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How to increase your cash by 40% in one day – buy shares in Alibaba!

Michael Albanese

24th September 2014

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The Chinese internet giant, ran by former English teacher Jack Ma, has become the biggest initial public offering (IPO) in History.Having studied them last year, I considered buying shares in them, hemmed-and-harred, and didn’t. What a mistake! Shares started at $68 and rose to $92.70, an increase of 38%. Had I invested my spare £5mil (left-overs from the Apple shares I bought in 1999), I would have been up by a cool £1,900,000!I used this as a way to introduce Public Limited Companies, but also linked it to risk and reward, raising finance and working out percentage increase.Here is the link to a previous research task on Alibaba (suitable for most BUSS4 topics) and the more current BBC news article.Hope it helps

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Michael Albanese

Assistant Curriculum Lead for Business and Law at Solihull Sixth Form College