Search found 9 matches

by Investing Lawyer
Fri Oct 16, 2020 8:22 pm
Forum: Personal Finance (Not Investing)
Topic: LLC basics - why bother, general guidelines?
Replies: 20
Views: 2021

Re: LLC basics - why bother, general guidelines?

Best practices: Have a formal operating agreement Have a contract regarding your "salary" payment (if desired) Execute resolutions regarding distributions (no just paying yourself whenever you want) All signature blocks should be on behalf of the LLC (emails and contracts) FOLLOW WHAT IS IN THE DOCU...
by Investing Lawyer
Fri Oct 02, 2020 10:57 pm
Forum: Personal Finance (Not Investing)
Topic: My LenderFi refinance is going well
Replies: 1394
Views: 126205

Re: My LenderFi refinance is going well

Verbally locked 2.625%, appraisal waived, no cost, 30y. Brad @ Lenderfi has been great to work with so far. Will post an update when everything closes. I dealt with Brad as well. Very happy with him. He pulled the right levers to get the deal i wanted done. Appraisal waiver was key for my situation.
by Investing Lawyer
Tue Sep 15, 2020 9:40 pm
Forum: Investing - Theory, News & General
Topic: HEDGEFUNDIE's excellent adventure Part II: The next journey
Replies: 6594
Views: 623256

Re: HEDGEFUNDIE's excellent adventure Part II: The next journey

Since I'm an XVZ proponent, I looked into this. That fund will hold a lot of equities from time to time which explains the superior performance during bull periods. However, we're trying to get our equity exposure through UPRO/Other equity leveraged etfs. So for pure crash protection, I'm going to ...
by Investing Lawyer
Mon Sep 14, 2020 9:49 pm
Forum: Investing - Theory, News & General
Topic: HEDGEFUNDIE's excellent adventure Part II: The next journey
Replies: 6594
Views: 623256

Re: HEDGEFUNDIE's excellent adventure Part II: The next journey

I'm considering ABRTX for crash protection. It's a dynamic volatility mutual fund that appears to work similarly to XVZ, but stays more flat in bull periods. Downside is the high expense ratio. Since I'm an XVZ proponent, I looked into this. That fund will hold a lot of equities from time to time w...
by Investing Lawyer
Mon Aug 31, 2020 10:30 pm
Forum: Investing - Theory, News & General
Topic: HEDGEFUNDIE's excellent adventure Part II: The next journey
Replies: 6594
Views: 623256

Re: HEDGEFUNDIE's excellent adventure Part II: The next journey

VIX is a measure of risk-neutral volatility (that means that it assumes options are priced by risk-neutral actors), but option traders are not risk neutral, this causes VIX to consistently under-estimate market volatility. Based on this explanation you might think that scaling VIX by some constant ...
by Investing Lawyer
Sun Aug 30, 2020 10:30 pm
Forum: Investing - Theory, News & General
Topic: HEDGEFUNDIE's excellent adventure Part II: The next journey
Replies: 6594
Views: 623256

Re: HEDGEFUNDIE's excellent adventure Part II: The next journey

The optimal leverage depends on your risk aversion. If you have a logarithmic utility function, then the optimal leverage for equities is around 2x. If you are optimizing for max expected return, then there no upper bound for the optimal leverage. Most users don't have a log utility function, which...
by Investing Lawyer
Thu Aug 27, 2020 10:31 pm
Forum: Investing - Theory, News & General
Topic: HEDGEFUNDIE's excellent adventure Part II: The next journey
Replies: 6594
Views: 623256

Re: HEDGEFUNDIE's excellent adventure Part II: The next journey

There is one volatility product that kinda works (i.e. hasn't lost >90% of its value over 10 years), XVZ. PF recently (or yahoo finance more likely) added the historical data. For those who care, it works because it shorts up to 30% of short term vix futures when contago is out of control like it is...
by Investing Lawyer
Wed Jul 08, 2020 9:48 pm
Forum: Investing - Theory, News & General
Topic: HEDGEFUNDIE's excellent adventure Part II: The next journey
Replies: 6594
Views: 623256

Re: HEDGEFUNDIE's excellent adventure Part II: The next journey

Some rebalancing questions for those doing the adventure in a Roth IRA... - I've been running it in a very small Roth for a couple months and now my split is 65% equities 35% TMF. I started in mid-April with 55/45 UPRO/TMF, then switched to half UPRO half TQQQ on the equities side in mid-May. To da...
by Investing Lawyer
Mon Apr 27, 2020 8:56 pm
Forum: Investing - Theory, News & General
Topic: HEDGEFUNDIE's excellent adventure Part II: The next journey
Replies: 6594
Views: 623256

Re: HEDGEFUNDIE's excellent adventure Part II: The next journey

I'm confused- why wouldn't VIX futures track the VIX index well? There's a bit of implied interest because of the implied leverage, but that's not a big deal. There's no storage costs like there is with commodity futures, and no management expenses. Long term view: Because the typical state of the ...