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http://www.hsx.com

By Jeannie Ben-Hain

In the URL above, HSX stands for Hollywood Stock Exchange. At this site, users are able to buy, sell, and trade stocks and bonds just like in the real stock exchange. Instead of companies, here stocks and bonds represent movies that are in theaters or in production (any stage), actors and actresses, music artists, and musical albums. When a user signs up to join, they are issued "Hollywood Dollars (H$)" which they can use to invest in the market. Just as there are different exchanges on Wall Street, hsx.com has separate Music and Movie Markets. Fortunately, you can trade separate accounts on these and one market does not affect the other. The change in the prices of each security is based on various factors: the volume bought and sold by traders, the box office revenue (for movies currently in theaters and their respective actors), and the sales for musical albums. Other features of the HSX parallel the activity of the actual stock market. Traders can buy and sell, but also 'short sell' stocks and bonds. The market sometimes offers stock options, usually in the form of projected box office for movies coming into theaters, but also for other events like the expected lifetime of members of the Survivor II cast. As new stocks and bonds are introduced into the market, they are IPOed (initial public offering) and offered at a set price for the entire day. The website offers movie and music news so that traders can keep up to date on trends and events that will affect the market.

As a person who has always been intrigued by the workings of the stock market, but never brave enough to risk money in it, this site is a great place to see how it all happens. With "Hollywood Dollars" I can virtually risk my shirt on a questionable security and see if my luck will pay off.
At the same time, since I have a keen interest in film and music this is a way to make that knowledge pay off. I can invest in movies I have seen and think will do well or stay away from actors that I have watched in a bad movie. My only complaint is that the stock exchange requires a lot of attention. Movies are constantly coming out in theaters, being brought into production, and news about the industry is always flowing. Because this is a site that interests me and entertains me I spend some time on it weekly, but not enough to be a true player of the game. That requires constant surveillance of the market to take advantage of fluctuations in stocks.
Instead, I'm content to make some money here and lose some money there and end up approximately even in the end.

I am impressed with how closely it imitates the rituals associated with Wall Street. Traders pay commissions on any transaction they make and can call up charts showing previous activity of a particular security. There is even a link which pops up a window with a streaming ticker similar to those you can watch on business news on TV. I have found this ticker window fun to watch but not exactly useful in my trading activity.

In terms of a website devoted to the happenings in the movie industry, I find hsx.com to be a unique way to deliver news to its readers. Not only can you read about Julia Robert's latest project, but also you can predict its success when it finally reaches the box office. I think a nice addition to the site would be the ability to track your rating in relation to other players who are in your financial bracket (in terms of "Hollywood Dollars") over a long period of time. The site currently gives you your overall rating in terms of all of its users. You can also create your own personal league with friends to compete with one another. This could be a variation of that same type of league, in that way you can have an idea of how the market is doing overall to other members. Some future versions of this site could include markets devoted to other industries or perhaps a political stock exchange where you could trade senators and representatives as stocks, bills and laws as bonds, and read up on the latest Capitol Hill news. Still, in relation to music and movies, HSX.com is the place to go to try to make a fortune on your favorite actors and musicians!