If 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…
Launch HN: Enombic (YC S20) – Create your own stock indexes
131–140 of 212 posts
Re: Launch HN: Enombic (YC S20) – Create your own stock indexes
#132Oh man, this is actually exactly something I want. I want to invest in the s&p 500, like an index etf, but I want to filter out companies which I don't agree with ethically. I also want to look at my custom index's performance historically so I can see how well it tracks the overall market. It is extremely hard to actually do this. There's a plethora of hurdles in the way - you need to get data (I bought some histori…
There is a product that already does this
https://passiv.com
Re: Launch HN: Enombic (YC S20) – Create your own stock indexes
#133Another company in the field:
https://passiv.com
Re: Launch HN: Enombic (YC S20) – Create your own stock indexes
#134I hate to be a negative person, but isn’t this what Steve Jobs called a feature, not a product? I work on trading systems before, custom built indices are very common. What’s stopping IB, Fidelity etc to simply put this in their system?
I don’t know how you do rebalancing, corporate actions, etc?
Re: Launch HN: Enombic (YC S20) – Create your own stock indexes
#135Earlier quoted context omitted.
Thanks! We're especially excited to hear from folks who've DIY'd this kind of strategy before, would love your feedback.
Good luck with the launch! I've been DIY'ing exactly this full time over the last year. Rolling out my own system using Polygon and IEXCloud for market data, DolphinDB and Shakti for time series processing, and Pandas/Dask for verification and parameter optimization. I totally underestimated the magnitude of the problem, so I'm really looking forward to trying Enombic. Given my frustration with the DIY approach, I st…
Thank you!
Indeed, there's a lot of opportunity cost in building and maintaining the tools. If you're interested in investing, you probably want to spend your time on investing rather than migrating databases all of the time etc.
We're quite interested in learning more around your suggestion. If you're comfortable, feel free to ping us at hello [at] enombic [dot] com. Would also be happy to chat more about data sources and our roadmap.
Re: Launch HN: Enombic (YC S20) – Create your own stock indexes
#136I hate to be a negative person, but isn’t this what Steve Jobs called a feature, not a product? I work on trading systems before, custom built indices are very common. What’s stopping IB, Fidelity etc to simply put this in their system? I don’t know how you do rebalancing, corporate actions, etc?
I've asked around for this feature, since I started trading because its the type of investing I'm interested in. There do not currently exist autobalancing features on trading platforms (at least on TD or for small fish).
You'd have to build something custom. I'd definitely use their product!
Re: Launch HN: Enombic (YC S20) – Create your own stock indexes
#137What kind of entity is Enombic? Is it like a brokerage? I’m honestly a little nervous of using stuff like this because I’m worried about bugs in nascent software or unproven customer support. This would be a huge improvement over my current implementation: Occasionally loading ma CSV of my positions into a spreadsheet, then entering in buy/sell orders manually with the new calculations. But I put up with it for now because I have faith in my process and my brokerage.
Re: Launch HN: Enombic (YC S20) – Create your own stock indexes
#138I hate to be a negative person, but isn’t this what Steve Jobs called a feature, not a product? I work on trading systems before, custom built indices are very common. What’s stopping IB, Fidelity etc to simply put this in their system? I don’t know how you do rebalancing, corporate actions, etc?
Paul Graham wrote about this: http://www.paulgraham.com/startuplessons.html
Re: Launch HN: Enombic (YC S20) – Create your own stock indexes
#139If 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…
https://passiv.com
You've commented three times on this post, and they've all been links to Passiv. Are you affiliated with the company?
Re: Launch HN: Enombic (YC S20) – Create your own stock indexes
#140Nice idea, having worked in a similar problem space for a number of years, I have some questions. - How are you managing rebalancing, what might trigger a rebalance and how do you manage the tax implications of that? - With a rebalance/deposit/withdrawal are you always a taker in the market? - What's the custody side of this look like? i.e where do the stocks sit, are they in my brokerage account or are you custodian…
That last one is when reality hits :-)