Get ready to get smarter The first thing to keep in mind at all times is that this is not a contest to identify or test investing acumen.
Superior investing returns are properly measured over years, and are achieved by taking an appropriate level of risk. A two-month long contest that rewards only the very top performer each week out of a crowd of what will be hundreds of thousands of participants each of whom may enter five separate portfolios , is not testing your abilities or intelligence as an investor. To come out on top of a very large group of competitors measured over such a short time period is simply a matter of luck.
That said, the best way to put yourself in the way of the good luck necessary to win the contest is to take the absolute greatest amount of risk that the contest allows. In other words, simply increase the randomness and volatility of your results. To do less, is to simply acknowledge that you're not in the contest to win. It works The contest was won by somebody who put all of his notional money into one company. This company also happened to be embroiled in a Ponzi scheme investigation at the time, and is today essentially worthless.
Now, to take a million dollars and put it into one stock that is quite likely a fraud is the epitome of recklessness and stupidity in real life. But to play that move in a game, in the hopes that a severely beaten-down stock will catch a few moments of glory off of "a dead cat bounce," is brilliance. And so, as long as you accept that what makes sense in this game is often the polar opposite of what you should do with actual money, there's fun and, for a very few people, rewards, to be had.
Burke, for instance, who said he "went for broke," also said he traded heavily in currencies. For example, he executed currency trades in just four days. In fact, Mr. Burke wouldn't have made it into the top 20 by trading stocks alone. Each day, Mr. The contest officially ended on May 25th. The announcement of the winner was delayed because of an investigation into certain trading actions during the contest finals.
Congratulations to Ms. And thank you to everyone who participated. Skip Navigation. The CNBC competition employed hypothetical dollars in virtual accounts. Your investments are real. You want a decent return to enable you to retire comfortably and ensure a cash flow that will support your standard of living. Of course CNBC has its own reasons to sponsor the contest. It will make money off participants in at least two ways. Every day up to three multiple-choice trivia questions will give you an additional 2, CNBC bucks for each correct answer.
Questions must be answered by 8 p. Increasing viewers is always profitable. But the contest ends on November 25, and the fall sweeps take place from October 28 to November FXCM, which appears to be sponsoring part of the challenge, wants you to become familiar to increase their currency trading business.
If you decide to participate in the contest, avoid watching CNBC all day long just to learn the trivia answers. Most of the daily financial information is just noise. One advisor calls it financial pornography. And if you opt to trade currencies as part of the contest, avoid the practice in real life.
Purchasing unhedged foreign bonds provides a better currency exposure with a fixed-income portfolio paying you interest. Buy your four stocks the first day and hold them throughout the competition. For example, invest in the New Zealand dollar against the Japanese yen.
0コメント