Look out Wall Street here comes Brandon from Kennedy Baptist College

Look out Wall Street here comes Brandon from Kennedy Baptist College

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Trading on the Stock Market can be a scary business for some people, but not for Year 7 Kennedy Baptist College student Brandon Smith who trading as Smiths Chips, has just won first prize in the Australian Securities Exchange (ASX) Share Market Game. Brandon competed against thousands of school aged competitors from Years 7 – 12 all over the Australia.

The purpose of the Game is to give students an opportunity to learn more about the share market and how it works. In the game, you can buy and sell shares in 200 nominated companies listed on the ASX. The game is played with pretend money, however it simulates real share market conditions, using live prices and brokerage is charged on each trade. At the tender age of 12, Brandon boasted a 25% market capitalization on his investment, comparable to the earnings made by Australia’s top Brokerage Firms in the same trading period.

Students receive a virtual $50,000 that they can invest over a 10 week period, in 200 companies listed on the ASX. The prices students buy and sell at are the same prices as they would get in the live market so this is as close to real life share trading as you can get. Competitors face “real time” market decisions and can lose money as quickly as they gain it. Therefore the key is to have a strategy, a direction and an interest for observing trends.

Despite being the youngest of all competitors, Brandon has been announced as the Australian winner for 2016. “One of the main things that helped me was deciding how much I was going to sell my shares at before I bought them, if they lost value. This helped me to minimize any early losses at the start of the game, so I would still have capital to invest throughout the game period. I had established what my teacher called a “Margin Call”, so I could calculate any possible risk” Brandon said.

For his outstanding achievement Brandon not only claims the Nations most coveted prize, but also has a real $1000 deposited into his own bank account. Kennedy Baptist College is proud of Brandon and will celebrate his stellar achievement at the next College Assembly.

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