Stock Trak Assignment for BFIN 3321 – Principles of Financial Management
Purpose: To give students a better understanding of the U.S. stock market by participating in a stock market simulation exercise. Each student will start with a portfolio of $1,000,000 in cash and have the opportunity to invest this money in stocks, bonds, and mutual funds of companies traded on U.S. exchanges.
Evaluation: The assignment is worth 300 points. At the end of the simulation period you must write a report on your performance during the simulation and a reflection section that describes how the experience affected your understanding of the stock market and your investing style. The report must cover what you did including all of the following:
1.) The ending account balance as of November 13, 2015.
2.) The rate of return for this account during this time period.
3.) How many trades were completed on the account?
4.) Describe your method for stock selection.
5.) Did you sell any shares? If so, how did you decide what stocks to sell?
6.) Compare your return with that of the Standard & Poor’s 500 (SPY) index and discuss why your performance was better or worse than the benchmark.

In addition your report should have a reflection section in which you discuss two of the following:
1.) How would you improve your results if you were to participate in another simulation?
2.) How has the simulation changed your knowledge of the stock market?
3.) Evaluate the risk you took in this portfolio. Do you feel it was higher or lower than the Standard &Poor’s 500 index? Why?
4.) What did you learn about yourself by taking part of this simulation?
5.) Only for those who completed 25 trades or more during the simulation: How do you think the frequent trading impacted your portfolio results? Did you ever regret a trade you made? If you did, please explain.
Evaluation Criteria:The report must be professional. Pretend that you were a money manager and you are reporting the results of the account performance to your client. Discuss how you invested the client’s money and the results that you achieved. In the reflection section, assume you are writing to a mentor describing what you learned from the experience and how the simulation changed your understanding of the stock markets and of your investing style. The paper must be at least 3 pages in length and no longer than 7 pages using a 12 point font and one inch margins, double spaced. Answers to the questions must be clear and well thought out. Everyone must visit the writing center at least once to have this paper reviewed prior to submission.
Needs Improvement Meets Expectations Exceeds Expectations
Answered required questions Failed to answer at least one of the six questions. Answered all of the questions, but did not elaborate upon them. Answered all of the required questions and provided clear and well thought out explanations.
Information presented correct and accurate Used cash balance instead of portfolio balance. Used appropriate benchmark percentage, portfolio balances, etc. Compared and contrasted information from individual portfolio with benchmark.
Answered appropriate number of reflection questions Only 1 reflection question was answered or little to no reflection was included. Answered required number of reflection questions. Provided sufficient evidence of reflecting on the experience and how it has changed their perceptions.
Professional appearance Stained, crumpled, not stapled or bound in any way, no salutation or headings Neat, clean, and stapled. Neat, Clear, Clean, stapled, cover page or logo, appropriate salutation or cover page.
Provided an appropriate reflection Selected an inappropriate reflection question, did not provide evidence of reflection took place. Answered appropriate number of questions in sufficient detail. Provided clear examples of how the assignment changed their thinking about the material covered, how they will apply this in their life going forward, or how they will use this information to help others.
Grammar Numerous and significant errors enough to distract the reader Minor spelling or grammar issues, easily overlooked by reader. No spelling or grammar issues. Paper was easy to read with appropriate vocabulary.
Page length, spacing, font, and margin instructions were followed Did not follow instructions of the assignment. All instructions followed. Went above and beyond as far as well-developed concepts and clear explanations.
All other Waited until last minute to do paper. Some evident that the paper was revised at least once. Had writing center review paper once. Went to writing center or submitted assignment early and changes reflected in final paper.