Recently, the government in my country has been privatising big institutions, selling shares mostly to its citizens.
There is of course incentive to buy it from the government, they've been pushing it pretty hard.
Now. I'm a 20 something guy, I don't have a ton of money but im saving a bit. I could snag a few shares and hope they gain value.
Is it a good idea or is it bait and not worth it for someone on my level ?
It is a very logical question, considering the government advertizing to buy these shares.
But it reminds me a bit on the privatization of Deutsche Telekom back in the 1990s and 2000s. The "T-Aktie" was quite hyped, so in the first few years, the price went up like a rocket, up to 103 € in 2000.
But soon the share lost dramatically, reaching prices as low as 7,69 € in 2012.
While it might gain in value in the next tens of years, it is very questionable, so it was a very bad thing to begin with. (The events happening in that matter turned many Germans permanently away from the share market.)
In general, it is better to invest in a very diversified way. Of course, it is ok to try to invest in this company, but don't put too much money in it.
