Business Lesson 6

1
What are Celebdaqs rules? Why do they exist?

• Business Lesson 6
• Dont try this at home kids!
• Aim to understand what Celebdaq rules are and
  why you shouldnt break them!

2
For starters

• Make up an outrageous celebrity news story about
  a share you own which, if a newspaper was to
  publish, would boost your dividends. Share your
  story with the rest of the class. Who came up
  with the best story?
• Extension can you think of any other short cuts
  to boost your dividends and/or capital gains?

3
By the end of today, you will be able to

• explain the rules of Celebdaq.
• discuss why these rules exist.
• explain how Celebdaq is regulated against unfair
  trading.

4
Remember your mission
To make as much money as possible by investing
imaginary money in celebrity shares.

• This week we will learn ways NOT to accomplish
  your mission! (If you are caught doing any of
  these you may be fined Celebdaq money and your
  account may be closed).
• In order to do this we need to think about what
  boosts dividends and share prices.
• What are the key factors that affect dividends
  and share prices?

5
Remember?

• Do you remember how press coverage affects a
  celebs price?

6
Celebdaq rules and regulations

• DONT try to organise price-fixing cartels to
  make shares rise or fall artificially.
• DONT try to influence share prices by using
  multiple accounts.
• DONT phone up the newspapers to try and plant
  false stories to boost your shares.
• DONT try to hype share prices by plugging them
  on message boards or other public places.
• How are all these rules connected with supply
  demand?

7
Regulation

• Regulate to control or direct according to rule,
  principle, or law.
• Celebdaq is regulated by its Board of Directors.
  They have many anti-fraud measures to ensure
  trading is fair.
• Why do you think markets like Celebdaq are
  regulated? What would happen if they were not
  regulated?
• Extension research the rules and regulations of
  the real stock market. How are they
  similar/different to those of Celebdaq. Also, how
  is the stock market regulated?

8
Extension activity

• Complete the worksheet on Celebdaq rules. This
  will help you make a fair investment.

9
Invest!

• Use your trading savvy to choose the celebrities
  that you expect will bring in the biggest return
  during the week. Dont use any dodgy tricks!

10
Celebwork
Research dodgy dealing in the real stock market.
Investigate one recent example. Explain why and
how the cheating was done, and what happened to
the culprit.