Since the economic crash of 2008, investing has become a hot topic. Investing tactics have been re-examined and modified in an attempt to avoid another recession.
If there was ever a time to learn about investing, it is now. The economy is getting stronger everyday and the charts show that the economy is rebounding to pre-recession conditions.
Three Laguna students decided to further explore the intricacies of the investing game. Armed with their interest in the stock market and with the help of Dr. Charles Donelan, these students have formed the Investment Club.
In October, Ben Rios, Tyler Hurley, and Max Mayrock talked about the stock market during study hall when Dr. Donelan showed them the stock market game: a national online game designed to introduce to students how the stock market works.
Starting out with $100,000, each student invested in companies such as Apple, Netflix and GameStop.
However, they soon realized that investing is much more than just thinking a company will do well but it is “very much oriented around the relationship between real world events, the fortunes of companies, and how the economy works in a larger sense” said Dr. Donelan.
“Through their motivation, they have come in contact with all kinds of issues having to do with globalization, the way the federal government works, and international trade issues that maybe otherwise would not have been as interesting to them but because it has an impact on their portfolio, suddenly they can’t wait to hear what’s going to happen.”
Currently, the Investment Club is in their second session of the game and the success they had in their first session has continued.
Freshman Tyler Hurley finished the first session as one of the top 50. He put Laguna into the top 20 in California out of over 500 teams.
Tyler envisions the club using real money one day, a goal he is pushing for next year and the progress of the club hasn’t stopped even though they are currently in a rough patch.
“Although my portfolio has gained 6 percent, my investment in Apple hasn’t gone as well as I’d hoped.”
This quarter hasn’t been as positive as the investment club hoped, their portfolios are doing well and they are either breaking even or making a profit.
Next year will be an interesting year, especially if they introduce real money, the risks will be even greater.