Schwab Scholar Account

The Schwab Scholar Accounts are an integral part of the Hagan Scholarship and are intended to provide recipients with the opportunity to learn “hands-on” how to invest to provide for their long-term financial security.

Schwab Account Particulars  
1. Each recipient will be provided with a $15,000 Schwab Scholar Account the first semester of their second year of college.
2. Each recipient will learn at HSF Workshops how to select and research common stock, write investment reports, and purchase and sell stock.
3. Each recipient will manage their Schwab Scholar Account for the following 2.5 years.
4. Each recipient will establish a personal Schwab Account the fall semester of their fourth year of college in order to start planning, saving, and investing for their long term financial security. After the accounts are established, HSF will deposit $2,000 in each account.
5. After graduation from college and fulfillment of all recipient responsibilities, ALL stock appreciation and dividends in each recipient’s Schwab Scholar Account (up to $15,000 per account) will be transferred to recipient’s personal Schwab Account. Recipients will not be responsible for any loss in their Schwab Scholar Account.

Recipient Returns
Until 2018, each Schwab Scholar Account was funded with $10,000.
Each Schwab Scholar Account is now funded with $15,000.
The below accounts were funded with $10,000.
The average holding period was 2.5 years.

2015 Graduates (Inaugural Class)
1. Largest amount disbursed: $8,567
2. Average amount disbursed: $5,002
3. Average account return: 50% (11% better than S&P 500)
4. S&P return over the same time: 39%

2016 Graduates
1. Largest amount disbursed: $5,686
2. Average amount disbursed: $3,071
3. Average account return: 23% (9% better than S&P 500)
4. S&P return over the same time: 14%

2017 Graduates
1. Largest amount disbursed: $6,113
2. Average amount disbursed: $2,571
3. Average account return: 26%% (9% better than S&P 500)
4. S&P return over the same time: 17%

2018 Graduates
1. Largest amount disbursed: $9,845
2. Average amount disbursed: $3,805
3. Average account return: 38%% (15% better than S&P 500)
4. S&P return over the same time: 23%

Assets Currently Managed by Hagan Scholars (10-7-18)
$5,237,111

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