Content idea: Order strategies to maximize profit (auto Breakeven, 3 step trail) , how ur orders are set up, how to adjust tightness of stops depending on volatility, and to do all these in sierra
@VerrilloTrading
4 ай бұрын
Thanks i'll consider it!
@jasminkodogladovic
5 ай бұрын
Thanks for the video Chris! Are you able to make a video about day trading taxes when trading with your own corporation in Canada? This topic has not been discussed in detail by anyone online because CRA doesn't have much written on it. I am wondering if you can trade under your corporation and receive a small business deduction rate (ie: in Alberta it would be 11%) while active trading with your corporation. Passive income is usually treated with 50% tax rate for corporations but active income under SBD should be under 15%. What are your thoughts on that and are you day trading with your business or your personal account. Thanks in advance, good sir!
@VerrilloTrading
4 ай бұрын
I day trade with my personal funds and keep the KZitem and other active income under a corporation. There is some passive income in the corporation too though not a lot of it.
@OliverVIII
3 ай бұрын
Brilliant video gave me a lots food of thought and I actually started doing same thing. I have question regarding tax purposes however. For example: You buy T-bills in your margin account. You use 20% of T-bill value to buy stocks (dividend paying and/or growth stocks) and 30% to withdraw money back into your chequing account to pay off credit cards. How do you write off interest as tax deductible if it's such a combination? Do you even bother? Or CRA makes is somehow simpler and you can write off interest as tax deductible on anything that you use margin for in a margin account (withdrawing as cash or buying stocks/bonds)? Or you use separate margin accounts to make accounting less of a headache? Thanks
@VerrilloTrading
Ай бұрын
Glad the video helped! In regards to writing off interest, it really depends on how things are set up. For example in this case the account I am using a corporate account where the primary source of income is not trading therefore it needs to categorize as investment income which has a much higher tax rate than active income (where it's currently registered). For that reason I do not even care if that accounts generates a profit, though of course I set it up so it can earn one, though it is not the primary purpose of the account. You can consult a tax specialist for specifics related to writing off items like you mentioned.
@MStar10
2 ай бұрын
Thanks for the thinking different video - and I agree with you regarding use leverage /margin to get ahead. I just a have a question on the number in 2024 to better understand this: Margin int rate is 6%+ yet T bill income int is less than 6%. So does this mean we have to find a better product to generate positive income (ie high div or covered call etfs - I have some of these that earn an average of 9-10% - ie EIT Canoe - hasn't missed a div in a long time). So the order would be buy T bill , then use them to buy EIT at 9%, and then withdraw every 50 days or so - the credit balance owing to your Cdn cheq acct ? This way you at least have the margin int exp covered while the balance is owing (waiting for favourable forex conditions). Do I have this right? Thanks again - awesome video!
@VerrilloTrading
Ай бұрын
You can definitely use what I shared here and adapt to your situation or preferences. The video is intended as a study examine though I do actually do what I said in this video. I don't care so much about making a net positive return in this trading account since it's a corporate account and those are subject to very high taxes on investment income, where it's currently registered.
@gasperkosmac5189
5 ай бұрын
Thanks for the video, the deferral of payment is a good concept. However you can do the same with the cash account, in the worst case you would need to wait a day for the cash to settle which is negligible. Also If you borrow any money from IBKR even if it’s less than your maintenance margin and therefore incurred a negative cash balance you will be paying up of 6% interest rate to your broker Isn’t it?
@copycatt2579
5 ай бұрын
Thanks for this. So you put all purchases on your credit card, all cash gets invested, then you use the margin to pay your credit card in full. My question is when do you pay your margin off?
@VerrilloTrading
5 ай бұрын
Ideally yes though it is not that simple especially when taking into account travel or purchases/investments in other foreign currencies or economies. Regarding paying the margin off, I mentioned it in the video, ideally when the exchange rate becomes favourable or if something seriously changes and I decide I need to cover it.
@felixmartinez2267
4 ай бұрын
Great Content !
@VerrilloTrading
4 ай бұрын
Cheers!
@shumlanguage
5 ай бұрын
i enjoy all your videos. At IB, the highest paying US treasures are about 5.3% now. IB charges 6.8% for margin loans, so one would have a slight loss when using a margin loan to pay credit cards, yes?
@VerrilloTrading
5 ай бұрын
Yes, on paper.
@derricksong3545
5 ай бұрын
thank you !!
@darrylbarton-m5h
5 ай бұрын
I just wonder if you set “autopay” , do you believe one gets the benefits of deferring payment ? Or have the issuers set things up to make more money with autopay ? Thank you
@VerrilloTrading
5 ай бұрын
I am not sure of this. You would need to inspect what this auto pay functionality is doing.
@wigandweirich308
5 ай бұрын
I like the arbitrage approach. However, there is one big issue: By doing so you proceed with high credit utilization at statement closing date. How do you solve this issue?
@VerrilloTrading
5 ай бұрын
Up your limit, if you can. I personally think credit utilization and credit scores are a scam, but I understand they use that as a metric to measure the risks. The biggest debt in the world is owned by the US government what about their utilization?
@AusValue
5 ай бұрын
I own around $1.8 million worth of a low market cap stock ~ 115m USD which is my sole position. Would IBKR deem this as too risky to put a margin loan against? I tried looking into this on their website but couldn't find any answers
@VerrilloTrading
4 ай бұрын
You would need to contact them directly about this and request a quote.
@jiridvorak
5 ай бұрын
Many people trying to be rich on stock mto arket use margin account as something not risky. But if they would need firstly go to some bank, and then loan money, sign contract and then transfer this money to their broker accouint, i think nobody would do that. And so thats why 90% people lose money trading Margin and CFD stocks. Becasue they lend money simply in application which they dont own, and use them for market orders. And most of them loss it. And whey they lose it, hm okay ! S it happen. But if the would have to go to their bank and put the money back, it would not be so fun. So people, dont use margin account. If you dont have enough money to trade without margin, to afford enough of shares dont do that.
@VerrilloTrading
5 ай бұрын
I would say margin is a tool that can be used in multiple scenarios. Yes margin trading is for experienced investors.
@captainprice2025
5 ай бұрын
but these are not normal times 😂
@VerrilloTrading
5 ай бұрын
Indeed bro!
@captainprice2025
5 ай бұрын
@@VerrilloTrading one week erases 1months+ worth of time this market
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