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Guten Tag, fellow denizens of Secura. Today, we're going to discuss how to build wealth. We will cover a multitude of different strategies, including stock market investing (trading & dividends), company ownership, and more. Today's article will cover investing.
Investing 101
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The main principle of investing is this: Make your money work for you. The easiest way to let your money do the hard work of building wealth is to invest it in stock companies. This strategy, in turn, leads to two more tactics.
Firstly, you can purchase a variable number of shares at a given market price and hold the stock in your portfolio for the long-term and collect dividend payments. A dividend is a gold payment made by a stock company to its shareholding members. The dividend is a percentage of the profits of that stock company and is distributed based on the percentage of the stock company which each shareholder owns. Let's make up a hypothetical scenario: John Nash owns 10 shares of ACME Corporation which has a 100 total shares (issued & outstanding shares). Should the company pay a 50 gold dividend, John will receive a payment of 50 g * 0.10, or 5 g. Not too bad at all. Nevertheless, the company's officers typically hold the majority of the shares, so your mileage will vary.
Secondly, you can buy shares in a stock company which you believe will increase in value in the near-to-medium term future. The hope is to purchase as many shares as possible and sell them off at a premium at a later date. You must be sure to keep up to date on the current asks and bids in the company's stock auctions in order to cash out at the right time.
So, in order to implement either of these investment techniques, we need to develop a few analytical tools to measure the performance of a stock company. I'm not a finance expert nor an economist, so I can only tell you what has worked for me so far:
1. Typically, I'll examine the leadership of the stock company. If the user is relatively new or appears inactive, that immediately puts up a red flag.
2. You'll want to ensure that dividends are being payed and laws efficiently passed. If there appears to be a lot of conflict amongst the shareholders, I'll label that company as a more risky investment.
3. There should be a solid base of companies that are solvent and capable of making money.
4. After you've done your due diligence, gut instinct should suffice
I hope this guide was helpful. Next week, we'll look at a little more in-depth into the current market environment and figure out how to allocate your assets among different companies. In the mean time, you can purchase gold and continue to work your day job.
Until next time,
About the game:
USA as a world power? In E-Sim it is possible!
In E-Sim we have a huge, living world, which is a mirror copy of the Earth. Well, maybe not completely mirrored, because the balance of power in this virtual world looks a bit different than in real life. In E-Sim, USA does not have to be a world superpower, It can be efficiently managed as a much smaller country that has entrepreneurial citizens that support it's foundation. Everything depends on the players themselves and how they decide to shape the political map of the game.
Work for the good of your country and see it rise to an empire.
Activities in this game are divided into several modules. First is the economy as a citizen in a country of your choice you must work to earn money, which you will get to spend for example, on food or purchase of weapons which are critical for your progress as a fighter. You will work in either private companies which are owned by players or government companies which are owned by the state. After progressing in the game you will finally get the opportunity to set up your own business and hire other players. If it prospers, we can even change it into a joint-stock company and enter the stock market and get even more money in this way.
In E-Sim, international wars are nothing out of the ordinary.
Become an influential politician.
The second module is a politics. Just like in real life politics in E-Sim are an extremely powerful tool that can be used for your own purposes. From time to time there are elections in the game in which you will not only vote, but also have the ability to run for the head of the party you're in. You can also apply for congress, where once elected you will be given the right to vote on laws proposed by your fellow congress members or your president and propose laws yourself. Voting on laws is important for your country as it can shape the lives of those around you. You can also try to become the head of a given party, and even take part in presidential elections and decide on the shape of the foreign policy of a given state (for example, who to declare war on). Career in politics is obviously not easy and in order to succeed in it, you have to have a good plan and compete for the votes of voters.
You can go bankrupt or become a rich man while playing the stock market.
The international war.
The last and probably the most important module is military. In E-Sim, countries are constantly fighting each other for control over territories which in return grant them access to more valuable raw materials. For this purpose, they form alliances, they fight international wars, but they also have to deal with, for example, uprisings in conquered countries or civil wars, which may explode on their territory. You can also take part in these clashes, although you are also given the opportunity to lead a life as a pacifist who focuses on other activities in the game (for example, running a successful newspaper or selling products).
At the auction you can sell or buy your dream inventory.
E-Sim is a unique browser game. It's creators ensured realistic representation of the mechanisms present in the real world and gave all power to the players who shape the image of the virtual Earth according to their own. So come and join them and help your country achieve its full potential.
Invest, produce and sell - be an entrepreneur in E-Sim.
Take part in numerous events for the E-Sim community.
