- Rudolph Brown/Staff Photographer
Wain Iton (left), former general manager of the Jamaica Stock Exchange shares a joke with Peter Chin, president of Alliance Investments Management and Jennifer Mendes, Alliance's marketing manager, at the launch of the company's Stock Wizard Challenge competition at the Jamaica Pegasus Hotel last Thursday.
ALLIANCE INVESTMENTS headed by Peter Chin on Thursday launched its Stock Wizard Challenge competition at the Jamaica Pegasus Hotel in New Kingston.
The objective of this competition is to educate prospective investors about analytical and research tools for international equity trading.
It also aims to go some way in reinforcing the advantages of portfolio diversification and to demonstrate that facilities are available locally to invest internationally in real time.
RULES AND GUIDELINES
1. REGISTRATION
To enter the competition individuals must go on-line to Alliance Investment's home page at www.allianceinvestment.com then click on the "Stock Wizard" icon. From that page individuals will click on the "Registration" link to open the registration screen. In order to register individuals must accurately complete all the fields on the registration page. Registration is absolutely free but it is open to only 1,000 participants.
2. TRADING DATES AND INITIAL CASH BALANCE
The trading period begins on Monday May 31, 2004 and ends on Friday August 27, 2004. The registration period runs from Saturday, May 1, 2004 to Friday, June 11, 2004. The initial cash balance is US$25,000.
3. HOW TO TRADE
In order to trade each individual must have an account number, password and e-mail address.
Visit the Web site to make trades, review account activity, research stocks, obtain quotes and charts, and find ticker symbols and review competition ranking. This method of trading is accurate, fast and convenient.
4. TRADING TIMES
Trades made via the Web will receive 20-minute delayed prices as long as the trade is placed after 9:30 a.m. and by 4:00 p.m. EST. Trades placed after 4:00 p.m. EST will receive the next day's open price. Alliance is not responsible for trades that are not received or are incomplete.
5. SECURITIES THAT CAN BE TRADED
Stocks: You may buy, sell, short sell, and short cover almost all NYSE, NASDAQ and AMEX stocks (common and preferred) that are trading at $1 or more. IPOs are usually available the afternoon that the new stock starts trading on the exchanges.
6. VOLUME AND PURCHASE RESTRICTIONS
Individuals may not invest more than 50 per cent of their initial cash balance in any one stock.
Individuals may not buy or short sell stocks trading under $1 per share.
Individuals must trade a minimum of 25 shares per transaction.
A maximum of 100 trades is allowed during the life of the competition, this includes buying and selling.
The maximum number of shares an individual may trade is limited to the actual volume of the stock that day.
Individuals may not hold a short and long position in the same stock at the same time.
7. COMMISSION
A brokerage commission is applied to all transactions. The commission for all trades made is $25 on each trade regardless of the number of shares.
8. MARGIN REQUIREMENTS
The margin requirement for stock purchases and short sales is 50 per cent. This means that for stock purchases you can borrow up to 50 per cent of the total cost. For short sales, you must deposit an amount equal to 50 per cent of the current market value of you short positions.
Starting with $25,000 Alliance may loan you another $25,000, making your total buying power $50,000 if you are trading in marginable securities.
9. INTEREST EARNED
Interest will be earned on all available cash balances and credited at the close of each day. Interest will be calculated using a rate of five per cent per annum.
10. INTEREST CHARGED
Interest will be charged on all loan balances and will be debited at the close of each day. The rate of eight per cent per annum will be charged on all loan (margin) balances.
11. PORTFOLIO EVALUATION AND CALCULATION OF EQUITY
Participants can review their activity and ranking at any time during the competition. Please review your account activity regularly and report any discrepancies immediately. Transactions that are disputed two weeks after the posting date may not be adjusted.
A portfolio's equity or value is calculated as follows:
Cash - Debit bal. + Credit bal. + MV of long positions - MV of short positions where Debit = loan balance, Credit = short sales proceeds, and MV = current market value.
12. END OF COMPETITION
You do not need to convert all of your investments to cash on the last day of the competition. Your portfolio will be valued at the closing prices for that day. The official winner of the competition will be announced by a representative of Alliance Investment Management Limited within two weeks of the last trading day of the competition.
13. COMPETITION ELIGIBILITY
Individuals wishing to be eligible to be declared winners must meet the following requirements:
Must reside in Jamaica
Be at least 18 years of age
Have an e-mail address
Possess a valid Driver's Licence, Passport or National I.D.
Make at least 20 trades by the end of the competition
Staff and immediate family members of Alliance Investment Management, Stock-Trak and their affiliate companies will be permitted to enter the competition but are not eligible to win prizes.
14. PRIZES
The individual with highest portfolio value at the end of the competition will receive an Alliance Investment Management Limited On-line Trading Account valued at US$1,000. The next three individuals with the highest portfolio value will each receive Alliance Investment Management Limited On-line Trading Accounts valued at US$500 each.
Prizes may be claimed up to 60 days after the official announcement of the winners of the competition. If after 60 days a prize is unclaimed then the prize cannot be awarded as it has become null and void.
15. CONTACT INFORMATION
Alliance Investment Management Limited
Life of Jamaica
28 Barbados Ave.
Kingston 5
Jamaica W.I.
Tel: (876) 960-4321
Fax: (876) 960-4327
Email:stockwizard@allianceinvestment.com
Office Hours: 8:30 a.m. to 4:30 p.m.
Peter D. Chin - President
Jennifer Mendes - Marketing Manager
Tamara Silvera - Account Executive
Jamie Lue - Junior Investment/ Business Analyst
