VMC PSL 23 (The Hopefully New and Improved Contest.) (The Rules for PSL 23)
1) Starting Amount: Everyone starts with and imaginary 100k
2) Minimum Dollar Volume: 25k versus the old 5k.
3) Minimum share price: .25
4) Limitations to positions:
A) Pick 6 different stocks, or at least 5 stocks and 1 cash position to start. As long as a stock is .25+ and trades 25k daily volume it is acceptable entry. This is really no different than any other PSL contest.
B) As I said you have an imaginary 100k to start. Spread that 100k over 6 stocks, I don’t care how, as long as no stock is more than 30k invested. To be clear that is 30k invested, the position can obviously be worth more or less then 30k based on how the stock does.
For Example this is how I expect someone to submit their picks. Obviously you can use anyway too get 100k you want, the choice is up to you, this is just an example.
Stock A 10K
Stock B 10k
Stock C 20k
Stock D 20K
Stock E 10k
Stock F 30K
5) Cash position to start could be as little as 0 or as much as an imaginary 30k. When you freeze a stock it will no longer be consider a freeze it will be lumped in with your cash position. Obviously after the contest starts the max cash position one could have is 100% of the portfolio, although you’re not going to win anything doing that, so I couldn’t understand that strategy.
6) You can buy and Sell partial/whole positions as well as add: As long as the position doesn’t exceed 30k invested I really don’t care.
7) Duration of Contest: (This will now be a two time a year contest.) This will start on Jan 11th 2013, and end on June 28th 2013.
8) Freezes or Sell orders will still not be counted as trades.
9) You will have 5 trades a month at your disposal. Use them or lose them.
10) There will be no need for the buy a trade or double down rules, so those ideas go bye/bye. But you allowed building a position up to 30k invested so in a way if you start with 15k invested and build it up, it essentially is the same idea as doubling down.
11) There is no earnings requirement on stocks.
12) The 15% rule still applies.
13) Only cash dividends of over 5% will be adjusted for (Too be clear they have to 5% of when the stock goes ex dividend). Stock dividends and splits will always be adjusted for.
Hope this helps. All above is just my opinion, and I could always be wrong though.
