/sifmafoundation /sifmafoundation Mathematics Behind the Market for Students Presented by Ruben Worrell, Adjunct Lecturer, Hostos Community College Vincent Young, AVP Curriculum Initiatives, SIFMA Foundation Association of Teacher of Mathematics Conference November 18, 2017 Photo Source: http://www.goodfon.su/
The Securities Industry and Financial Markets Association (SIFMA) is a 501(c)(6) organization that is the voice of the nation’s securities industry, bringing together the shared interests of hundreds of broker-dealers, banks and asset managers to advocate for effective and resilient capital markets. SIFMA represents the industry on regulatory and legislative issues and initiatives, and also serves as a forum for outreach, training, education and community involvement. SIFMA has offices in New York, Washington D.C., London and Hong Kong, where their sister organization, the Asia Securities and Financial Markets Association, is located.
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SIFMA Foundation
Fostering Knowledge
All Individuals
All backgrounds
Industry Support
Effective Programs
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For 40 years, the SIFMA Foundation for Investor Education have administered an array of instructional programs that have advanced the financial knowledge of millions of Americans of all ages, supported the efforts of the nation’s fourth through 12th-grade teachers, partnered with many key leaders and organizations in the field, and provided tools to help individuals increase their understanding of personal finance. Mission: The SIFMA Foundation is dedicated to fostering knowledge and understanding of the financial markets for individuals of all backgrounds. Drawing on the support and expertise of the financial industry, the SIFMA Foundation provides financial education programs and tools that strengthen economic opportunity across communities and increase individuals’ awareness of and access to the benefits of the global marketplace.
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The Stock Market Game™ program is an online simulation of the global capital markets that engages students grades 4-12 in the world of economics, investing and personal finance, and prepares them for financially independent futures. More than 600,000 students take part every school year across all 50 states. The Stock Market Game has reached 16 million students since its inception in 1977. The Capitol Hill Challenge is the nation’s only financial education program supported by 100% of Congress. This special edition of The Stock Market Game™ offered each spring is a 14-week competition matching Members of Congress with middle and high schools nationwide. Since its inception in 2004, Capitol Hill Challenge has made 3,272 matches of Congressional leaders with schools reaching 90,000 students. The top 10 teams win a trip to Washington, DC for a ceremony on Capitol Hill, to learn about fiscal policymaking, and to tour financial landmarks. InvestWrite® national essay competition is a culminating activity for SMG students, extending what they have learned in SMG by challenging them to analyze, think critically and problem solve. Students address real world financial issues and situations by answering a question about long-term saving and investing. Invest It Forward™ is an industry-wide financial education and capital markets literacy campaign convening hundreds of financial firms that are committed to giving young Americans a solid understanding of the capital markets system and the invaluable tools to achieve their dreams. Invest It Forward is designed to connect teachers and classrooms with financial industry professionals and firms through a variety of volunteer opportunities across the country and throughout the year.
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Teams of 3 to 5
Virtual $100,000
Stocks, Bonds, & Mutual Funds
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The Stock Market Game™
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I have to wonder what would ‘ve happened if Chamindu played SMG in school before learning about his reward. The Stock Market Game is a national program distributed locally by not-for-profit councils on economic education, universities, state securities agencies, and like non-profit organizations. The SIFMA Foundation's acclaimed Stock Market Game™ program is an online simulation of the global capital markets that engages students grades 4-12 in the world of economics, investing and personal finance, and prepares them for financially independent futures. More than 600,000 students take part every school year across all 50 states. The Stock Market Game has reached 15 million students since its inception in 1977.
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600 Third AvenueNew York, NY 10016
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Let’s say you are out with friends and they are all crazy about Shake Shack. You order a burger, shake, and fries. To simplify things we’re not going to deal with Sales Tax. How much will the meal cost you (5.55+2.99+5.29=13,83). 100K=7142 meals
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Financial Literacy Impact
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10
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Elementary Middle School High School
SMG
Non-SMG
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An independent FINRA-funded study by the American Institutes for Research (formerly Learning Point Associates) found that the Stock Market Game has a positive impact on Student financial literacy, Student math achievement, and Teacher investment behavior. (LPA ONE PAGER) Students who played The Stock Market Game also significantly outperformed their peers in their knowledge of financial concepts. In tests to measure investor knowledge, elementary school students who played the game scored on average above the 68th percentile, compared to an average score above the 42nd percentile for students who did not play the game. Students playing the game in both middle and high school scored on average above the 58th percentile, while their peers scored above the 42nd and 40th percentiles respectively. (FULL REPORT pages 3-4) Analysis of students’ investor knowledge was carried out separately for students in Grades 4–5 (elementary school), 6–8 (middle school) and 9–10 (high school). For students in elementary school, the treatment group scored approximately 62 points higher than the control group, corresponding to an effect size of 0.43 with a confidence interval ranging from 0.24 to 0.61. For students in middle school, the treatment group scored approximately 42 points higher than the control group, corresponding to an effect size of 0.45 with a confidence interval ranging from 0.29 to 0.60. For students in high school, the treatment group scored approximately 36 points higher than the control group, corresponding to an effect size of 0.39 with a confidence interval ranging from 0.16 to 0.62.
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Teacher Financial Literacy Impact
Set financial goalsSMG Influence
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(FULL REPORT page 5) Of those teachers who engaged in financial planning practices, some reported the program had a moderate or major influence on their doing so, ranging by item from 36 percent (developing a household or personal budget) to 48 percent (setting financial goals). 89% of the teachers surveyed said they set financial goals. 48% of those teachers said SMG influenced their goal setting.
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Math Impact
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Grades 4-6 Grades 7-10
SMGNon-SMG
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(LPA ONE PAGER) Learning Point Associate year-long study found that elementary school students in Grades 4–6 who played The Stock Market Game scored on average above the 55th percentile on the mathematics tests, while students who did not play the game scored on average above the 43rd percentile. Students in Grades 7–10 who played the game scored on average above the 54th percentile, while students who did not play the game scored on average above the 46th percentile.
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To help participants better see the math that they’re doing we’ve written three activity books aligned to the core investment lessons in SMG.
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Four StrandsThinking Algebraically
Interpreting Statistics
Communicating Quantitatively
Tackling Complex Problems
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SMG math activities are organized into four mathematic strands: 1. Thinking Algebraically – The recognition of patterns, development of formulae, and efficient execution of algorithms. 2. Interpreting Statistics – The quick and accurate reading and interpretation of statistical information. 3. Communicating Quantitatively – The accurate representation of information through the creation of graphs, charts, and tables. And speak clearly about mathematics. 4. Tackling Complex Problems - Hone critical thinking skills through the application of multiple skills to multi-step computations and word problems.
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Four StrandsHow much will it cost?
What are they saying about it?
What do my friends think?
Can I afford it?
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SMG has implemented the recommendations through the continued use of four basic mathematic strands. These strands continue in the new beginners edition of MBTM: 1. Thinking Algebraically, The recognition of patterns, development of formulae, and efficient execution of algorithms = How much will it cost? In the real world because in most cases when you figure out price you must include additional costs like sales tax, commissions, tips, credit card interest (if you are buying it with credit). 2. Interpreting Statistics, The quick and accurate reading and interpretation of statistical information = What are they saying about it? Because you are researching whether whatever you are considering is the right item for you. 3. Communicating Quantitatively, The accurate representation of information through the creation of graphs, charts, and tables. And speak clearly about mathematics = What do my friends think? Because when you have to succinctly express what you want to do to get the best advice from friends and professionals. 4. Tackling Complex Problems, Hone critical thinking skills through the application of multiple skills to multi-step computations and word problems = Can I afford it? Because its about solving sever
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Thinking Algebraically
Students will practice writing algebraic expressions to represent buying and selling stocks.
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Interpreting Statistics
Students calculate the value of an investment in stock over time using the formula: Value of Investment = (number of shares)(price per share)
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Communicating Quantitatively
Students graph the value of a portfolio over time.
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Tackling Complex Problems
Students readjust their portfolios based on the performance of their stocks. In two evaluations, students calculate, reason, and chart the progress of a portfolio.
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www.stockmarketgame.org
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Start by going to the Stock Market Game homepage www.stockmarketgame.org and click register.
