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Launch HN: Enombic (YC S20) – Create your own stock indexes

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181–190 of 212 posts

Re: Launch HN: Enombic (YC S20) – Create your own stock indexes

#181

So, most FAANG employees are not allowed to trade in derivates that short sell their own stock, which I figure is half insider trading protection and half ensuring equity compensation actually works. However, I've often wondered if those employees could still offload some of the assumed risk of portfolio concentration by investing their free investable cash in, say, their own SP499: every company in the SP500 except…

We have a handful of users with this exact use case!

Re: Launch HN: Enombic (YC S20) – Create your own stock indexes

#182

This is a really great idea! Is there any reason this is "for hackers" and "like code"? I'm waiting to get in off the waitlist so I haven't seen the actual UI, but is it easy enough for non-technical users to get in and set up their portfolio?

Thank you! "For hackers" is because it's very DIY, at least at the moment, e.g. if you like to fiddle with different ideas. "Like code" is because we've used a lot of our favorite github features in building the UI (version control and advanced permissioning to start). That being said, we've tried hard to make things generally accessible, and we're finding non-dev users don't have any issues.

Re: Launch HN: Enombic (YC S20) – Create your own stock indexes

#183

Signed up for the waitlist. Just a quick question when you say construct sector specific indexes - are these indexes available for others to invest ? So for instance let's say i create an index and show my skin in the game by investing in that index with returns - can others potentially follow suit and invest in that index or even a portfolio ? This is something that I have been ruminating on for a while.

Anyone can invest in any public index. We do have private indexes too (this is a premium feature, where we charge a subscription), wherein only folks you share your index with can view and invest. You can also "nest" others' indexes in your indexes (e.g. https://enombic.com/aml/autopilot).

We don't surface a lot around how much you invest right now, as there are some privacy concerns. But, depending on how things evolve it may be something we enable.

Re: Launch HN: Enombic (YC S20) – Create your own stock indexes

#184

One thing I notice right away is that I wish there was some kind of description or context for some of these custom index things. Like why did the creator decide on this mix? What's the background? Otherwise they are just lists of stocks.

Yes! This was my first thought. Tell me a little about each fund. Even if you have some familiarity with every company in the portfolio, it might not not be immediately obvious why they are being grouped together.

Love this suggestion. We've got lots of plans for helping folks communicate their thesis & decision making. Personally I like the README metaphor, but we also want to facilitate comments & discussions

Re: Launch HN: Enombic (YC S20) – Create your own stock indexes

#185

One thing I notice right away is that I wish there was some kind of description or context for some of these custom index things. Like why did the creator decide on this mix? What's the background? Otherwise they are just lists of stocks.

Yes agreed! Right now users can write a short description but we want to expand on this. Thanks for your feedback.

Re: Launch HN: Enombic (YC S20) – Create your own stock indexes

#186

One thing I notice right away is that I wish there was some kind of description or context for some of these custom index things. Like why did the creator decide on this mix? What's the background? Otherwise they are just lists of stocks.

Agreed. We're excited to improve this part of the product

Re: Launch HN: Enombic (YC S20) – Create your own stock indexes

#187

Earlier quoted context omitted.

This is a great question that we've put a lot of thought into, since we share the same concerns you do. We currently monetize via a subscription model for premium features, such as unlimited private indexes and access to full version histories of your and other users' indexes. However, part of what appeals to us about bringing more of the financial stack in-house is exploring innovative models beyond PFOF & MER. Lots…

I imagine it will change as the product evolves. Fee structure is always a tricky dance and only really matters once you have product market fit and are taking off. Glad to hear you are giving it early consideration. My take is being very upfront about how you guys make money then clients understand the model which will likely avoid downstream challenges! Good luck.

Spot on :)

Re: Launch HN: Enombic (YC S20) – Create your own stock indexes

#189
This looks super cool. Discussion amongst some friends of mine - how are you handling trust? I trust Vanguard not to pull a fast one after I've invested my money in one of their indexes, how do I trust JoeShmo when I invest in JoeShmo/dreamindex ?

Re: Launch HN: Enombic (YC S20) – Create your own stock indexes

#190
post #181

So, most FAANG employees are not allowed to trade in derivates that short sell their own stock, which I figure is half insider trading protection and half ensuring equity compensation actually works. However, I've often wondered if those employees could still offload some of the assumed risk of portfolio concentration by investing their free investable cash in, say, their own SP499: every company in the SP500 except…

We have a handful of users with this exact use case!

Honestly the reason I haven't pulled the trigger on this myself isn't the automation, but because managing the dividend reinvestment transactions come tax time would be absurdly time consuming.
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