Before financial literacy became a hot topic, John “Buzz” Garlock was already considering how he could help more kids understand the power of investments. With that, the Boys Town Stock Picking Contest was born 33 years ago.
Gaining Knowledge
Hundreds of kids from 6th to 8th grades have participated in the contest, which teaches participants the basics of stock investments.
“We show this cartoon where it shows the building blocks, and then we let them ask questions,” said Garlock, managing director of The Garlock Wealth Planning Group.
In recent years Garlock’s son, Cory Garlock, has joined the pursuit. Together they encourage students to pick three stocks of companies they’re familiar with to track over three months.
Stephanie Combs, Boys Town middle school math teacher, said a lot of students are passionate about their shoes therefore companies such as Nike and Adidas were popular choices.
By the same token, she explained why researching historical returns is important; if you love a company, but its stock has been erratic in the last several years, it may not be the best investment.
Combs admitted that the stock market doesn’t come naturally to her, so it’s been interesting to learn alongside the kids.
For example, each student checks their stocks every other day and then has to determine if there was a gain or a loss between the dates.
“Sometimes they’ll go ‘I gained $30 in two days,’ and that’s a big jump so we’ll see what happened in the news; did a company get bought out or did someone go bankrupt,” she said.
At the end of the contest, the three students whose picks have gained the most win a cash prize directly deposited into their Boys Town Credit Union account.
Real-Life Applications
Because gains and losses are determined using decimals, students can understand the real-world application of the math they’re learning.
Discussing stocks also provides a segue for Combs to talk about careers as a financial advisor or stockbroker and the importance of 401(k) plans.
Watching the stocks ebb and flow also teaches another critical skill.
“It gives them the idea of patience,” Combs said. “Setting aside your immediate needs and wants for a long-term goal.”
This skill is being taught outside of the classroom as well with chores and allowances, said Herb Hames, director of development for Boys Town in Nebraska and Iowa.
“The Stock Picking Contest is something a little bit different,” Hames said.
RBC Wealth Management, which is the parent organization of The Garlock Wealth Planning Group, funds the program through the RBC Foundation’s community grants.
“The real fun is when we go back at the end of the year and announce the winners,” Garlock said. “Some of these kids have never had $1 to their names, and for them to win $20, $100, or the $200 Grand Prize … it’s like they’ve won the lottery.”
