simple thing about AI strategy in stock investment

General discussions about the release versions of Capitalism Lab
Abrutalism
Level 2 user
Posts: 47
Joined: Wed Sep 02, 2015 5:20 pm

simple thing about AI strategy in stock investment

Post by Abrutalism »

i just wondering about a simple thing
why the corp who use stock market strategy dont buy stock from the real estate corp
in game this kind of action is a AAA+ sure for long-term profits
but maybe not in the CES dlc, by the try i do in your pre test i not sure i will invest in long-term real estate corp stock (in CES dlc)

watch the screen shoot, overview of one of the biggest corp and a financial log history from the past year

https://www.dropbox.com/s/297zgu4av63yx ... y.jpg?dl=0
https://www.dropbox.com/s/gs6v1r948prgq ... w.jpg?dl=0

maybe the tech corp can invest too in the stock of a real estate business, that can give a minimum revenue and add player in the stock market

version 4.4.18/realworld 11.5
User avatar
eleaza
Level 8 user
Posts: 700
Joined: Sat Jul 09, 2016 2:40 pm

Re: simple thing about AI strategy in stock investment

Post by eleaza »

Real Estate corp is always a sure bet in the long run, just not a fast grower comparable when it's AI real estate corp. Perhaps there's something different about the new AIs than the older version AIs. I used to see quite a lot of corporations invest in real estate focused corps.
E is for Endear, all cute and cuddly
L is for Luxury, longing for splendid
E is for Elate, making others happy
A is for Amenable, a serene nature
Z is for Zeal, zest for wonderful life
A is for Admirers, all of you love me
Image
megapolis
Level 6 user
Posts: 342
Joined: Tue Jan 27, 2015 6:11 pm

Re: simple thing about AI strategy in stock investment

Post by megapolis »

eleaza wrote:Real Estate corp is always a sure bet in the long run, just not a fast grower comparable when it's AI real estate corp. Perhaps there's something different about the new AIs than the older version AIs. I used to see quite a lot of corporations invest in real estate focused corps.
Unfortunately I can see the opposite. I had to start the game in 4.4.18 by issuing the shares to the public the moment I can do it. Now my Real Estate empire is the biggest and the most profitable venture in game but half of it belongs to the public. 44 AI companies have 20 billions on their bank accounts in economy with 5% inflation and they cannot buy my stocks worth 1 billion. Also there are three Real Estate AI companies and none of them has a single AI Company as a shareholder.
User avatar
eleaza
Level 8 user
Posts: 700
Joined: Sat Jul 09, 2016 2:40 pm

Re: simple thing about AI strategy in stock investment

Post by eleaza »

megapolis wrote:
eleaza wrote:Real Estate corp is always a sure bet in the long run, just not a fast grower comparable when it's AI real estate corp. Perhaps there's something different about the new AIs than the older version AIs. I used to see quite a lot of corporations invest in real estate focused corps.
Unfortunately I can see the opposite. I had to start the game in 4.4.18 by issuing the shares to the public the moment I can do it. Now my Real Estate empire is the biggest and the most profitable venture in game but half of it belongs to the public. 44 AI companies have 20 billions on their bank accounts in economy with 5% inflation and they cannot buy my stocks worth 1 billion. Also there are three Real Estate AI companies and none of them has a single AI Company as a shareholder.
Do you have a save game file to show this. As I said maybe there's something wrong or different in the new AIs in 4.4.xx version. It's worth investigating. Maybe it's a bug? And you exactly describe what I said AI run real estate corp is never even close to human run corporation, so if they can invest in your much profitable real estate corps, why other non-real estate AI want to invest comparably poor AI real estate corps? And they do invest in your real estate corp right (unless there is a specific flag for AI real estate corporation, that AI with stock investing behavior couldn't recognize)? And a lot of AI corps don't invest in stocks at all, there's an AI personality determine the willingness for AI to invest in stock.
E is for Endear, all cute and cuddly
L is for Luxury, longing for splendid
E is for Elate, making others happy
A is for Amenable, a serene nature
Z is for Zeal, zest for wonderful life
A is for Admirers, all of you love me
Image
User avatar
eleaza
Level 8 user
Posts: 700
Joined: Sat Jul 09, 2016 2:40 pm

Re: simple thing about AI strategy in stock investment

Post by eleaza »

I am curious to see if there's much difference in the 4.4.18 AI stock investment. And from what I can see stock focused AI definitely do invest in real estate focused AI. And not just a fluke, 3 of 4 investor in this real estate corp are stock focused AI.
Real estate stocks.jpg
Real estate stocks.jpg (327.69 KiB) Viewed 1194 times
And by limiting myself from the game as best investment option as a private company and no activity, AI's investment behaviors look pretty normal to me. And does matching the assumption that stock focused AI invest in real estate corp do invest in the long term and they will even sell the stock and buy other stocks if its performance isn't as good as others.
Real estate stocks history.jpg
Real estate stocks history.jpg (334.26 KiB) Viewed 1194 times
Attachments
ELEA_002.zip
(4.34 MiB) Downloaded 81 times
E is for Endear, all cute and cuddly
L is for Luxury, longing for splendid
E is for Elate, making others happy
A is for Amenable, a serene nature
Z is for Zeal, zest for wonderful life
A is for Admirers, all of you love me
Image
megapolis
Level 6 user
Posts: 342
Joined: Tue Jan 27, 2015 6:11 pm

Re: simple thing about AI strategy in stock investment

Post by megapolis »

Here's my typical real estate situation. This one is from current build. Save game is irrelevant. This situation is the same all the time. It is how it is now and it was this way all the time, even in Capitalism 2 20 years ago. From my observations Stock focused companies have priorities.
1. Retail Focused
2. Profitable Diversified
Where go real estate companies on this list I don't know because Stock focused are out of money between items 1 and 2. And they almost never pay any dividents to invest them.
As for OPs idea that tech focused companies should save their money in Real Estate companies, I think it could be useful but still risky. In current state of the game real estate companies stock price is always below equity per share because of lack of demand for these stocks.
Attachments
real estate2.jpg
real estate2.jpg (1.18 MiB) Viewed 1191 times
real estate1.jpg
real estate1.jpg (1.25 MiB) Viewed 1191 times
User avatar
eleaza
Level 8 user
Posts: 700
Joined: Sat Jul 09, 2016 2:40 pm

Re: simple thing about AI strategy in stock investment

Post by eleaza »

megapolis wrote:Here's my typical real estate situation. This one is from current build. Save game is irrelevant. This situation is the same all the time. It is how it is now and it was this way all the time, even in Capitalism 2 20 years ago. From my observations Stock focused companies have priorities.
1. Retail Focused
2. Profitable Diversified
Where go real estate companies on this list I don't know because Stock focused are out of money between items 1 and 2. And they almost never pay any dividents to invest them.
As for OPs idea that tech focused companies should save their money in Real Estate companies, I think it could be useful but still risky. In current state of the game real estate companies stock price is always below equity per share because of lack of demand for these stocks.
What "Save game is irrelevant"?, if you don't show us what's exactly in your games, how would we know if it's just a setup issue, or really is a bug you encounter under specific conditions. And how would the developers even begin to fix it, if you think there's problem with it? Do you want to fix this problem or not? I already showed a save file with current build that stock focused corps DO invest in real estate focused corps, and not just 1, but 3. So the AI definitely do recognize real estate focused corop. So this must be a problem in your game setting, or a combination of some unique situations.

BTW, there's no real estate focused strategy AI in Cap 2, only diversity, retail, production, and stock 4 different kinds of AIs. Don't put out plainly wrong statement about how stock focused AI always don't invest in real estate AI and always behave like this.

And it's pure conjecture that stock focused AI prioritize specific strategy corps. I've made another test game, and you can see the stock focused AI Speedy Avion, and its investment history where it's first investment is to a real estate focused AI Quest Intl. at the 10th day of the 1st year, and 3rd investment is also a real estate corp Super Force. And another investor of the real estate focused AI Quest Intl. is also a stock focused AI Vita Nexus. Just load the save game and see for yourself. And it's just 3rd year into the game.
Attachments
Real estate Corp list.jpg
Real estate Corp list.jpg (397.99 KiB) Viewed 1179 times
Stock focused AI Speedy investment history.jpg
Stock focused AI Speedy investment history.jpg (409.69 KiB) Viewed 1179 times
Stock focused AI Speedy.jpg
Stock focused AI Speedy.jpg (340.83 KiB) Viewed 1179 times
ELEA_005.zip
(2.57 MiB) Downloaded 70 times
E is for Endear, all cute and cuddly
L is for Luxury, longing for splendid
E is for Elate, making others happy
A is for Amenable, a serene nature
Z is for Zeal, zest for wonderful life
A is for Admirers, all of you love me
Image
megapolis
Level 6 user
Posts: 342
Joined: Tue Jan 27, 2015 6:11 pm

Re: simple thing about AI strategy in stock investment

Post by megapolis »

This dialogue does not make any sense. It's your save game with (oh, god, it's incredible) staggering two investors with 8% share in total against my save without any investment at all. The fact that you provided save game and I did not does not make you right.
What I am talking about is experience across my last 50 or so games. Providing you 50 save games make sense but I won't do it. Too much effort for nothing.

Returning to my experience across all my previous games. In all my games I use the same pattern. First I create profit enough to support my Stock market intervention. Once I start this intervention I look at the whole market and even make a spreadsheet with all the initial data. At that moment I have a thorough overview of the market and start picking my goals.

First I have to buy all the remaining stocks in popular targets. Second I have to buy stocks that are rising. Third I have to buy all the remaining stocks and then buy out everything.

First category always consists of Retail Focused companies. They always attract much attention and buy out their stocks.
Second category consists of Diversified companies that make profits.
After that I buy Real Estate focused companies (the ones with unbelievable 8% bought by other investors leave me with around 85% stocks instead of 93% to buy and go first) and others (Stock, Tech and Media)

This pattern never changed and this is my experience. And, yes, I agree, me experience is completely wrong because I will not defend it like I won't ever defend my faith and my beliefs.
User avatar
David
Community and Marketing Manager at Enlight
Posts: 9302
Joined: Sat Jul 03, 2010 1:42 pm
Has thanked: 13 times
Been thanked: 42 times

Re: simple thing about AI strategy in stock investment

Post by David »

I will forward the request to improve the AI in stock investment to the dev team.
User avatar
eleaza
Level 8 user
Posts: 700
Joined: Sat Jul 09, 2016 2:40 pm

Re: simple thing about AI strategy in stock investment

Post by eleaza »

megapolis wrote:This dialogue does not make any sense. It's your save game with (oh, god, it's incredible) staggering two investors with 8% share in total against my save without any investment at all. The fact that you provided save game and I did not does not make you right.
What I am talking about is experience across my last 50 or so games. Providing you 50 save games make sense but I won't do it. Too much effort for nothing.

Returning to my experience across all my previous games. In all my games I use the same pattern. First I create profit enough to support my Stock market intervention. Once I start this intervention I look at the whole market and even make a spreadsheet with all the initial data. At that moment I have a thorough overview of the market and start picking my goals.

First I have to buy all the remaining stocks in popular targets. Second I have to buy stocks that are rising. Third I have to buy all the remaining stocks and then buy out everything.

First category always consists of Retail Focused companies. They always attract much attention and buy out their stocks.
Second category consists of Diversified companies that make profits.
After that I buy Real Estate focused companies (the ones with unbelievable 8% bought by other investors leave me with around 85% stocks instead of 93% to buy and go first) and others (Stock, Tech and Media)

This pattern never changed and this is my experience. And, yes, I agree, me experience is completely wrong because I will not defend it like I won't ever defend my faith and my beliefs.
There is always something fishy when people bring out faith and belief in their argument and provide 0 evidence to support it.

And we are talking about AI behavior not your own investment strategy. And your observation can be simply explain by those retailer has the least initial investment and most readily available constant cash flow, so its CEO will most likely start to buy back stock first and push the rising trend, and other AIs, and the diversify ones who manufacture will need to sink most of the capital from start, but once they are profitable, their market value shoot up very fast, as well as their cash, and finally, those who build real estate has little cash left, and their total asset only slowly rising, hence the stock AI definitely has the right idea to put some sure bet very early on (in fact retailer is a much safer bet usually), and then gamble the rest with diversify corps. So problem is only about the investment portfolio of stock asset ratio, more conservative, or more risky options, and how diversify these Stock Focuses AI are.
E is for Endear, all cute and cuddly
L is for Luxury, longing for splendid
E is for Elate, making others happy
A is for Amenable, a serene nature
Z is for Zeal, zest for wonderful life
A is for Admirers, all of you love me
Image
Post Reply