Online stock trading firm offers studes’ starter account

In a radical move to broaden the retail investor base in the country, listed firm CitisecOnline (COL) is now wooing students to invest in the stock market with a special package.

Shifting away from the traditional market of high net worth individuals, CitisecOnline has been successfully using its proprietary online trading game that simulates the stock market to interest young investors in the bourse.

Conrado Bate, president of CitisecOnline, said the encouraging results of its recent online stock trading tournament, called the MBA Investment Challenge, among graduate business students nationwide spurred the listed firm to launch a starter account and lower the minimum investment from P25,000 to P5,000 for students with a valid student ID. COL 101, as the starter account is called, hopes to woo investors from among university, graduate and post-graduate students.

He said the first CitisecOnline MBA Investment Challenge launched in November 2006 and concluded in mid-February, attracted 200 graduate business students from 20 universities nationwide who actively traded listed stocks using a game that simulates the market.

Participants were from top educational institutions in Metro Manila such as AIM, Ateneo, DLSU, JRU, PSBA, PUP, UA&P and UP as well as premier schools in the provinces such as Ateneo de Cagayan-Xavier University, Saint Louis University, and Southwestern University Cebu.

The winners were a graduate student specializing in IT from Polytechnic University of the Philippines (PUP) and a graduate business student from De La Salle Professional School.

"Our experience has shown that tech-savvy college students have a strong potential to invest and succeed in the stock market," Bate said.

Topnotcher Ronald Abas, a Master of Science in Information Technology student at PUP, was in his early years in his graduate studies when he learned about CitisecOnline.

He was able to practice his theories and strategies risk-free through CitisecOnline’s Virtual Tycoon game that he subsequently shifted to the real thing. With the help of research, both in fundamentals and technical analysis provided by CitisecOnline, he was able to spot profit-making opportunities which led him to make substantial earnings that financed 70 percent of the construction of his house in Batangas.

At the end of the tournament in mid-February, Abas had the highest portfolio value or contest points and won a P25,000 trading account from CitisecOnline.

Second placer Rocky Laurel, a third-year MBA student from De La Salle, is also a real-life stock investor. He said he was able to quickly capitalize on investment opportunities through CitisecOnline’s online tools such as the real-time ticker, the streaming market data, and quotes.  

He believes that he was able to achieve a net portfolio gain of 71 percent during the period by being able to quickly react to market demand and supply because of the information provided by CitisecOnline.

Mark Bordeos and Hans Lim, both Master of Science in Management students at the University of Asia and the Pacific (UA&P), placed third and fourth, respectively.  

Bordeos said he has long been interested in bourse trading since he comes from a family of stock market traders. Lim made use of his interest in technical analysis and combined this with short-term trading to emerge in the top five. Both participants were able to maximize the charts and technical information provided by CitisecOnline during the tournament.

Other participants of the MBA Investment Challenge related that the tournament provided them a better understanding of the market. Mary Michelle Chia Barsanas of Ateneo de Cagayan wrote CitisecOnline: "I learned that investing in the stock exchange can provide better returns than investing in a bank."

According to Bate, CitisecOnline realized that many students are interested in investing in the stock market but are not able to open a regular account because of financial limitations.

"We do want to open the doors of stock market investing for them," he said. He even encouraged parents to open for their children a COL 101 starter account in lieu of cash as a graduation gift.

Those interested in learning more about the stock market are invited to attend the "Learn to Invest Successfully in the Philippine Stock Market" seminar on March 14, 5:30 to 8:30 p.m., at the AIM Conference Center in Makati City. For more information, visit the CitisecOnline website at www.citiseconline.com or call 633-7777.