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Compare different strategies The finTrade trading tool enables users to test out different investment strategies with the help of numerous portfolios. Risk management strategies can also be tested with the help of options and short sales. The philosophy behind our approach to learning about investments is to help students understand financial theory instead of trading blindly. For example, strategies based on announcement effects (dividend cuts, initiations, increases; splits; mergers and takeovers; executive changes etc.), IPOs, industry and sector portfolios can be implemented. Analyzing before Investing Our web-based financial analysis tools walk the student through the process of stock selection (screening and valuation), portfolio creation and back-testing, Value at Risk, mean-variance efficiency analysis (Markowitz and Sharpe-Lintner), and risk management leading to financial trading. Performance benchmarking, with geometrically weighted holding period returns (HPRs), is available. Instruments that can be traded Students can trade the following instruments: - US and Canadian stocks
- Mutual funds
- Exchange traded funds (ETFs)
- Options
Realistic trading conditions Instructors can specify a commission schedule or choose the default schedule. Commissions are charged on every trade to make the simulated trading experience realistic. Benchmarking with index portfolios is available. Instructors control whether margin trading is enabled or not and whether short sales are permissible. Performance reporting Instructors get detailed performance reports and rankings of students' investment performance. They can drill down to see the trades conducted by the students. |
