[OT] Brokerage for the D Language Foundation

jmh530 via Digitalmars-d digitalmars-d at puremagic.com
Sat Sep 17 20:17:49 PDT 2016

On Sunday, 18 September 2016 at 01:04:16 UTC, dewitt wrote:
> If you are actively trading I like Interactive Brokers.  I know 
> u mentioned before about doing some day trading so they are 
> also good for that.  If you looking for a more buy and hold 
> strategy for the Foundation then I would just choose which one 
> has lower cost ETFs and trade commissions.
> https://www.interactivebrokers.com

I would have my accounts with them if my company allowed it, but 
really just for trading purposes. I'm not sure it would be the 
best thing for a non-profit that does not plan on trading much.

I would recommend they think first about their goals and what 
kind of portfolio they will have and then think about the 
brokerage that fits with their goals best. For instance, I have 
some accounts with Fidelity because they offer free ETF trading 
on a number of iShares accounts.

A commenter made a point about the amount of interest earned in 
banks. Indeed, bank deposits in the U.S. earn basically nothing. 
Of course, in other countries, short-term rates are below zero, 
potentially offering you even less. The key point I would 
emphasize is that you cannot earn a greater return without taking 
more risks. Online banks offering you a nice interest rate are 
investing in riskier debt.

I would again advise you to think about your investment 
objectives seriously. The reason why an organization like the 
Harvard endowment invests the way it does is because it basically 
has an infinite horizon. I don't think the D foundation is in 
that sort of place. If you have a shorter time horizon, then that 
has implications on how much risk you should be willing to take. 
That implies little to no exposure to equities/high yield 

Another commenter questioned putting all the money in a single US 
bank. Of course, there is a difference between having money in 
deposits vs. invested in mutual funds. Anyway, even if you keep 
the cash in deposits, the limit is $250,000 for FDIC insurance, 
so I wouldn't think about splitting things up between several 
banks until then. It might make sense to split up the money to a 
foreign bank if you could possibly have liabilities there.

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