Thread: Investments

Since it's not real, I would consider dumping a lot of it into put options for Citigroup and/or Bank of America. It's real easy to make money on leveraged positions, but it's equally easy to lose a lot. I think they're going to take a hit when they announce earnings, but that's personal opinion. I wouldn't put real money on a bet like that, but for virtual money hell yes.

Don't bother with mutual funds, bonds, or index funds since they are too "slow" to generate the kind of returns you'll need to win.

Originally Posted by danzik17

Since it's not real, I would consider dumping a lot of it into put options for Citigroup and/or Bank of America. It's real easy to make money on leveraged positions, but it's equally easy to lose a lot. I think they're going to take a hit when they announce earnings, but that's personal opinion. I wouldn't put real money on a bet like that, but for virtual money hell yes.

Don't bother with mutual funds, bonds, or index funds since they are too "slow" to generate the kind of returns you'll need to win.

I was thinking the same thing. We only have 6 weeks left of class so i need to take a big risk on a few investments. My % rate on return is 6.65 which is good so far.

Originally Posted by shiznit2169

I am doing a virtual investment portfolio for my Investments class and one of our projects is to compete against our professor and other students in buying stocks, mutual funds, bonds, etc... and so far i am in third place.

I want to kindly ask you finance experts what you think are the hottest stocks out there that i should buy and invest in. Just to remind you, there is no real money involved since it is a virtual thing with play money.

The top three students in the class automatically get 10 points added to their total grade at the end of the semester. That means if i get an 80, i will get the additional 10 points and earn an A with a 90 average.

Help a fellow out!

Note: We all started out with $500,000 dollars and we cannot go over $50,000 dollars for each investment we make. Also, we are allowed up to 100 transactions so i can do whatever i want.

Are you restricted to US investments only?

Originally Posted by lnvanry

Are you restricted to US investments only?

No, i can do U.S., Latin America, European, Middle Eastern and Asia.

If you are trying to hit a home run pick a country that has a negative correlation to the global economy (ie it does well when the global economy does bad...and it does bad when the global economy is doing well)...Argentina and Italy are good examples. The global economy is not looking good right now...and I don't mean doomsday crash, but its just not growing at a fast rate...but its not representative of the whole world.

I'm not a fan of formulating a one country portfolio...never have been and never will be. My US investments are restricted to the defense manufacturing sector (as long as the repubs are in control). I look to hit my homeruns in foreign markets...You could always play the timing game and use the hedge fund approach with selling short on US stocks, but I don't have the stomach for that.

Shorting Citigroup sounds like a pretty good idea. I also have heard alot of hype about DRAX

Originally Posted by bigss75

Shorting Citigroup sounds like a pretty good idea. I also have heard alot of hype about DRAX

Agreed, but in this case I would prefer a more leveraged option (puts). In a real life scenario you would never want to do this obviously, but he needs fake money and fast