In my Social Studies/History class, our teacher has created a game for us to play with a virtual stock exchange. You start out with $100,000. This game uses all real stock prices from legitimate companies. Kind of like E-Trade. Only no risk :). Does anybody know what would be a good stock to invest in?|||How fun! Never had that kind of project in school. I'd pick VISA, or, POT (Potash Corp.of Sasketchewan Inc.)|||Because it is a project and not reality, this can
be an excellent learning experience. If I were
you, I would go to a local library and get a copy
of Investors Business Daily. In section 2 of that
publication, the markets are broken down into
sectors, incorporating 2500 stocks.
Look for the strongest performers and develop
a "portfolio" from only the strongest stocks.
Select a few, to diversiify the risk. Then, for
drill, observe how your selection performs,
relative to the Dow to see if you are doing
better than the average market.
From this experiment, you want to learn what
it means to buy proven strength. As an aside,
monitor a few stocks from the bottom sector(s)
to see how they perform over the same period
of time your project covers your strong performing
selection(s).
Best of luck in your project!|||Since no risk is involved in a school project and the goal is to be first or go down in flames (unless your grade is directly related to how well you do and not your reporting skills) I'd say go for the high risk stocks. It also depends on how long you have. With Obama's new bank plan FITB (Fifth Third BancorP) could possibly go up 500% in the near future (last time I checked it was sitting at $2.01/share). Of course, this won't take effect until April, so how long is your project running for?
In the near term, I'd go for one of the financially sound shipping companies. These are also high-risk, but have potential. Many have fallen 90% - 95% in the the last 6 months, yet their BVPS is 5 - 6 times the share price. Try to find one with a D/E value of less than 1, but more than 0.5 to optimize profits. Of course there's no guarantee these stocks will explode either in the near term.
FITB is my bet. Too bad you didn't buy in three days ago when it was trading at $1.01/share or you would have already doubled your money. Good luck.|||I would go with IBM or Hewlett Packard. Hewlett Packard just got a new CEO who is very promising and the company actually has profits. IBM is holding up well. While their profits increased, their assets decreased but remain well in the positives and the company is in overall good shape. Both are out performing their industry. I would go with IBM but choose what ever one you feel comfortable with. Don't choose both because you want to be diversified. Good stocks cannot also be found in the consumer staples category. These companies benefit from the economic downturn because their advertising and transportation expenses go down.|||Yes, I have addressed this question a number of times over the past year. And unless one was short the market, made a few rare lucky pics, my suggestions has been consistency the same. Be in 100% cash, CD's and or Treasuries, not stocks.
Those who followed that defensive cash strategy over the last year should have ended the winner or near the top, as they had 100% of their cash left plus interest, and the winner is the one who has the most money right? Everyone else prob lost big time due to the market had fallen over 50%.
NEVER tell ANYONE your investment strategy in a contest.
I posted this last Dec 2008 if you want to see how I saw the market then and in the future:
"What's the best investing approach for the stock market right now?"
http://answers.yahoo.com/question/index;鈥?/a>
Also posted in Dec 2008:
"Do you think the economy is as bad off as the stock market indicates?"
http://answers.yahoo.com/question/index;鈥?/a>
Posted this month ago (Jan 2009)
"Who will win the Super bowl?"
(see the stock market comments under this question).
http://answers.yahoo.com/question/index;鈥?/a>
Posted this 8 months ago (June 2008)
"Are We In A Major Recession"
http://answers.yahoo.com/question/index?鈥?/a>
See post history for the school stock contests, may have to do some searching over the last 6+ months.
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edit:
thmbs dn all they want, if one does not want to hear the truth, and deal with reality of the markets and economy, then join Obama, and put the head in the sand and say....
"there's no weeds in my garden...
there's no weeds in my garden...
there's no weeds in my garden..."|||McDonald's. (ticker MCD).
Nobody rants and raves against McDonald's like they do about Walmart.
I can only imagine what they'll say if you invest in POT (Potash Corp.of Sasketchewan Inc.)
Would I buy MCD in reality? Not at this time.|||Mid-sized banks with no derivatives exposure
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