The Grow Your Dough Throwdown - The Beginning

So over at Good Financial Cents, Jeff Rose created the Grow Your Dough Throwdown. Basically, it's a challenge to see how you can invest. Since I have my other investments and one of the rules of the challenges is that you can only start with your initial principle of $1000. Jeff was also sort of "heavy handedly" suggested that investing was a long term strategy, but since this is only $1000 and I already have my long term investment strategy for retirement I decided that I would try an extremely aggressive approach to this challenge.

So being that I knew my strategy would be trading individual stocks I figured I would open an account at TradeKing. Unfortunately, since I waited until the last minute to open an account I found a few issues trying to fund my account that was going to take a number of days to clear and it was not as simple as other sites where I can simply verify online. So because of this hiccup I decided that I would open an account at Scottrade. The funding of my account at Scottrade was a bit simpler so I was easily able to link my bank account so that I could fund my new Scottrade account.

So, one point for Scottrade, they now have my business because it was simpler to link my bank account. So here we go, here is my account balance as of January 2nd.

So here begins my journey. To see how I can grow this $1000 as much as I can for the next year. I was planning on investing this in highly speculative stocks that would outperform the market, I already had my first one picked out. It was a highly volatile stock in the 3D printing space. Except this company doesn't print normal items, it does bio-printing, meaning it prints cells which can be stacked on top of each other which can then be used to test new pharmaceutical drugs or maybe eventually one day print new organs. This company is called Organovo Holdings, Inc. (ONVO).

Well, I should have not waited until the last minute to setup my account, in the 5 days before I was going to put down my investment the stock has jumped up about 25%. This would have been a great head start had I actually made the investment before hand, unfortunately now I think it's just poor timing. But after a 25% increase after 5 days, I think I better hold on and wait for a correction, or more likely, I will just find another thing to invest in.

I just hope that I'm not going to start suffering from paralysis by analysis. I will update again when I figure out where I'm putting my money!

Related Follow up posts:
Part 2: The Grow Your Dough Throwdown - My Pick
Investing Tutorial: Binary Events
The Grow Your Dough Throwdown - May Update

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