TVA Investment Challenge Students Deliver Strong Performance in 2024

KNOXVILLE, Tenn. – The Tennessee Valley Authority announced Friday that ten of the university teams participating in the agency’s Investment Challenge Program (ICP) beat the S&P 500 Total Return Index for calendar year 2024.  The S&P 500 charged ahead in 2024 with the second straight year of 20% or better returns. The last time the S&P 500 achieved two or more straight years of 20% or more growth was during the late 1990s.

“The Investment Challenge Program is one of the largest and most successful student investment programs and has helped advance the careers of over 10,000 students by teaching quantitative, qualitative, and teamwork skills that are highly valued by today’s employers, and we are proud to partner with these universities,” said TVA Vice President, Treasurer, and Chief Risk Officer Brian Child. “Since its founding in 1998, the Investment Challenge Program continues to be an excellent opportunity for students to interact with working financial professionals and gain practical experience by managing real portfolios. 2024 was a banner year, and it’s inspiring to see our student investors repeatedly beat the S&P 500 average to achieve strong results.”

ICP is one of TVA’s premier workforce development initiatives that allows university student teams to actively manage stock portfolios under the guidance of faculty members and within investment guidelines established and monitored by TVA.

“We teach theory and practice in class, but there is no substitute for applying that to a real-world situation,” Willis Hulings, professor at Vanderbilt University, said. “Very few students have enough money to invest in the stock market, and this experience puts them in the seat of an active investor. I am proud of what our students have accomplished for Vanderbilt in this program.”

To recognize the teams’ efforts, on Thursday, TVA hosted more than 250 students at an event in Nashville, Tennessee. One of the 10 teams produced returns in excess of 1,400 basis points above that of the S&P 500. Teams that outperform the S&P 500 in a calendar year earn performance awards for their respective universities.

The top performing teams that beat the S&P 500 to earn awards are:

• Alabama A&M University
• Austin Peay State University
• Christian Brothers University
• Mississippi State University
• Tennessee Tech University
• Tennessee State University
• University of Tennessee at Martin
• Union University
• Vanderbilt University
• Western Carolina University

Since ICP’s inception, students have collectively outperformed the S&P 500 total return of 8.61% by 36 basis points annually; an excess cumulative return of 79%. Through 2024, the program has grown to $17 million primarily through positive investment returns. ICP teams have earned over $1.4 million in performance awards for their schools over the life of the program.

Other participating universities are:  Belmont University, Carson Newman University, East Tennessee State University, Lipscomb University, Middle Tennessee State University, Mississippi University for Women, Murray State University, Trevecca University, University of Alabama Birmingham, University of Alabama at Huntsville, University of Kentucky, University of Memphis, University of Mississippi, University of North Alabama, University of Tennessee at Chattanooga, and Western Kentucky University.

For more information about ICP, visit tvainvestmentchallenge.com.

About TVA

The Tennessee Valley Authority is the nation’s largest public power supplier, delivering energy to more than 10 million people across seven southeastern states. TVA has one of the most diverse energy systems – including nuclear, hydro, solar, gas, and advanced technologies. To prepare for the future, TVA is making significant investments in its power system toward new generation and transmission.

TVA is a corporate agency of the United States, receiving no taxpayer funding, deriving virtually all of its revenues from sales of electricity. TVA maintains some of the lowest energy costs and highest reliability in the nation. TVA’s retail rates are lower than 80 percent of the rest of the nation, while its industrial rates are lower than 95 percent of the top utilities. In addition, TVA provides flood control, navigation, and land management for the Tennessee River system, and assists local power companies and state and local governments with economic development and job creation.