Stock Market Challenge

People invest in stocks for many reasons. The main reason is that they think they will be able to earn more money through their investment. However, sometimes people lose money on their investment. Therefore, to make the best decision possible regarding which stock to buy, it is important for the buyer to have reliable information about the company whose stock is being sold. Let’s see how you do at the stock market.

You have been given $50 000 to invest in the stock market using the Toronto Stock Exchange. Your task is as follows: . You must choose 5 companies (stocks) to invest in; these stocks must be traded on the TSX. . Track the progress of your stocks over the next FOUR weeks until April 3 rd , 2012. . You must indicate checking in on your stock investments at least twice throughout the four week period!

Upon completion the following must be handed in (entire portfolio is to be typed/computer generated):

Title page with a group members names 1. A one-page written summary of each stock (in paragraph form): - overview of company, type of industry (include products produced) and ticker symbol - explain why you decided to purchase each stock - explain why you decided to sell or hold onto each stock - graph for each stock to show the changes in prices between the time the stock was bought and sold. - Calculate the profit/loss for each stock 2. Transaction records (you should format a chart in word or excel similar to the one below)

Date Activity Description Quantity of Price/per Debit ($) Credit ($) Cash($) stock stock ($) purchased March 6/12 Opening 25 000 Balance March6/12 Bought Stewart 5 000 1.00 5 000 20 000 Inc. March30/12 Sold Stewart 5 000 2.00 10 000 30 000 Inc.

3. Individual written reflection (200-300 words) - What was the strategy used in choosing companies to invest in? What characteristics were used to determine which stocks to purchase? - Which of the stocks in your portfolio do you believe is the better long-term investment? Explain. - What are the benefits and drawbacks of investing in the stock market? - If you had the chance to start the competition all over again, explain the main changes you would make in your strategies

Toronto Stock Exchange: http://www.tsx.com/ - enter ticker symbol under Get Quote for price

FINAL REPORT AND INDIVIDUAL REFLECTIONS DUE TUESDAY APRIL 10TH Stock Market Challenge Rubric: 4 3 2 1 0 Gathering useful Excellent Good quantity Quality of Quality & quantity No Attempt information research & quality of research is of research is regarding firm, including firm, research adequate; limited industry & industry & including firm, Quantity is market market industry & limited relative conditions conditions market to the decision conditions being made Clear & Clear & Clear & Clear & Limited clarity & No Attempt comprehensive comprehensive comprehensive comprehensive comprehensiveness; investment plan throughout; throughout; in main parts; limited use of funds Good use of Adequate use of some funds not investment most used funds investment funds Conducting Thorough Good analysis Some good Limited analysis No Attempt economic analysis used to used to support analysis used to used to support analysis & support all most decisions support main decisions providing decisions Adequate decisions Fully supported & support for Decisions have decisions., Good decisions., clearly presented decision made limited consistent with consistent with connection to some key facts; most key facts; facts; presented for the most clearly unclear part clearly presented presented Transaction Records are 1-2 parts 3-4 parts 4+ parts missing No attempt records thorough & missing missing complete Investment Portfolio & Portfolio & Portfolio & Limited accuracy, No Attempt portfolio graph(s) are graph(s) are graph(s) are completeness and thorough, complete, complete, for organization in accurate and accurate and the most part, portfolio and logically organized accurate and graph(s) presented organized

Comments: /20

Individual Reflection Rubric: 4 3 2 1 0 Final reflection Contents reflect Contents reflect Limited insight Very limited No Attempt contents good insight some insight insight Does not pertain to questions Completion All questions Some questions Few questions One question No Attempt completed completed completed (2 completed (3 (missing 1) missing) missing)

Comments: /8