Auckland University Students Win 2024 CMC Markets Trading Challenge With TopStrategies

The 2024 University of Auckland Trading Challenge, hosted by CMC Markets in association with the UoA Tech Events Club, has concluded with three stellar young traders coming out on top.

This year 68 students from across New Zealand competed in the contest, where participants are given an account with thousands of dollars in virtual money and two weeks to maximise their returns. Those who earn the highest return on investments (ROI) are awarded cash prizes.

First year University of Auckland student Agam Khanna took the top spot this year with an impressive 162% ROI. Alex Zhuang was awarded second place with 157% ROI, followed by Waejen Kwan in third place with 134% ROI.

The annual competition allows students to put various investment strategies they have learnt to the test. They try their hands at a range of financial derivative instruments such as cryptocurrencies, gold and silver commodities, forex, and shares using virtual funds on the CMC Markets online trading platform.

Runner-up Alex Zhuang, a Bachelor of Engineering and Commerce conjoint degree student, said his interest in investment and trading was inspired by a family friend who has been successful in investing from a young age.

“Seeing their achievements motivated me to learn more about the financial markets. Initially a hobby, trading has now become a potential career pathway for me, blending my personal interests with professional ambitions,” he said.

As a result, Zhuang’s strategy was well-considered and sharp, focusing on identifying high-volatility stocks across various sectors.

“I shorted stocks that appeared overbought after performing technical analysis, which included comparing historical performance and market trends. For instance, I shorted a major entertainment company’s stock before its annual report was released after analysing its performance relative to similar companies.

“Additionally, I closely monitored news and macroeconomic events to adjust my positions and used strict stop-loss orders to manage risk effectively. This approach allowed me to navigate market fluctuations and achieve strong returns.”

Third place winner and Bachelor of Commerce student, Waejen Kwan, said going into the challenge, he wanted to gain experience with unfamiliar platforms and trade securities.

“I placed many small trades on a wide range of currencies that displayed a strong upward or downward trend. I set my stop loss and take profit to maintain a risk/reward ratio of 2:1 and used support levels for my stop loss,” he said.

Kwan said he has been interested in business from a young age, as his parents worked in the industry.

“I started investing in New Zealand blue chip companies through my Mum's account at a very young age with all the pocket money I had saved. I then opened my own Sharesies account later on. In Year 13 of high school, I started trading US stocks based on technical and fundamental analysis, which I learned through YouTube videos.”

Jason Peng, UoA Tech Events Club member, said: “Organising this competition was an enriching experience, as I learned from the insightful tutorials and guidance provided by Chris at CMC. The incorporation of spot prizes added an engaging twist, encouraging participants to explore different trading strategies”.

CMC Markets General Manager NZ, Chris Smith, said the current market turbulence due to a global recession made the University of Auckland Trading Challenge particularly interesting this year.

“I was impressed with the students' ability to navigate market volatility and adapt their strategies accordingly. They demonstrated themselves to be a clever group of traders,” he said.

“It's exciting to attract both first-time traders and those with prior experience, highlighting the growing popularity of investing among younger generations. I particularly enjoyed providing a tutorial on the CMC online platform. It's gratifying to see these students develop their skills, and we take pride in empowering them through these events.”

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