Think global,
act local!
Stocktrak Investment Game
Investment Simulation
Lecture # 1
Jan H. Jansen
E-mail: jan.jansen@han.nl
Stocktrak Investmentgame
Welcome!
You are now a millionaire!
US $ 5,000,000
Stocktrak® investment game (I)

The Stocktrak® investment game will
start from April 4th (and will continue until
August 8th).

Students can enroll using the following
link:

http://www.stocktrak.com/public/member
s/registrationstudents.aspx?p=IFC-ABSSPRING2011
Stocktrak® investment game

The costs are about $ 15.95
to be paid with a credit card.

Each student has to enroll indivdually

When students fulfill the requirements
(regular trade; assignments and final
power point presentation) we can issue
a certificate / grade this project.
Introduction to the game


Rules of the game
Assignments
1.
2.
3.
4.
5.

1 or 2 companies on NYSE / NASDAQ (during the game)
€ / $ exposure
Raw material price exposure
Investment in cash equivalents
Derivatives
Assessment / Evaluation:
–
–
Executive report on the stocktrak game
Presentation & Oral defence

Duration: One period of 8 weeks (although you can trade longer!)

Weekly Consulting Hour
–

Scheduled: Mr Nico Koomen & Mr Jan Jansen
References
–
www.stocktrak.com
Evaluation / Assessment


Executive report(60%)
–
Investment strategy
–
Performance
–
Reflection (what you have learned!)
Presentation (10%) & Oral defence (30%)
–
30 minutes per account
Investment Game & Macroeconomics
Week
Topic of consultancy
1
Introduction
Selection of a company (Assignment 1)
2
Constructing of an investment portfolio (Assignment 2)
•Bonds
•Shares
•Derivatives
3
Hedging risks (Assignment 3)
•Raw material prices
•Currency Risks
•Interest Rate Risks
4
Monitoring selected company (Assignment 4)
5
Topic to be announced
6
Draft quick presentation (5 minutes)
7
Oral exam
Stocktrak Investment game
Investment strategies



Gambling
Speculation (short term: 'BLSH')
Investment (long term)
Quotes

‘Buy low, sell high’

‘Take your losses and let your profits run’

' I knew better than the market‘ (John Maynard
Keynes)

' In the long run we are all dead’ (John Maynard
Keynes)

'The market is always right' (Milton Friedman)

'There is no such thing as a free lunch'(Milton
Friedman
Stocktrak Investment Game

Exchanges:
–
New York
–
London
–
Frankfurt
–
Shanghai
–
Singapore
Types of stocks










Shares
Bonds
US Treasury Bonds
Corporate Bonds
Options on shares
Options on currencies
Foreign Currency Futures
Commodity Futures
Index options
Index futures
Rules of the Game

Short position
–
–

Long position
–
–




Sell to open
Buy to close
Buy to open
Sell to close
Ticker symbols
Margin requirements & Commission
Trading hours: 16.00 hours NY (22.00 hours CET)
Stock trade: multiples of 25 shares or $ 500 (mutual
fund)
Stocktrak Investment Game
Calculation of your equity
+ Cash
- Debit balance (= Loan balance)
+ Credit balance (= Short sales proceeds)
+ Market value long positions
- Market value short positions
Exchange
Codes
North American Exchanges
NYS
New York Stock Exchange
NAS
Nasdaq Stock Exchange
ASE
American Stock Exchange
NF3
Nasdaq Mutual Funds
CEC
New York Board of Trade
NYM
New York Mercantile Exchange
CME
Chicago Mercantile Exchange
CBT
Chicago Board of Trade
OPA
Options Reporting Authority
VSE
Toronto Ventures Exchange
TOR
Toronto Stock Exchange
MEE
Montreal Stock Exchange
Exchane
Codes
European & Asian Exchanges
PSE
Euronext Paris
ASX
Euronext Amsterdam
BRU
Euronext Brussels
LIS
Euronext Lisbon
LIF
Euronext LIFFE
LME
London Metals Exchange
ISE
London Stock Exchange
MSX
Spanish Stock Exchange (Equities)
ZRH
Zurich Stock Exchange
FSE
Frankfurt Stock Exchange
ETR
Xetra
AUS
Australian Stock Exchange
Ticker Symbol
Company
Ticker Symbol
IBM
IBM
Dupont
DD
Heineken
HKHHF
Heineken ADR
HINKY
AKZO NOBEL
AKZOF
AKZO NOBEL ADR
AKZOY