Sharemarket Game news

The S&P/ASX 200 finished May in negative territory, rising again in the first week of June with real estate and financial stocks leading the rally [1].

After the release of the Federal Budget on the evening of 14 May, the S&P/ASX gained 26.9 points the next day as the government pledged to support critical minerals essential to the net zero transition. 

Overseas, inflation stubbornly persists despite the efforts of central banks to reduce the heat in their economies. And while there’s widespread anxiety about the state of the world as conflict in the Middle East, Africa and the Ukraine continues, investors seemed more optimistic the state of the global economy. 

Most international markets were up in May, with the S&P500 and Nasdaq posting 5% and 7% gains respectively. However, signs of a slowing US economy are fuelling speculation of an early-than-expected interest rate cut. China’s economy was softer in May amid weaker manufacturing activity. Europe’s economy also appeared subdued, with the European Central Bank still on track to announce an interest cut in June despite inflation remaining sticky [2].
 

Topping the charts

On top of the leaderboard this month is ASXCharts, a South Australian participant who finished the first week of June with a portfolio worth $63,784.28. 

ASXCharts has a well-diversified portfolio. It includes the usual materials and energy stocks, but they’ve also invested in professional services, consumer, capital goods and tech. Their foray into professional services has been particularly profitable, with the stock they chose gaining an impressive 18.84% since purchase.
 

Net profit from net zero

This month’s runner up is Gleeso. The New South Wales participant’s portfolio is valued at 

$63,231.88. At its height, Gleeso’s portfolio was worth $72,542.79 – but even with a dip of close to $10,000, they’re still flying high.

Gleeso has a very concentrated portfolio, currently focused on companies involved with minerals needed for the net zero transition. The participant has adopted a ‘buy low, sell high’ strategy, buying and selling stocks frequently. This tends to be a strategy favoured by investors with a short investment timeframe. For longer-term investments, many investors tend to favour a ‘buy-and-hold’ strategy.

Younger but wiser

Close behind Gleeso in third place is youngers from the Northern Territory, with a total portfolio valued at $63,074.83. Youngers has benefited from investing in some ETFs, giving them exposure to both international and Australian equities, and allowing them to focus on favoured regions and a high-performing sector.

ETFs may be a good option for investors who are keen to gain exposure to a wide range of assets, sectors or regions for the price of one transaction. This can help them diversify their portfolio – and may allow them to get into markets or assets that could be out of their budget, or normally not available to retail investors. 
 

Frequent trader

Our top university participant for the month is BringBackMicroCaps, with a portfolio comprising just $19,236.50 worth of shares and the rest in cash, totalling $59,496.87. 

So far, they’ve profited overall from trading frequently, choosing stocks from the mining pharmaceuticals and telco sectors. They’ve also invested in an ETF that gave them exposure to the US market.
 

Eyes on the prize

Our most improved participant for the period of 3 May–6 June is Dematri79. Their portfolio tore up the leaderboard this month, starting at $48,673.90 and finishing a cool $10,888.05 higher at $59,561.95. 

Dematri79 has focused on frequently buying and selling materials and energy, throwing a tech stock into the mix to give their portfolio some diversification.

Congratulations Dematri79 – you’ve won yourself $500!

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[1] & [2]Latest stock market news videos & Morning Bell

* We award a $500 prize for the most improved participant of the month. This will be calculated for the periods of:

• 7 March-4 April (prize 1) - Winner: Spyforce
• 5 April-2 May (prize 2) - Winner: Stan
• 3 May-6 June (prize 3) - Winner: Dematri79 
  
• 7 June-4 July (prize 4)
• 5 July-1 August, (prize 5), and
• 1 August–5 September (prize 6).