I signed up for the waitlist as this looks like a promising platform. Just curious, does this connect directly to a brokerage site (my own or another 3rd party) to make the trades?
Launch HN: Enombic (YC S20) – Create your own stock indexes
61–70 of 212 posts
Re: Launch HN: Enombic (YC S20) – Create your own stock indexes
#62I love it! Is it possible for you to add other markets, like Forex or hedging foreign stocks? Putting stuff that you would usually have to write yourself is very welcome, but I think there's a lot more that could be done here.
Re: Launch HN: Enombic (YC S20) – Create your own stock indexes
#63If and when you become huge one interesting thing you might consider (if legal) is to become very liquid and actually allow users to trade stocks directly without selling to minimize tax. For example, if AMC is $1 and GME is $1, instead of buying the stocks directly we pay you $1.001 for both and you basically hold the stock for us. If we sell you sell the stock on our behalf and give us the cash and handle the tax f…
This is super interesting.
Reminds me of how a lot of centralized crypto exchanges work off-chain. Buy / sell is still taxable though.
That being said, tax implications are really important so we're thinking through what's best for our users with every feature we build.
Re: Launch HN: Enombic (YC S20) – Create your own stock indexes
#64I have had so much fun messing around with enombic the last couple of months. The founders are super responsive, friendly and obviously smart! I look forward to watching enombic grow! Good luck team!
Thanks thegreatpeter!
Re: Launch HN: Enombic (YC S20) – Create your own stock indexes
#65Rebranding stock picking as "index construction" is really quite disingenuous. I guess you're encouraging somewhat diversified stock picking, but honestly I'm dubious this is a 'good' idea for expected outcomes.
If you read Matt Levine's money stuff: a new favorite thing amongst financial products (currently only available to hedge funds, but on its way to becoming retail) is the following: The default investment should be "the diversified market portfolio", e.g. S&P500. Then, if you have opinions (especially negative ones) about companies (e.g. if you are a perennial Tesla bear), you want to invest against those companies.…
A big fan of Matt Levine's thoughts on indexing and how vast amounts of passive investing are impacting the markets.
Re: Launch HN: Enombic (YC S20) – Create your own stock indexes
#66great timing, doji just launched today too https://twitter.com/ianmendiola/status/1364974427419598851
trydoji.com
Re: Launch HN: Enombic (YC S20) – Create your own stock indexes
#67If and when you become huge one interesting thing you might consider (if legal) is to become very liquid and actually allow users to trade stocks directly without selling to minimize tax. For example, if AMC is $1 and GME is $1, instead of buying the stocks directly we pay you $1.001 for both and you basically hold the stock for us. If we sell you sell the stock on our behalf and give us the cash and handle the tax f…
This sounds sort of like an exchange fund, which are typically used to people who are extremely concentrated in a single stock/position and want some diversification without selling.
Re: Launch HN: Enombic (YC S20) – Create your own stock indexes
#68Interesting. Reminded me of a piece in the FT I read recently around Direct Indexing. https://on.ft.com/3rDhUd5
Would love to try it. Have signed up on waitlist.
Re: Launch HN: Enombic (YC S20) – Create your own stock indexes
#69Smallcase in India has been doing something similar. You can create your own "smallcase" or use any of the pre defined ones.
Re: Launch HN: Enombic (YC S20) – Create your own stock indexes
#70Really cool idea folks! Just signed up for the wait list.
Knee jerk feedback:
1. Dark mode & mobile/desktop apps on the roadmap? :)
2. It would be really cool to see some basic social features. Maybe these exist already when you're logged in? I have a few Signal chats with friends that are just full of screenshots of our IBKR apps etc and it would be cool to be able to collaborate/communicate privately with a small group about the construction of one of these ETF's.
3. I had a lot of the same questions about taxes/rebalancing, etc. but I see a lot of people have already asked about that as well, so I'll look through your comments for more info.
4. Where are you based and what's your tech stack like?
Congrats on the launch!