Prairie Ridge top 2 at investing game

Students from Prairie Ridge High School in Crystal Lake have claimed the top two spots in a statewide mock financial investment contest.

The students competed against 764 Illinois teams in the spring session of the Securities Industry and Financial Markets Association’s Stock Market Game, in which teams invested a hypothetical $100,000 in an online portfolio.

Kevin Koeppen, work program director and cooperative education instructor at the high school, said the two teams took different approaches to investing. Students in Koeppen’s classes were divided into 10 teams of three.

“It was interesting because the team that finished first had a very diversified portfolio and bought several different things,” Koeppen said. “The second team invested in one stock.”

The first-place team of Valerie Lee, a senior, and Natalie Torkaz and Sarah Yelle, both juniors, invested in oil, agriculture and precious metals. Meanwhile, the second team of seniors, Michael Kaleta, Robert Caputo and Michael Muench, bought shares in a company that specializes in medical parts.

Students who finished first in the contest recorded a return of more than 20 percent on their initial investment, finishing the two-month contest with $121,288.99. The second-placed team saw a return of about 17 percent, ending up with $117,749.03.

Lee said the game showed students how current events in the world, such as the turmoil in the Middle East, had an effect on the stock markets.

“It was a different experience. It was an exciting way to learn about things that you might not be interested in,” said Valerie, whose dad is a commodities broker. “You may not know that you actually have an interest in it.”

She said she would use the knowledge she gained when she enters the workforce or has money to invest.

And that was the point of the game, Koeppen said.

“When students do get their first job and they start saving money, we want them to look at investment opportunities and not shy away from the idea of investing in stocks and mutual funds,” Koeppen said. “We want them to have the financial literacy or backbone to make good investment decisions on their own.”

The contest is sponsored by companies including Merrill Lynch, McGraw-Hill, Reuters and Morgan Stanley.