Student investing group accumulates $400k portfolio, outperforms S&P 500
By Kendra Bryant, contributing writer
The Towson University Investment Group has accumulated $400,000 in portfolio holdings and is outperforming the stock performance of 500 of the largest companies in the U.S. stock exchange, the S&P 500.
Essentially, an investor would receive a 28.67% return on investment from the TUIG portfolio versus a 26.29% return from the S&P 500 for 2023, according to a comparison provided by the group’s portfolio manager, Max Emde.
Holdings represent the total value of all investments made within a portfolio — in this case, $400,000. These investments include stocks, bonds, mutual funds and exchange-traded funds.
The Investment Group’s portfolio includes investments from companies such as Apple, Eli Lilly & Co, and Amazon, which hold long-term value, according to former president Jordan Le.
Emde, a junior, said that the group used several strategies to accumulate this portfolio.
“We take a bottom-up approach,” he said. “We always take a deep dive into the company we’re looking at before deciding to invest.”
This “bottom-up” approach is a process focused on deeply analyzing individual stocks based on the company’s specific fundamentals, instead of the larger economic aspects.
“We also like to focus on dividend-paying companies that will provide cash flow to the portfolio,” Emde said. “Dividends are a payment that usually quarterly pays out [cash] to a shareholder for owning the stock.”
The student-led group manages international equity funds on behalf of the Towson University Foundation, giving them the opportunity to practice concepts discussed in the classroom in a real-world investment environment, according to the Department of Finance.
Cazmier Tymoch, ‘18, said the group empowers its student investors to make wise decisions on educated investments.
It began in 2000 with an initial fund of $5,000, its website states.
Throughout this year, TUIG has hosted speakers from companies such as T. Rowe Price, Ellin & Tucker and PNC Private Bank.
Members of the organization have gone on to work for several financial firms.
