My father wants to invest $20,000 (over half his life savings) into TVIX. I don't know anything about the stock market, but I dug around for other people's opinions and it seems like a bad idea. What do you guys think?

(xpost from r/stocks)

Like I said, I know nothing about stocks. Literally zero knowledge on it.

However, since my father's $20,000 is in my bank account (long story, don't ask why), he has requested that I go and invest it into TVIX on his behalf.

I dug around a little and it seems like the overwhelming consensus is that TVIX is a really dangerous stock to invest in.

I called my dad about this and basically all he said was, "don't worry about it."

He did give a brief explanation, and despite the language barrier (his first language is Chinese) what it boiled down to was:

• TVIX prices drop when the market is rising, and the market will drop soon so now is a good time to buy.

No idea what it means - seriously, I'm financially retarded - so I wanted to gather opinion from you guys. At the end of the day, it's still my dad's money but if this is a bad idea how can I convince him of it?

I've already talked to him but I don't think he's considering my concerns seriously due to my lack of expertise.

Appreciate any advice you can give. Thanks.

Submitted August 22, 2014 at 02:39PM by stven007 http://ift.tt/1mwb0y8