good virtual stocks to invest in the next 6-9 months, $100K starting budget?
January 30, 2011 by
Filed under Silver Investment FAQ
this is a virtual stock game competition at my school and the time duration to sell would be in the next 6-9 months, the problem for me is that i cannot change what i buy!, so i can’t just do short-term investment and then sell it when it drops, which is what i want to do…i have to do investments that i keep for at least 6 months, i dont know for sure since i dont know when they actually determine and tell me who’s the winner. So the sell date is in 6 months, or half of a year, in 2010 of course. My idea is of course to diversify as much as possible but also keep penny stocks.
my first would be a major food production company, 2-3 energy companies, including alternative energy. A specific one for oil would be Exxon Mobil. Miscellaneous could be either gold or silver, a “drug” medicine stock, and foreign stocks. I will also take a few percent of the 100,000 and put into penny stock.
Since i get to start with such a high amount i have alot of freedom in what i invest, but i want to be careful though, because even though its not real its for a competition…(nation wide, but the winner is determined by the best performing at a school only)
anyone have any suggestions either specific ones or just general catagories all of them are appreciated!
no you dont have to make me money but if you have any good ideas or suggestions just let me know.
Thanks.
A good “story stock” is one whose fortunes will rest on whether their products become popular or not.
I am currently watching a biotech stock called MNKD. It is coming out with a revolutionary way of administering insulin into the body – for diabetes. Instead of the usual ( painful ) injections, they administer it through an inhaler. Cleaner, quicker, no pain, and no needle marks.
If this product is approved by the FDA, it could work out very well for the stock; they have applied for approval, but a decision is not expected to happen before January 2010.
So, you could put some of your virtual funds into this stock, and hope that the product gets approved. The stock is currently at about $9.70 right now. Potentially could go into the 20s or 30s if things go well for them.
But, as I said at the beginning, it is a story stock. If this thing does not pan out, the stock could go back to $5 or worse.
Hope this helps you. Good Luck.
BBI, WEN, PDS, JACK
First, take 6 months in learning about stocks and trying it out with fake money in a stimulation web site like Yahoo! Finance.
http://www.finance.yahoo.com
The stocks you want to focus on is consumer staples, consumer discretionary, and healthcare. These are DEFENSIVE stocks that will survive through good and bad times. Most of my positions are in these stocks. Some names include 3M, Procter & Gamble, Kimberly Clark, Exxon Mobil, Walmart, Costco. Everybody’s got to eat and wipe their butts regardless of the state of economy. Many of these companies survived through the Great Depression.
That’s the benefits. You can sleep at night knowing your money is doing well. There are NO guarantees that you won’t lose money. It’s just that these stocks are the best. They pay good dividends too.
If you’re new to stocks, DON’T DAY TRADE. You’ll a rookie in a world of professionals. I tried day-trading with Citigroup and AIG when they were a little bit over $1. I had some luck at first, making about $30 a day but I was way over my head. My luck didn’t last long and I had to rethink my strategy.
Besides you can’t do much with $100 in the market. Day trading involves A LOT of commissions to the broker. With all the commissions deducted from each trade, you’ll be lucky if you only lose half your money.
I would just day trade using Yahoo! Finance. Open a stimulation account, give yourself $100 worth of fake money and play it in the stimulation format. You’ll see what I mean by losing money every easily.
Good luck.