Imagine if I were to give you one million dollars to invest with right now. What would you invest in? As a beginning investor, it’s easy to believe that you have the ability to find the right stocks at the right price. One problem that people incur during their early investing lives is that they believe that they can beat the stock market. By utilizing stock market simulation games, you can track your investment performance over time before you decide to jump into the stock market.
Young investors can benefit the most from utilizing stock market simulation tools. One particular website that I used when I was still learning about stocks was smartstocks.com. They give you one million dollars in imaginary money to invest in whatever stock you want. This gives you the opportunity to learn about investing.
It is important to utilize stock market simulators like smartstocks.com because they allow you to track your true performance over time. Many people believe that they knew the winners in the stock market before they made it big. They fail to remember the companies that failed that they also believed would be big winners. By utilizing a simulator, you can buy and sell stocks virtually and keep track of your performance over time. This will allow you to learn how good you truly are at picking winners and losers.
Keep in mind that if you do well in the short term, it does not always mean you will perform well over the long run. If you only utilize a stock market simulator for a few weeks and do well, you will not get the full effect than if you were to do it over a longer period of time.
Personally, I utilized a smartstocks for a few years off and on while I was in college. Utilizing a simulator allowed me to get my feet wet in the stock market. I learned that predicting the markets are not quite as easy as I imagined. Despite picking many winners through the simulator, I picked a few losers as well. These losers essentially wiped out any gains (and then some) I made from my winners, making me realize how important it is to diversify.
If you want to begin learn about the stock market, but don’t want to risk any of your own money quite yet, find a stock market simulator game online and try your hand at it for at least three months. Track how you perform compared to the market as a whole and build confidence in your investing abilities. If you still enjoy picking individual stocks by the end those three months, then you are well on your way to picking your own stocks for your portfolio. Sign up today at smartstocks.com and get started today!
Note: I am not affiliated with smartstocks.com in any way