Stock Market Gamification is an attempt to impart the right investor mindset.
Most of the financial content on the internet is designed for short-term traders which gives the idea that it is very easy to make money in short term whereas the opposite is true.
It is difficult to predict any stock performance in short term and at the same time it is pretty easy to say with greater chances of being right about the long term prospects of a company.
It is more likely for a company which is doing good for last 10 years to perform well in 11th as well as subsequent years and is actually relatively easy than predicting what it is going to do in next few days.
Provided that the company is doing something you understand and they have a earning model that you understand.
This process is an inherent part of what is famously known as "Value Investing" pioneered by Benjamin Graham and then by his disciple Warren Buffett.
Core idea of Value Investing is trying to BUY something only at SALE (Discount of 50% or more is preferable)
Just like in SALE of any kind you need to know the MRP (Maximum Retail Price) to know the level of Discount.
The Optimum Price is generally calculated by quantifying various aspects that matters as per Value Investing Principles.
Now , this value will act as a reference value that'll decide how much you should be willing to pay for it.
Like in any SALE our aim is to get Maximum Value for our Paid Price.
This is summarized beautifully as:
Price is what you pay for something, but value is what you get.
Our aim should always be :
"To Buy Great Businesses at Maximum Discount."
A value above Optimum Price just means that it’s NOT yet at SALE so just stay away from it till it’s on SALE (if ever).
That’s the only thing to focus and all the other things will automatically fall into place.
Currently, In Stock Market Gamification there is a small (but growing) set of stocks from National Stock Exchange (NSE) having their Optimum Price quantified by applying Value Investing Principles and User can invest only among those.
After you complete certain levels, the virtual currency of ₹ 1000000 (₹ 1 Million) can be used for virtual investment training on real prices of stocks in the Stock Market.
The orders are placed for the next trading day and will be executed if quoted price falls within the range of stock price movement of that stock next day.
You can also see the top 50 portfolios in the Leaderboard section along with your own rank among other fellow learners.
* You can suggest the stocks that you want to see in this list and it will be added after analysis.
The core principles of Stock Market Gamification are:
To stay focused on the value of the business and only look at the stock market when you want and too as its Master not as a Servant.
Highly selective approach of Value investing principles to isolate one from herd like mentality of the crowd.
Investing is simple, not rigorous and painstaking.
It's NOT necessary to have opinion about all the things in financial markets.
Patience is a virtue.
The main aim here is to remove all the complexities and just present the most crucial things that matter.
Try to use it according to the way it's designed for some time and evaluate if you experience any difference in your outlook towards the investment in the Stock Market.
It's a Journey not a Destination…there are exciting things ahead.
It’s for imparting the knowledge to help spread a right mindset to approach the investing and does not suggest any stocks and it should be used as an education tool only.It's all about empowering individual to be more diligent in the realm of investing.