/biz/ - Business & Finance

>>14295640
wait I did that was the whole purpose of my super long posts

The whole point is, taxes aren't apples-to-apples between divergent investment strategies. the poster I was originally replying to said that he/she didin't think taxes would cause a significant difference between a stock-picking and index strategy.

The point I want to illustrate is that short-term investment strategies are losing compounding power constantly if they are paying capital gains taxes early. it makes a massive difference, so even if you can pick the right stocks and outperform the index by a 10% margin, you will be massively behind it at the end of a long duration because of how the compounding works.

I compared the strategy with higher yearly gains, but a yearly tax payment, to the long-term strategy where all gains compound and taxes are paid once, at the end.
let me know if any part does not make sense

(you can google a million different resources for this if you don't trust me, or run the numbers in excel yourself)

>>13927068
But we WEREN'T losing with China. WE were in a really decent position, they were the ones squirming and making threats.
I'm not going to say we were in a winning checkmate position, but we had the upper hand.

Now that we throw Mexico into the mix, it makes it more likely that China and Mexico (and Canada, the EU, etc....) can all work together to call our bluff.
It's not like these other countries can't read the situation. It's not lie we're engaging in a strict one-on-one deal with these countries. They can easily work together against us. And we're putting them in that situation! sad

If it all works out I'll be the one celebrating the most.
If we get the border secured and the China deal, damn.
But it's looking realll tight right now. Looking really messed up from where I'm sitting.