Happy Friday everyone! Today's video is sponsored by Blinkist - get a 7-day free trial and 25% off Blinkist Annual Premium by clicking here: www.blinkist.com/theplainbagel or scanning the QR code in video.
Just an unrelated thought; If you wanted to make a second channel to cover miscellaneous non-finance topics that you still think would be interesting to talk about, you could call it The Everything Bagel.
The daily compound interest lady is a fool. If she were more disciplined , and kept her money interest for an extra year she would have $783 billion, or another year (4), she would have $1,079 trillion. Who's laughing now, if she were more disciplined she'd have several times the global economy.
@@carrettone bruh forget the trading fees, If someone was able to compound like that and if they did it for a few decades then soon their net worth will be more than the entire planet, Corporations would put Hitman on your head long before that
Yeah, I also ended up thinking about that again. The 2% is impossible. But she brushes over it as if it was normal. I guess that’s how she catches the idiots that believe her
"Don't ever be embarassed by how much money you make" .. The sincerity with which you said that tells me that you are genuine and want to impart good financial advice and habits. Kudos to you and your mission. I will definitely continue to be a subscriber. :)
I find it sad he still had to explain it. It's so ingrained in the psyche on modern (american?) worldview that even smart, really thoughtful people like him has to reason it. Truth is it really doesn't matter how much one makes, if (s)he can afford good living it's enough. The actual amount is meaningless.
I'm still so embarrassed that I haven't bought my first private jet hangar yet 😢 Seriously, I don't own a single building in New York and my private golf course only has 9 holes! This 400k a year is killing me! I can barely survive
I love how the guy just lists his stock picks. And Richard googles them. And it's terrible. And it looks like the graph of a scam. And Richard doesn't say a word. Because there is nothing else to say.
it looks like the old pump and dump, is a penny stock is not that hard to move the price, he said it has a telegram group where he says the people what they should buy, and later he makes it public, and we all know what happen next
Like Jhonny said, that guy was straight up pump-and-dumping, with penny stocks, which is illegal. A lot of these crooks got used to the lawlessness of crypto and forgot that they aren't allowed to do that crap outside of crypto. Hopefully he fucks around and finds out.
Last year I only made $399,999. Had to sell a kidney, put down the dog and pull life support on my dying mother to make ends meet. Really is a struggle when you're poor.
LOLOLOL...Before you unplug Mom, all you need to do is get 3 10 baggers in a row and then take those profits and earn 2% per day...after that compounds for a while, you should be able buy yourself a new kidney, dog, and possibly a new mom; depending of course on how long you have to wait for those 10 baggers ;-)
@pinuyasha, you just haven't been disciplined enough, had you used the softwares with a 2% daily return you'd possibly even been able to buy your dog fresh meat (I think... 399k x 2% compounded over 250 days is like almost 1 million aka minimum wage right?)
"All you need is 3x your money! Those happen all the time!" And all it takes to whipe you out is one of them crashing before it goes up. Pro tip: if your strategy has 1 point of failure, its an insanely risky strategy
A portion of my brain has an instant aneurism upon witnessing even just the delivery style of these tictok videos. You cant imitate your way to riches.
These people are targeting young people whose plan is get educated and get a job. The girl said you're not disciplined enough. Abandoning your current educational and financial plan in exchange for her hands in your pockets scheme is also not being disciplined. While being a cog in the economic machine isn't for everyone, there is no shame in it. A full stomach and your needs being met are dignifying and things to be grateful for. Edit: always appreciate your videos.
Man it gets so infuriating how much misinformation is out there about markets and investing. Thank you for shedding some light on how ridiculous tik tok finance really has become
It sucks because the people that genuinely need good advice the most (low income w/ long work hours and limited free time) are even less likely to find it when you have all of this horrible information being posted and shared.
@@vertvlogs675 There are plenty of investor education material and some general advice available. Sadly, nobody wants to hear that managing money, whether your own or as a profession, is a skill. It takes time to learn and less entertaining than these tiktoks but you'll get the hang of it (or the basics at least) if you keep at it.
You have to realise that the TikTok target audience is Lloyd and Harry from Dumb and Dumber so by saying 1 in 125k chance they hear "there's a chance". Thank God this is the only time I have been put through TikTok influencing !!
I love watching the moment Richard's brain concludes "this is so wrong." You see a blink and then his eyes drift to one side for just a moment. I live for those moments!
Appreciate that final comment, its something that I think a lot of people need to hear. People are defined by who they are not their monthly earnings or salary.
one of the biggest challenges with Quantitative models is that they are "situational". Once the situation that they were taking advantage of passes then they slowly become ineffective in their ability to predict market behavior and thus price direction. And the guy who used Pine Script just showed a back test, not actual results lol
I really like your videos and this time i exceptionally liked your outro where you said "never be ashamed of the amount of money you make.". You had a face of sincerity and this is a great message. I definitely am behind my peers in this area, but i often just go back to basics and realize things could be so much worse. Trying to just improve yourself is enough of a measuring stick vs looking at everyone elses success, the envy will drive you mad. Just focus on leveling up what you can do, the rest is noise
Love your channel, very grounded and sound advice. My family are chinese americans. When my parents came here , they were poor graduaate students who made $25/month back in China. But with dedicated and diligent investments, mostly in broad indexes and some real estate, they built up several millions over 25 years. I suffered along, but watch and learn from my dad, and now I'm able to expand upoon their success. There is no realistic easy way to riches, but there are lots of high probability to success roads that are long and often tough. But it's the journey that also instill the self decipline that one would need to keep thaf wealth.
Just so it's said, the reason you should under no circumstances trust ChatGPT with any kind of trading is because it's an AI for talking. It talks well. That's nice, that's impressive, but that's the one thing it does exceptionally well. It's guessing at trading strategies or just copying one it was trained on. It's currently stuck in 2021 so it's most recent data says we're in a low interest, low inflation bull market. Large Language Models will bullshit you with unimaginable confidence about things that are easy to disprove. The more open to interpretation an answer is, the more likely you are to get royally screwed
In all seriousness, that was really good advice to hear, especially from someone like you, Richard. I am not in a place where I want to be financially at my age, so it's really reassuring to hear that validation. I hope we all get to a point where we can provide for our families and communities enough to be comfortable. This life is short, and you can't take money with you.
I really like how you are very objective when evaluating those TikTok stuff. I mean, you aren't just disregarding everything they say and considered everything useless. But instead pick out the bad ideas from stuff that actually make sense. So yeah, as a result, it feels very educative. And less just for boosting viewer's ego by dismissing bad advice. For example, comparing stocks with dividends, and explaining the concept behind algo trading (low margin, low durability, constantly work on new algos) feels really helpful!
I just love these videos! Normally I’m no fan of reaction style videos and often find them boring and would rather watch the original video with no annoying commentary. However your reaction to these TikToks are absolutely hilarious and educational at the same time. Keep em coming!
I don’t really conceptually get the point of “owning” a part of a company if it never actually pays me. I still invest in index funds that include stocks that don’t pay dividends but I still don’t “get” it.
@@itsacorporatething Conceptually, you have a claim to a percentage of their value if they are to be liquidated or sold, and a claim to a percentage of their potential future distribution of wealth to owners. More concretely, if the company has one million dollars on a bank account and you own 1% of the company, then conceptually you own among other things 10,000 dollars of that 1 million. However, I agree things can get more complicated for example when you add that the company might not get sold or liquidated or distribute wealth to owners for the next 10 or 20 years. So you can argue that a share in such a company is in some sense worthless, because no money will actually come out of it and back to you. The only reason why it is worth anything is that other people is willing to pay you for the share, which is pure speculation and 'greater fool'-gambling :)
If you get 10$ of dividend, your company devalues in the same proportion (your share is worth 10$ less). Dividends are irrelevant. AND you pay tax on that
It just occurs to me that the salary of the US president is $400,000 a year. Fortunately, getting free room, board , and travel expense helps stretch out those $35,000 a month paychecks.
Your comment on the 2 year compound investment strategy. Why I don’t hit the “Join” button. Why I don’t discord. Why I don’t watch anyone who sells a course.
I appreciate your nod to salary not equaling happiness as well as the Plain Bagel breakdown of the FOMO hype others profit from spreading. (see what I did there?)
They will end up on WSB with loss p0 rn soon. People like those are the same morons that will buy these gurus "courses" or buy into their pump and dumps and end up broke.
8:04 no, it's not that common to multiply by 10 your money in cryptos, it happen sometime but only the first holders of those cryptos will multiply by 10 or more the amount of money they have invested, the others will not
In the long run, most if not all, cryptos will go to 0. Because it is largely useless and massively overvalued "industry". Also 9/10 are straight up scams.
Consistency is just as effective as intensity if not more so because you can rely that consistency will get there eventually whereas intensity has a high likelihood of hitting the wall. This applies to more than just the gym, it applies to business and all areas of life
Thanks for the input, Agent Bagel! Seriously, though, I always find myself checking your viewpoint on topics last to help make sense of complicated issues. Thank you for that.
As a Financial Economist I'm always surprised at the level of financial ignorance out there, even among learned professionals like doctors, lawyers, teachers, it is shocking to see people not understanding how simple concepts like compounding, leverage, margin, shares work 😅never underestimate a business degree, if you have it you are a gem in this new financial world
5:29 As a person who knows something about coding: No, chat gpt won’t build an entire app for you. For real guys, it’s really just an autocomplete on stereoids.
I thought I was doing alright in life. Not amazing, but heading in the right direction. But now I know that I'm an abject failure for not making $400,000 a year.
I prefer dividend stocks because I prefer getting the cash out because of that predictability. But yeah, thats a preference, not a right or wrong secret. Its all about your individual appetite for risk as an investor
It also depends on the tax code. Where i live dividends get taxed immediately while capital gain only gets taxed on sale, so you're losing a bit on compounding interest if you take the dividends route. For that reason i got an ETF that accumulates
I do admire the composure you keep while hearing all those bullshit from crappy people who should NOT be given any permission to talk about such relevant and delicate topics. What I also appreciate of you is your honesty: there's no shortcut to make easy money, but to have control over your spending habits, and rely on a professional who actually knows what they're doing. Keep the good work up!
I love the advice given on this channel. I love that it's practical, that it's relatable, and most importantly that it's responsible. Richard delivers quality education in a comprehensive and palatable manner. I'm so tired of these Cardones and other clowns that are just like "having trouble making ends meet? It's 'cause you have a poor person mindset! All you have to do is make a 3rd party website, that itself is 3rd party to another 3rd party website, and register it, using the domain as collateral to buy a triplex in downtown Mississauga! You're only poor because you want to be poor"! I dunno, maybe I just don't wake up at 4am for ice baths often enough.
I always find it fascinating how all of these scams and schemes (you see it a lot in MLM) will in the same breath tell you about how easy and risk free it is while then flipping to talking about how you gotta be a hustler and that if you don’t make it it’s cause you didnt work hard enough or follow the system
I smell a pump and dump scheme. Except he’s charging people to join his schemes, so he’s cashing in twice. You’d have to know when the dump is happening to make the money shorting them.
The "most people won't be dedicated enough" pitch was satirized in the Squid Game instructions: "You can exit any time between rounds and forfeit your share of the prize money to the ones who stay." That much is not a lie, but it elides the fact that staying involves risk. (I'm trying not to spoil the show so I'll leave it at that.)
There are dozens of us not making 400,000 a year, I don't know how we all do it. Enjoyed the video, recently I enjoyed If Books Could Kill podcast's coverage of Rich Dad, Poor Dad. I find it helpful to use a lot of foundational grifters as points of generalization. Many of the small fry repeat the same bull to the point you can almost diagram it (number manipulation, selling courses, not paying taxes). It would be great to get an episode on those sort of books.
9:59 Indeed, he was right, the stock did explode. Not in the right way though. Nice video as usual. It is cool that you add some further explaination aside their strategies to make it educational for us. Be safe out there too! :)
The other problem with 2% girl is that when you sell to exit out of a trade, it takes three business days for the trade to settle. If you sell stock 1 on Monday morning, you can buy stock 2 Monday afternoon. However, you’re forbidden from selling stock 2 until the stock 1 trade is settled, usually on Thursday. If stock 2 goes down, oh well.
9:27 What dude fails to mention is that on that day (Nov 4 2022) DBGI stock underwent a 1:100 split. That means that if on November 3 you had 100 shares worth $0.07 each ($7.00 total), on November 4 that would change to 1 share worth $7.00. The total value of your ownership stake didn’t change. He’s taking advantage of the fact that Google’s stock market display doesn’t immediately catch on to this stuff, at least not for penny stocks. Eventually it’ll retroactively adjust prices to reflect the split, but at the moment it just knows yesterday closed at $0.07 and today closed at $7.00.
Hey Richard, I watch your channel and Patrick Boyle's. You are both fantastic I should say! A quick question - I often hear that it's very rare somebody can consistently beat S&P 500. If day trading is more likely to reduce your return then what's even a point in trading at all? Why everybody just doesn't invest in the market index? Is the whole point of funds just to manage people's money and make a commission?
Good question my friend. Just look at trading as trade by batter really, humans exchange one thing for the other for different reasons. It’s a marketplace at the end of the day and in a marketplace there’ll always be buying and selling. If I sense an opportunity to buy something that’s due to become more valuable I’ll definitely buy it and vice versa. In a nutshell, trading is short term investing is more long term
@@acham182 Funds can't beat the market consistently, which means even specialists who work full-time in them can't reliably find "an opportunity to buy something that’s due to become more valuable." So why not buy S&P 500 and have a statistically better return with no hustle at all??? . Do funds hope to find a way to beat S&P? Is it about making money from managing other people's money? What's the point?
The amount of people who don't understand the basics of compound interest astonishes me. I was never good at math in school, but even I know that if you compounded interest at a constant rate you'd eventually have more money than exists in the world. The reality is, if anyone says they can promise you a rate, run. No one can ever promise you a constant rate of growth.
I mean if you just earn a 2% daily return on your $400,000 yearly salary then you too can make shittoks putting other people down for living in reality
Mr. Bagel don't be so embarrassed earning less than $400k/yr that you miss out on the TikTok lady's opportunity to make over 2% per day, every day, month over month, and year over year! At that growth rate you'll be naming your next baby 'Compound Interest Bagel' or 'Compo' for short.
The way this man stares at the camera whenever anyone's chatting waffle has me DEAD (9:37) 😂😂😂 He reminds me so much of that little ginger kid who was talking about his grandpa and the superbowl during an interview 😭
About the guy talking about the 10x crypto BS: he's conveniently forgetting to mention that when you make $999,000 in a year you'll be taxed at the absolute top tax bracket meaning you won't be a millionaire at all. Not to mention if making that kind of money was remotely possible billionaires could turn themselves into trillionaires.
I deal with a lot of this stuff from my family. I have to see a lot of these online course videos, and every time i ask, "If its so successful why are they selling it, why not just keep the gains?" I get such hurt looks too. Like I'm personally choking the life out of them by asking a simple question. Killing their dreams.
In all fairness, if I made $400,000 a year I would be pretty content with that amount and I would give this man a high five for making that much money in a year.
To people who watch this and still invest in penny stocks with 0 investing knowlege, i just want to say thank you, thank for giving your money to the market and helping all of us make more money.
The guy with the 10x strategy ($1000 to $1,000,000 with just 3 trades) is an amateur. You can more easily do this in roulette by betting on 3 numbers and winning just 3 times. Super easy because you get 3 chances to win each time (how can you lose? it's 50/50. don't think about it). All you need, like he said, is a good attitude.
