University Students Beat The Market In TVA Investment Challenge

Thursday, February 27, 2014

University students in the Tennessee Valley Authority’s Investment Challenge Program outpaced the stock market’s best annual performance in 16 years in 2013.

“It was a great year for our student investors even with the market’s strong performance,” TVA Chief Financial Officer John Thomas said. “TVA and ratepayers benefited from their hard work, and we believe the students benefited as well from the real-world experience they received through the program.”

The Standard and Poor’s 500 Index produced a 2013 return of 32.4 percent, the biggest annual advance since 1997. Students in TVA’s Investment Challenge Program collectively outperformed the S&P 500 by 1.4 percentage points, with a return of 33.8 percent.

In fact, 17 of the 25 participating universities outperformed the S&P 500 in 2013, with five schools producing returns of more than 40 percent.

The top three universities for 2013 based on performance are:

  • Tennessee Tech University, 47.7 percent return
  • Alabama A&M University, 46.9 percent return
  • East Tennessee State University, 46.4 percent return

TVA’s Investment Challenge Program is a partnership between TVA and 25 universities in the TVA service territory that provides hands-on experience in financial asset management and performance-based awards the universities can use to enhance their business school resources.

Student teams actively manage real stock portfolios for TVA, designing long-term investment strategies and selecting investments under the guidance of faculty members and within investment guidelines established by TVA.

Thousands of students have participated in the program since it began in 1998, and a number of them have been hired by TVA and other employers in the region after graduation.

“TVA is committed to promoting economic development in the Tennessee Valley,” Thomas said. “The Investment Challenge Program nurtures an educational infrastructure vital to growth in our region, and we are proud to offer this opportunity to students in the communities we serve.”

TVA initially provided $1.9 million from one of its long-term asset retirement trusts to start the program. Through 2013, the program has grown to over $12 million.

“The TVA Investment Challenge is an effective and innovative way to leverage our resources and offer experience and training to foster the next generation of financial leaders in the region,” TVA Vice President and Treasurer Tammy Wilson said.

The participating universities are: Alabama A&M University, Austin Peay State University, Belmont University, Christian Brothers University, East Tennessee State University, Lipscomb University, Middle Tennessee State University, Mississippi State University, Mississippi University for Women, Murray State University, Tennessee State University, Tennessee Tech University, Trevacca Nazarene University, Union University, University of Alabama at Huntsville, University of Kentucky, University of Memphis, University of Mississippi, University of North Alabama, University of Tennessee at Chattanooga, University of Tennessee at Knoxville, University of Tennessee at Martin, Vanderbilt University, Western Carolina University and Western Kentucky University.

More information about the Investment Challenge Program can be found at http://www.tva.gov/investmentchallenge.



Shaw Expands Resilient Manufacturing Capabilities, Adding USFloors Product Lines

Shaw Industries Group, Inc. has completed a $30 million investment to manufacture composite core LVT flooring in its resilient manufacturing facility in Ringgold, known as Plant RP. Shaw started manufacturing LVT in this state-of-the-art plant in 2016. This latest installation will manufacture Shaw and USFloors WPC and rigid core products by the end of third quarter this year. ... (click for more)

New Hamilton County Businesses

Here are the new business licenses from the County Clerk's office: AIR-TECH CHARLES  ABLES HVAC SERVICE 515 LUPTON DR CHATTANOOGA TN 37415 AMERICAN CONCRETE SERVICES ANDREW  SHANE CONCRETE CONTRACTORS 1788 E POINSETT ST EXTENTION GREER SC 29651 AMERICAN WASTE SERVICES   DUMPSTER RENTAL 10219 HWY 58 OOLTEWAH TN 37363 ... (click for more)

Mark Wharton Named Vice Chancellor And Director Of Athletics At UTC

University of Tennessee at Chattanooga Chancellor Dr. Steven Angle announced Mark Wharton as the Mocs' new vice chancellor and director of athletics on Tuesday.  A press conference introducing Mr. Wharton is scheduled for  Wednesday, at  2 p.m.  in the Chattanooga Room in the University Center.  Community members, fans and supporters are invited to ... (click for more)

Government Paid Almost $181,000 In Social Security Benefits To Sewanee Man After He Died In 1988; Hawkins Charged With Embezzlement

The Social Security Administration paid almost $181,000 in benefits to a Sewanee man after he died in 1988, federal prosecutors said. The government learned in 2014 that the money designated to Walter Acton was going to a man living in his home at 3932 Jump Off Road - Edward Hawkins. Hawkins has agreed to plead guilty to embezzlement in the case. Prosecutor Perry Piper said ... (click for more)

The Soul Of Chattanooga Is In Trouble

As a child growing up in the Chattanooga area, at an early age I became fascinated with the history that cloaks the city. In those days there was enough pollution to cover the town and its history but that didn't stop tourists from coming to visit Lookout Mountain, Missionary Ridge and the Chickamauga battlefield.     Chattanooga's leadership was not very far sighted ... (click for more)

Roy Exum: Writing From Bragg Avenue

Far and away, my favorite comment on destroying statues appeared on my Facebook page the other day and, believe it or not, it was the clear-minded Times Free Press Sports Editor Stephen Hargis who penned, “This statue offends me! It must be torn down!” Underneath his fiery words, the long-suffered UT football fan posted a picture of the bronze monument outside of Bryant-Denny stadium ... (click for more)