It is never too early to teach your kids life skills. If you are scoffing at “stock market for kids,” you need to click in. Teaching your children how and why we invest gives them a jump on life that many kids don’t ever get. If you want to know how to give that gift to your kids, read on.
The stock market is its own world with a set of laws, rules, and principles that make it run smoothly. In the stock market world, you have to be quick, pay attention, and make tough decisions on your feet. Investing in the stocks is a skill that takes many years to perfect, and the younger a person starts learning, the sooner in life they will be ready to start making investments. Want to prepare your kids to become Wall Street Tycoons? Here are a few ways you can teach about the stock market for kids.
9 Resources to Help Your Child Understand the Stock Market
1. Play Monopoly
Monopoly might not be about the stock market. But it is an excellent stepping stone toward the stock market for kids. The well-loved Hasbro game is all about making, growing, and selling investments.
These are all skills you need to be successful in the stock market. So, dust off that old board game and sit down for some fun and educational family time.
2. Invest It’s Best! Music Video
This adorable video will teach your younger kids the difference between bank investments, bonds, and stocks. It also shows them how all three of those options are better than spending all of your money on toys.
The information is straightforward, fun, and set to a catchy tune with cute animations. This music video makes for an excellent introduction to investing which leads quite smoothly into a discussion about the stock market.
3. The Stock Market Game: A Simulation of Stock Market Trading
The Stock Market Game: A Simulation of Stock Market Trading is a perfect way to learn about the stock market for kids. It is filled with information on the stock exchange, insight into trading and investing, and a glimpse at what it’s like to own a company.
This game takes several kids from 5th-8th grade. The game takes between several days and several months to play depending on the simulation you choose.
4. I’m a Shareholder Kit: The Basics About Stocks-For Kids/Teens
For a hands-on experience for older children and teens, this kit teaches kids how to invest in the stock market, who to invest with, and how to make their money work for them. Not only does this kit provide a wealth of information, but it also helps kids invest in their very first stock, track its growth, and help it bring in money.
For many kids, there’s no better way to learn about the stock market than to dive in and get hands-on. The I’m a Shareholder Kit provides kids with the unique experience of being guided through every step of their first stock market experience.
5. Stock Market for Life: A Guide to Winning the Stock Market Game in class and in real life for students, teachers, and parents by Joey DeStefanis
For precocious kids who like to learn on their own, this comprehensive workbook can help students learn the basics of the stock market.
This book contains instructions, worksheets, quizzes, and examples of all the information necessary for learning about the stock market for kids.
6. Stock Market Lesson
If you want to begin your kid’s stock market experience with more of a traditional approach, you’re in luck. This Stock Market Lesson digital presentation provides all the information, vocabulary words, descriptions, and examples of how the stock market works.
It is straightforward and easy to follow, to read, and you and your children can move through it at your pace. The lesson presentation is best suited for high school students as an introduction to investing in the stocks.
7. Learning About the Stocks by Wallstreet Survivor
The short animated film Learning About the Stocks is a great way to introduce the basics of the stock market for kids. Wall Street Survivor explains the stock market is simple terms comparing the stock market to a flea market.
The animations are entertaining, the information flows at a good pace, and the vocabulary words are broken down and easy to follow.
8. Buy Your Kid a Stock
Purchasing a stock for your child is a gift that will benefit them for a lifetime. Either surprise them or involve them in choosing a stock from a company they know and love. Explain that owning that stock means they own a little piece of the company. If they time it right, they could sell that stock for more many than what they used to buy it.
This simple teaching moment gives your child confidence and introduces them to the world of investment by directly involving them in the stock market. You can try purchasing a child’s stock even on a website.
9. Plant a Garden With Your Kids
It may sound odd, but planting a garden with your kids can teach a lot of real-life lessons on investment and return. Especially if you plant fruits and vegetables, you can help your children understand how the investment in the purchase of seeds. The time they put into it translates into something far more valuable over time.
A small seed becomes a pumpkin, or a watermelon worth exponentially more than the original seed. You could even set up a small produce stand. And, allow your kids to sell some of their produce to neighbors to drive home the point.
There are hundreds of ways to teach your children all about investing in the stock market. No matter what method you use, remember that investing is a critical life skill that can set your child up for a lifetime of financial success.
What are some of your favorite ways to teach about the stock market for kids? Tell us all about it in the comments section below. We’d love to hear from you.
The image is from depositphotos.com.