Schwab Brokerage Accounts

Schwab brokerage accounts are an integral part of the Hagan Scholarship and are intended to provide recipients with the opportunity to learn “first-hand” how to invest in order to achieve financial security.

Schwab Brokerage Account Particulars  
1. Each second year recipient will open a personal Schwab brokerage account (“personal account”). After the “personal account” is opened HSF will deposit $100 in the account. The “personal account” will be used by the recipient to start saving and investing personal funds, and to receive gains from the “HSF account.”
2. Starting the second year, each recipient will manage an HSF Schwab brokerage account (“HSF account”). The HSF funds managed will be $10,000 the second year, $15,000 the third year, and $20,000 the fourth year. Each recipient will research and select two stocks to purchase the second year, then select one stock to sell and two new stocks to purchase the third year and fourth year.
3. Each recipient will learn “first-hand” how to select and research common stock, how to write investment reports, how to purchase and sell stock, and how to evaluate investment performance.
4. After graduation from college and fulfillment of all recipient responsibilities, ALL gains in the “HSF account” up to $10,000 will be deposited in the recipient’s “personal account.” Recipients will not be responsible for any loss in the HSF brokerage account.

HSF Assets Managed by Hagan Scholars: $11,850,023

Investment Returns
The average holding period is 2.5 years. Average recipient returns have noticeably exceeded S&P 500 returns. All investments are in S&P 500 Index stocks that meet value investment criteria established by HSF.

2015 Graduation Class
Average Return of All Accounts: 50%

2016 Graduation Class
Average Return of All Accounts: 23%

2017 Graduation Class
Average Return of All Accounts: 26%

2018 Graduation Class
Average Return of All Accounts: 38%

2019 Graduation Class
Average Return of All Accounts: 34%

2020 Graduation Class
Average Return of All Accounts: 17%

2021 Graduation Class 
Average Return of All Accounts: 60%

2022 Graduation Class 
Average Return of All Accounts: 24%

Decisions made by HSF are final and not subject to appeal. Terms and Conditions are subject to change without notice.