Long-term investment

The Stock Market is NOT a "get rich quick" type of game. If you don't have the neopoints or patience to wait for weeks or even months before you see a profit from your stocks, please play Whack-A-Kass or Fashion Fever or some other game. If, however, you want to make really good neopoints with minimal effort and a slight risk, and you do have the patience necessary, this may be a great opportunity for you.
Long-term investment can be judged in terms of cold, hard, numbers.
“The first data for the NeoDAQ is given on NeoDAQ.com as April 16, 2002. It averaged ~900 np. Around April 16, 2006, four years later, it was roughly averaging ~1,700 np. Between those two came two major recessions; the "Thanksgiving recession" in the last week of November 2003, and the "Black Sunday" crash of November 14, 2004. In spite of those two recessions, the NeoDAQ has, so far, averaged roughly a 16% yearly interest rate, compounded daily:




Should this hold up, it would mean that long-term investment in the stock market is far, far better than investment in even the best bank accounts, making the Neopian stock market on par with real-world stock markets. “, from http://strategywiki.org/wiki/Neopets/Stock_market

Start Small, and Start Prepared.

I recommend having a reserve of at least 100k neopoints because you'll be investing 15,000-17000 daily. You do want to have a bit saved up before you begin to invest. You can make about 15-17k a day playing games for about an hour so even if you don’t have huge funds set aside to start, you can make it almost instantly.

Building your portfolio

To really make money on the stock market you need to build a portfolio. Always buy stocks at 15-17np daily. After your first month of investing, you’ll have invested at least 450k. This may seem like a lot but to make money you have to spend money. You have to diversify your portfolio. If 2 stocks are both 15 np buy the one you don’t have in your portfolio currently. If you have them both, buy the one you have the fewest of. If you do this consistantly for about 1 month straight you’ll have 30k units of stock to work with. To actually start seeing great results it may take 1-3 months of time to build your portfolio but once it reaches about a 100k worth of stock units, it’ll be able to substain itself. Also reinvest profit starting out. You’ll need the cash you make to grow your portfolio.
Side note: There is a small glitch in the neopets system which allows you to buy 2000 stocks per day. To do it successfully you have to purchase right after midnight and then again sometime during the day. This is the quickest way to build your portfolio because of the 1k a day rule. I would recommend this but don’t use every day. Use this glitch 2 or 3 times a week.

When to sell

This is where you make your money. Normally most investors wait for the 60 mark or over, gaining at least a 45,000 np profit on stocks. This investor, from waiting so long, has often many shares of stock in his or her portfolio, and often sells in increments. I normally sell 50% at 60-65, 25% at 75, 20% at 90, and the last 5% at 100. It takes time but it happens. NEVER sell at a loss. Stocks may take months to rebound but never sell for a loss.

Overview

·Buy 1000 units of a stock daily
·Buy in price range of 15-17np
·NEVER sell for a loss
·Invest everyday
·Don’t sell to early- wait for stocks to hit at least 60np to see any real profit
·Diverse portfolio
·Be patient

So it begins – Challenge

So now I challenge all of you to make money with the stock market.
Invest until you have at least 100k units of stock.
Try not to sell any stocks unless they hit 60 or better so that you can build a strong portfolio.
After making your first sales, reinvest profit until you feel comfortable enough to take spending cash off the sale

My current portfolio
I recently came back to neopets but since I have been here for 10 days I think I have 11k shares being that I sold a few but here is my portfolio



ACFI
(profile) 15 17 +2 2,000 30,000 34,000 +13.33%

BB
(profile) 16 15 -1 1,000 15,000 15,000 0.00%

BUZZ
(profile) 6 6 0 1,000 15,000 6,000 -60.00%
CHIA
(profile) 14 14 0 1,000 15,000 14,000 -6.67%

CHPS
(profile) 31 36 +5 1,000 15,000 36,000 +140.00%

EEEEE
(profile) 12 13 +1 2,000 32,000 26,000 -18.75%




HELT
(profile) 18 17 -1 1,000 16,000 17,000 +6.25%

MPC
(profile) 14 15 +1 1,000 15,000 15,000 0.00%
TNAH
(profile) 13 12 -1 1,000 15,000 12,000 -20.00%
Totals:11,000 168,000 175,000 +4.17%





As I forgot to mention - (Thanks to Kaboom)
Stocks can go bankrupt but its highly unlikely. I believe only 3-4 have done so since Neopets has been alive.

I also forgot to mention - (Thanks to Sleeptacular)
Stock prices update every 30 minutes starting at the beginning of the hour