Game shows kids how to play

DID your share portfolio return 33 per cent during the past few months?
If not, then read on to learn the strategies of the ASX schools share market game winners.

While the All Ordinaries gained 7.5 per cent during the recent game trading period, the winning share market game syndicate achieved a share portfolio return of 33 per cent (from March 15 to May 13).
Each year ASX runs two share market games for high school students around the country.
Players receive $50,000 virtual dollars to trade in 100 stocks over a 10-week trading period.
This year, students again battled against one another and volatile markets for the main prizes.
With almost 40,000 students playing, over 68 per cent were able to increase the value of their portfolios.
The 2008 game one winners were Alex and Elliot, Year 11 students from Trinity Grammar School in Kew, Victoria.
They were kind enough to share their winning strategy with us.
"We focused on buying stocks that were either performing below the ASX 200, or well below their all-time price high," they say.
"In the end our strategy of buying stocks performing below the market, but in existing strong sectors, in the hope that they would realign with the market, proved to work and work well."
Hannah from Orange High School, who came first in NSW, has some wise words on how to outperform the market. "Throughout the game I would look at the performance of the companies I was investing in, whether through observing their (price) history charts or simply paying attention to the media.
"I tried to stick to companies I invested in so they had time to progress.
"I also kept some cash on hand so if one of my companies did decrease in value, I still had more cash to invest."
While the schools game is great for those still at high school, adults can play their own version of the game.
Twice a year the ASX Sharemarket Game is open to the public and runs over a 16-week trading period.
The public share market game is an easy way for new investors to test their skills in share selection and trading decisions.
Regular players state they appreciate being able to test strategies using live share prices with a hypothetical cash amount.
Players learn more about the charting, company research and watch-list tools available on the ASX website. The game offers great cash prizes and is free to play.
Once you have mastered the art of trading shares, the ASX also provides a safe online environment for you to practise trading ASX CFDs and futures.
The ASX CFD Trading Simulator and the SFE Futures Trading Simulator are both open for people to practise buying and selling these products, using live prices but without any risk to their capital. Both are free to play and accessible from the ASX website.

(Source: ASX Investor Education)