Investing

[Skaadi]

Hey guys,

I've recently been thinking about investing a small amount of money, probably in a video game company.

I'm thinking maybe just $20 to start off with, but the thing is, I would really have no idea how to purchase shares, and I've no idea who I could ask (outside teh interwebs, that is).
so, Help-Life2 non-relationship-related-problem-team; I have questions.

Where the hell do I start?

Do I absolutely have to have a broker?

Is investing in a video game company a good idea, if so, which do you recommend?

Muchly appreciated.

 

[15357]

Well, I've invested in a variety of things since 7th my grade, and it worked out pretty well. I did it myself anyway.

Although I'm not sure which companies you could buy a share with $20 (NCsoft costs like a $120 per stock.).






But come to think of it, you live in Austrailia, so prolly it's very different.

 

[Shamrock]

Well, I've invested in a variety of things since 7th my grade, and it worked out pretty well. I did it myself anyway.

Although I'm not sure which companies you could buy a share with $20 (NCsoft costs like a $120 per stock.).






But come to think of it, you live in Austrailia, so prolly it's very different.

How did you go about doing it?

 

[Sloth]

With the ASX (Aust. Stock eXchange) find if a company is listed. That would be your first step...

http://www.asx.com.au/

 

[Tyguy]

invest in vests or irons and bask in the glory of irony

 

[15357]

How did you go about doing it?

Applied at the local bank to register my account for internet access and then had them create a virtual account so that I could trade stocks online.

 

[Maestro]

And remember: the higher the risk, the greater the payoff (or loss). Don't go for a safe bet, you can't make money that way.

 

[Tagaziel]

Personally, I invest in companies that have a relatively high chance of getting a share price increase and whose shares are cheap. That way, even with a small change in the stock price, I can turn a buck or two.

 

[Schall]

I have about 200$ to spend if I invested, would it be worth it to buy shares now or save more and buy in bulk?

 

[Raziaar]

Sorry Skaadi, I know nothing.

 

[Shakermaker]

Where the hell do I start?

Websites for financial news. Bloomberg is pretty good, CNN isn't half bad either. Kotaku sometimes has interesting industry news. GamesIndustry.biz is one of the only sites I know that really specializes in news about the gaming industry. Also make a list of companies you might want to invest in and go to the investor info area of their websites.

Do I absolutely have to have a broker?

Yes, but online brokers usually offer cheaper rates than your bank.

Is investing in a video game company a good idea?

In the current financial climate gold is about the only safe investment, but i have the idea you also want to do this to support the industry.

Which do you recommend?

One of the big five would probably be your safest bet, so Activision, Electronic Arts, Ubisoft, Take Two or Vivendi.

To be honest though $20 isn't enough to start. Save up more money first and use that time to start following the different stocks. Give yourself a fictional budget and practice with that to see how you do.

 

[Skaadi]

Ok then, first step is a broker, but, where would I go to find one online? (I'm in Australia btw)

So I'm assuming after finding one if I want to invest in something I just do it through the broker, right? and what sort of fees should I be expecting?

In terms of what to invest in I've decided for either Activision or EA (thanks Shaker, the gaming industry site is really helpful) and I'll take the advice about investing in gold, as well.


Sorry I'm asking so many questions, I'm starting from pure ignorance here.

Sorry Skaadi, I know nothing.

That's ok Razzy, I still love you.

Thanks for all your help guys

 

[Hobostomp]

Wow, Skaadi posted. She's alive!

 

[Shakermaker]

Ok then, first step is a broker, but, where would I go to find one online? (I'm in Australia btw)

I am not really up to date with what the good Ozzie online brokers are. Your best bet is to check a couple of local forums where investors meet.

So I'm assuming after finding one if I want to invest in something I just do it through the broker, right? and what sort of fees should I be expecting?

You pay brokers a percentage. It differs from broker to broker, but it is usually between 0,5% and 2,5% of the worth of the stock you buy, with a minimum fee. That is one of the reasons I told you that 20 bucks isn't a lot to start with.

In terms of what to invest in I've decided for either Activision or EA (thanks Shaker, the gaming industry site is really helpful) and I'll take the advice about investing in gold, as well.

If you want to invest in gold-related stock, the mining business might be interesting to have a look at. Afaik there are a couple of puclicly traded Ozzie mining stocks.

And to repeat what I said in my first post: practice a couple of months with an imaginary budget and see how that works, simply to get a feel for the market.

 

[Kadayi]

Bear in mind that moving money between stocks costs you in terms of fees, so the profitability has to out way the cost of the transaction. However generally its just a few $ to do this online.

 

[Letters]

Personally, I invest in companies that have a relatively high chance of getting a share price increase and whose shares are cheap. That way, even with a small change in the stock price, I can turn a buck or two.

Oh really?! Did you stop some random 5 year old in the street and get that advice?! THANKS FOR THE AWESOME TIP, MAN.

$20 is far below the minimum you should have to even think about investing. And no, investing in a game company would likely be a terrible idea. Most of them are failures.

 

[Skaadi]

Well $20 was just the general idea I had before I knew anything, I'll more likely put a minimum of $200 -300 in.

 

[PimpinPenguin]

I've invested in 2 utility company's and with the price of Electricity and gas raising each year and them making record profits i get quite a good profit on my shares. I wouldn't invest in a games company to many of them fail and even the big company's have bad years if their AAA titles are below par.

 

[Raziaar]

That's ok Razzy, I still love you.

 

[ríomhaire]

I'll pass on the wisdom my father told me:
Don't invest in banks or Irish companies and definitly not in Irish banks.

 

[Escaep]

I own one share of Berkshire Hathaway B.