About the Student Investor Challenge
The Student Investor Challenge is the UK's premier investment competition for students. In previous years the top prize was a trip New York – including a visit to the financial centre - with spending money!
What does the challenge involve?
The Student Investor Challenge is designed for teams of four students to compete against each other and has three rounds. The competition is open to teams from schools anywhere in the world, however teams from schools based outside the UK are only able to take part in round one of the challenge. However, they are eligible for the International Online Trader of the Year prize, which is not open to UK teams.
Round One
Teams invest their virtual money in a set of stocks and other investment instruments and they must create two portfolios:
- The Active Investor portfolio allows teams to trade every day.
- The Strategic Investor portfolio only allows a limited number of trades per month, encouraging long term thinking.
Teams have a virtual £100,000 to invest in each portfolio.
Semi-finals
A total of 500 teams from UK schools compete against each other in a four-week online semi-final.
The semi-finalists will be selected from the competing UK student teams as follows:
- First, we take the top 250 teams based on combined performance of their Active Investor and Strategic Investor portfolios.
- Next, with these teams discounted, the top 100 teams based solely on their Active Investor performance.
- Then, the top 100 teams based solely on their Strategic Investor performance.
- Finally, we take the 50 best performing teams based on percentage portfolio gain of their Active Investor portfolio in January 2020. This is a great chance for 'late-chargers' to gain a place in the semi-finals.
For each week of the semi-finals, teams will need to correctly predict the closing price of certain assets by the end of trading on that Friday. Points will be awarded each week according to how accurately the closing price has been predicted and how long the prediction has been held. A team's overall score at the end of the semi-finals is the sum of their best three week's performance out of four (i.e. their worst performing week is discounted).
Finals
The eight best performing teams from the semi-finals qualify for the national final, which is usually held in London.