HDTenEightyP/NetNews huggingface dataset:
From: bfong@btr.btr.com (B Fong bfong@btr.com)
Newsgroups: misc.invest
Subject: Institutions vs. Individuals (TAX question)
Date: 18 Dec 92 01:15:55 GMT
Organization: Internet

Dear fellow netters,

Here is a question regarding how to save money on taxes when
trading equities (stocks).

As many (or some) of you know, when an institution (e.g. a
typical mutual fund) buy and sell an equity it does not incur
any tax consequence.  The tax consequence is only incurred when
the investor takes the money out of the fund (then he has either
a gain or a loss).

Here is the questions:

What does it take for an individual to setup an account (a mutual
fund if you will) so that he can trade his stocks and not pay taxes
till he withdraws the money (just like an institution).
I know you can do this in a SEP, IRA, etc... but that's not the
question here.

Does anyone out there have any ACTUAL experience setting up
a vehicle like this.  Anyone who personally know of a real
money manager?  A securities tax guru? Can you ask him/her?
Would be great if we can get some details like exactly how
much does it take to do all the paper work and what are all
the regulations.

Thanks!!!

P.S. when you answer, can you post to the net and then also
send mail to me at: bfong@btr.com  (since I don't read this group
on a regular basis.  If I find out the answer I will post it.)
Newsgroups: misc.invest
From: stgprao@st.unocal.COM (Richard Ottolini)
Subject: Re: Fidelity Magellan?
Organization: Unocal Corporation
Date: Tue, 15 Dec 1992 23:22:49 GMT

In article <jaeastman-151292141754@jmac.msd.anl.gov> jaeastman@anl.gov (Jeff Eastman) writes:
>I noticed in the paper that Fidelity's Magellan mutual fund fell by almost
>$6 last
>Friday.  This is about 10% of the fund's value.  The price in today's paper
>is still
>the lower value, so it doesn't appear to be a misprint.  The other Fidelity
>growth
>funds did not show this drop in price.  What happened?


About 3/4ths of Fidelity's funds paid their dividends last Friday.
Another bunch will pay dividends next Friday.
Many newspapers write an "x" next to the fund name the day it pays
dividends.

For me, it meant that the number of shares I own went up about 10%
(minus 3% sales charge).
I will have to pay 40% tax on this 10% next year too :-(
Newsgroups: misc.invest
From: Eli.Mantel@launchpad.unc.edu (Eli Mantel)
Subject: Re: ESOP - Can they really do this????
Organization: University of North Carolina Extended Bulletin Board Service
Distribution: na
Date: Sun, 20 Dec 1992 14:45:18 GMT

ci483@cleveland.Freenet.Edu (Babu Narasimhan) writes:
>My employer had a standard vanilla type of Employee Stock
>Option Plan for purchasing the Company stock. This plan
>was implemented by Quarters (Calender) and any employee
>could laydown upto x% of their pay to buy  the stock which
>was discounted 15% off of the market value. The market value
>was determined by the lesser of the 5-day average between
>the beginning and end of quarter. Pretty Standard stuff
>so far.....except they threw in a wrench in the works
>recently.
>
>They now require you to hold on to the stock for a year before it can be
>sold...

Without a holding period requirement, this plan would allow the employees
to earn a 60%-120% per year return on their investment, virtually risk-free.

I am amazed by the number of people who won't take full advantage of
such plans (which at a 60% return make it worthwhile to use a credit
card cash advance to fund the purhcase).  Perhaps a number of employees
at your company realized this and started to buy the stock, then
sell it immediately every quarter.

With the holding period in place, the potential return is cut to 15%,
the risk is increased (since it could decline from when you purchase it),
and only those who are paid well enough to set some money aside can
take advantage of the plan.
				Eli Mantel (eli.mantel@launchpad.unc.edu)
--
   The opinions expressed are not necessarily those of the University of
     North Carolina at Chapel Hill, the Campus Office for Information
        Technology, or the Experimental Bulletin Board Service.
           internet:  laUNChpad.unc.edu or 152.2.22.80
Newsgroups: misc.invest
From: gilman@cshl.org (Michael Gilman)
Subject: Litton Industries
Followup-To: misc.invest
Organization: Cold Spring Harbor Laboratory
Date: Mon, 14 Dec 1992 16:22:56 GMT

Any information or opinions out there in net-land on Litton common stock.
It currently trades at around 45, with a listed P/E of 11.

Thanks for your help.

Michael Gilman
gilman@cshl.org
Newsgroups: misc.invest
From: larryba@polstra.uucp (Larry Barello)
Subject: Novell, Borland and Microsoft...
Organization: Polstra & Co., Inc., Seattle, WA
Date: Sun, 20 Dec 1992 22:52:14 GMT

My favorite subject :-)

Say everyone, look at is this way: BOrland wouldn't buy AT unless they
were under a lot of pressure from MS.  Apple wouldn't try copywritting
the Mac interface, sue Microsoft and then turn around and start writing 
Windows software before the lawsuit was even resolved if they couldn't 
already see the handwritting on the wall.  Apple wouldn't be considering 
purchasing Novell and Wordperfect and Lotus wouldn't try getting merged
if MS didn't have all of them wetting their pants with no end in sight.
Every FTC action or merger rumor is just another symptom of the PC
marketplace incontinence - not a sign of the impending doom of MSFT.
Microsoft now owns 30% of the entire PC software marketplace (up from 
25% a year ago).  Who do you want to bet on for the next five years?

I worked at MS for five years and my motto was "In Bill I trust" because
I couldn't ever figure out how MSFT would double again.  But it always
did.  I still can't figure out where MS will make their next 10
billion dollars, but I trust that Bill will do it.  Really, with the
exception of the FTC thing there are no clouds on the horizon at all 
for MSFT.  All analysts have already discounted teh FTC thing just like
they did the Apple thing.

Say, Anyone read the recent Forbes "We love MSFT" article?

cheers!
-- 
Larry Barello			uunet!polstra!larryba
Newsgroups: misc.invest
From: stgprao@st.unocal.COM (Richard Ottolini)
Subject: Re: Oil Futures
Organization: Unocal Corporation
Date: Mon, 14 Dec 1992 17:05:18 GMT


The historical trend for the oil prices has been $15-$10 bbl (1992 dollars)
for most of the 20th century.  There have been fluctuations from $1 to $40
bbl during this period too.  It appears since the mid 1980s the price
has returned to its historic trend.  There is surplus productive capacity
in the world that holds prices down.  Not many people are expecting
sustained price increases, although a war here or there could cause
temporary increases like in 1990.

The developement of the world hydrocarbon industry is nicely written
up in the recent best-seller called "The Prize", to be made into a TV
min-series in 1993.
Newsgroups: misc.invest
From: bfong@btr.com (Beda Fong)
Subject: Institutions vs. Individuals (TAX question)
Reply-To: bfong@btr.com
Organization: Internet
Date: Wed, 16 Dec 1992 19:09:38 GMT

Dear fellow netters, 

Here is a question regarding how to save money on taxes when
trading equities (stocks).

As many (or some) of you know, when an institution (e.g. a
typical mutual fund) buy and sell an equity it does not incur
any tax consequence.  The tax consequence is only incurred when
the investor takes the money out of the fund (then he has either
a gain or a loss).

Here is the questions:

What does it take for an individual to setup an account (a mutual
fund if you will) so that he can trade his stocks and not pay taxes
till he withdraws the money (just like an institution).
I know you can do this in a SEP, IRA, etc... but that's not the
question here.

Does anyone out there have any ACTUAL experience setting up
a vehicle like this.  Anyone who personally know of a real
money manager?  A securities tax guru? Can you ask him/her?
Would be great if we can get some details like exactly how
much does it take to do all the paper work and what are all
the regulations.

Thanks!!!

P.S. when you answer, can you post to the net and then also
send mail to me at: bfong@btr.com  (since I don't read this group
on a regular basis.  If I find out the answer I will post it.)



Newsgroups: misc.invest
From: pearson_steven@tandem.com (Steven R. Pearson)
Subject: Re: "Don't Become Fixated on Mutual Funds" - Peter Lynch
Organization: Tandem Computers Inc.,  Cupertino, CA
Date: Fri, 11 Dec 1992 22:07:07 GMT

In article <Bz2Fo3.Kzv@taligent.com>, cep@taligent.com (Christophe Pettus) writes:
> 
> In article <1992Dec9.151301.8923@agora.com> conway@agora.com writes:
> >2. Body Shop (pink sheets)     Recent Price: 2 3/4
> 
> OK, I have to ask: What are "pink sheets"?  How are they different, if
> at all, from stock?

"Pink sheet" stocks are stocks that are not listed on any exchange, nor on the
NASDAQ system.  Most of them are "penny stocks."  The stocks have from one
to several market makers each.  Some outfit collects recent price information
for these stocks from the market makers and publishes this on a regular basis.
It's printed on pink paper, thus the name.

This should probably be in the FAQ...

-steve p.  (opinions mine, no warranty, standard disclaimers)
Newsgroups: misc.invest
From: cs101a64@ih-nxt04.cso.uiuc.edu (cs101 student)
Subject: Re: "Don't Become Fixated on Mutual Funds" - Peter Lynch
Organization: University of Illinois at Urbana
Date: Mon, 14 Dec 1992 16:04:32 GMT

In article <13DEC199213230794@csa1.lbl.gov> schindler@csa1.lbl.gov (AARON  
SCHINDLER) writes:
> In article <Bz5z47.D26@news.cso.uiuc.edu>,  
cs101a64@ih-nxt04.cso.uiuc.edu (cs101 student) writes...
> >For this reason,  
> >pink sheet companies are either very new and small or about to go  
> >bankrupt.  The pink sheets are notorious for extreme risk and ties to  
the  
> >mob.  Thus, they are not for conservative investors or socially  
conscious  
> >investors.
> 
> Mob ties to the pink sheet stocks??  This is news to me.  What are your  
sources?
> 
> What is your comment about pink sheet listed companies not being for the
> socially conscious mean?  Is this again a reference to mob ties?  Are  
you
> joking and I'm missing the joke?
> 
> Aaron Schindler
Several months ago, my economics teacher handed out to our class copies of  
an article (I forget where it came from) about mob ties to penny stocks.
From: barmar@think.com (Barry Margolin)
Newsgroups: misc.invest
Subject: Re: A question about the advantages of deferring taxes
Date: 13 Dec 1992 18:03:14 GMT
Organization: Thinking Machines Corporation, Cambridge MA, USA
NNTP-Posting-Host: gandalf.think.com

In article <101691@netnews.upenn.edu> kaplan@sol1.lrsm.upenn.edu (Peter Kaplan -Yodh) writes:
>Our accountant told me that the rule of thumb is that it is better
>to defer taxes as long as possible.  I certainly understand why this is
>true for retirement savings -- you don't pay tax on the interest as the
>investment ages.  It seems to me that there is NO advantage to deferring
>taxes unless tax is also deferred on the interest.

If you defer until retirement, there's also the possibility that your
decreased income will result in you being in a lower tax bracket.  However,
since you're currently in a pretty low bracket because you're a student,
it's not likely to be lower when you retire.
-- 
Barry Margolin
System Manager, Thinking Machines Corp.

barmar@think.com          {uunet,harvard}!think!barmar
Newsgroups: misc.invest
From: muehle@milne.boeing.com (Eric Muehle)
Subject: Re: The Future of Comptronix
Reply-To: muehle@milne.boeing.com
Organization: Boeing Defense and Space Group
Distribution: usa
Date: Fri, 11 Dec 1992 20:36:17 GMT

According to the news service that Schwab gets, Arthur Anderson should have preliminary results of the accounting of the books at cmpx sometime next week.  The company still has all of its customers, who are staying by them, read the WSJ 12/9.  The earnings estimates before the scheme was exposed, was 70 cents for 1992, and a projected $1.00 per share for 1993, with a PE of 25-30.  My guess (and my guess only) is that the earnings were overstated by ~35% and the stock should return to about 12-14 per share

 within 6 months.  Do not interpret this post as a recomendation to buy, nor do I guarantee the accuracy of these numbers or dates.
 ---
Eric Muehle,  Boeing Aerospace, Man Machine Systems  muehle@milne.boeing.com
Standard Disclaimer, I speak for myself only.

Newsgroups: misc.invest
From: uday@adobe.com (Uday Kurkure)
Subject: Interest rate and related indices predictions
Organization: Adobe Systems Incorporated
Date: Fri, 11 Dec 1992 21:28:50 GMT


   
     Where can I find the predictions for interest rates and related
     indices? In particular, I'm interested in 11th District index.

     I was told by a bank official that real estate loan interest loans
     based on 11th district index are likely to remain flat or head
     downwards for next 2-3 years. Therefore refinancing the existing
     adjustable rate mortgage is not really advisable.
     Any comments?
From: nfs@volkl (Norbert Schlenker)
Newsgroups: misc.invest
Subject: Re: Carnegie Hill Foundation ... Fact or fiction?
Date: 20 Dec 92 17:27:16 GMT
Organization: Department of Computer Science, Princeton University
Originator: news@nimaster

In article <149610001@hpcupt3.cup.hp.com> palande@hpcupt3.cup.hp.com (Aditya Palande) writes:
>Hello Fellow-Nettors,
>    Has anyone heard about the Carnegie-Hill Foundation International Center?
>
>    It seems to be some sort of MLM where membership is $65.00 per year and
>points are calculated on a 25 X 5 matrix thru-line. After accumulating 25
>points (you get points by enrolling 25 members in 6 months), you can get about
>$200,000.00 from them. The money they make is donated for AIDS research.
>
>    Do you feel this is a scam?

When in doubt, think.

Pick 25 random people out of your city's phone book.  Send an application
for each one, along with $65 out of your pocket, to CHFIC.  Your outlay is
$1625 plus postage.  If CHFIC is not a scam, they will promptly send you
$200,000.  Nothing prevents any and every solicitee, like you, from doing
exactly this.  Given this information, what are your chances of collecting
the $200k?

Norbert
nfs@cs.princeton.edu
Newsgroups: misc.invest
From: ajg@controls.ccd.harris.com (Arnold Goldberg)
Subject: Re: Sorry, my fault...
Organization: Harris Controls and Compositions
Date: Thu, 17 Dec 1992 21:29:19 GMT

>>>>> On Wed, 16 Dec 92 03:42:24 GMT, ghuntres@nyx.cs.du.edu (Gary  huntress) said:


Gary> I really want to appologize to everyone for todays plunge in IBM stock.
Gary> It was all my fault.  I bought some on friday, so obviously it was 
Gary> headed for the dumper.  'cheez, you'd think I'd learn after buying
Gary> Westinghouse at 23 (down from 27) - currently at 12.

Gary> There, I feel better now.   Hmmm, maybe a couple of calls, after all
Gary> its got nowhere to go but up! :-)))))

Well, you've said what I've wanted to say many time right after I 
bought a stock, but was ashamed to.


Thank you, I feel much better now!! 
:)


--
------------------------------------------------------------------------
Arnold Goldberg                            Email:  ajg@ccd.harris.com
Phone: (407)242-5051                       Snail:  Harris Controls
Fax  : (407)242-4262                               407 John Rodes Blvd.
                                                   Melbourne, FL 32905
The opinions expressed are my own and do not in any way represent Harris 
------------------------------------------------------------------------
From: doug.hewko@synapse.org (Doug Hewko) 
Newsgroups: misc.invest
Subject: theory vs reality
Date: 18 Dec 92 12:14:00 GMT
Distribution: world
Organization: SYNAPSE BBS - GATINEAU, QUEBEC - 819-561-4321
Reply-To: doug.hewko@synapse.org (Doug Hewko) 

From: doug.hewko@synapse.org

Does anyone know of a EMH test that compares the returns from 
publically recommended stocks with the market?  If the market is 
efficient, but the time the stock tips reach the market, any 
subsequent returns from the tip should be negligible.  As a result, 
the only people who should benefit from the tip would be the people 
who had inside information (the person making the tip, and the 
publisher), and any public buying from the tip should artifically 
raise their profits.  Of course, the larger the number of stocks that 
are outstanding, the less of an impact the initial traders would 
have....

               Doug
---
 . 1st 1.01 #574 . "Now that's downright bio-degrading" -- Toxic Revenger
From: jsb@meaddata.com (John Belt)
Newsgroups: misc.invest
Subject: Why is "cash accounting" used
Date: 17 Dec 1992 21:10:14 GMT
Organization: Mead Data Central, Dayton OH
Distribution: usa
NNTP-Posting-Host: cyber.meaddata.com

In watching my 401k balance over the past 9 months, I noticed a discrepency
that I could not explain.  I decided to question benefits about this and
they told me that the plan uses "cash accounting" rather than "share 
accounting" (which I was using).  The plan allows a participant 4 choices:
1) A fixed income fund (that currently is mostly in US Treasuries), 2) An
Equity Income Fund (Vanguard Equity Income), 3) An Equity Growth Fund  
(20th Century Select), and 4) Company Stock (Mead Corp).  Since I think
that I'm getting the short end of the deal, I was wondering if
"cash accounting" is an acceptable method and how widespread is this 
method???  And am I being too concerned (although I doubt it).

Thanks in advance for all of your explainations.

John


--
John Belt     jsb@meaddata.com
From: pmahler@netcom.com (Paul Mahler)
Newsgroups: misc.invest
Subject: currency exchanges
Date: 17 Dec 92 19:07:27 GMT
Organization: Netcom - Online Communication Services  (408 241-9760 guest)

The best exchange rate usually comes from depositing the funds
into an account of your own. For example, when living in
Switzerland, I deposited american funds into my swiss account.

The rate on auto-teller transactions is usually very 
favorable as well. For example, when travelling in europe,
one can draw cash out of an autoteller from an american
account.
-- 
--------------------------------------------------------------
Paul Mahler                   internet: pmahler@netcom.com
Data Based Systems, Inc.
Database Systems Development
1800 Market St. #257          voice: 415.518.8459
San Francisco, CA 94102       

"I work for myself; there's no one else to blame it on." 
-------------------------------------------------------------
Newsgroups: misc.invest
From: vkb@blitzen.cc.bellcore.com (@U)
Subject: Stoneridge Resources
Organization: Bellcore, Livingston, NJ
Distribution: usa
Date: Wed, 16 Dec 92 21:48:05 GMT


I own some Stoneridge Resources (NYSE: SRE) stock and they stink. 
The trading range recently has been 2.75-3.25.  I paid lot higher!
I have been trying to get rid of them this year and may
be cut my losses (I have some gains this year and this
loss may not make me feel that bad).  However, recently there are
some things that are going on that I don't know exactly how to
interpret and could use some advice/suggestions from more
knowledgeable people.

The company has a reverse stock split proposal which, if
approved, would effect a one for four reverse split.  Pre-split,
there are 30 Million shares outstanding.  Also, whether the
reverse split is approved or not, they propose to issue
rights that would increase the outstanding shares from 30M to
80M.  The rights are "units", each unit consisting of 1 share of common
stock and 1 warrant.  The warrant allows one to buy a pre-split
stock at $2.75, exercisable within 4 years.  The purchase price
per pre-split unit is $2.00.

All this is quite complicated.  I understand there are some 
advantages of reverse splitting a stock -- increased book value,
decrease in the number of shares outstanding, increased market
interest, etc.  For starters, I will end-up with an odd lot if this goes
through.  If I participate in the rights offering, am I getting
deeper in the hole?  Should I sell now and forget about the
whole thing? Should I wait and then sell (The shareholders' meeting
is on Dec 22)? Should I participate in the Rights offering?

The company was in the Orange Juice business and now they are
buying up all sorts of insurance.  I particularly don't like
that!

Any help is appreciated. Thanks in advance!!

Venky Basapur
vkb@blitzen.cc.bellcore.com


From: daniel@hpfcso.FC.HP.COM (Daniel Krulewitch)
Date: Thu, 17 Dec 1992 21:56:06 GMT
Subject: Re: Re: Dow Jones INDUSTRIALS
Organization:  4984 feet
Newsgroups: misc.invest

In misc.invest, lib@cbnews.cb.att.com (Lib) writes:

> 
> Quick question about the INDUSTRIAL average. Why are Disney, Coke,
> McDonalds, JPMorgan and American Express in an Industrial average?
> I know some of them got put in there to replace old soldiers like
> Navistar and USX but haven't they changed the character of the Indus-
> trial average? The transport and utility averages are all transport
> and utility companies.
>

I guess is depends on how you define INDUSTRIAL.  Entertainment, Foods, 
Finance etc... are a huge part of our ecomomy!

dANIEL 
Newsgroups: misc.invest
From: irving@Happy-Man.com (Irving_Wolfe)
Subject: Re: Buying New Stocks On The Day They Go P
Reply-To: Irving_Wolfe@Happy-Man.com
Organization: Happy Man Corp., Vashon Island, WA 98070-7399
Date: Tue, 15 Dec 1992 03:53:43 GMT

In <1gj5hrINNm40@male.EBay.Sun.COM> zombie@EBay.Sun.COM (zombie) writes:

>I am not sure what Uday is looking for, but I am looking for 
>something that has this info *before* they go public, so I would have
>time to look into it.

I don't buy new issues because in the long run people lose money
this way, but in the old days when I was on Wall Street, the
publication to read for this sort of information was "Investment
Dealers' Digest."  My apologies for old-fogey recollections if this
thing no longer exists.
-- 
 Irving_Wolfe@Happy-Man.com      Happy Man Corp.  206/463-9399 x101
 4410 SW Pt. Robinson Rd., Vashon Island, WA  98070-7399   fax x108
 We publish SOLID VALUE for the intelligent investor.   NextMail OK
Info free; sample $20.  Send POSTAL addrs: Solid-Value@Happy-Man.com
Newsgroups: misc.invest
From: snorthc@relay.nswc.navy.mil (Stephen Northcutt - K31)
Subject: Re: Could someone talk to me about Novell (NOVL-OTC)
Reply-To: snorthc@relay.nswc.navy.mil
Organization: Naval Surface Warfare Center	
Date: Fri, 18 Dec 1992 19:55:18 GMT

The opinions posted (with which I agree) is that Novell is technically
superior and far more entrenched in PC networking than Microsoft.  I
think it take just short of a miracle for Microsoft to overtake Novell
in this arena.

If Novell is vunerable, it would have to be by "PC Networking" becomming
passe, something like Apple putting more platforms (by an order of magnitude)
on corporate desks, or UNIX workstations becoming really cheap and really
easy to use.

Summary: I would bet on Novell to be rock solid for at least two more years.

================== We Design and Build Fine Networks ===================
		Stephen Ray Northcutt (703) 663-4447
Disclaimer: The Public Affairs Officer speaks for this Naval Lab, not me!
From: hacker@access.digex.com (Dark Hacker)
Newsgroups: misc.invest
Subject: Re: Fidelity Magellan?
Date: 21 Dec 1992 05:53:48 GMT
Organization: Express Access Online Communications, Greenbelt, MD USA
NNTP-Posting-Host: access.digex.com

Always a good idea to know when your fund's "date of record" is.
You wouldn't want to die of a heart attack for no reason right?

- Hacker
-- 
Dark Hacker @ Black Silicon, Fortress Of Computation
hacker@black-silicon.mclean.va.us

"Life itself is... COMPUTATION!"
Newsgroups: misc.invest