A Digital App-Based Stock Trading Simulation to Improve High School Students' Financial Literacy

Abstract

The development of digital technology has opened up significant opportunities in education, particularly in strengthening financial literacy among the younger generation. One innovation that can be implemented is the use of digital app-based stock trading simulations among high school students. This study aims to analyze the effectiveness of digital stock trading simulations in improving students' understanding of investment instruments, risk management, and rational financial decision-making. The method used in this study is an experimental approach, involving students as participants in simulation activities using a special stock trading application designed to mimic real market conditions. Students are given the opportunity to conduct virtual stock transactions, monitor price movements, and develop short- and long-term investment strategies. The simulation results show a significant increase in basic knowledge of the capital market, understanding of investment risks, and skills in managing simple portfolios. Furthermore, this activity can foster critical, analytical, and disciplined financial management skills from an early age. Therefore, the implementation of digital app-based stock trading simulations can be used as an alternative innovative learning strategy in economics and finance education in schools. The implications of this research provide input for educators to integrate digital financial technology into the curriculum, so that students' financial literacy can be improved sustainably according to the demands of the digital era.