Contact: Maridith Geuder
A Mississippi State University student panel now owns a performance trophy for its over-the-top success in an investment challenge sponsored by the Tennessee Valley Authority.
The TVA Challenge Program was established four years ago to provide real-world financial investment management experience for students in the electric power utility's seven-state service area. The program is funded through the Nuclear Decommissioning Trust Fund that was created in 1996 to meet financial obligations involved in retiring nuclear power plants.
MSU team members included Cary Denson, a liberal arts major from Starkville; Landon Estay, an accounting major from Kentwood, La.; Sam Kaye, an economics major from Mobile, Ala.; George Montgomery, an accounting major from Cedar Park, Texas; and John Orman, a banking and finance major from Corinth.
They were among groups from nearly 20 universities and six private schools participating in the competition.
Even with a stock market decline during 2002, the MSU team outperformed the Standard & Poor's 500 Index. In developing investment portfolios and benchmarks, they followed established sound investment guidelines--the same guidelines TVA imposes on professional money managers under contract. Each team is required to complete its works under the supervision of a faculty member.
"Our group received recognition for outperforming its benchmark last year," said team adviser G. Wayne Kelly, an associate professor of finance.
Kelly said participation in the TVA Challenge since its beginning has given Mississippi State students valuable hands-on experience in the complexities of investment management.
"Their successes over the years are evidence of both the students' dedication and the skills the project has helped them develop," Kelly said.