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High Wealth Investing

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High Wealth Investing Empty High Wealth Investing

Post by [ADMIN] Billious 29/12/2013, 11:56 am

High Wealth Investing Pre_1399336989__guides

High Wealth Investing

High wealth investing is investing in low limit items with high prices and high risk. Due to low limits on high wealth items you're very limited with price checking the item. For that using the friends chats for regular price checks is essential. You should already be familiar with them and how they work from other guides in this section. If done properly investments can yield you millions, but due to high wealth items having a close connection with the Runescape economy it can at the same time result in a huge loss. So whenever something affects the Runescape economy it will probably indirectly affect the high wealth items. That's why investing in high wealth items requires a lot of focus and work as the market can be very unstable sometimes, specially around times of big updates.

One of the classic examples is BXPW (Bonus XP Weekend). Many people have their money stored in high wealth items and with the release of BXPW news post they had to untie the cash to invest in it or buy supplies. That led to a huge crash of high wealth items even though the update wasn't directly linked to them.

High Wealth Investing P5lk

Graph: Partyhat were crashing constantly during February and beginning of March since most people sold them to stock for supplies for BXPW which happened on the 16th March. Many of them probably sold off their investment stock before BXPW actually happened then reinvested in hats which as you can see started rising a few days before the BXPW.


Starting Off

If you have no knowledge on flipping high wealth items then I suggest you stay away from investing in them. Gain some flipping knowledge on them and after that you can start with investing. This will give you a better idea of how they tend to react to changes in the market.

Buying the Stock
When buying the stock make sure you check the latest updates in a friends chat. After you found a price check buy the item as you would active flip it but add a little more to the low price just to make sure you buy a full limit. When buying the stock don't put a buy offer in for like 5-10 limits, but buy it spontaneously just in case you haven't caught the lowest price. With high wealth items buying your stock too high may mean the potential millions of profits lost due to higher buy price. Not to mention these items have a much lower trade volume than others so there's a good chance that while crashing there will be periods of extremely low volume of offers in grand exchange meaning you'll able to buy your stock even cheaper then you've expected.

Selling the Stock
Selling should be the same as with active flipping the item. If your stock isn't selling just readjust the sell offer to a lower price. If you have a low amount of stock you can try selling even higher then reported sell price in friends chat. If it doesn't sell, just sell it for less.


Short Term Investing

There are two main kinds of short term investing in high wealth items: popular price investing and set investing.

Popular Price Investing
This is a well known support level on high level market. Numbers like 100m, 110m, 200m, 1b, 1.1b etc. act as the support level and when an item is about to reach them it bounces back up. The reason for that is many people who quit or don't merch actively leave their buy offers at these prices hoping to get lucky. Not to mention many players have a psychological aversion to breaking these round numbers both on rising and falling items for some reason. Due to the low volume of trades for these items it's more likely to happen here than somewhere else.

This usually only works for 1-2 times and after that the item may break right through it. Set up your buy price above those numbers (I suggest a bigger overcut this time as you won't be the only person noticing this) and after it bounces back sell the item.

High Wealth Investing C4vo

Graph: When divines hit 100m for the first time they rebounded back 4m and then on the second time they bounced 3m.

Set Investing
High wealth items of same type are closely connected between themselves. If torva platelegs and platebody rise then it's a high probability that torva full helm will follow. If you notice this at the right time you can buy in for some quick profit. Having a few similar items like these increases the amount you can buy before they rise, maximizing profits. Just be wary of investing all your money into one set/type of set as a sudden update can crash them giving you very little time to sell for profit.

High Wealth Investing 9avg

Graph: Julij2 tracked some of the high wealth items by himself. This is the graph made out of his gathered data. As you can see all four item rise/fall almost simultaneously.

Long Term Investing

This is either graph investing or update investing. They pretty much work the same as with other items the only difference being limits and price. The only thing you have to remember is that this is extremely risky as these items can be greatly affected by future updates even though it may not directly concern them.


Special thanks to Julij2 for making this guide with the help of the Investment Mentors Pudd, Connor and the help of Minato.
[ADMIN] Billious
[ADMIN] Billious
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