Ekunda Wonodi is a stock market whiz, and she hasn't even graduated from the fifth grade yet.

She says to buy low, sell high and "don't buy cheap stocks," since they're cheap for a reason -- often because that particular company is in trouble, she said.

The Clemens Crossing Elementary School team of Ekunda, Eva Dickerson, Erica Noppinger and Angela Nguyen won first place in the elementary school division of the Maryland Council on Economic Education Stock Market Game competition in late April.

Nearly 300 teams participated in the Central region of the competition from elementary, middle and high schools. Overall, the Clemens Crossing team placed ninth in the region, beating out many middle and high school teams.

The girls competed in the competition as part of an extension of a finance unit in their fifth-grade gifted and talented math class at Clemens Crossing.

In a volatile down market, the winning Clemens Crossing team made about a 9 percent profit over the three-month-long competition, said their teacher, Kevin Mulroe.

During the competition, students learned the fundamentals of the stock market, such as what stocks are, the risks in buying stocks and that they should "buy what you know," Mulroe said.

Mulroe said he also tried to give his students a realistic expectation of the kind of returns they might see through investment in the stock market.

"The goal of investing is not to get rich -- it's having your money work for you," he added.

Students learn about market

Members of the winning Clemens Crossing team did not have any investment experience before the start of the competition.

Angela said she knew about the stock market in vague terms since her father owns stocks, noting that her father's attitude about the stock market seems to rise and fall with the fluctuations of the market. Angela, however, was unaware that investors could lose money by playing the stock market.

"I always thought that companies always grew, so I thought I would never lose money," she added.

Eva said she, too, had an unrealistic expectation about the money-making powers of stocks.

"When I first learned about stocks, I thought it was really cool and a quick way to make money," she said.

Through the investment experience the girls gained in the competition, they have good advice for investors.

First and foremost, investors should understand what a company actually does before they invest, the students said. Their team won by investing in companies that sell products the students could explain, such as Adidas, Apple, Hershey, Netflix, Johnson & Johnson, and Exxon.

Second, investors should remember to save some of their earnings.

"It's not how much you make but how much you save," Angela said.

For example, if an investor makes $100 but then spends $100 to buy more stock, "it's like you never made anything," Angela said.

Third, investors should be sure to diversify the kinds of companies in which they invest.

"Don't spend it all on one thing, because that might go down really far," Erica explained.

Eva said investors should also remember that there are other investment vehicles out there besides stocks, such as savings bonds and mutual funds.

And finally, investors should only invest money that they aren't afraid to lose in stocks, Ekunda said.

"It's risky, so you have to spend at your own risk," she said. "It's like gambling, and you can lose all of your money."

As a result of competing in the stock market game, Eva decided to invest a little of her own money in the stock market, buying both Netflix and Macy's stocks. Eva said investment is a habit she plans on nurturing.

"You should start your habits for investing money young, because your habits will follow you throughout your life," she said.

E-mail Sarah Daniels at sdaniels@patuxent.com.

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