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Launch HN: Double (YC W24) – Index Investing with 0% Expense Ratios

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Re: Launch HN: Double (YC W24) – Index Investing with 0% Expense Ratios

#291

Post by jjmaxwell4 »

hn_throwaway_99 wrote: post #283
jjmaxwell4 wrote: post #216

Earlier quoted context omitted.

If Double goes out of business, your assets are safe and held in your name at Apex Clearing. They have processes in place for these scenarios to help you access and transfer those assets. SIPC protection covers against a brokerage firm failing, which in our case is Apex Clearing. We are not currently a brokerage so SIPC would not apply if Double goes bankrupt.

> SIPC protection covers against a brokerage firm failing, which in our case is Apex Clearing. We are not currently a brokerage so SIPC would not apply if Double goes bankrupt. I thank you for being upfront and honest about this. The tough spot you'll find yourself in, then, is that if any money goes missing between you and Apex, customers are completely SOL. This is not a theoretical risk, this is exactly what happe…

I'd argue the specifics are quite a bit different than Yotta/Synapse.

We do not hold any funds ourselves. You connect your bank and ach/wire money to an Apex bank account. You can verify your holdings via apex anytime (see: https://help.double.finance/en/articles/10262406-how-can-i-v...)

Re: Launch HN: Double (YC W24) – Index Investing with 0% Expense Ratios

#292

Post by JumpCrisscross »

freeone3000 wrote: post #181
jacobr1 wrote: post #171

Earlier quoted context omitted.

So how does it work now with bank fraud or technical issues? Ignore the fintech layer for a moment, just consider a bank like Chase or Wells Fargo. If their mobile app causes an erroneous transfer, or the backend removes money from your account or maybe doesn't give you the expected interest amount your saving account due to a bug ... what is the recourse? For a reputable company, even if their support is a hassle, t…

The consumer finance protection bureau is your best bet. Banking regulators will also get involved for patterns of conduct, but this can take years.

> consumer finance protection bureau is your best bet

Usually not. Your best bets are your state banking regulator and AG. After that, the FDIC and Fed.

Re: Launch HN: Double (YC W24) – Index Investing with 0% Expense Ratios

#293

Post by deathanatos »

arcticbull wrote: post #234
stavros wrote: post #143

Earlier quoted context omitted.

Zero interest, just like my bank account.

I get like 4% at my bank. Sounds like you need a new bank! I'd suggest starting with Nerdwallet. [1] [1] https://www.nerdwallet.com/h/category/banking

This is always the answer that gets posted. AIUI, though, the decent-interest-rate accounts are only available from online-only banks, and as recently as last year, I was required to visit a branch (…3, as it was…) in order to conduct some transactions, largely due to credit cards having a daily limit.

(I also sort of loathe the idea of needing to continually update a bunch of ACH information every year while I chase whatever bank is currently trying to draw customers with a temporarily decent rate.)

(And honestly the whole thing is kinda stupid every time I hit it. Businesses tend to give you shocked-pikachu-face when you can't use a CC due to the limit — like you've got to know these exist? And my limit is standard, as they go. And daily limits are trivially circumvented: you just spread the transaction across multiple payments spread out over time. In business, this hack^W method is called a "payment plan".)

Re: Launch HN: Double (YC W24) – Index Investing with 0% Expense Ratios

#294

Post by modeless »

I would need to know where your revenue comes from before I would consider putting money with you. Clearly $1/mo is not going to be the only revenue opportunity you go for. It's good that my assets are safe if you go under, but with direct indexing I'd be left with a giant mess of thousands of individual stock positions that would be very difficult to unwind manually.

I don't care that much about saving .03% over SCHB but tax loss harvesting sounds nice. It would also be cool to exclude certain stocks I dislike from my portfolio.

Re: Launch HN: Double (YC W24) – Index Investing with 0% Expense Ratios

#295

Post by dmoy »

deathanatos wrote: post #293
arcticbull wrote: post #234

Earlier quoted context omitted.

I get like 4% at my bank. Sounds like you need a new bank! I'd suggest starting with Nerdwallet. [1] [1] https://www.nerdwallet.com/h/category/banking

This is always the answer that gets posted. AIUI, though, the decent-interest-rate accounts are only available from online-only banks, and as recently as last year, I was required to visit a branch (…3, as it was…) in order to conduct some transactions, largely due to credit cards having a daily limit. (I also sort of loathe the idea of needing to continually update a bunch of ACH information every year while I chase…

Fidelity can get you a better rate with their treasury money market, which works for Bill pay / etc.

They have branches in most major US cities I think.

Re: Launch HN: Double (YC W24) – Index Investing with 0% Expense Ratios

#296

Post by wbl »

TeaBrain wrote: post #175
wbl wrote: post #165

Earlier quoted context omitted.

The reason people pay for trade flow is the same reason they sit at the table of drunks when playing poker.

It's more like paying for the privilege of operating a monopoly on poker tables, with the guarantee that the rake will be kept low, so that the operator is not competing with other entities for the customers' rake. A market maker's competition to collect the spread is with other market makers, just like a casino's main competition to collect the customer's rake would be a different casino.

Read Reg NMS before you opine on this. It's short!

Re: Launch HN: Double (YC W24) – Index Investing with 0% Expense Ratios

#298

Post by wbl »

throwacomment wrote: post #207
wrsh07 wrote: post #25

Earlier quoted context omitted.

Pfof is woefully misunderstood In general, citadel wants to pay to trade with retail investors because it knows it isn't going to face adverse selection. So it will give them tighter bid/ask ratios (this is better for the customer) than they would get if they were trading in the open market, citadel isn't going to get hosed by one of them (because there's no adverse selection) It's win win win

Yes, PFOF is woefully misunderstood but its very much not win win win. The reason its bad is because its anti-competive and gives them information that no-one else has access to. By trading against you, Citadel prevents any other potential market maker from trading with you. With less competition, the spread widens and even after price improvement, you're paying more. PFOF also tells them who they are trading against…

Dude, I want the market to see I'm a moron! I'm not buying BH because I've observed private jets between Omaha and Washington but because I'm saving after having been paid.

Re: Launch HN: Double (YC W24) – Index Investing with 0% Expense Ratios

#300

Post by matwood »

deathanatos wrote: post #293
arcticbull wrote: post #234

Earlier quoted context omitted.

I get like 4% at my bank. Sounds like you need a new bank! I'd suggest starting with Nerdwallet. [1] [1] https://www.nerdwallet.com/h/category/banking

This is always the answer that gets posted. AIUI, though, the decent-interest-rate accounts are only available from online-only banks, and as recently as last year, I was required to visit a branch (…3, as it was…) in order to conduct some transactions, largely due to credit cards having a daily limit. (I also sort of loathe the idea of needing to continually update a bunch of ACH information every year while I chase…

Open a brokerage account and buy SGOV with your cash savings. Done.
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