I'm part of the investment club at my business college and we're about to do a portfolio competition using the investopedia stock simulator. iirc we all start with 10 grand and see who makes the most money by the end of the semester. I want to have fun with it so I want to make a biz-approved portfolio. What memes/stocks should I invest in?
I'll occasionally post progress threads if anybody is interested and let you guys decide to sell or short or anything.
What stocks go up cyclically in the spring? That's how you win. Pick what's working cyclically.. Weather bets, farm implements, moving companies (uhaul). Go with the flow.
Also, consider investing in proctological related products and services as the Etherium folk get it shoved up their ass soon.
see instead of making the most money, it should be to effectively utilize 100% capital while managing risk by hedging. by making the goal to make the most money, it teaches that to make money, you have to risk big, putting it all on black.
I participated in a school team investing competition with a ~5000 dollar prize pool. I didn't learn, but I did get these take-aways:
1) Invest in high volatility stocks. You can find and sort stocks by their volatility by using Yahoo finance and searching for 'beta'. Stocks with high beta are effectively 'leveraged' in that if the market goes up by a percentage these stocks tend to go up by Beta*percentage. The same applies for a decrease. Buy a nice diversified list of high beta stocks (to avoid company specific risk).
In reverse, you can also do the same for exceptionally low beta stocks (that don't really move despite what the market does).
In essence, if you think the market is going to go up in your time frame, make a portfolio of high beta.
If you think its going to go down, make a portfolio of low beta.
As to whether the market is going to go up or down, we don't really know. There is at least 20 variables off the top of my head like stability, interest, price of oil, developing technologies, and so forth that affect the overall trend of the stock market. In general, the market tends to trend upwards so long as the economy is growing so its usually best practice to NOT bet against the stock market (buy low beta)
tl:dr buy a nice array of high beta stocks (20+)