Ever wanted to play the stock market, but were too afraid to risk your own money? Virtual stock market games are a great way to learn the fundamentals with real data, real stocks and real news. You don't risk any money - it's like investing with monopoly money. With many of these games you can start as may portfolios as you like to try-out all your different portfolio strategies to see what works best for you. Within week (sometimes days or even hours) you'll know if this is something that interests you or not and, more importantly, you will not have risked your savings to find out.
Well, if you'd like to give this a shot, then there's no better time than the present. CNBC has started its annual Million Dollar Portfolio Challenge today. It's open to all American residents (yes, I know; that doesn't include me) and as long as you're of legal age, then you probably meet the rest of their eligibility requirements. They're giving away some great prizes to the top portfolios each week with the grand prize of $1 million dollars shared among the top portfolios as the conclusion of the challenge. Like I said, if you want to give this sort of thing a shot, then this is a great way to learn and profit.
There's an important caveat to keep in mind: you will not learn sound investment practices by playing such games. Why? Because these are short-term games ...akin to sprints, not marathons. To win this sort of game you'll need to invest in high-volatility (i.e. risky) stocks to get the greatest potential return within the few weeks of the competition. This is obviously not a strategy that anyone would advocate if you were investing with your own money. That said, you're not investing your own money; so, as long you as you keep this caveat in mind, then go for it. Play. Learn. Profit!
