Stock Market Game Paper
My overall strategy to make high returns in this simulation was to buy shares at low prices then sell them at high. I planned to invest in bigger industries because I thought they’d be making the most money, I also thought it’d be best to buy shares when the market was going down, hoping it’d go back up to sell it again, that’s what helped me pick my stocks. One company I chose to purchase was the Wells Fargo & Company because I looked into its profile and the profitability was pretty good, as was the P/E ratio. Another company I chose was Best Buy, I thought this would be a good choice because it had a good capital structure report. I also chose McDonalds because it also had a good capital structure, and a good profitability report. The main sources I used to make my decisions was Market Watch itself. The website had a lot of articles on companies and things to teach you how to work the market, there were plenty of do’s and don’ts to help me out. With massive losses, I kind of just stuck it out. I know that’s not what you should really be doing, but I seemed to have faith the market for the companies would go back up. I think to improve everything, I may have not gone with such big companies, and invested in smaller ones. I also would have bought and sold more than I did. I think these actions would have made my portfolio a whole lot nicer. My biggest mistake was buying Facebook because it has an awful P/E ratio. My greatest success was Best Buy. From this experience, I learned if I ever want to invest I wont be able to do it on my own, I would definitely need some help.
Please join StudyMode to read the full document