>average person: put your money in the bank! put your money in the bank! put your money in the bank! >bank: there you go, 1.8% :)>inflation: 5%What's the fucking point then?
>>59602382banks used to give higher interest and inflation used to be lower so it was a decent way to save money but nobody actually enjoys analyzing reality so the advice has stayed the same despite the fact that the circumstances which led to the advice has not.
>Chika the Megumin
This is why rich people are crawling overe themselves to buy crypto en masse.
>>596023823.2 is smaller than 5
>>59602382banks arent investment vehicles or protection against inflation
>>59602456Which begs the question.What are they?
>>59602487IQ test
>>59602487
>>59602487you give them your money to invest basically. it’s a total scam. only reason to keep money in a bank is for emergency fund. once you have that just invest the rest. folks who have over $10k in savings accounts are either boomers, or retards
>>59602487just somewhere where you keep ur money for auto transactions and to let jews swap it overnight to liquidate ppl with and where your ex wife can take half of it
>>59602382the average person is usually retarded
>>59602382just people who don't know how money works
>>59602577that and most people are awful with probabilities, especially small ones.
banks are for access to non-m0 transactions securely compared to fintech. you’re moneys going to be slowly stolen rather than quickly.
>>59602382You're right. I'm going to keep my money under my mattress instead.
>>59602382HYSA nigga4.5%, beats inflation
Savings accounts are actually evil, and it's evil that this is the only financial instrument kids are taught about. No joke. They are functionally built to underperform inflation and enrich the bank.
>>59603001what are other financial instruments then, faggot?
>>59604843LINK held in a cold wallet and staked for 4.32% APR
>>59604843The mathematically expected ROI for BTC this year is 40%. Obviously I suggest self-custody.>https://charts.bitbo.io/long-term-power-law/
>>59603001>this is the only financial instrument kids are taught aboutNot true, in my high school we learned about stocks, bonds, shorts/longs etc. But I went to a Magnet school. My brother went to a regular public high school and apparently savings accounts were an advanced subject, exotic fare for rich people. It blew my mind talking to him a few years ago that he'd never even *heard* of a Certificate of Deposit, I didn't think it was possible to walk into a bank without at least 3 people trying to sell you a jumbo CD. His company offers a 401k but he wasn't really sure what it was except that it took money from his paycheck, so he's pretty sure he opted out.
>>59602382>What's the fucking point then?The point is that you're a retard. if you're banking money expecting a return of any sort it better be in CDs, Bonds, Tbills, and HYSAs. They will pay out marginal but safe ROI.
>money supply increasing by 7% per year>get 5% yield from your goy "investments">after tax it's like 3%>real return of -4%This is why yield is retarded and all that matters is rate of debasement
>>59605838you can't debase my net worth. only 1% of it is cash.
>>59602990Please keep it in cum sockets, like me.
>>59602382People don’t want you to make and take chances. They want you desperate and afraid.
>>59602382>What's the fucking point then?to meet reserve requirements so Jewish bankers can fabricate more money out of thin air and then loan it to you at interest
>>59602382The point is to make you broke so you remain a slave... fuckin DUH
>>59602502>>59605675>>59605825I was just about to start a thread asking about banking stuff. I'm extremely bearish / black pilled about America's near-term financial future, partly because of our currency no longer having a reserve requirement, partly because Nvidia trading is now a significant portion of the GDP, things I've seen on this board. I'm thinking of leaving 25% of my cash in a HYSA, 25% in a CD, 25% S&P ETF, and I was trying to set up an overseas bank account for 25% with a country paying 10% interest and having currency appreciating against the USD so I can try to game exchange rates, but is this retard tier? I finished a truly, bewilderingly shitty MBA last year and have trouble finding out who is making the right moves. I had BTC for a while and it ate shit when I held it.
>>59606237>was just about to start a thread asking about banking stuff.Ah good then, savings accounts/money markets are almost universally a bad deal for ROI compared to other low risk stocks.>I'm extremely bearish / black pilledI have been for a year and a half in CDs at 5% but rates are coming down making them less attractive. Despite all the bears, the SP500 is up 25% over 2024 so it's obviously we misjudged the market last year. Not arguing stocks are necessarily better this year.>I'm thinking of leaving 25% of my cash in a HYSA, 25% in a CD, 25% S&P ETF, and I was trying to set up an overseas bank account for 25% with a country paying 10% interest and having currency appreciating against the USD so I can try to game exchange rates, but is this retard tier?Nah not really, although HYSA and CDs are effectively the same investment class in terms of ROI and risk. I intend to shift money out of CDs in a couple days to low risk stocks since rates are down but I am worried about the inverted yield curve fucking me so I'm not sure what percentage I should be loading for my personal investment fund. My Roth IRA/HSA/401k are all loaded into stocks and ETFs and I intend to quadruple down on individual stocks there. I'm not sure about the international 10% bank, I'm not that well versed on it but international stuff can be pretty risky compared to American banking, I likely won't be doing that as I don't understand it well enough to game it but be careful so you're the one who doesn't get gamed. >finished a truly, bewilderingly shitty MBA last year and have trouble finding out who is making the right moves.Congrats, I am just starting my MBA this fall. I will probably be buying a congressman based ETFs this year, those fuckers in government know what to buy to get obscene returns even more than the SP500.>had BTC for a while and it ate shit when I held it.There are lots of shills for crypto, I stay away from all crypto as I personally think it's a scam.
>>59606526>stocksmeant to say assets
>>59606526>congressman based ETFsOh shit, thanks for reminding me that these exist! I'll have to spread some into those. As they say in Vegas, the house always wins.
>>59606558SPY for reference was up 24.9% YoY. Think someone has made an ETF for Democrats, Republican, and composite of all congressional representatives.
>>59602382>>inflation: 5%More like 25% if were being honest
>>59606605Any thoughts on the expense ratio and spread for different ETFs in this space? I see SPY is 0.09% vs the VTI/VOO/VUG 0.03%, but it looks like they're a little newer?
>>59602382Where do you think your crypto money goes when you need to use it?The fucking BANKS, you RETARD
>>59602487Keep your money in your house then you fucking retard, not my problem when tyrone biggums and daequan junior rape your wife and daughter and take your entire savings
>>59602487>>59606708>>59606711Banks just happen to own the financial infrastructure that the majority of transactions happen on. That's the only thing they're good for - facilitating transfer of wealth from point A to point B. Until better payment rails are built out they are a necessary evil. The major task of all cryptocurrencies as of right now is to pry the EFTPOS front-end out of legacy finance's cold gnarled hands. You're always better off using cash in person whenever possible for privacy reasons, unless you stand a real chance of being mugged or robbed. You should not be leaving money in banks unless you're planning on spending it, as they cannot offer you anything meaningful in terms of appreciation, they are very creative in the ways they will steal it, and if/when a bank failure occurs there will be no liability or insurance you can use to recover your funds. I would suggest keeping at most 5 grand in the bank. Yeet the rest into whatever savings or investment vehicle you understand and trust the most.
>>59606782>Until better payment rails are built out they are a necessary evil.You are the one bringing up/discussing evil, when people bring up something, it can be because they've got something to hide and they can't hold it in, what I am saying is, you made yourself to be the evil one here.I'm dumb so I don't understand a lot of what you said, no idea what EETPOS means.I keep cash on hand purely because it is more widely accepted than using a card, not because of privacy, I personally believe that "data privacy" is the biggest fucking joke of our current generation, you cannot seriously believe that your data is ever safe, people just need a password, human error, and its all out there, nothing short of sending things out into the cold of space forever will secure your possessions.I do agree with the idea of banks not being secure though, as per my view on data security, buy assets that have inherent value/worth, savings only exist to make interest.
>>59602434If you’re rich all you have to do is buy treasury bonds and you will have infinite free money forever
>>59606686>Any thoughts on the expense ratio and spread for different ETFs in this space?>see SPY is 0.09% vs the VTI/VOO/VUG 0.03%, but it looks like they're a little newer?Both track the SP500. Say you retired and had 1M in VOO vs SPY, you're talking about 600USD overall difference in fees, that's peanuts compared to the principal value of the portfolio. I invest mostly in FXAIX but there is no reason to not throw it into VOO over SPY, it's just not going to make that much difference in the long term among any of those three since both the fees are insanely close to zero. SPY might have slightly higher liquidity since it's been around a while but VOO is still probably just fine from that perspective. If you intend to just hold, technically mutual funds like FXAIX have fees that are only 0.015% but there are trading restrictions on those relative to ETFs that limit how frequently you can trade them, that hardly matters for holding long like I do though.
>>59606079let me guess, you own bitcoin? Enjoy seeing it go to ZERO
>>59606829>If you intend to just hold, technically mutual funds like FXAIX have fees that are only 0.015% but there are trading restrictions on those relative to ETFs that limit how frequently you can trade them, that hardly matters for holding long like I do though.I forgot to mention, I wouldn't recommend this personal investment accounts. Only 401ks/403bs/Roth IRAs/HSA as FXAIX is an actively traded mutual and you'll pay capital gains tax on those transactions. In personal investment accounts just do ETFs like VOO or SPY.
>>59606812All good, I can break it down for you. Necessary evil is an expression that means "a thing we need even though it is not good". That's what banks are. They have made themselves absolutely necessary for (almost) everything we do. EFTPOS is Electronic Funds Transfer at Point of Sale - in other words, the little box at the register you tap with your card to pay for something. If we can change that box (the EFTPOS terminal) so that it pays out of a decentralized monetary system like Bitcoin then we will have destroyed the main way banks extort us. You are absolutely correct and understand me perfectly with regards to financial privacy. It's great that you use cash and that you don't trust banks. You're smarter for like 90% of people for that. I hope by "interest" you mean return on investment. Interest isn't really a thing anymore, with inflation outpacing rates.
