UM College of Business student investment program sees returns
Frank D’Angelo, senior vice president and Missoula branch manager of D.A. Davidson, presents UM College of Business students with $8,787 for their success in the firm’s Student Investment Program. (Courtesy photo)
MISSOULA – Students from the University of Montana College of Business received $8,787 from D.A. Davidson for their success in the investment firm’s Student Investment Program, which provides teams at 21 universities with $50,000 to invest in the stock market.
The investment program is designed to provide hands-on experience in finance, stock research, portfolio management and investment topics. For many students it’s their first experience investing real money, and the program lets them manage a diversified investment portfolio under the guidance of a financial advisor and the class professor for a semester.
At UM, students analyze and discuss investment opportunities and implement their decisions as part of the college’s “$50,000 Portfolio” course, taught by Brad Cederberg, a 2006 College of Business graduate and senior vice president and financial advisor at D.A. Davidson in Missoula. Not only do students learn the skills and techniques of investing, the course also encourages collaboration, teamwork and communication among students.
The top-performing teams receive a check for their college, earning half of any portfolio gains above 5%. This year, UM finished fourth among the other 21 universities, with a return of 40.2%. In comparison, the S&P 500 return was 27.1% during that period.
In 2017, UM won the Fred Dickson Memorial Award for having the top earning program. Five UM College of Business students then were invited to attend the Davidson Institute event.
The Student Investment Program was started by UM alum Ian B. Davidson. He started the program in 1985 at a lone university but quickly expanded the program to include many throughout the state and region. Considered highly innovative at conception, the program has proved invaluable for students who are considering careers in finance.
UM was the second institution to join the Student Investment Program in 1986. Since the profit-share payout began in 1995, D.A. Davidson has donated $62,664 to UM.