Real skills in a virtual market

"How sexy is your portfolio?"\nThe question serves as the slogan for The Equities Cup, IU's virtual stock market competition.\nThe Cup competition pits students against each other to create the most successful stock portfolio. Fraternities, sororities, clubs and individual groups are given $100,000 in "play" money to invest as they choose. In the course of the semester, teams test strategies and manage portfolios in an effort to create the most profitable portfolio.\nSophomore Greg Conner and junior Dudley Beyler, both business majors, created the Equities Cup in efforts to raise student knowledge of personal finance through a competitive environment.\n"The better the competition, the better investors people will become," Conner said.\nThe competitive environment and the incentive of winning The Cup Trophy motivates students to learn investment strategies and fundamentals to better prepare them to invest after college.\n"It's like the Old Oaken Bucket," Dudley adds. "People want to win, and in order to win, they will improve their knowledge of investing."\nThe Cup is in its inaugural season, with 70 students participating. But Conner and Beyler said the growth of The Cup is a top priority. The competition is open to all students and a plan to include students from other universities is in the works.\n"Non-business majors are encouraged to play," Dudley said. "You've got to start somewhere. What better way to start than with "play" money?"\nNo prior business knowledge is necessary; learning the fundamentals of the market is the purpose of the contest.\n"No one can predict the market. It is similar to gambling," Conner said. "It brings people of all knowledge levels to an equal playing field."\nEarning money during the event is what makes the contest exciting, Dudley said.\n"Who doesn't like to make money?" Dudley asks. "The most fun aspect of The Cup is the ability to wake up with a couple thousand dollars more in your account."\nBut of course the opposite can also be true. The market, especially in today's economy, can take drastic turns for the worse and end hopes for winning The Cup.\n"By far the most difficult part about The Cup is trying to predict the market," Conner said. "If it were easy, everyone would be making money."\nWhether you make millions, or declare bankruptcy within weeks, The Cup is a way to gain investment experience without the risk.