Simulations and Integrated Learning
in Investment Education
Enyang Guo
Millersville University
September 19, 2014
EFA 2014
Abstract
 Stock-Trak Global Portfolio Simulations introduce a
hands-on learning experience for students to understand
investments and allow the instructor to integrate the
variety of course contents into the simulation.
 Engages the integrated learning efforts from students
 Stimulate the interests of investment
 Build up a sound knowledge base for financial markets
 This presentation discusses my teaching model with using
the simulation, feedbacks from the students about the
simulations, and my thoughts for future reference.
EFA 2014
A Brief Overview of the Simulations in My Class
 Every student manages a $5,000,000 portfolio, and 300
trades during a 3 month time period;
 Students can buy, sell, buy on margin, and sell short
almost all common stocks, bonds, foreign currencies,
mutual funds, futures and options in the United States
and selected foreign countries;
 Students are required to trade stocks, bonds, mutual
funds, futures and options that are covered in the course;
 Class presentation and final report to check the learning
outcome.
EFA 2014
The Teaching Model
 Initiate the portfolio – Getting Started doc
 Portfolio structure and allocation
 Strategies and risk tolerance
 Do research to pick up the securities
 Weekly class review about the project progress
 Ranking in trading frequency, value of the portfolio, and Sharp
Ratio review
 Every student makes one presentation to the class
 Report the progress of the project, trading strategies, etc.
 Share good idea and lesson learned from the trading with
classmates
 A short written report about the presentation
EFA 2014
The Teaching Model
 Hands on experiences
 Sale short
 Trading futures
 Most favorite trading and most lessons learned
 Margin requirement and mark to market
 Trading options
 Comprehend to make an investment decision
 Trading call/put vs. exercising the option to complete
the trading
EFA 2014
The Teaching Model
 Final report is due at the end of the 3 month
 A summary of the trading activates and strategies
 A report of trading outcomes overall, profits and/or losses
 The lessons learned from “making money” and “losing
money”
 What have learned from the project
 Appendix including all the weekly statements of the StockTrak account
 Charts and tables, and the contents do not beyond 6 pages
(excluding the statements in the appendix).
EFA 2014
The Teaching Model
 Grade of the project
 20% of the course and based upon the learning efforts of
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managing the portfolio
How many trades and trading frequency
The efforts to try new methods learned through the course,
investment strategies developed management of the
portfolio
The class presentation and the report with the presentation
(peer evaluation) survey review
The final report of the project
 Project report card eg
EFA 2014
The Teaching Model
 Manage the portfolio and integrate the simulations with
the course materials
 There are tasks in each chapter to link to the project
 Hands-on experience enhance the learning that make challenging
textbook material easier to comprehend
 Short sales
 Trading futures
 Trading options
 Mini project to integrate the course contents into the
simulation OF
EFA 2014
Students’ Feedback
 The most favorite project in my college career!
 Overall I really enjoyed this simulation. It gave me a decent
grasp on how the market works … there is no such thing as
timing the market and making about average profits on a
consistent basis
 Overall, although I lost big and finished in nearly the bottom
of the class, I learned a lot. I was far from achieving the
portfolio with the greatest value, but I learned a lot of useful
information. I feel comfortable now reading quotes, as well
as creating orders for stock, bonds, futures, options and
spots. Being given the opportunity to make mistakes
without taking any financial losses was invaluable.
EFA 2014
Students’ Feedback
 The most favorite project in my college career!
 All in all, I can honestly say that this simulation has proven
to be one of the greatest learning experiences I could
imaging. I learned a lot from making money, and even more
from losing it. While finishing near the top of the class
would have been nice, I think I may have actually learned a
great deal more by finish at the back of it.
 What I truly gained from this project was a much better
knowledge on the workings of the stock market…not only
learned what a call and put were in class, but I was also able
to experiment with buying these different types of options
outside of the class…
EFA 2014
Students’ Feedback
 The most favorite project in my college career!
 This was probably one of the most fun, interactive
projects that I have ever done in my class. I spent more
time in this simulation than I have on any other project
and I fell as though I still needed to spend more. At
least now I feel a lot more comfortable when it comes
to investing. I am looking forward to using what I have
learned through the class and the stock-trak simulation
in my real life and building my own personal portfolio.
EFA 2014
Students’ Feedback
 The project has been very easily the most valuable project I
have ever been involved in during the course of my school
career.
 The project taught me about the stock market
 I learned through the project to be an investor that involves
dedication, drive, research, and how investment works
 I had a misconception before that stock market is an easy
way to get rich quick…this project taught me even with
taking the right steps, doing the right research, and having
all the necessary information making money… it is difficult
at best
 Overall, this project will play an invaluable role in the rest of
my life as I plan on being involved with investing in some
way…it taught me more than I could have ever expected…
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My Thoughts
Good supports and accommodation from StockTrak
 An effective venue to achieve the outcomes
 Business want three-legged stools – graduates
with conceptual knowledge, practical
competence, and strength of character

EFA 2014