Suggestions for a speculative punt?

bowlhead99

adindas said:

bowlhead99 said:
It probably does make sense to get it out of your ISA while it is at a nice value before your broker realises their error and forces it to be sold or moved out of the ISA. If you think it's going to go up from here, it would use less pension allowance to move it into a pension now, if the annual allowance is likely to be an issue for you. 

It is finally happening today. Trading 212 has announced the list of HMRC non compliance stock and we have been asked to close it by September 1, 2020 14.30 or they will manaually close it. But I managed to close all of my position here at US$19.85 so no complain here.

Tencent Entertainment is also included on the list.

Yes, assuming you mean Tencent Music Entertainment it shouldn't be ISA allowable because they trade as ADRs on NYSE and the underlying ordinary shares are not listed on any recognised exchange. 

I have Tencent Group (the controlling shareholder of TME) in my ISA which is fine because it has a Hong Kong listing. The share price for the main Tencent business has performed better than TME in the time since TME was IPO'd, and Spotify has also well outpaced it in recent months (despite not making operating profits yet, share price has done very nicely under lockdown).

Newnoel

AnotherJoe said:

Not just a First World Problem but arguably applicable to anyone who has a small amount in a pension (or ISA) that long term will make little difference so might as well go all in on a succession of shares to build the amount into something worthwhile. Eg if I could double the amount a few times then it's no longer chump change. So I've got a few quid in an ISA  that would be boring to just top up existing investments so I'm thinking I can see what I can do with it. First though is the Chinese EV Company NIo ticker NIO.  Any other ideas? 

In terms of a speculative punt, I would be tempted to put a few quid on Trump to win this year. He is currently 11/10 on Paddy Power.

I'm no can of his, but I do think that it is very unusual for an incumbent president to lose. Biden strikes me as a bit nice but impotent - would probably feel at home in the Lib Dems

AnotherJoe

Evens on Trump? That's terrible value. Is that a typo for 11 to 1 ?

bowlhead99

AnotherJoe said:

Evens on Trump? That's terrible value. Is that a typo for 11 to 1 ?

I wouldn't take evens on Trump. However at Betfair they have matched £37.5m on the market for Trump to be next president vs only £21m for Biden.  So if Trump does pull it off, the people laying the odds will be paying out a lot of cash. Polling figures tip the nod to Biden, but a sitting president who does his campaign broadcasts from the white house (whether he is supposed to or not) and can hold daily propaganda press conferences under the guise of 'presidential stuff', has a great advantage.  And despite everyone in the UK thinking he was a nonsense candidate and a surprise winner last time, the grass roots support runs quite deep. All of that stuff factors in to how much the bookies are willing to offer today (2.12x your stake on Trump, 1.92x on Biden, before betfair commissions).  If UK bookies were starting from scratch to offer a market now, having not already taken in hundreds of millions of pounds worth of bets on a trump victory, they might well offer quite a bit more than 2.12 to attract new money to that side of the coin.

If you offered me 10:1 on Trump I would definitely place that bet, as a hedge - as the payout if he won would be of great comfort in the event that he had another 4 years to destroy the US economy and society in general, which may be rather unwelcome.

Moe_The_Bartender

You have Trump who addressed his audience for an hour without notes the other day or Biden who can’t speak without the aid of an autocue and appears to be in hiding. You have the Dems who are basically supported by a bunch of Hollywood luvvies and have policies not all that different from those which failed Labour last year. Then you see that Trump's ratings improved after the Dems conference last week whereas Biden's barely moved. You have shy Tories in the UK who conceal their voting intentions and the equivalent shy Republicans in the US. They are the people who are angry about the Dems call to defund the police and their support of the Marxist BLM.

Trump will walk it.

adindas

Omg did you watch Tesla, Apple after the stock Split today !!!

With a good exit strategy these Stock Split, SPAC, IPO investing game might make you beat the market significantly.

But of course it also involves some level of risks. The risk I am willing to take.

Username999

Tesla up 12%.
$2485 in old money!!

adindas

Username999 said:

Tesla up 12%.
$2485 in old money!!

Hyliion another EV stock that is going IPO thorough a reverse merger with Tortoise Acquisition (SHLL). It is probably too late now as they have rallied massively prior to the merging date which is very soon. Sofar I have made 98% gain and this is before the merging date. Expecting 200% gain before I sell it. Previously I have taken advantage of SPAC with Nikola/Vecto IQ.

What I have noticed and have researched here is that investing in a company about the go for an IPO thorough SPAC is a risk worthy undertaking if combined with a good exit strategy

The problem with the traditional IPO here is that it is very difficult for a retail investor to buy the stock before they are going public. Even they have gone public it might take a few days for your brokers to add it in their platform. So, what you get here is that you come late to the party and you get the leftover of what the institutional investors, hedge funds do not want.

But you could take advantage of IPO via the emerging of reverse merger thorough Special Purchase acquisition Company (SPAC), where you could buy the stock before they are going public (but after the merging date is announced) by investing in this SPAC company.

There is an article here about SPAC

https://accelerateshares.com/blog/heads-i-win-tails-i-still-win-low-risk-investing-with-spac-arbitrage/

Example of companies went public through SPAC in the past.

DraftKings is merging with Diamond Eagle Acquisition Corp.

Nikola with VectoIQ.

All of these stocks have produced a massive return (!00%+) after the merge were completed.

Sofar I have been succesful with NIkola (under VectoIQ) and now with Hiilion (SHLL).

I am still learning about investing in SPAC companies about to go for a reverse merger. Would like to hear other peple experience and blatant criticism about investing in SPAC companies.

Username999

Check out XPEV.
Chinese EV maker that just did an IPO at $15 and is now $21. 

adindas

Username999 said:

Check out XPEV.
Chinese EV maker that just did an IPO at $15 and is now $21. 

You mean XPENG? The same problem I mention previously regarding traditional IPO like XPENG it is very difficult for a retail investor to buy the stock before they are going public. So when they went public in August you as a retailer investor get the leftover of what the institutional investors, hedge funds do not want.

SPAC could be in any sector, not just in EV sector.

When you buy the stock via SPAC before the merger date you could buy it before the company go public.

I have 1 share  with XPENG just to test the water, but I am not expecting a lot of hype due to the reason I have mentioned previously.