5 ms·

I wish there would be a way to just buy sp500 minus a list of firms, so I could invest in a diversified way without going into Uber and friends (or any other fi

I wish there would be a way to just buy sp500 minus a list of firms, so I could invest in a diversified way without going into Uber and friends (or any other firms that make profits on paper without the cash flow to back it)

AdamJacobMuller 3y ago
Most trading APIs are fairly simple, TD for example is very easy to use and very accessible. IBKR is a bit weirder in both protocol and access, but, works very well. You can pretty trivially DIY that.
neilv 3y ago
https://pebble.finance/ https://pebble.finance/ (Disclosure: The CEO is an acquaintance, but I have no financial interest.)
koolba 3y ago
So buy SPY and short Uber?
- zzleeper 3y ago
  Can you do this easily? Without paying $$ in transaction costs due to shorting (plus margin)
afterburner 3y ago
There's at least one ETF that tracks the top 50.
mynameishere 3y ago
Fractional shares would work, if you don't want the expense and unreliability of shorting. Simplest thing would be to find an actively-managed mutual fund that focuses on what you want. (Warning: What you want is probably to lose money compared to the rest of the market.)
JumpCrisscross 3y ago
> firms that make profits on paper without the cash flow to back it Uber is cash-flow positive [1]. Due to stock-based compensation, many profitable tech firms hit this metric before GAAP. Put another way, if you owned the entire business, you could sustainably extract those profits. [1] https://s23.q4cdn.com/407969754/files/doc_earnings/2023/q3/earnings-result/Uber-Q3-23-Earnings-Press-Release.pdf https://s23.q4cdn.com/407969754/files/doc_earnings/2023/q3/e...
starcraft2wol 3y ago
Be careful. The indexers might hear this and reassure you that the S&P is only optimal with Uber included at exactly the date it did and the fund will fail otherwise.
lolbase 3y ago
You can do this with most direct indexing solutions.

AdamJacobMuller 3y ago

Most trading APIs are fairly simple, TD for example is very easy to use and very accessible. IBKR is a bit weirder in both protocol and access, but, works very well. You can pretty trivially DIY that.

neilv 3y ago

https://pebble.finance/ https://pebble.finance/ (Disclosure: The CEO is an acquaintance, but I have no financial interest.)

koolba 3y ago

So buy SPY and short Uber?

zzleeper 3y ago
Can you do this easily? Without paying $$ in transaction costs due to shorting (plus margin)

afterburner 3y ago

There's at least one ETF that tracks the top 50.

mynameishere 3y ago

Fractional shares would work, if you don't want the expense and unreliability of shorting. Simplest thing would be to find an actively-managed mutual fund that focuses on what you want. (Warning: What you want is probably to lose money compared to the rest of the market.)

JumpCrisscross 3y ago

> firms that make profits on paper without the cash flow to back it Uber is cash-flow positive [1]. Due to stock-based compensation, many profitable tech firms hit this metric before GAAP. Put another way, if you owned the entire business, you could sustainably extract those profits. [1] https://s23.q4cdn.com/407969754/files/doc_earnings/2023/q3/earnings-result/Uber-Q3-23-Earnings-Press-Release.pdf https://s23.q4cdn.com/407969754/files/doc_earnings/2023/q3/e...

starcraft2wol 3y ago

Be careful. The indexers might hear this and reassure you that the S&P is only optimal with Uber included at exactly the date it did and the fund will fail otherwise.

lolbase 3y ago

You can do this with most direct indexing solutions.