Newsletter


Announcing Game winners

Congratulations to Halo for winning National 1st place, just $193 in front of 2nd place, finishing with a portfolio value of $67,228. 
 
For this Game:
  • The All Ordinaries (XAO) was up 1.32%
  • The best performing sector was health care up 12.85% followed by energy up 9.87%
  • The worst performing sector was telecommunications down -16.30%  
  • The top stock was WTC - WiseTech Global up 48.3% followed closely by SHV - Select Harvests up 48.15%
  • The worst performing stock was RFG - Retail Food Group down -66.5% followed by AGI - Ainsworth Game Tech. down -44.17%
  • 57% of players finished in profit with the average portfolio value being $50,481.
     
We asked the top players about their Game plan…read on to discover what they did. 
 
Please remember, the strategies that the winners employed are not necessarily the same strategies they or you should employ when it comes to investing real money.
 

NATIONAL 1ST

Halo - Hao an International player
Portfolio: $67,228
 
  1. Have you played the Game before? Yes, 2 times in 2007 and 2008 (it didn’t end well).
  2. How many hours a day did you spend on the Game? Around 2 hours, but I always tried to check the market prior to the opening bell, and watch the Game during the first 30 minutes of each trading day.
  3. How did you select your companies? I used top down analysis and tried to focus on buying good companies to minimise the risk of a surprise negative market update/announcement
  4. What was your strategy / plan? Know thyself & believe in yourself - Buy good stocks in the trough - Have a stop loss in place - Let the winner runs – I would sell if I no longer believed in the stock, or if I thought there was a bigger opportunity to buy.
  5. Did you stick to your plan? Mostly yes, as long as the strategy and market conditions didn’t change and the strategy continued to work. 
  6. What if any charting Software did you use? Mostly just ASX Game charts and software from the stock broker I use.
  7. How did you handle the market volatility? Because I understand the correlation (eg: beta) between my stocks and the ASX market – this helped. I felt I had selected stocks that would do well in all market conditions. 
  8. What was the biggest lesson you have learnt? I learnt about day trading by observing those that seemed to almost never lose money, e.g. Kingcc’s portfolio. Can I hire you to invest my money? ;)
  9. Anything else you think would help other players?There are many winners in this Game. If you have beaten the average market return during the same period, then congratulations you are a winner too. The winning formula consists of both skills and luck. Big shout to those who were once leaders. There are no losers in this Game if you don’t give up. Regardless of the market condition, there is always opportunity to be seized and someone will be making a profit. Be inspired, be inquisitive and never give up…

NATIONAL 2ND

Snappa - Wayne from NSW
Portfolio value - $67,035
 
  1.  Have you played the Game before? This is my 5th year
  2. How many hours a day did you spend on the Game? Research about 5 hours in total
  3. How did you select your companies? Through Stock Doctor
  4. What was your strategy / plan? Buy and hold
  5. Did you stick to your plan? Yes
  6. What if any charting Software did you use? Stock Doctor
  7. How did you handle the market volatility? Never budged from my plan
  8. Were you tempted to deviate from your plan? Never, I was actually waiting for the other players to panic.
  9. What was the biggest lesson you have learnt? Good research through Stock Doctor is a Must.
  10. And anything else you think would help other players? Never stop learning

NATIONAL 3RD

Livo - aim high - David from VIC
Portfolio value - $66,515
 
1) Have you played the Game before? 3 times
2) How many hours a day did you spend on the Game? Daily average of 15 mins – this included 1 hour weekly reviewing all stocks and just quickly logging in and out during the day a few times, more so in the last week to check the changes.
3) How did you select your companies?  I looked at what movement there has been in past 6 months, 1 month and 5 days…I looked at any major drops and bought these shares with a lower buy order than current market share…
4) What was your strategy / plan? First and foremost to have fun, and take some risks as it wasn’t my money. Ideally I aimed for low cost stocks, but tried a blend of higher priced stocks around $10 also. In previous Games, I had up to 9 stocks at the same time to diversify my risks. This time, I had no more than 4 and bought maximum shares, e.g. $12,500 worth of shares, it was a risk that paid off.  I also did not react to daily increases to purchase stocks as I had already missed the surge at this time, best to buy at the low point of the share cycle.
 
5) Did you stick to your plan?  Yes, but I changed my plan mid-way through the Game, aiming for lower end stocks. I wasn’t swayed by industry or company name, in some cases I didn’t even look at what the company sold, as I was more interested in the share price journey.  As my job is far too busy to do any research during the day, I couldn’t take advantage of the fast moving gold stocks, so did my research just one night per week, then placed buy and sell orders at ambitious prices which paid off… in most cases.
 
6) What if any charting Software did you use? None, I didn’t do any charting whatsoever, nor did I track changes, other than what the ASX provided in graphical format.
 
7) How did you handle the market volatility? That’s a tough one, due to my job, I had no time to take this into account. I just accepted the market volatility as “it is what it is”. I can’t cater for that in my decision making process as I could only review after hours at home once the market was closed.
 
8) What was the biggest lesson you have learnt? Have at least one planning night weekly at home away from the TV and the kids to do your research. Look at what the share prices are doing and consider how often you want to look at the stocks throughout the day, as this will drive what sort of stock you will buy…
 
9) Anything else you think would help other players?
  • Don’t be in a hurry to buy stocks.
  • Put buy orders in at…prices based on the historical graph low points.
  • Put sell orders in at a price you are comfortable with, e.g. work out what your appetite for risk is.
  • Don’t buy stocks in the top 5 performing stocks for the day as by the time you buy, you have already missed the opportunity to purchase at a cheap price.
  • If buying and selling for profit, ensure you are making sufficient gains to clearly cover the brokerage fees...
  • Have fun with the Game, work out a strategy you are happy with and don’t be afraid to take risks.

League Winners

Under10 League Winner - Alcon

Did you find that it helped you both? It was helpful as it enabled us to compare the relative strengths and weaknesses of our investment strategies.
 
Anything else you think would help other players? Stick with one investment strategy for the course of the Game, and use tools such as Stock Doctor to analyse potential stocks for your portfolio. 
 
Over 11 League winner - Ragingbull
 
What was your motivation to create a league? It is a tradition to play the ASX sharemarket Game amongst peers across different areas, and the top performers get honourable mention. We encourage everyone to join, 'have a go', and learn something new about the dynamics of the sharemarket trading. By winning the league prise I expect that the uptake will now be even bigger!  
 
We do acknowledge that the level of risk-taking in the Game is higher compared to the real balanced portfolio, and do not recommend mirroring of trades. 
 
Did you find that it helped you as a group? In a large group you inevitably end up with fragmentation, some areas end up performing better than others. We understand that everyone has its 'secret recipe', but will call on the top 3 group participants to reveal their strategies to our group.
 
And anything else you think would help other players? Playing in a league encourages the group dynamic, and the learning curve is much faster than playing the Game individually.
 
The company list has been updated for the entire Game period: 22 Feb – 6 June
 
Want to keep learning see our previous newsletter for tips on what you can do.
 
If you are interested in learning about Options, a new Options Game has just started. You can get more information here
 
See you in the next Game
The Games Team 
 
 
 


Are you ready for this?

Now that the ASX Sharemarket Game is over, it’s time to make your decision; are you ready to invest in the ASX using your hard-earned cash? 

It’s such a rewarding assets class, we hope you’re ready.

During the Game you may have learnt how to select fundamentally healthy stocks and the importance of having a strategy. 

Right now, the cycle is favouring quality growth and small cap stocks - the heartland of our Star Growth Stocks. To the end of May they have returned 27.96%^ over the past 12 months. Which is terrific. But, we know the market moves in cycles, and we’re in it for the long-term. Which means we’re delighted with our Star Growth Stocks p.a. returns of 18.61%^ over the past 22 years. This compares to the ASX All Ords which has delivered 9.07% p.a.
At Lincoln Stock Doctor, we know how to identify quality stocks and use strategies that work. It’s something we’d love to share with you.

So, if you’ve made the decision to invest in the ASX using real dollars, check out our Stock Doctor offers before 30 June. It has everything a DIY investor needs for long-term share market success.

Our EOFY Sale* is now on. Join Stock Doctor for 1-year for only $1,395 – including 2 extra months. That’s a MASSIVE 30% off. Plus, your membership may be tax deductible#.

 

All figures, information and illustrations are as at 13 June 2018 unless stated otherwise.

^Disclaimer: www.lincolnindicators.com.au/star-stock-disclaimer

*Our 30% OFF EOFY SALE is available until 30 June 2018. Offer only available to new subscribers, independent of any other offers and excludes 12-month instalment plans. RRP $1,695.00 for a 12-month Stock Doctor membership, $3,043.25 for 2 years and $7,267.50 for 5 years. The $1,970 of value is based on $1,695 for 12 months, plus $141.25 x 2 months.

#Please consult your tax adviser regarding the extent to which Stock Doctor is tax deductible given your circumstances.

Important: Lincoln Indicators Pty Limited (Lincoln) ABN 23 006 715 573, as Corporate Authorised Representative of Lincoln Financial Group Pty Ltd ABN 70 609 751 966, AFSL 483167. This communication may contain general financial product advice. Our advice has been prepared without taking account of your personal circumstances. You should therefore consider its appropriateness, in light of your objectives, financial situation and needs, before acting on it. If our advice relates to the acquisition or possible acquisition of a particular financial product, you should obtain a copy of and consider the Product Disclosure Statement (PDS) at www.lincolnindicators.com.au before making any decision. 

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