I’ve always found the idea of owning stocks and shares to be pretty exciting. For a start, you essentially own a part of a company, which is pretty awesome in itself, but the best part, if you bought a stock low and its price skyrockets, you can make a tidy profit!
The only real problem, at least for an Average Joe such as myself, is in order to sucessfully buy stocks and shares you’ll need a broker as well as various other necessities before you can purchase shares in Coca-Cola or any other company you’re interested in.
That’s where BUX comes in. It’s an app for iPhone and Android that’s described as a “casual stock trading” app. In short, you login to the app and you’re given 1,000 “funBUX” to spend on various stocks whose values are based on real-world figures. Essentially, it’s a way to get a feel of buying and selling stocks, without the risk of losing millions.
This is where I learned an important lesson. Never ever ever get into stocks.
BUX launched on Android and iOS some time ago now, and I’ve been playing it ever since to hopefully get some slight understanding as to how stocks work and how you can earn a pretty penny from trading a stock you bought low, only to see it sky-rocket later down the line and get you a decent win.
Do you know what I’ve learned? How easy it is to lose money when you’re convinced you’re onto a “winner”. I also learned that no matter how much I considered a trade to be a “winner” I was pretty much wrong 90 per cent of the time.
It’s also worth noting that BUX is a long game. Don’t expect to dive into the game, spend all your funBUX then find you can cash out double the amount the next day. I’ve spent a months playing this game, and so far my biggest win bagged me about 40 funBUX.
Looking at my stats, I’m actually doing pretty well on paper with an 81 per cent profit over a 19 per cent loss. Though that 19 per cent was probably my biggest overall loss when GoPro’s stocks went through the roof, then sank considerably around February. The reason for this was because I heard stocks were shooting up, so I grabbed some with the idea that it’d continue to rise and I’d be able to shift some stocks to earn double. Oh how wrong was I.
In the end BUX actually force ended my trade as it hit the -100% loss threshold and I lost a total of 120.00 funBUX with that one. Which I guess is a plus, right? At least then I don’t lose all my cash all at once.
Along with funBUX the app also offers you the chance to dive into the stock exchange with real cash currently either GBP or EUR allowing you to actually make some money from the stock exchange, but for me, that’s just a daft idea. The way this works however is with BUX they use CFD’s…
At BUX you invest in CFDs: a CFD is a ‘contract for difference’ – a financial product that behaves exactly like a share. The price of a Facebook CFD for instance follows the price of a Facebook share exactly, 1:1. With a CFD, you also get the usual dividend when a business distributes a profit. In short, in practical terms there’s little difference between the two.
BUX’s serious side might seem like a fairly risky game to get into, and as far as BUX are concerned, it certainly is. Fortunately there are many warnings as well as failsafe’s in place to ensure you never get yourself in trouble and understand that trading for real is a very risky thing indeed.
And if my experience is anything to go by, I’d be absolutely skint.
As someone who’s had a slight interest in stocks and trading, BUX is the perfect step onto that ladder to show you that with no guidance, it’s a terrible idea. It’s a lot of fun though, especially when you login one day and see that the share you purchased a month ago is now worth almost double. Though this has yet to happen to me. But I’m hoping!
BUX is a long game, but when you buy right and end up with a fairly decent profit, it’s definitely a great feeling.