Stock Market Game Instructions 2011

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Economics-Ippolito
Name: _______________________
Economics Stock Market Challenge
Rules of the Game:
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You will receive $100,000 to invest and you have 7 days to invest the money
You must own at least 4 stocks at all times (don’t put all your eggs in 1 basket!)
You must have a minimum of $70,000 invested in stocks throughout the game
o -10 point penalty for portfolios which do not follow guidelines
You cannot buy a stock with a price below $5 dollars per share
Each trade costs you $25 in commission fees. Be careful! Excessive trading is expensive!
You can enter trades 24 hours a day, 7 days a week from any internet connection
You can buy stocks in companies, other countries, mutual funds & various commodities, etc…
Stocks must be listed on one of the following exchanges: NYSE, AMEX, Nasdaq or OTC
Entering Game Instructions:
Step #1:
Go to my website and click on Stock Market Competition Section (find game link)
Step #2:
You will need to create a virtual stock market game account to join our game
Click on Please Register create an account
IMPORTANT: Under Display Name use your 1st name (I need to recognize your portfolio)
Step #3:
To the left click on “Join a Game”
Step #4:
Type in your class game ID:
Step #5:
Once you establish an account, pick your stocks based on your stock analysis below
_________________________ & (ask me for ID & password)
How to Choose your Stocks
Step #1: Log onto: http://finance.yahoo.com/
Step#2: Develop an overall portfolio strategy:
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How much risk do you want to take?
low
medium
high
How many stocks do you want to own?
5
10
15+
What sectors do you want to invest in? Do you plan to invest all of your money?
Step #3: Begin your stock research on Yahoo.finance.com to help pick your stocks
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Record your first 6 trades below:
Example: Starbucks
SBUX
Name of Company
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2)
3)
4)
5)
6)
Look up stock symbols & Graph recent stock prices
Find P.E. ratios
(will you buy both low & high P.E. stocks?)
Compare market capitalizations:
o Small Cap < 1 billion
Mid Cap 1-5 billion
Large Cap > 5 billion
Compare two stocks on the same graph and versus a market index
Symbol
200 Shares
Number of Shares
$40.00
Price Paid
$8,000.00 (# shares * price)
Total Money Spent
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