Students from the Department of Finance and Economics at Alabama A&M University have outperformed the stock market's annual performance in 2013.
The TVA Investment Challenge program at AAMU earned a 46.9 percent return compared to 32.4 percent for the S&P 500 index. The accomplishment made the AAMU team eligible for a performance award of $9,362 from the Tennessee Valley Authority.
"This was a great performance for our portfolio and rewards the hard work of our students,” commented Dr. Mohammad Robbani, faculty advisor of the TVA Investment Challenge program. “We believe that students definitely benefit from the authentic experience they receive through this program.”
AAMU is one of the 25 participating universities in the TVA's Investment Challenge Program. The top three universities for 2013 based on performance were Tennessee Tech University, 47.7 percent return; Alabama A&M University, 46.9 percent return; and 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 that 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.