Stocks

[Youpidou1]

Ok guys I am playing a game for school. Called the stock market game. Basically we get 100,000 dollars to play the real stock market with. No real money just for fun. If I win me and my partner don't have to take the final test at the end of the year, so I would like to win. Does anyone have an opinion about a good stock? Or some good stocks? I got Apple, Rosetta Stone, Abercrombie and Fitch and Starbucks. What do you guys think?

[forgot_86]

Wow, we have the same thing here too, but it is organized by our local newspaper. I didn't take part though cause we hav to pay to play and I'm not really good with it. But I think you should focus more on Apple and Starbucks, since their stock market is bigger than the others you have. I'll check back and see if I can help

[JCC]

Ok guys I am playing a game for school. Called the stock market game. Basically we get 100,000 dollars to play the real stock market with. No real money just for fun. If I win me and my partner don't have to take the final test at the end of the year, so I would like to win. Does anyone have an opinion about a good stock? Or some good stocks? I got Apple, Rosetta Stone, Abercrombie and Fitch and Starbucks. What do you guys think?

OH i like these games. My team came in 2nd for a finance class a few yrs ago, but the economy was doing better at the time. I say u buy some VISA (V) stock. Stay away from Tech stuff...

[Youpidou1]

WOW JCC I didn't even think of VISA. Thanks!

[JCC]

WOW JCC I didn't even think of VISA. Thanks!

What's your time frame for this game? ....u have the entire year? I've got tons of suggestions :D Oh, and VISA is going to be gaining alot in the nxt few weeks....might hit 100 by the end of the month.

[Youpidou1]

What's your time frame for this game? ....u have the entire year? I've got tons of suggestions :D Oh, and VISA is going to be gaining alot in the nxt few weeks....might hit 100 by the end of the month.

We have until may. I am going to buy VISA as soon as I sell some more stocks to regain money. My partner and I are only down a few thousand dollars unlike the class who are in double digits thousands haha.

[OGRE]

If I win me and my partner don't have to take the final test at the end of the year,

There is a problem with these types of contests. It basis the winner only on the reward, not the risk. In the real world, investing is a tradeoff between risk and reward. High reward is often associated with high risk. Investing is about MANAGING RISK depending on where you are in your life, not about seeing how well you can beat the competition.

If the winning objective is to beat all the other players, then you should invest in a manner that maximizes the chances of winning. If everyone else is investing prudently from a "real life" standpoint, the players who invest at a higher risk/reward level than the prudent players stand the best chance to win. If things swing against you, you may wind up on the bottom. But in terms of the competition you will be no worse off than second place. If things swing your way, you win.

I would not recommend this approach in real life. But again, the objective of the competition does not mirror real life. Do you want to invest prudently as in real life or do you want to win the competition?


Edit: By the way, the current sub-prime blow up is a classic example of banks improperly assessing risk/reward. The mortgage industry has been reaping great rewards over the past decade. Bankers and investors have been lauded all sorts of bonuses and accolades for their ability generate revenue. They were reaping rewards in an industry where the risks were either ignored (everybody is doing it, so let's jump on the money wagon) or were not even considered. Those banks and investment firms who failed to assess or hedge risk properly are now on the verge of collapse.

By the way, these types of blow ups happen every 10 years or so in one industry or another. This is one of the big ones, but once this blows over (and it will), just wait another five or ten years and some other industry or market sector will have a blow up. And the root cause of most blow up? Failure to assess (or outright ignoring, sometimes to the point of illegal) risk vs reward.

[Youpidou1]

There is a problem with these types of contests. It basis the winner only on the reward, not the risk. In the real world, investing is a tradeoff between risk and reward. High reward is often associated with high risk. Investing is about MANAGING RISK depending on where you are in your life, not about seeing how well you can beat the competition.

If the winning objective is to beat all the other players, then you should invest in a manner that maximizes the chances of winning. If everyone else is investing prudently from a "real life" standpoint, the players who invest at a higher risk/reward level than the prudent players stand the best chance to win. If things swing against you, you may wind up on the bottom. But in terms of the competition you will be no worse off than second place. If things swing your way, you win.

I would not recommend this approach in real life. But again, the objective of the competition does not mirror real life. Do you want to invest prudently as in real life or do you want to win the competition?

I don't plan on doing anything near this in my future. I am going to the Fire Acadamy to join FDNY, so I just want to win the competition. I am only asking for advice just like anyone else would.

[RadioactiveMan]

One word of advice, Youpidou-

Nortel. :cool:

[HelixSix]

Are you allowed to use options? If so they could give you a monster victory....or defeat.

[Rocket]

Plastics :p

[Youpidou1]

Whats the Rocket?

[lefty12357]

Plastics :p


:):)LOL:):)

[Rocket]

Whats the Rocket?

It's my nickname I got as a kid. My dad gave it to me and somehow it stuck. Now all of my friends and family call me Rocket. I used to hate it but now I love it. It's unique. :)

[Johnson17]

"Within a 2 month period AAPL stock has dropped over 40%."
On a website I was on recently it mentioned how Apple's stocks have dropped 40% in the last 2 months. Therefore Apple might not be the best choice in stocks.

[Youpidou1]

It's my nickname I got as a kid. My dad gave it to me and somehow it stuck. Now all of my friends and family call me Rocket. I used to hate it but now I love it. It's unique. :)

HAHAHAHA I thought you were telling me to go buy stock in plastic HAHA.

[lefty12357]

HAHAHAHA I thought you were telling me to go buy stock in plastic HAHA.

Have you ever seen the movie “The Graduate”?

[OGRE]

Plastics :p

A girl's best friend.
:blink:

[Rocket]

A girl's best friend.
:blink:

I thought diamonds were a girl's best friend. Oh wait. OHHHHHH! :eek: You are so naughty OGRE. :o

[heyamigo]

Have you ever seen the movie “The Graduate”?

lol hehe....

[jung_adore_ALIZEE]

Ha we did this in one of my classes a few years ago

My partner and I invested i two stocks Sony (PS3 was coming out) and Coca Cola on the first day and never checked it again. Funny thing we won in our class and were in the top 50 nation wide

As for now if you do invest in tech stuff samsung is usually good also I would check out some oil stocks it definitely won't be going down soon

[Oscar]

Edit: By the way, the current sub-prime blow up is a classic example of banks improperly assessing risk/reward.

Oh I don't know about that. Seems they were banking on (pun intended) a government bailout. Trust me, they knew what they were doing. Same sort of thing happened back in the 80's with the savings & loan scandal and bailout. And it might surprise you to know who encouraged this sort of behaviour back then and now: yup, Alan Greenspan.

I don't blame Greenspan though. I don't think he did anything wrong. Despite the onslaught of foreclosures, low mortgage rates did help some people get a home and keep a home. Not everyone will foreclose. Now if only the government would help those people who are actually on the brink, but somehow, I suspect that banks will come first.

You must have nerves of steel to be in the market right now, but heck, you're playing a game. My observations are as follows:

-tech stocks seem to be rebounding recently, don't ask me why
-stay away from commodities, that's a bubble waiting to burst if it hasn't begun already
-stay away from gold in the short term, no inflation pressure yet
-Visa looks good short term but be careful, they're facing legal scrutiny, plus the looming recession. The thing that will propel the stock up is this "irrational exuberance" to duplicate Mastercard's success. But then again, this thing is a cash cow long term so it may well stay up there.
-watch the US dollar: if it starts rebounding, oil will probably drop, as will gold

Other than that it's going to be a roller coaster. You have to watch your stocks carefully.

[painbringer]

intel, amd, western digital, coca cola, microsoft, US steel, AT&T,

i like tech stocks lol

[Future Raptor Ace]

wow the market went down today; my MSFT stock went down so much today. Yesterday it was going up.