Online Casino Stocks And Shares
Those who were active in the market back in 2005 (how times change) will remember how online casino stocks and shares and indeed general casinos drove the markets forward for a short spell. However, as with usual cyclical events, this perceived potential shareholder value was soon to be replaced by negativity and pessimism amongst previously bullish commentators.
The only difference to the usual share cycle being that this time the casino share values were decimated purely by geopolitical events, namely the Unlawful internet gaming act passed by US Congress on 30th September 2006.
This act didn’t outlaw online gaming per se, rather banned banks and credit card companies from processing payments on behalf of online casino operators, and banned these very same operators from requesting or receiving such payments.
Online casino stocks took a pounding and the sector fell by some 80% within a few days of the UIGEA coming into force. Many firms such as 888 and Party Gaming relied heavily on the US for much of their revenue. The method behind the bill is a moot point. Globally, anyone concerned with the industry generally believes it to be a protectionist measure, however, the fact remains that it’s here and it’s in force.
However, the UIGEA may still be with us as we push forward into 2009 but then so too are many of the companies for whom the collective death knell tolled back in 2006. The doom-mongers were proved wrong and the ill-informed journalists of the day went back to the pub to drown their ill-informed sorrows, and the online casino world didn’t end.
Yes, companies were forced to make some dramatic and drastic decisions but, by and large, they still eke out a healthy return. This brings us back to 2009 and the dawn of a new era, the world is in recession, and with interest rates so collectively low our focus returns to investing for growth, this means adopting a buy and hold policy into sectors that we believe to offer more resistance to this downturn that other previous stock market darlings.
We’ve put together a number of independent casino stock research reports and sector-specific information. Now, whilst they are not intended to provide any advice or recommendations we do put our money where our mouth is and run a modest portfolio. Further, there is game slot online casino that is our game; they are what we do, and what we know well. Yes, we are active gamblers but figure there’s no greater punt that investing in the fortunes (or otherwise) of those online casinos we choose to frequent. Our loss is their gain is our gain! We wouldn’t dream of claiming to have the inside track but we do have significant contacts within the industry that help us, ever so gently, to mold and form our opinions.