Here I want to give an update on how the game is going. To help me track my progress I have also created a portfolio on Google Finance. Google has added a nice feature that shows you a performance graph for your entire portfolio. Investopedia does not give you this view, it only has a list view with a total at the bottom. This is fine, but I like to see a nice graph!
Here is the graph from Google Finance:
On December 9th, 2010 I started with $25,000 in Investopedia Game cash. The graph shows that in a few days I had lost $200+. But then a few days later it was all back and more. As of Jan. 12, 2011, the portfolio stands at $25,416. An increase of $416. It swings up and down quite a bit as expected, but I am hopeful that the trend will continue up in 2011.
Next I will list the additions I have made to the portfolio since the first post on Dec. 12. I will give a brief reason for why I added each security.
| Ticker | Name | Reason for my Investment |
|---|---|---|
| SCZ | iShares MSCI EAFE Small Cap Index Fund | Provides small-cap exposure in developed markets outside the US. EAFE was hit hard in the recession and I hope will bounce back in 2011. |
| BLK | BlackRock, Inc. | Financial stock. Financials were also hit hard. Black Rock has the iShares ETFs. I think they will be doing well in 2011. |
| IRE | Bank of Ireland (ADR) | Another financial stock. This is a risky bet. Ireland and this bank have been hit hard with the debt crisis in Europe. I am betting on a a bail-out and bounce. (Is it wrong to invest expecting a bail-out if I consider “bail-outs” wrong? There are lots of ethical/political controversies here.) |
| PLD | ProLogis | PLD is a REIT I have been following for several years. It is very volatile but will provide Real Estate exposure for the portfolio. |
| NKE | NIKE, Inc. | Nike is a solid company that has been solid for 30 years. I hope to have picked it up at value. This also provides exposure in Retail. |
| RRC | Range Resources Corp. | Energy stock that gives exposure to natural gas. Hoping that gas goes up in 2011. |
| EDMC | Education Management Corp | This is an opportunity I am taking a chance on. For profit education stocks took two large dips recently. In the last dip I saw this one bounce back. Looking for another bounce. |
| MDT | Medtronic, Inc. | Medtronic is a medical equipment company. Quality company that provides healthcare exposure. |
Only time will tell if these are good investments or not. That is what I really like about using the Investopedia Game to learn about investing. Join the game with me and we can learn together.
I would suggest putting the cash reserve in a money market fund.
This will add a small income if the commissions don’t eat it all.
(My Schwab account does this automatically at no charge)
Dad
Hi Dad, good point. The Investopedia Game allows me to set an interest rate received for any cash in the portfolio. For the inMessment Game it is set at 1%. So it is kind of like having an automatic money market fund for your cash like most of the real investment firms do.