[Soon]

Hi,

Thank you for your feedback.

I didn't dare say it, but it's a learning process to detox from work and have the luxury of time! As strange as it may seem.

My old life was reminded of me after the end of year holidays when everyone returned to work!! No regrets, quite the contrary..

 

[Soon]

In summary:

– Learning in the field of pension planning – including maximizing the tax possibilities available for the 2nd pillar – (which is not very appreciated by some but in my case very effective).

-Diversification of my sources of income with crowdfunding in real estate (Foxstone)

-Complete review of my expenses…

-Creation of a company. I am now my own part-time employee which allows me to pay myself a low salary (provided it lasts) which has the double advantage of adding a little diversification of income and qualifying for the payment of AVS/AI/etc. I therefore avoid paying AVS/AI/etc. contributions based on income + wealth as a person without gainful employment.

The offer for the management of “Libre Passage” accounts surprised me by its lack of homogeneity, despite the regulation in place, and the marked differences in cost structures and results.

This flexibility, especially in terms of "over-mandatory" capital, has been welcome for the choice of LP institutions, particularly regarding strategic allocation and management control (by myself or by the institution). This allows for diversification, given that my portfolio is mainly focused on dividends, while the Free Passage consists only of ETFs.

On my roadmap: Enjoy my flexible time, travel, enjoy my new professional activity without the hassle, stress and other constraints linked to a traditional job. I give myself 2 to 3 years before taking stock.

[Soon]

Soon is no longer adequate as a nickname.. I should use "It's done". The rate race is over for me!

[Soon]

Rule No. 1 for selling calls is to agree to be exercised, therefore to sell your security at the strike value. Basic rule but as always in finance it is the most important.

Selling calls on a portion (instead of all) of the underlying is a way to minimize timing risk because one day the price of your stock will appreciate… and you will regret having sold your calls.

I believe that all the basic principles have been reviewed in the exchanges and your selective approach is (in my opinion) intelligent. As Frouzback mentions, if the underlying vol is low, the premium will be lower. Be careful not to fall into the trap of maximizing the premium by selling calls on growth positions in the portfolio that often have a higher vol.

I would like to draw your attention to the style. You probably read it during your research: if you sell an American style option you can be exercised at any date, however with “European” ones it is only at maturity.

Regarding the bid/offer you can always leave a limit inside the spread (difference between purchase and sale prices) to try to maximize your price. An indication of liquidity is the “open interest” i.e. the quantity of contracts open for a given strike/maturity. The higher this quantity is, the more, a priori, the spread could be reduced.

If you want to minimize your transaction costs, a 3-month maturity is also a good compromise to maximize the time value change factor and not be constantly processing. This obviously remains a general principle.

Finally, the same option selling strategy can be implemented if you want to buy securities by selling puts. The yield can be interesting when the vol is high. To understand well before trying because this has already ruined some people… (just like the sale of uncovered calls)

[Soon]

https://www.principles.com/the-changing-world-order/

There he doesn't do things by halves...lol. Good reading. It's free in money but not in time... yet it's worth the investment.
Not a good idea if he's right.

[Soon]

Jerome,

I "rebalanced" it in your last post because I have the impression that he is too alone at the bar. You will tell me normal in times of confinement, the bar is closed! it is too worth reading this one.

Have a nice weekend

[Soon]

Good morning,

My conclusions from a recent review: For a Swiss "bank" solution, Corner (if over 75k) seems the cheapest for Swiss and European stocks/ETFs, and custody. For funds it seems to me that Swissquote is the most economical solution with very low custody.

Tax statement 100chf at Swissquote and min. 10ochf at Corner with addition of 10chf per line beyond 10 positions.

the newcomer Flow Bank (Swiss bank) is a bit cheaper for European and especially Japanese stocks (15k = 0.3% / 30k = 0.15%) but not clear for the tax statement and especially applies 0.1% for custody. We will see what CS will offer with CSX but I doubt that it will offer us a revolution.

For US stocks or elsewhere, frankly, long live the solutions made in the USA, IB and others; who must be biting their fingers for offering free trading now that interest rates are zero. They can no longer make money with customers' cash positions (or with ultra-thin margins on the USD). Swissquote is clearly more expensive for stocks! In the long term, this has a real cost (especially for the rich Dividend! Lol)

I have some doubts about bonds. In Switzerland Swissquote seems cheaper (Corner applies custody fees on positions and Flow Bank is not clear but in any case better than Corner)

What is not clear: the spread applied during exchange operations, whether at Corner, Swissquote or IB (I am not an IB client, being very happy with another American one)

All this obviously depends on the stock market "behavior" of each individual.

For cyber risk. At the user level, if you use a password manager, change your password from time to time, and your username is not easy or obvious, you really minimize your risk. Facial recognition is not a replacement for the actual password (long above all and with special characters)! Ideally, we should use a two-step solution where the financial institution sends you a confirmation code to use for login after passing the Username/Password step.

Also... how many email addresses do you have? Bank email should never be used for other recipients. The one you use on the internet should not be the same as friends/family. Etc..

You are right to think about it. First and foremost because this risk is too minimized. Then because it is a bit of a tit for tat... even if you have taken all the precautions, good luck making yourself heard. Long live lawyers' fees and others. In addition, the cyber risk applies to the institution itself (hacking of the institution) and there are limits to state protections for your cash (because in this case it is the risk as Jerome actually mentions).

2 institutions is a minimum. If there are problems with one, for whatever reason, you must be able to count on the other. It's like investments, risk management is through diversification.

 

 

 

[Soon]

Xavier,

Many thanks for the mention of Viac. I spent a few hours looking for an "efficient" supplier for the 3rd pillar, my insurance broker not knowing of any solutions of this type.

ETFs still deserve a minimum of analysis because they can be built in very different ways. Some use swaps to have the economic exposure of the underlying assets (i.e. a contract with a third party, which implies a counterparty risk, (remember 2008). In contrast, others have the underlying positions, which is less risky (which are nevertheless sometimes lent). Is it a "US" isin? .. then a tax risk (for survivors) in the event of death. If all the ETFs that give you exposure to gold had to buy the underlying asset by certain that there is enough yellow metal in circulation... finally, they are great instruments but worth a little research.

[Author]

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