Standardized ROR using MSRP doesn't mean jack squat to me if I bought something at half price.  I want to know my profit at the end of the day and how long it took for me to get there.  

No it is not.  Now, looking at your own particular portfolio you can arrive at a performance based return, but that is a very misleading measure and open to error in making future investments based on bad past data and skewed analytics.

ROI is ROI

all right then...

The cool thing is, the $20 Research Institute has a better ROI than the SSD right now

And BTW, since when stopped annualizing ROI?

all right then...

The cool thing is, the $20 Research Institute has a better ROI than the SSD right now

And BTW, since when stopped annualizing ROI?

 

That's right, now you're on to something.

Standardized ROR using MSRP doesn't mean jack squat to me if I bought something at half price.  I want to know my profit at the end of the day and how long it took for me to get there.  

Good luck modeling that observation and future strategy and potential future discounted purchases that you may or may not get.

I don't need a model.  It's all in my head.  That's part of the fun of this investment for me   

Not based on a standardized calculation.  Purchase price is irrelevant to ROR from a standardized view.  RRP for B-wing was 199.95.  Retired in November of 2013.  Current price on average is less than RRP thus a negative ROR. What you or I purchased them at is irrelevant.  10221 SSD RRP 399.95, not currently retired but let us follow history and say official retirement is November 2014 with no change from current prices on Amazon, say ($700).  Ebay will catch up quickly along with BP guide price. Using consistent measuring and relative reliable data the SSD will have a ROR of 75%.  Not really a comparison at all.  The 10227 B-Wing would need to reach $350.00 to be competitive and it would need to do it by April/May of 2014, assuming SSD remained flat for its first full year of retirement.  This is the only way to measure relative returns within a theme or sub-theme like UCS.  Investment basis is different for everyone and cannot be used as a measure to gauge history or the future.

 

Standardized ROR using MSRP doesn't mean jack squat to me if I bought something at half price.  I want to know my profit at the end of the day and how long it took for me to get there.  

 

 

Technically, the discounts you get on purchase does not mean much once the profit is closer to infinity.  For example, in the grand schema of things, it does not matter (too much) if you bought UCS MF in 2007 for $700, $500 (MSRP), or $250 now that you can sell it for $3000.

 

My only problem is, I do not have enough storage or purchase power to wait for infinity

I don't need a model.  It's all in my head.  That's part of the fun of this investment for me   

Yeah... I have unicorns in my head. They don't like mathematical models even one bit...

Aghhhhhh, retail investors.  I will rest my case.

The cool thing is, the $99 UCS B-Wings will still have a better ROI than the SSD this Christmas.

I would hope so it was half off and retired first.

The UCS B-wing would not hold a candle to the returns if SSD was offered at half price.

I would hope so it was half off and retired first.

The UCS B-wing would not hold a candle to the returns if SSD was offered at half price.

 

Man, that would be awesome!

The cool thing is, the $99 UCS B-Wings will still have a better ROI than the SSD this Christmas.

 

 

Not based on a standardized calculation.  Purchase price is irrelevant to ROR from a standardized view.  RRP for B-wing was 199.95.  Retired in November of 2013.  Current price on average is less than RRP thus a negative ROR. What you or I purchased them at is irrelevant.  10221 SSD RRP 399.95, not currently retired but let us follow history and say official retirement is November 2014 with no change from current prices on Amazon, say ($700).  Ebay will catch up quickly along with BP guide price. Using consistent measuring and relative reliable data the SSD will have a ROR of 75%.  Not really a comparison at all.  The 10227 B-Wing would need to reach $350.00 to be competitive and it would need to do it by April/May of 2014, assuming SSD remained flat for its first full year of retirement.  This is the only way to measure relative returns within a theme or sub-theme like UCS.  Investment basis is different for everyone and cannot be used as a measure to gauge history or the future.

 

 

You both are correct.

 

For an individual's accounting purposes, price paid (and fees, sold price) is used for ROI.  Our personal Brickfolio uses price paid.

 

For general purposes, retail price is used to calc ROI since not everyone pays the same.  The BrickPicker price guide uses retail price.

 

Thus both 10221 and 10227 are doing great from certain standpoints

ROR? Let's review our finance calculations...

• Average return on investment (ROI) is the arithmetic average of the total cash returns divided by the initial investment. It is useful for quick calculations and specific securities, but does not account for compounding returns.

• Compound annual growth rate (CAGR) is derived from the future value formula with compounding interest. It accounts for compounding returns.

• Internal rate of return (IRR) is the discount rate at which the NPV equals 0. It is used because it allows for easy comparison between investment options and is easy to understand.

Internet experts.  Rate of Return.  The basic acronyms supplied above really do not tell anyone anything, if one does not understand how to compute them and what to infer from the output that is generated.  Thanks though.  This is why investment advice cannot and should not be given over the internet.  I will now retire to my day job and ad lib on expected retirement dates, what stock means, and what I purchased something for. 

everyone_is_entitled_to_my_opinion.jpg

 

You both are correct.

 

For an individual's accounting purposes, price paid (and fees, sold price) is used for ROI.  Our personal Brickfolio uses price paid.

 

For general purposes, retail price is used to calc ROI since not everyone pays the same.  The BrickPicker price guide uses retail price.

 

Thus both 10221 and 10227 are doing great from certain standpoints

 

What did Obi-Wan say?

 

Obi-Wan: So what I told you was true... from a certain point of view.
Luke: A certain point of view?
Obi-Wan: Luke, you're going to find that many of the truths we cling to depend greatly on our own point of view.

Internet experts. Rate of Return. The basic acronyms supplied above really do not tell anyone anything, if one does not understand how to compute them and what to infer from the output that is generated. Thanks though. This is why investment advice cannot and should not be given over the internet. I will now retire to my day job and ad lib on expected retirement dates, what stock means, and what I purchased something for.

waddamon,

i don't think anyone was asking for investment advice or directly questioning your math.

regarding what i typed about return on investment. i''m pretty sure my basic summary was correct. from what i remember in college finance courses (including the MBA ones). i'm comparing my college courses to your day job. ha. i know, it isn't the same.

anyway, here is what i remember (i'm not including compounding) :

return on investment = (Net profit / cost of Investment). multiple that value by 100 to get a %

This thread has become ridiculous, some of you guys are causing people that can't afford to lose money to spend too much time speculating on what we won't know the outcome of for a few years, and spending too much money on sets that aren't proven or they really can't afford.  I'd guess that 90% of the people on this site can't afford some crazy economic blowup or toy "depression" that would keep their Lego's valued at retail or slightly less for the next 4 years, and that could really hurt some people who don't make alot of money yet are buying as many of the big sets as they can.

This thread has become ridiculous, some of you guys are causing people that can't afford to lose money to spend too much time speculating on what we won't know the outcome of for a few years, and spending too much money on sets that aren't proven or they really can't afford.  I'd guess that 90% of the people on this site can't afford some crazy economic blowup or toy "depression" that would keep their Lego's valued at retail or slightly less for the next 4 years, and that could really hurt some people who don't make alot of money yet are buying as many of the big sets as they can.

Nobody is making anyone do anything they don't want to.

No problems or issues, discussing these types of statements or opinions is akin to chasing ones tail.  To me these are investments.  As such I must be able to ascertain strategy and price expectations into the future.  Investment management, portfolio design, modeling, strategy, trading, planning, taxes etc.  are all part of the process i go through every day.  This is the approach I take and use in this "investment" game.  To not do this would be a big mistake in my mind and usually leads to failure.  The big picture is what I concern myself with.  If something makes a little money this month or next month is not important to me in the big picture.  As I said I classify these as "Investments".  Illiquid investments at that.

   No one asked for investment advice, nor was any being provided.  I was simply making an observation to why it is dangerous.  To measure something now and other "somethings" in the future one must devise an unbiased approach to doing so.  This allows someone to make educated decisions based on real data.  I do not think it is worth debating on an anonymous forum though, best kept to oneself.  In the future I may write a blog post addressing these issues so folks might be able to grasp the nature of investing and then applying that to this asset class.

  As an aside, B-wing is currently dragging the entire UCS sub-theme average down in terms of TROR (Total Rate of Return) due to its under performance. I consider this valuable information in making future UCS type investments.  Hopefully I did not insult anyone by my remarks, carry on.

This thread has become ridiculous, some of you guys are causing people that can't afford to lose money to spend too much time speculating on what we won't know the outcome of for a few years, and spending too much money on sets that aren't proven or they really can't afford.  I'd guess that 90% of the people on this site can't afford some crazy economic blowup or toy "depression" that would keep their Lego's valued at retail or slightly less for the next 4 years, and that could really hurt some people who don't make alot of money yet are buying as many of the big sets as they can.

In reference to the SSD, what would your advice be to other members?

No problems or issues, discussing these types of statements or opinions is akin to chasing ones tail.  To me these are investments.  As such I must be able to ascertain strategy and price expectations into the future.  Investment management, portfolio design, modeling, strategy, trading, planning, taxes etc.  are all part of the process i go through every day.  This is the approach I take and use in this "investment" game.  To not do this would be a big mistake in my mind and usually leads to failure.  The big picture is what I concern myself with.  If something makes a little money this month or next month is not important to me in the big picture.  As I said I classify these as "Investments".  Illiquid investments at that.

   No one asked for investment advice, nor was any being provided.  I was simply making an observation to why it is dangerous.  To measure something now and other "somethings" in the future one must devise an unbiased approach to doing so.  This allows someone to make educated decisions based on real data.  I do not think it is worth debating on an anonymous forum though, best kept to oneself.  In the future I may write a blog post addressing these issues so folks might be able to grasp the nature of investing and then applying that to this asset class.

  As an aside, B-wing is currently dragging the entire UCS sub-theme average down in terms of TROR (Total Rate of Return) due to its under performance. I consider this valuable information in making future UCS type investments.  Hopefully I did not insult anyone by my remarks, carry on.

 

Fresh corn and roadside vegetable stands are still one of the most lucrative investment ventures, especially for teachers who have more spare time in the Summer months. I might start another thread for this, since it directly applies to your statements.  Summers with drought or too much rain might drive up commodity prices, but it's been one of the most consistent investment opportunities in this part of the country.

 

Buy low, sell high!

Oh yes, in terms of SSD, I did a Google search and the LEGO site popped up.  SSD was on it limit of 5, I about had a heart attack and then realized it pulled up Denmarks LEGO page.  WHEWWW, about blew a gasket.

Buy low, sell high!

I may have learned nothing else from Trading Places, but I learned this.

I may have learned nothing else from Trading Places, but I learned this.

Jamie Lee Curtis, pretty smokin in that movie.

I may have learned nothing else from Trading Places, but I learned this.

Unless you're going short.