Stock Market Simulation

A strategy that I have used during the Sifma Stock Market Game is a strategy called, “value investing.” From the research I have conducted, I have learned that value investing is a very popular long term investing strategy where one buys a stock that is believed to be “undervalued”, and hold that stock until it reaches its true value. There are many well-known investors who are known to use this strategy, a few investors who follow this strategy include Warren Buffett, Benjamin Graham, and Seth Klarman. With this in mind, it is good to know that this is one of the top investing strategies and has been for a very long time.

The first strategy attempted by the group involved timing trades based on daily market performance and expectations. Based on our predictions, shares were bought during the early hours of trading and by mid-day, the group had a good idea what would be kept until the next day of trading and what would be sold by close. This strategy made use of daily market news and reports to help predict short term changes; little attention was paid to long term potential as the group felt the timeframe the simulation take place in was too short. This strategy, while mildly successful, was not earning large enough gains for the group's portfolio. Many of our gains would be negated by the commission the simulator charged per trade. This strategy later evolved to include larger equity purchases on Fridays before the market closed for the weekend. These

Monday, September 10, 2012, I started Stock-Trak, an online portfolio game. Stock- Trak allowed me to gain hands on experience testing different investment strategies in a risk-free, yet realistic environment. From September 10 to November 16, 2012, I took part in one such simulation by managing an online Stock-Trak portfolio. I was given an initial amount of $100,000 pretend cash with which to invest. All monetary decisions were at my discretion. This paper discusses my trading experience , my portfolio’s performance, the strategies used during the simulation, what I learned in the process, and how I will implement the knowledge gained from the simulation in future investments.

Some of my best investments were in Apple and Nintendo. I bought 75 shares of Apple for $111.48 and at the end of the simulation, they were worth $118.92, giving

The Stock market simulation provided a variety of lessons, tips, tricks, and skills on how to play with the stock market without the risk of losing real money. From the beginning of the simulation I came in with little to no experience on how to play, to ending up as the number two ranked person in the class. Throughout the simulation I used trial and error, real life research, and just plain old in order to turn a profit through this weekly assignment. During the entirety of the of the stock market game one of the primary lessons I learned while playing was patience. Once I started losing a little bit of money at the beginning of the game I would sell the stock and buy a new stock that was at that time doing “goof”, not know-ing that the

The advertising strategy was also to be an immediate market follower. J.D.B.T.’s advertisements were modified by comparing them to the top rated brands’ advertisements. This worked well until R&D came into effect. Other companies were able to advertise titles such as Highest Performance Processor, and Technical Leader Most R&D. We had a decline in our advertising because we did not strategize in the beginning to invest in the R&D as fully as other companies.

The stock market game assignment was a new learning experience. The simulation gave us $100,000.00 to buy and sell domestic equities. The guidelines made the game a bit more straightforward by not allowing students to trade certain items. This assignment gave students the opportunity to see how the trading market works. Overall the stock market game assignment was a great way for any student to learn how the market works by having hands on experience with buying and trading their own stocks.

Forex simulators are compared to PC games. The player has a mission to accomplish and repeating the games so many times can lead to perfection. The forex simulators also works this way, it requires a lot of practice, repetition, and reinforcement to be a good trader.

Throughout the Wall Street Survivor investment simulation, the investment strategy used was constant from start to finish. The strategy was to buy the market, which entailed buying multiple shares of different index funds some of which were: The Dow, The Vanguard 500, The S&P 500 and many more. An index consist of a portfolio of securities that depict a particular portion of a market. Index funds increase in value when the amount of rising stocks outweigh the number of decreasing stocks yielding a return of some sort. In taking the risk of buying the whole market, all of the indices purchased would lower our losses due to some of our indices betting against each other. This safety insurance was conducted through the purchase of VIX and VIXH which would make money in most scenarios. The reason for buying shares in these companies was that VIXH shorts VIX and other indices which in theory means selling shares that an investor doesn’t have to make cash. However the trick is that one has to cover

The stock market has always intrigued me and I have since been eager to learn more about it. Starting back in January of this year, I ordered three textbooks on stock trading to become more informed on the subject. After reading these books, I gained further insight on stock trading which led me to open my own brokerage account where I could buy and sell stocks. I started by playing a stock simulation which was very similar in concept to StockTrak, a program we used in this class. I found that this helped provide me with a hands on experience which helped familiarize me with stock trading and learning how to manage and use my money efficiently. I continued to play this simulation for about two months and during this time my portfolio grew about 4%, which provided me a confidence boost and motivated me to invest in my real money into the stock market. In March of 2015, I officially began trading in the stock market and I continued to learn along the way. As of now, I have roughly nine months of stock trading experience. As stated previously, I have always had in interest in the stock market, but I never acted upon it until as recently as earlier this year. My interest in the stock market was peaked because I enjoy taking risks and the stock market

The Stock Market is a vast and confusing setting. It has influence on many aspects of the economy like pensions, bond markets, and even retirement accounts. However, many aren 't educated about how the Stock market works, how it affects the economy, the difference between stocks versus bond and mutual funds, nor the amount of illegal activities taking part within the stock market.

Our task for this project was to play a virtual stock market game on www.marketwatch.com. We had to read market related news and then buy and sell stocks of NASDAQ based on that news. I started playing from the 9th February till the game ended on 21st April. At the end of the game, my ranking was 11th out of 24 players and I had made a profit of $5401.48 at the end. I had actively taken part in this game, playing most days of the week when possible. I have learnt that stock prices do follow a random walk like we learnt from this course and that any new information that affects the stock prices has immediate

The purpose of participating in the stock market game is to explore the fundamentals of the stock market. It does this by providing a tangible, real-time simulation of the stock market, and how current events affect the DOW. The stock market game also teaches students to make smart decisions and most importantly to be patient.

For the last 5 weeks in Cal Careers, we have been doing a simulation with the stock market. The amount of money we started with was $5,000. We observed different companies’ stocks and decided which stocks we wanted to buy. After buying stocks from 6 different companies, we recorded the amount of money they made us that week. As the weeks passed, we had to decide whether or not we wanted to keep our stocks or sell them. By the end of the simulation, we either made money or lost money.

Playing the stock market game taught me how to invest through trading with stocks among companies. I believe that it would give me insight in the future when I’m dealing with real-life investments giving me the knowledge of buying, selling, shorting, and covering. Using actual money rather than theoretical money seems quite scary when it’s lost whenever it’s unpredictable where the money will end up. In my opinion, I think that the main purpose of the game is to demonstrate the reality of stocks and how they function. Even though the game was fake, it gave me real worries about the chances that I could have made either losing it or winning it. Although I did not win, it did give the experiences that I need for my daily life. I should instead go with my instincts