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The Stock Market Game™ Program. Investment Challenge. Did you know?. Approximately 40,000,000 Americans, “the unbanked”, are not using mainstream, insured financial institutions 48% of credit card owners only pay their minimum monthly payment each month
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The Stock Market Game™ Program Investment Challenge
Did you know? • Approximately 40,000,000 Americans, “the unbanked”, are not using mainstream, insured financial institutions • 48% of credit card owners only pay their minimum monthly payment each month • One in four women currently retires on an income below the poverty level • -JumpStart
Did you know? • University administrators state they lose more students to credit card debt than to academic failure • -JumpStart
Did you know? • Up to 20% of baby boomers will live in poverty after they reach age 65, roughly double the current proportion, unless there is a “substantial and sustained saving effort.” • -SIA
Our Mission The Stock Market Game is a comprehensive, engaging, real world program that advances student academic achievement in the core disciplines and enhances understanding of investment concepts among learners of all ages.
What is it? It is a proven, educational tool for schools to enhance the learning experience in the classroom
More specifically for you… The Stock Market Game program uses core subjects to teach business and economic concepts, while practicing 21st century life skills and test taking strategies. The SMG is also proven to improve math scores on standardized math tests as well as financial literacy test scores.
Students see this as a game: • Hypothetical $100,000 • Stock/Mutual Fund prices based on real world prices • Simulation portfolio mirrors on-line trading accounts • Session runs for 10 weeks • http://pearsonfoundation-smg.org/
Important life lesson… The Stock Market Game Program instills an understanding of the need to save and invest at an early age.
Saving Vs. Investing: These are Not the Same Saving: money put in a bank (savings, money market, etc.) to preserve for a later time. Investing: stocks, bonds, mutual funds, and other uninsured assets purchased to increase a principal amount. Involves risk, as gains and losses are dependent on the market.
Power of Compounding: • Importance of Time: • The more time you have to invest, the longer your investment can compound, or grow in value. • - Compounding adds your investment earnings to your principal, forming a larger base on which earnings may accumulate, thus having the potential to grow faster. See time value chart.
Stocks Corporate bonds $2,285 10.4% Government bonds Municipal bonds $86.82 5.9% $60.56 5.4% $27.71 4.4% Relative Performance Year-end 1925–2003 $10,000 Ending wealth Average return $1,000 Treasury bills $100 $17.66 3.7% $10 $1 $.10 1925 1935 1945 1955 1965 1975 1985 1995 2003 Hypothetical value of $1 invested at year-end 1925.Assumes reinvestment of income and no transaction costs or taxes.
What does this look like? How much time does it take?
A Peek at the Student Portfolio • On-line trading and research • Region and Coordinator rankings • Self-Help “Yellow ? Mark” • Rules of the Game
Student Portfolio Always check the Team Information box to be sure you are in the right Region and Region Trade Type. Student Teams have access to a simulated “real world” online trading portfolio.
Teacher Support Center Provides • Online teacher training and technical assistance • Lesson plans and teaching resources • Team management tools • Up-to-date SMG program news
Three Main Tabs Color-coded Expanded News Box
Basics • Every student registered in SMG Program is eligible • Participate by writing essays in your grade division • Each topic relates to investment principles linked to the SMG Program • Teachers, students, schools and parents have a chance to win! Gift certificates, laptop computers, trips to New York and Disney World!
InvestWrite • Critical thinking component to SMG. • Builds a bridge between classroom learning and the real world • A method of assessing individual student performance through writing. • Provides incentives for student achievement through awards and prizes. • Available only to registered SMG teachers and their teams. • Learn more at www.investwrite.info.
To Register Visit http://www.stockmarketgame.org for information about The Stock Market Game program OR Naomi Richardson EMAIL: nrichardson@nccee.org PHONE: 919.791.1995