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And so whatever it is that you do that can be done on a computer can actually be programmed and can be automated, and it follows that same step-by-step process. Why that's powerful and important when it comes to trading is because it doesn't have the same default parameters negative things that a human may have. The algorithms don't get tired. They don't have partners or kids.
And so whatever it is that you do that can be done on a computer can actually be programmed and can be automated, and it follows that same step-by-step process. Why that's powerful and important when it comes to trading is because it doesn't have the same default parameters negative things that a human may have. The algorithms don't get tired. They don't have partners or kids.
They don't have jobs. They don't get distracted by social media mentions, et cetera, et cetera. They just follow the same step-by-step process efficiently and effectively the same way every single time. And when it comes to trading and investing, you actually would prefer that because some of the biggest mistakes and biggest impacts on people's negative trading are the human elements.
They don't have jobs. They don't get distracted by social media mentions, et cetera, et cetera. They just follow the same step-by-step process efficiently and effectively the same way every single time. And when it comes to trading and investing, you actually would prefer that because some of the biggest mistakes and biggest impacts on people's negative trading are the human elements.
Yeah, 100%. I think you need a hybrid of a passive portfolio and an active portfolio. So passive is where you're just putting the money to work for you bigger picture long term, think generational wealth building, and think active for trading. So first and foremost, in the eyes of the IRS, 366 days is the first day of an investment.
Yeah, 100%. I think you need a hybrid of a passive portfolio and an active portfolio. So passive is where you're just putting the money to work for you bigger picture long term, think generational wealth building, and think active for trading. So first and foremost, in the eyes of the IRS, 366 days is the first day of an investment.
So investing and trading are similar, but they're different, not only in general by definition, but they're different in the eyes of the IRS. So long-term capital gains and long-term capital losses start at 366 days and beyond. So that is what an investment is. So one year or longer is an investment. One year or shorter is a trade. That's everything from nanoseconds all the way up to a year.
So investing and trading are similar, but they're different, not only in general by definition, but they're different in the eyes of the IRS. So long-term capital gains and long-term capital losses start at 366 days and beyond. So that is what an investment is. So one year or longer is an investment. One year or shorter is a trade. That's everything from nanoseconds all the way up to a year.
So the first thing that everybody really needs to understand is that investing and trading are different. Now, when I think about investing, The simplest thing that anybody that's listening to this can do right now is a dividend portfolio, a diversified dividend portfolio. And one of the easiest ways to do that is look up what's called the dividend aristocrats and the dividend kings.
So the first thing that everybody really needs to understand is that investing and trading are different. Now, when I think about investing, The simplest thing that anybody that's listening to this can do right now is a dividend portfolio, a diversified dividend portfolio. And one of the easiest ways to do that is look up what's called the dividend aristocrats and the dividend kings.
So dividend aristocrats are companies that have paid dividends and increased their dividends every year for the last 50 years. And Dividend Kings are every company that has paid dividend and increased their dividend every year for the last 25 years. So you can do two things, one,
So dividend aristocrats are companies that have paid dividends and increased their dividends every year for the last 50 years. And Dividend Kings are every company that has paid dividend and increased their dividend every year for the last 25 years. So you can do two things, one,
You could take out or Google or research a dividend calculator and you could put in this dividend calculator how much money you want to make a year without working. And you say, I want to live off of one hundred thousand dollars a year. And that dividend calculator will tell you how much you need to put into a dividend portfolio and how much that dividend portfolio needs to pay you.
You could take out or Google or research a dividend calculator and you could put in this dividend calculator how much money you want to make a year without working. And you say, I want to live off of one hundred thousand dollars a year. And that dividend calculator will tell you how much you need to put into a dividend portfolio and how much that dividend portfolio needs to pay you.
monthly, quarterly, semi-annually, or annually for you to literally put your money to work for you and you never have to work for that money again as long as those companies stay around. So now you got the dividend calculator and you know how much money you want to live off of a year. And then you obviously need to get that capital. And then you put that into a dividend portfolio.
monthly, quarterly, semi-annually, or annually for you to literally put your money to work for you and you never have to work for that money again as long as those companies stay around. So now you got the dividend calculator and you know how much money you want to live off of a year. And then you obviously need to get that capital. And then you put that into a dividend portfolio.
And I personally, if I'm starting from scratch, I would do a dividend aristocrat portfolio over dividend king portfolio. And obviously, this is not trade and investing advice. But if I'm starting from scratch and I'm looking to invest and not be active, that is what I would do to have a solid portfolio. And then.
And I personally, if I'm starting from scratch, I would do a dividend aristocrat portfolio over dividend king portfolio. And obviously, this is not trade and investing advice. But if I'm starting from scratch and I'm looking to invest and not be active, that is what I would do to have a solid portfolio. And then.
So the next step with that is I would take a loan against that portfolio because loans are tax free. And then I would actively trade. And as long as my active investments of my active trading is outperforming the interest payment on my loan, then I'm capturing that spread tax free.
So the next step with that is I would take a loan against that portfolio because loans are tax free. And then I would actively trade. And as long as my active investments of my active trading is outperforming the interest payment on my loan, then I'm capturing that spread tax free.