POCATELLO – The Idaho State University College of Business student team participating in the D.A. Davidson Student Investment Program earned $4,732 with a portfolio that was well above the return for the S&P 500.
The advisor for the team was D.A. Davidson’s Aaron Buckalew.
Since joining the program in 2005, ISU has earned more than $20,650 through the program, which provides hands-on learning and a real-life experience in investing.
The ISU team’s portfolio generated a 29.3 percent return on its investment, sixth best among the 20 participating schools. Ten of the participating schools generated returns above that of the S&P 500. The team from Gonzaga University had the top-performing portfolio, enjoying a total return of 50.4 percent; next was the University of Idaho with a 36.0 percent return; and third was the University of Washington at 29 percent.
“The student teams were able to capture many of the impressive returns that could be found in markets over the last year,” said Brent Williams, wealth management research analyst for D.A. Davidson and co-head of the company’s Student Investment Program. “This program provides a unique opportunity for aspiring financial professionals to learn a range of valuable skills, and we’re honored to partner with these schools.”
For the program, D.A. Davidson provides student teams from senior-level investment courses at 20 Western and Midwestern colleges and universities with $50,000 to invest in the stock market, for a total $1 million commitment annually. Each team makes investment decisions with the guidance of a local D.A. Davidson financial advisor and manages the portfolio for one year, starting Sept. 1. The program is designed to provide a hands-on experience in finance, stock research, portfolio management and investment topics.
The top-performing teams receive a check for their college, earning half of any portfolio gains above 5 percent. D.A. Davidson absorbs any losses. For the 2017-2018 program recently ended, 18 of the 20 participating teams earned checks for a total D.A. Davidson donation of $70,758 – the second largest total donation since the program’s inception – including an $11,356.84 check to Gonzaga. In the 24 years since D.A. Davidson began sharing program profits, the company has donated $623,722 in profits to participating institutions.
The Student Investment Program was launched in 1985 at Montana State University and gradually added colleges throughout the West and the Midwest since that time.
D.A. Davidson Companies is an employee-owned financial services firm offering a range of financial services and advice to individuals, corporations, institutions and municipalities nationwide. Founded in 1935 and headquartered in Montana, with corporate offices in Denver, Los Angeles, Portland and Seattle, the company has approximately 1,350 employees and offices in 25 states.