Students in Iowa State’s Finance 464X class have been given the opportunity to invest $100,000 in the stock market.

“We were given $100,000 by Krause Gentle Corporation to invest as we see fit in stocks,” said Rick Carter, professor of finance, who teaches the class.

Bill Krause, CEO of Krause Gentle Corp., Des Moines, loaned $100,000 to finance classes at ISU, Drake University, the University of Northern Iowa and the University of Iowa. The schools are competing with each other to see who can earn the most money in stocks.

There are 18 students in Finance 464X, which covers security analysis and portfolio management. The students are divided into four teams, and each team gives presentations during class to convince classmates to buy or sell stock in different industries.

Carter said the students vote on whether to buy or sell the stocks, and he has no veto power. So far, there are eight stocks in the portfolio, two of which are from Iowa-based companies.

The project requires the students to invest 25 percent of the money in stocks with significant Iowa businesses.

“Krause wants students to see that there are good investments in Iowa,” Carter said.

Jennifer Hall, senior in finance, said this class is different from others because “it’s fun and we have money.”

“Oftentimes, college doesn’t give you a chance to experience the real world, and this class does,” she said.

Carter said students were hand-picked for the class based on applications and good academic standing.

He said this class can be beneficial to the students’ future.

“Past experiences have shown that corporations come to these students first for jobs,” Carter said.

The students learn stock analysis, how to invest in companies with real money, how to speak with brokers and gain knowledge about companies.

“I look at it as more of a job than a class,” Hall said.

Carter said this competition between schools lasts until the end of next year and the winner receives a cup prize.

So far, $28,000 has been invested and the stocks have made $600. Any money earned will be returned to Krause when the class is over.