The University of Illinois Securities Exchange Simulation
is a state of the art investment simulation designed to give students practical experience with investments and to foster a degree of familiarity with the technology that dominates the business world today.
Since purchases and sales are executed in multiple currencies:
US Dollars, Canadian Dollars, Euros, and Pounds Sterling;
students must explicitely manage their foreign exchange exposure by taking positions in currencies as well as foreign currency denominated assets.
UISES is a required part of the Finance 300 "Financial Markets" and Finance 361 "Investments" classes. All students majoring in Finance are required to manage a $1 million portfolio on behalf of a hypothetical client.
Students are required to maintain accurate investment accounts, to audit their on-line broker, and to present to their clients financially accurate and professional stewardship reports.
Students pusuing the Investments class use UISES to test their ability to turn theoretical advantage into a real world trading strategy.
Individual stock ownership is still very much the purview of the rich. Although
84% of the population owns shares through mutual funds, insurance, or pensions,
most of these investors have little or no fundamental knowledge of public
ownership or markets, and little or no experience in portfolio management. Yet
with an increasing emphasis on 401K plans and portable self-directed retirement
funds, a basic knowledge of markets and investments is fast becoming as critical
a financial skill as being able to balance your checkbook. Our objective is to
make stock ownership more comfortable for the average person by providing an
easy mechanism to manage a simulated portfolio and learn about the markets and
investments, particularly through public libraries and high schools.
The empowerment of this education to students who may never advance beyond
high school gives these most 'at risk' students an opportunity to learn about
investments as opposed to never learning anything more than what they can glean
from the headlines. The Rotary Challenge and UISES are designed to help students
most in need of this education achieve this goal rather than never understanding
and never trusting the capital markets in their own economy.
Dow Jones Indexes partners with the University of Illinois in Investment Education.
Dow Jones Indexes is a leading full-service index provider that develops, maintains and licenses indexes for use as benchmarks and as the basis of investment products. Best known for the Dow Jones Industrial Average, Dow Jones Indexes offers more than 10,000 equity indexes as well as fixed-income and alternative indexes, including measures of the hedge fund and commodity markets. Together with Wilshire Associates JD provides the Dow Jones Wilshire Global Index family, which is anchored by the Dow Jones Wilshire 5000 and covers more than 12,000 securities in 58 markets.
We are pleased to acknowledge the contribution of Dow Jones to Investment Education at Illinois.