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Mailbag: Don’t Take This Wall Street Investing Maxim as Gospel

Q: This sounds silly, but I just don’t know how you invest in what you know while still exploring new sectors?
A: Investing in what you know is a sound piece of advice as long as you don’t take it too seriously. I’m speaking from my own experience. For a long time, I treated it as gospel. Investing is hard and risky. Surely the more you know, the better your chance of picking a winner?
It’s a convincing argument. If you’ve lived in New York City your entire life and you like making real estate investments, are you better off investing in …read more […]

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News Fix: Binance Gets Dollar-Backed Stablecoin Approved

Welcome to a special back to school edition of the News Fix! We’ve been on the road looking for new investment opportunities, so we’re changing up the look and feel of this week’s Fix. In honor of school starting up again (not to mention traffic getting worse and temperatures dropping), we’re presenting this week’s headlines (and weekend reading) syllabus style.
For each topic we cover, the news has been divided into must reads, quick reads and fun reads.
Enjoy!
Cannabis
Must Read
Marijuana industry cranking up the lobbying efforts: You know an industry is achieving legitimacy when Washington politicians and lobbyists are willing to take …read more […]

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The Top 3 Airline ETFs to Watch

There are plenty of reasons to invest in airline ETFs. The airline industry is relatively undervalued, and with more people flying than ever before, the potential for growth is huge.
Roughly 44,000 flights take off every day in the U.S. And last year, U.S. airports serviced around 1 billion passengers. Internationally, that number is closer to 4 billion. With fares becoming more affordable, airlines are serving more passengers and posting bigger profits
The International Air Transport Association estimates the airline industry will net $35.5 billion in profit this year. They also project the number of passengers will increase to 8.2 billion by …read more […]

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How Using Options Predicts Profits – Part 2

In yesterday’s Trade of the Day, we focused on how to calculate the move expected in a stock after its company releases earnings.
Here’s a refresher:
Take a look at the stock price and choose the options that have the closest expiration and the closest strike price to where the stock is trading. Do that for both put and call options.
Then add up the price of the put and the call, and divide that number by the current share price. That gives you a percentage approximating the move expected by the market.
As an example, take stock “X”…
Assume the shares for stock …read more […]