The Idea

So, I was reading Seeking-Alpha, as I started doing around about the time of the recent market crash, when I stumbled along an article which amused me.

http://seekingalpha.com/article/109979-how-to-start-your-own-hedge-fund

Its topic was just how easy it is to start up a hedge fund. Now, it occurred to me that starting a hedge fund would be an interesting thing to do, but that I, being financially not so literate, were to do so it would of course result in horrible failure and lawsuits and the like. So, rather than creating a hedge fund and being sued, I decided to do the next best thing: blog about finance AS IF I were running a hedge fund, and in the result hopefully learn a thing or two about finance.

I should note, that I recently started playing an investing game called 'Up-Down' and this is where I shall keep track of the fictitious hedge fund. I should also note that most of my financial knowledge comes from the internet: bloomberg, seeking-alpha, MSN money, etc. I have taken a fancy to dividend stocks after reading some posts on DIV-NET, so that is where I shall start.

My objective is this: find interesting looking stocks and add them to the fictitious hedge fund each week, hopefully with some sort of analysis to explain why I chose it. Now, at first my picks may be rather uneducated, but I hope after losing a large amount of fake money I will begin to understand things like PE,PS,PB, various ratios, value investing, and general stock screening processes. After a while I will have built up a fund from what was originally a million fake dollars on Up-Down, although by the time I have added the last stock the value will surely have changed.

Once the fund is up and running, I will manage it on a monthly or weekly basis and make posts about what I add, get rid of, get horribly hosed on, and maybe even what pans out.

This should be an adventure, and hopefully I will learn something.


If I wasn't explicit enough above: I HAVE NO FINANCIAL EXPERIENCE AND NOTHING ON THIS BLOG SHOULD BE USED TO MAKE YOUR OWN FINANCIAL CHOICES AND IF YOU LOSE A BUCH OF MONEY, ITS NOT MY FAULT DON'T SUE ME: ITS A FICTICIOUS FUND! DO YOUR OWN RESEARCH BEFORE INVESTING!







P.S. if you are interested in Up-Down, above is a referral link- if you play the game and do good I get a penny sometimes! Or you can just Google it if you don't want to give me a penny- you meany.


That site is kinda neat too.