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 Individual Prizes: ◦ $1,000 prize pool – top five performers ◦ $10,000 GFT-FUNDED TRADING ACCOUNT  University Prize: ◦ Recognition at conclusion.

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Presentation on theme: " Individual Prizes: ◦ $1,000 prize pool – top five performers ◦ $10,000 GFT-FUNDED TRADING ACCOUNT  University Prize: ◦ Recognition at conclusion."— Presentation transcript:

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3  Individual Prizes: ◦ $1,000 prize pool – top five performers ◦ $10,000 GFT-FUNDED TRADING ACCOUNT  University Prize: ◦ Recognition at conclusion of the competition

4  The competition is for finance and business majors (undergraduate and graduate) interested in fundamental trading, technical trading, and foreign exchange rates  The competition is being coordinated through the Reliant Energy Trading Center at Texas A&M University with the assistance of the RTC Industry Advisory Board

5  All questions, concerns and ideas should be addressed to: ◦ Douglass Brown – Texas A&M University ◦ Email: doug901@neo.tamu.edu  All decisions made regarding questions, concerns, penalties and outcomes for the competition are at the discretion of Dr. Hallermann and are final  By entering the competition, students waive the right to contest penalties or outcome to any authority outside of the competition

6  Sign Up – Sign up begins October 6 th at 12:00 am (CST) ◦ GFT Website: http://www.gftforex.com/mayshttp://www.gftforex.com/mays  Use the above link to register for an account ◦ Other demo account registration will result in sales calls

7  If students wish to practice trading before October 18th: ◦ Students are encouraged to learn the DealBook® 360 system after October 6th. ◦ We encourage students to trade small amounts as they get comfortable with the system (1 lot). This is to practice on the system, not to try and get ahead in the competition. ◦ If students enter trades and gain/lose on those trades before the competition:  It will affect the starting amount for the competition  It will not affect their percentage return score for the competition  Thus, it is unnecessary to reset accounts on October 18 th.

8  This year there are two divisions ◦ Individual ◦ University  Universities with a minimum of 10 competitors (combined graduate and undergraduate) are eligible to compete in the university competition  The winning university has bragging rights for the following year

9  After Session 1: ◦ Those having traded less than five trade strategies will be removed from the competition  After Session 2: ◦ The top five traders will be rewarded prize money based on their percentage of return among the total prize pool. ◦ The number of prizes and the prize pool may be adjusted upward according to the number of competition participants ◦ * Example shows 6 prizes, but prize money is for the top five participants.Trader Rate of Return Cash Winnings 120%33.33% 213%21.67% 311%18.33% 49%15.00% 55%8.33% 62%3.33% Prize Pool Distribution Example

10  Account Giveaway Terms and Conditions  This competition is not valid for any GFT employee or their relatives.  The winner of the Fourth Annual Texas A&M University Undergraduate & Graduate Inter-University FX Competition will be entitled to USD $10,000 (“Prize”) to trade foreign exchange contracts through GFT for up to six months(“Period”) from the date the account is opened.  The USD $10,000 is not redeemable for cash. Only profits made during the Period can be withdrawn. The winner must read and execute the client agreement and complete the application form before accepting the prize.  The winner must place a minimum of 20 full-size round-turn trades. A round-turn is defined as one complete trade – a transaction comprising the buying and selling of a standard lot size of 100,000 for one currency pair. Transactions under the standard lot size of 100,000 will not be permitted.  The account must be self-traded by the winner and may not be traded by any other person.  Only one winner will be eligible for this prize.  For non-U.S. accounts, the net profit, if any, will be converted from U.S. dollars in accordance with a then-current exchange rate, as determined by GFT.  For tax reporting purposes, a 1099 form may be issued at year-end to a recipient of a net profit.  The winner of the trading contest must reside in a jurisdiction where GFT may legally conduct business. This is not an offer or solicitation in any jurisdiction where such an offer or solicitation is not authorized.  GFT reserves the right in its sole discretion to amend, restrict or revoke this offer at any time.  Violation of the terms and conditions will result in revocation of the “Prize” and any profits held at that time will be retained by GFT.

11  University teams will compete for bragging rights (sorry… no cash)  A university must have ten (10) participants to qualify for the team competition  Team competition winner is determined by the highest average percentage return of the total competing university teams (all competitors for the team are included in the average calculation)

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13  Students will complete using a demo account starting with $50,000 on the GFT Forex Trading Platform: DealBook® 360  It can be downloaded at their website (more on this later): ◦ www.gftforex.com/mays www.gftforex.com/mays ◦ NOTE: Make certain that you use this website versus their main website. Otherwise salesmen will telephone you and potentially drop your account!  Students may trade any currency pair available on the DealBook® Platform

14  In each trading session, students will perform a minimum of five (5) trade strategies to be eligible for prizes  Trading sessions: ◦ October 18 th,12:00 a.m. CST– October 31 st,11:59 p.m. (CST) ◦ November 1 st, 12:00 a.m. CST – November 18 th, 11:59 p.m. (CST) ◦ A trade strategy consists of:  Entering into a trade or series of trades on a particular currency pair  Setting your exit strategies  See strategy examples on the following slide  There is no maximum number of trades per trading session  If a student does not complete five trade strategies per session, they will be dropped from the competition

15  Entering into a trade strategy on a particular currency pair and exiting the strategy followed by a subsequent trade in the same currency pair will typically be considered multiple strategies. This will be determined by trade justification given in the student’s trade journal  Example 1: (3 strategies) ◦ Day 1: Buy 5 contracts Euro/US$(Open Strategy 1) ◦ Day 2: Sell 5 contracts Euro/US$(Close Strategy 1) ◦ Day 3: Buy 5 contracts Euro/US$ (Open Strategy 2) ◦ Day 4: Buy 5 contracts GBP/US$ (Open Strategy 3)  Example 2: (2 strategies) ◦ Day 1: Buy 5 contracts Euro/US$(Open Strategy 1) ◦ Day 2: Sell 10 contracts Euro/US$(Close Strategy 1 & Capture a Reversal (Strategy 2))  Litmus Test: ◦ If the second position is a continuation of the initial strategy, this is not a new trade strategy ◦ If the second position is justified because of a significant parameter change since the initial strategy, this is considered a new trade strategy

16  Minimum trade size is one (1) contract ◦ One spot contract represents $100,000 of currency ◦ Margin for a spot contract is 1:50  Maximum trade size is eight (8) contracts per strategy ◦ A strategy consists of a spot position in any currency pair ◦ Students can use multiple entry & exit strategies per currency pair to maximize return or minimize risk. ◦ However, staggered entry and exit strategies are not multiple trade strategies (see previous slide).  Maximum Holdings for any one currency pair is eight (8) contracts at any one time (long or short) ◦ Penalty for a position great than 8 contracts is a 1% deduction to your final percentage return score, per contract over, per trade  Administrators will randomly enter accounts to check position sizes throughout the competition

17  Upon completing a trade: ◦ Students will maintain a trade journal of their transactions. ◦ The Trade Journal Includes:  Trade (currency pair and if you went long or short)  Number of contracts  Entry price with exit strategies  Justification for the trade ◦ Journal can be in Word, PowerPoint or Excel ◦ Prize money winners will be asked to submit their trade journal before receiving awards. Students not submitting a Journal will lose their place in the individual competition

18  When a trade strategy hits an automated exit, students should post their results in their journal  If a student alters their strategy or exits a trade strategy manually, the student should post the trade strategy changes and justification in their journal

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21  Students will submit their account and passwords on the Competition website at the beginning of the competition. Those that do not do so are removed from the competition but count toward the team competition  At the end of each session (October 31 st & November 18th), competition administrators will enter student accounts to check trade activity, historic position volume size and equity positions  We will use these reports to determine competition placing

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23  At http://www.gftforex.com/mays:www.gftforex.com/mays ◦ Sign up for a demo account ◦ Download the DealBook®360 software ◦ Use ONLY the link above to register  Different demo account registration will result in sales calls from GFT Support

24 Download Demo Software Create Demo Account

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27  You will find information of how to customize your trade platform at: ◦ The DealBook® 360 Users manual and other helpful documents posted on the Mays Portal ◦ The Help File in the DealBook® 360 software ◦ http://www.fx360, http://www.gftforex.com, & http://www.babypips.com for help with trading strategies http://www.fx360http://www.gftforex.com http://www.babypips.com ◦ Numerous trading-related books at retail bookstores

28  Register at http://www.gftforex.com/mayshttp://www.gftforex.com/mays ◦ Create a user demo trading account ◦ Download the trading software platform, DealBook® 360 ◦ Students will use the platform develop and implement trading strategies ◦ CD08U.052.092910 Registration


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