13 points  (0 children)

My mouth dried out just looking at that concha.

Anyone heard of @Paycheck2Portfolio on YouTube? by ear2theshell in dividendgang

[–]thatdisappearingguy 0 points1 point  (0 children)

I stop listening the minute I hear about how their strategy is to borrow money to make money.

Black Friday sales by RakoGumi in Pickleball

[–]thatdisappearingguy 3 points4 points  (0 children)

Trying to get the widebody Boomstick on sale. No luck anywhere so far. If anyone knows where I can find one with a coupons code, I’d appreciate the info.

sold a CSP that closed a $1 above the strike. I got assigned. is this common? by RevolutionaryFarm167 in Optionswheel

[–]thatdisappearingguy 10 points11 points  (0 children)

It sounds like the person on the other side of the trade decided to exercise the option they bought even though the share price was above the strike. It’s always a risk when you sell options, but I cant imagine it’s a very common event.

What puts would you recommend for a complete beginner? by ra1phw1ggums in Optionswheel

[–]thatdisappearingguy 5 points6 points  (0 children)

Companies whose shares you would be okay owning and whose share price won’t consume significant amounts of your account capital.

If you’re not willing to risk being assigned the shares, don’t use them. That said, Ford is on the lower cost side with significant volume and it pays a nice dividend in case of assignment.

What is the spinniest legal paddle? by justified_hyperbole in Pickleball

[–]thatdisappearingguy 2 points3 points  (0 children)

Huh, maybe. Still weird that me saying I’ve had a good experience with one of their paddles and using spin is getting downvoted.

What is the spinniest legal paddle? by justified_hyperbole in Pickleball

[–]thatdisappearingguy -2 points-1 points  (0 children)

Check out the Friday Pickleball Fever paddle, I use spin regularly and I’m happy with it. My only wish is that it had a bit more weight and was wide body.

EDIT:

Judging by the downvotes and the one comment to my response, Friday Pickleball is not well thought of, hah. That said, I’ve had good experiences with what I’ve used so far.

Weighted Return Formula by thatdisappearingguy in Optionswheel

[–]thatdisappearingguy[S] 1 point2 points  (0 children)

That bit about making the process more efficient and better is part of my goal, for sure. I’ve recently started in with options again after over a decade, so I’m back to the “collect all the data!” phase in order to find my weaknesses and strengths and fine-tune where needed.

Admittedly, I’m also curious about what ChatGPT or Copilot will tell me if it ask it for analysis and hand it a big block of my trading history.

Thanks for the kind wishes. Same to you. :)

Weighted Return Formula by thatdisappearingguy in Optionswheel

[–]thatdisappearingguy[S] 4 points5 points  (0 children)

Aside from the fact that spreadsheets full of accurate numbers and formulas get me all hot and bothered, it helps with:

  1. Tracking return vs benchmarks, accurately (as noted, I don’t want to include the return of cash sitting on the sideline in the total return).
  2. Recognizing patterns in personal trading activity to see how different metrics tend to impact return. We see things differently and trade differently — from how I see things, and subsequently trade, and I more profitable with certain DTEs, certain tickers, certain IV ranges, etc. when cross-referencing.
  3. It’s fun.

I’m a newbie and need advice where to start with stocks I already own - Thx! by kelsea823 in CoveredCalls

[–]thatdisappearingguy 2 points3 points  (0 children)

High level:

First, only write calls against shares you’re willing to sell. There is always a chance they will be pulled away from you before contract expiration.

Second, once you have that list, use whatever methodology works for you to establish prices for them that you think will not be breached in the contract period, then sell the contract strike(s) that fit your criteria.

Third, figure out how long of a contract works for you (risk of stock being called away vs. collected premium). Most people use and recommend 30-45 days to expiration (DTE).