Tuesday, February 03, 2015

Clash Of Clans And Investing

I'm finding out that playing COC is akin to investing your money.

You build various arsenal in your village to either defend it or to arm it to raid other people's villages. Just like investing, you need to diversify your investments in order to defend against downside risk, market shocks (village raids) or to make special one-off gains.

You build storage facilities to store elixir and gold. These are your bank accounts and knowing how much you should always leave in cold, hard cash. These could be raided during times of need or when cash intensive bills come.

You are also limited by the number of builders - opportunities to take in the investing world, due to a lack of cash perhaps? So it is important to choose the next thing you want to build wisely. Will you spend three days waiting for an archer tower to be built? Or increase your gold storage facility?

You also need to decide what you want to commit to building or upgrading over what type of time horizon, and what you expect to gain from it. Just like investing

#ilovethisgame


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