smart stock website
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( Group Project Cover Sheet SEM 142 ) ( MANAGEMENT SCIENCE DEPARTMENT ) |
SECTION : 1
STUDENTS DETAILS
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Student Name |
Student ID |
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INSTRUCTION FOR SUBMISSION OF HARD COPY (PRINT) PROJECT
1. Read and sign your cover sheet.
2. Attach this sheet to the front of your assignment.
3. Your assignment should be submitted to the relevant lecturer.
ASSIGNMENT DETAILS
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Assignment Title: |
FINANCE PROJECT : STOCK MARKET GAMES |
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Lecturer’s Name |
Ms Rohaya Shaari |
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Program Name |
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Course Code |
FIN220 |
Course Name |
Principles of Financial Management |
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Due Date |
WEEK 15 MONDAY before 12 noon |
Date submitted |
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REQUEST FOR EXTENSION
All work must be submitted by the due date. An application to extend the due date on the basis of special consideration must be authorized by the course lecturer.
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Extension granted until (date) |
N/A |
Lecturer’s Signature |
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Remarks:
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Cheating and assisting to cheat are offences under the Yanbu University College’s policy.
STUDENTS’ STATEMENT
We have read and understood the information provided on this assignment cover sheet and in the college’s policy relating to cheating and assisting to cheat, collaboration and plagiarism. I certify that the attached work is entirely my own except where work quoted is duly acknowledged in the text; that I have not worked with another person or persons except where specifically permitted by the lecturer, and that this work has not been submitted for assessment by myself or any other person in any other time. I have retained a copy of my work.
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Students’ Signature |
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Mark/Grade |
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Assessed by & Date |
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OBJECTIVE
This project provides an opportunity to get some hands-on experience applying finance theory to real firms.
GENERAL INSTRUCTIONS:-
1. Record all the information in the Word template (use Arial font with 12pt; 1.5 spacing).
2. You must submit your answer in both hardcopy and softcopy.
3. The deadline to submit this project is on Monday Week 15 before 12:00noon .
4. Late submission will not be entertained and will result in ZERO marks.
5. Group must consist of maximum of 5 students.
6. Grades will be assessed as a group and not as an individual effort.
7. The discussion for each question must be at least ONE-page long.
THE COVER PAGE SHOULD CARRY THE FOLLOWING: –
1. Name and logo of the University College
3. Subject code and title
4. Name of lecturer
5. Name and ID of every member of your group
6. Date of submission
INSTRUCTIONS
Refer to the guidelines as stated in the next page.
FANTASY STOCK MARKET GAME
In this project, you will be competing with your classmates in a Stock Market Game in smartstocks.com website. Each group will be given $1million of fantasy money to trade on any of the more than 25,000 stocks and mutual funds listed on the New York, NASDAQ, American, and other U.S. stock exchanges. SmartStocks.com provides a live stock game using real stock quotes. In this project, you will learn on how to trade online and invest in the stock market without risking your hard-earned money. You can test your new investment strategy before trying it out for real. Upon completion of the project, you will learn and apply concepts and principles we have covered in the finance class an incorporate them into your decision making when performing the stock trading.
INSTRUCTIONS:
Each group who is playing in the game will have to join smartstocks. Each group is required to have an e-mail address and password. Once you have joined the smartstocks, you are ready to play the game.
Please create one email address in order to join the smartstocks and play the game.
Go to http://www.smartstocks.com and click on get started now. Follow the instruction on the page to register.
(remember: one group one email account)
Give one name to your group for an easier identification. The group name with each member’s student ID and full name must be given to me by Sunday 8 March 2015.
To join the group:
Click on group on the top of the page to join the group. You will be required to enter the Group Name and Password .
i) Click group, group search
ii) Enter FIN220-142
iii) Click join
iv) Enter password : yucw
How to Play:-
Go to support (drop down menu) on the top of the page to read all required information in order to play. Follow each instruction carefully.
You can buy/sell a minimum of 100 shares per companies. There are no maximum shares to buy/sell. It is all depends on your judgment.
You have to monitor your stock performance in order to find the right time to sell or buy.
You are required to create a table that lists all your activities – buy/sell.
Ranking and grade:-
Smartstocks will rank group performance. Rankings are calculated based upon the percentage increase or decrease of each user's portfolio.
To see your ranking and compare it to your classmate, please click on ranking. The table will list down all the groups and their total earnings. Remember those who are in the top place of the rank will receive higher marks than those at the bottom. So be smart when you perform your transactions. Group with the highest ranking will get higher mark for the game section.
Research the market for company stock and ticker symbol:
Because this is a competitive game, you may want to do research on the stocksyou want to choose for trading. You may go to fortune 500 website, yahoo finance or hoovers.com to learn more about the companies. Before making any selection, from the information that you gathered from the search, you may examine which sector or industry you think will grow more rapidly, hence will give you more earnings than other sectors. Your selection can be based on the risk characteristics and your preference.
Number of Companies and Trading Period:
Each group must select a maximum of FIVE (5) companies (as your portfolio) to trade. Please record the information about your selected companies on the paper listed in my office. The selection of companies is on the first come first serve basis. Your portfolio cannot be the same with the other groups and your portfolio of stocks cannot be changed once it is created.
1. There is no limit of transaction in which your group should perform. It is all depends on your judgments and decisions. But all decisions (either to trade or not to trade) should be supported with careful analysis and reasoning.
2. All transactions must be conducted for about two months between March 9, 2015 to April 27, 2015 (Group ranking will be marked on April 28, 2015).
SUBMISSION OF REPORT – due in week 15.
After playing the game for about one and the half months, please submit a report in which you respond to the following questions:
1. Brief introduction on each company that you choose and the reason(s) why do you choose to invest in the company’s stock (at least two reasons for each company).
2. Briefly explain three reasons why do you choose your portfolio (portfolio means combination; provide reasons for creating this portfolio of stocks – at least 2 reasons).
3. Provide your plan or goal in table form for each company that you want to invest. Your plan must indicate how many shares you want to buy for the start and provide your reasons.
4. Summarize your transactions over the month stating specifically how many shares you buy, sell and your earnings per transactions. (Put in a table which you can get from the dashboard summary).
5. Based on the summary as per no.4, analyze your performance --- What did you do well and what did you do poorly in your investments over the past month? State which stock gave the highest return and the lowest return and provide the possible reasons for your performance.
6. Based on the group ranking, analyze your performance and compare it to those of your classmates. Analyze your ranking and explain the reasons. (Copy paste the ranking from smartstocks website. The ranking must be on April 28, 2015).
7. In doing the analysis, you may include the following areas: your performance compared to your expectation (goal), are you a good investor, risk return characteristics of the companies and as an investor, any problems that hinder your performance etc).
8. What did you learn from this project? (at least two reasons).
All analysis must be specific to your portfolio of stocks, not in general.
GRADING:
Your project’s mark will be given based on the following criteria:-
1. Information about the companies you choose and the reason for the selection – 20 marks
2. Playing the game and ranking – 50 marks
3. Overall conclusion and performance analysis – 30 marks.
SEM142 Page 5 of 5