Download Buy 10 stocks. $10000 of each

1) Purchase ten stocks (you can include mutual funds and bonds if you prefer)
2) Spend $10,000.00 for each stock (You could do 20 stocks by $5,000.00)
3) Three sectors (you can choose 4, 5, or 6 sectors if you prefer)
4) At least two stocks from small cap, mid cap, and large cap
Step № 1
Find Ten Stocks
1)
2)
3)
Dow Jones Industrial Average (most popular index. Consists of 30 large cap companies)
S & P 500 (Consists of 500 large, mid and small cap companies)
Russell 2000 (Consists of 2000 small cap companies)
4) Barron’s Blog - Stocks To Watch The latest headlines
Step № 2
Calculate “How many Shares can I Buy?”
10,000.00 ÷ “Cost of 1 share” = how many shares to buy
*One share of Ford stock is $11.66
10,000.00 ÷ 11.66 = 857.632 (round to the nearest 1) 858
*I can buy 858 shares of Ford stock
Step № 3 & Step № 4
Diversify with at least three sectors and cap size
As your students are choosing stocks for their portfolio, they should be including the
sector/industry and cap size.
I will use www.finance.yahoo.com for this example.
Enter F (F is the ticker symbol for Ford)
Click on
Profile to find sector/industry
Market Cap: 46.42 billion
Headlines would be found right below this chart
Ford is a Large Cap Company
Profile
Sector
Industry
Ford Sector: Consumer Goods. Industry Auto Manufacture
Step № 5 (optional) I have my students read the headlines of each company to gain some
incite as to what is currently happening
Vocabulary
Market Cap: the total dollar market value of all of a company’s outstanding shares
(# of shares • stock price = market cap).
*Large cap: market cap of 10 billion or more
*Mid cap: market cap between 2 billion and 10 billion
*Small cap: market cap of less than 2 billion
Sector: is an area of the economy in which businesses share the same or related product or
service.
Industry: the manufacturing or technically productive enterprises in a particular field,
country, region, or economy viewed collectively, or one of these individually. A single industry
is often named after its principal product; for example, the auto industry