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Investing in Open Source?
echrist1 asks: "I'm in my school's investment club, and I'm in charge of investing $10,000 (real money) into technology equities. Clearly I want to make a profit, but I also want to do something to help the Open Source movement. Does anyone know of mutual funds that invest specifically in companies that further Open Source?"
I'm assuming two things that are implied but not clearly stated in your question: 1) The money that you are investing - or at least some of it - is not yours, and 2) You like open source, but the owners of the money have not specifically requested an open source preference. If either of these are false, please ignore my post.
Assuming those two to be true, you should not even be considering the issue. If you are playing with someone else's money - even as a learning exercise - you have an obligation to act in their best interests. Otherwise, you're just doing a Halliburton on a smaller scale. Save your good intentions for your own money.
BTW, Sorry to criticize. I like the idea of supporting open source. It's just not the legally or morally proper thing to do here.
limiting yourself just to tech stock.
Invest in something proven,opensource does not have a trackrecord that i know off.Put it in other equities based on financial research and ratios.
Maybe you've decided that open source will be the most profitable type of investment, but I think you chose open source for more ideological reasons. If your goal is simply to make as much money as possible, then pick your investments according to that goal.
Both of these companies invest heavily in open source, and are pushing Linux. I'd have recommended Novell as well, but I don't know what effect the Novell-Microsoft deal will have in the long term.
We all know what to do, but we don't know how to get re-elected once we have done it
You seem to be under the impression that if you buy $1,000 worth of Red Hat stock (for instance) that the money somehow goes to Red Hat. This is not correct.
The issuing company got their money at the IPO. When you buy that $1000 worth of stock, your $1000 goes to the previous stockholder, and *none* of it - not a dime - goes to the issuing company.
The only benefit the issuing company has - and it's an indirect benefit - is that if you buy that $1000 worth of stock you create a slight upward pressure on the stock price, which, in turn, will increase the "market capitalization" value of the company.
Frankly, if you want to help Open Source financially, your best bet is to take a percentage of the profits and donate it to your favorite non-profit Open Source entity.
-Maple Syrup
I have been watching it as well. In fact, I remember it from the late 80's. The simple answer is that if you are investing OTHER peoples money, you must pay attention to what will make money. In fact, if you are here asking, then you really MUST pay attention to what will make money shortly. Considering the world situation, tech can be blown out in 100 different ways.
Try energy. Oil is a good one. It is almost certain that W's tax cuts will be removed (and soon), but the simple answer is that China and India are are on a tear. They will be increasing demand on ALL oil resources. I would look heavily at any oil company. In addition, consider nukes AND alternatives. High Oil prices combined with Global warming will force us down this path. Wind energy companies are good ones. GE and westinghouse power are interesting.
Finally, consider looking more around the globe. America is heading towards a major slow down. W has ran up a major deficit like Reagan did. In addition, he is spending all sorts of money on funding the war, tearing apart EPA, buying the most expensive drugs for seniors, etc, and even cutting alternative energy research WHILE giving tax cuts to oil. Combine with moving core manufactuering to China, and you will soon see a collapse in our money policies. It is only a matter of time before the dollars starts to sink and we will be forced to raise interest rates AND taxes to keep foreign money flowing into America. This would normally induce a major global depression (think 1930s), but enough business is globalized as to allow the other markets to move forward without us.
I prefer the "u" in honour as it seems to be missing these days.