Author Topic: The Stock Market Game  (Read 3697 times)

pipercat

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The Stock Market Game
« on: March 26, 2015, 04:35:27 PM »
Do any of your kids do this at school?  My 12 year old does this in her class.  It's pretty cool to see her checking Yahoo Finance all the time and talking about investing.

Apparently, her group "owned" some shares of Kraft Food, but they sold them just before the recall.  Today she came to me and said she wishes they had kept it because Heinz just bought Kraft.

Hopefully this interest in investing will continue as she starts to earn real money.

patricles

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Re: The Stock Market Game
« Reply #1 on: March 26, 2015, 05:57:16 PM »
That's awesome, I wish my financial education began that young.  My high school cancelled the only financial course the offered the year before I planned on taking it.

Hopefully they're teaching about the advantages of diversity, index funds and low cost, although those topics might be over the heads of children (plenty of adults don't seem to grasp it).  But any financial education at a young age is better than none.  Maybe continue it at home with her once her class moves on to a different subject?

deborah

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Re: The Stock Market Game
« Reply #2 on: March 26, 2015, 06:16:04 PM »
In Australia the stockmarket game is open to anyone. There are actually two - one for schools and one for the public. It enables people to understand what they are doing before they trade for real.

http://www.asx.com.au/education/sharemarket-games.htm


pipercat

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Re: The Stock Market Game
« Reply #3 on: March 27, 2015, 08:48:54 PM »
Yes, but I only have index funds. No individual stocks.

phantom

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Re: The Stock Market Game
« Reply #4 on: March 30, 2015, 02:13:57 PM »
We played a stock market game in school when I was around 12.  It was about a year before I used the internet for the first time, so we were taught to look up stock prices in a newspaper.  This was in a math class, and the main focus of the exercise was figuring how many shares we could buy with a certain amount of money and figuring out what the balance would be after a certain amount of time.  I picked stocks based on what ticker symbols I liked and most of the ones I picked lost money.

I walked away from the exercise thinking stock price movements were pretty random and that buying stocks was a form of gambling.  If I recall correctly, my parents tried to explain that if people thought a company was doing well, stock price went up, and if people thought it was doing poorly, stock price went down.  But, I didn't realize that there was anything in the real world that ever tied stock price to the actual value of a company, and I didn't want to bet on what other people were going to think about a company.  That perception scared me away from the stock market for many years longer than it should have.  While I suppose I was better off having lost fake money making random stock picks than real money, I wish someone had explained the whole thing better.  I at least wish someone had tried to convince me that there are less risky ways of putting money into the stock market than buying a handful of stocks based on a gut feeling and planning to sell them after a couple of weeks.

Luckily, it sounds like your daughter is learning a lot more about how stocks work than I did in school.  Very cool!

Travis

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Re: The Stock Market Game
« Reply #5 on: April 01, 2015, 04:36:46 PM »
Quote
We played a stock market game in school when I was around 12.  It was about a year before I used the internet for the first time, so we were taught to look up stock prices in a newspaper.  This was in a math class, and the main focus of the exercise was figuring how many shares we could buy with a certain amount of money and figuring out what the balance would be after a certain amount of time.  I picked stocks based on what ticker symbols I liked and most of the ones I picked lost money.

We did something similar in an Algebra class in high school. Since it was math-focused we didn't cover nearly enough about how the actual stock market works so I found the exercise a bit of a waste.  If the game was done in an economics class it would have been much more useful.