GMB Ep #71: Why Robinhood Needs More Oversight

In recent years, the online trading platform Robinhood has been gaining popularity among typically younger and novice investors, mainly because they have no minimums or commissions. However, there are some things about the way Robinhood operates that are not always in the best interests of the users. In this episode, Grant reviews how this brokerage firm is set up, how they make money, and what you should keep in mind if you’re trading on Robinhood.

 

 

Show Notes

[01:37] Background – Robinhood’s origin story and how it forced many other brokerage firms to drop commissions to zero.

[04:39] Day Trading Mishaps – Grant reviews one of the horror stories related to day trading on Robinhood, where one investor ended up getting a massive tax bill because they didn’t understand the rules around trading.

[08:09] Wash-Sale Rule – The IRS has set up a rule related to wash sales that get triggered when you trade frequently. Grant dives into how this rule can lead to massive tax bills for day traders on Robinhood.

[12:24] How Robinhood Makes Money – Grant reviews how Robinhood’s commission-free business model works, how it differs from a traditional brokerage firm, and one revenue source that put Robinhood under scrutiny in the investor community.

[22:56] Unnecessary Trading – Some of Robinhood’s features are designed to encourage users to make more transactions. Grant explains why this practice does not work in the best interests of Robinhood users.

[29:47] Strategies for Robinhood Users – Grant shares his take on some of the strategies Robinhood users could implement to build a robust investment portfolio.

 

Resources

Episode #63 – Anatomy of a Short Squeeze: GameStop FAQs

GMB Ep #70: Real Estate Syndication With Anthony Scandariato

A real estate syndication is essentially a partnership between a set of limited partners who pool their money together to purchase a piece of real estate they cannot afford on their own. This week on Grow Money Business we have a distinguished guest who has been working on real estate syndications for quite a while. Anthony Scandariato, co-founder and managing principal of Red Knight Properties, joins us today to talk about what you need to know before investing in a real estate syndication.

 

 

Show Notes

[02:42] Introduction – What real estate syndication is, how it differs from property management, and available opportunities for investors.

[07:02] Legal Background – Rules, regulations, limitations, and liabilities associated with real estate syndicates.

[10:33] Lifecycle of Investment – The process of setting up a real estate syndication and getting into deals with investors.

[14:54] Sourcing Properties – Anthony talks about his process of finding properties, acquiring them, and preparing for business.

[20:35] Managing Properties – Anthony shares his thoughts on the ideal way to manage the properties and working with tenants to make smooth rent adjustments.

[24:02] Communication with Investors – How general partners maintain the relationship with investors in terms of cash flow, reporting, and profit-sharing.

[27:31] 1031 Exchange – Anthony shares his take on the purpose of the 1031 exchange and why it should not be repealed.

 

Resources

Discovering Multifamily Podcast – Real Estate For Medical Professionals With Grant Bledsoe

 

Connect with Anthony

Episode 69: Interest Rates Are Rising....Does That Mean You Should Adjust Your Bond Allocation?

Episode #69: Interest Rates Are Rising….Does That Mean You Should Adjust Your Bond Allocation?

 
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Episode 69: Interest Rates Are Rising....Does That Mean You Should Adjust Your Bond Allocation?

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Episode 69: Interest Rates Are Rising....Does That Mean You Should Adjust Your Bond Allocation?

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Episode 69: Interest Rates Are Rising....Does That Mean You Should Adjust Your Bond Allocation?

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Episode 69: Interest Rates Are Rising....Does That Mean You Should Adjust Your Bond Allocation?

Episode #65: My Take on Bitcoin & Cryptocurrency

 
Last week Bitcoin crossed $58,000 per coin. This extremely volatile digital currency has been becoming increasingly popular and getting more media attention than ever. Despite the scrutiny that comes with popularity, the technologies and concepts involved in Bitcoin are fascinating. We dedicated this episode to diving deep into what cryptocurrencies are, how they work, and whether they could be good investments. Stay tuned until the end of the episode, where Grant explains what you should keep in mind if you have plans to get involved in Bitcoin.Continue reading

Episode 69: Interest Rates Are Rising....Does That Mean You Should Adjust Your Bond Allocation?

Episode #64: Where to Invest an Extra $50,000 Right Now

 
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Episode 69: Interest Rates Are Rising....Does That Mean You Should Adjust Your Bond Allocation?

Episode #63: Anatomy of a Short Squeeze: GameStop FAQs

 
With the GameStop incident further escalating we have been getting more questions about the whole situation. So we dedicated this episode to reviewing some of the specific areas related to short a squeeze. In today’s episode Grant dives into how short squeezes work, the controversy around Robinhood’s decision to suspend trading activities, the impact short selling has on our market, whether short selling should be banned, and more.Continue reading

Episode 69: Interest Rates Are Rising....Does That Mean You Should Adjust Your Bond Allocation?

Episode #62: GameStop, Gamma Vortex, and Confirmation Bias

 
In the past couple of weeks, an exciting and dramatic chain of events has been going on around GameStop Corp., where their stock price skyrocketed in a very short time. GameStop is a video game and gaming merchandise retailer. While they have been performing adequately, GameStop hasn’t come up with fascinating and innovative things in the past couple of years as other growth companies do. For that reason, this stock price surge triggered numerous headlines in the news and rumors and stories in the financial community. In today’s episode, Grant dives into what caused this situation, how things escalated, and whether there’s anything illegal going on. Stay tuned until the end of the episode, where Grant talks about what you should do if you’ve made a bunch of money in GameStop shares or options.Continue reading