HAYS, KS -- College students strive for the chance to be financially successful and independent after they graduate and now Fort Hays State University students have the opportunity to learn through the Tiger Investment Group.
Before creating the group, FHSU offered students the chance to acquire investment skills through various investment games.
The problem with the games was that they lasted only a semester and this gave students a false sense of what investing truly is, said Dr. Rory Terry, assistant professor of economics and finance. Another problem arose because the students were using play money, which encouraged them to take unwarranted risks and engage in unsound investment practices, said Terry.
So, Terry proposed the investment group to Ryan Anderson, a senior finance student who graduated in the fall of 1999.
"I was aware that many of the better universities around the country had student-run investment groups that provided their students with hands-on investment experience," said Terry. "We had no university or outside funding, so we came up with the idea of a portfolio funded exclusively with student contributions."
This year, he said, there are more than 40 members and more than $8,000 in the portfolio. The investment group offers students an opportunity to pool their money into a mutual fund and thereby earn a return. By beginning to invest early, students can accomplish more with a small amount of money than they will be able to accomplish later in life with a much larger amount, said Terry. Students also have the opportunity to achieve a diversification that would not otherwise be possible, he said.
The Tiger Investment Group meets in McCartney Hall, usually on the first Tuesday of the month. A typical meeting lasts an hour.
"I believe that students who participate in Tiger Investment Group have greatly enhanced the chance that they will be financially successful and independent in their later years," Terry said.
"Investment success is really the engine that drives all other aspects of personal financial planning."