Investors of Tomorrow is amongst the largest student-run charities in Canada focused on financial literacy education for students. It has come to our attention that more and more students today struggle with ways to earn an income sufficient enough to start their lives while still paying off rising student debts. Downturns in our economies have created setbacks for everyone, yet students almost always seem to suffer the most. With many students feeling financially cornered, Investors of Tomorrow deems it their mission to create self-sufficient, financially literate students that can take control of their future and improve their financial status.
With unemployment for people 15-24 years old almost twice that of the remainder of the labour force, at a woeful 14%, there is no better time for students to expand their horizons. The ripple effects of a recession have exponential consequences on many students, often leaving them unemployed full of debt repayments. Additionally, tuition prices have risen faster than inflation since the 1990s, leaving today’s students to pay twice as much for a degree since 1996 in a pool of graduates now twice as large.
Once out, the average university graduate accumulates $37,000 (as of 2005) of debt with often little to no debt experience prior to taking out a student loan. Paying off these loans and planning retirement have become more challenging as baby boomers are hanging on to their jobs, and laid-off workers compete with graduates for a smaller employment pool.
Student debt owed to the government and banks deeply hinders the student’s ability to invest in their future early on and even causes students to get pulled deeper into the debt cycle. Borrowers were less likely to own their homes, and when they did they were more likely to have a mortgage than their non-borrower counterparts. Student loans also showed to decrease borrowers assets and net worth when compared to non-borrowers.
Yet the student today is far from depleted of options when it comes to saving for retirement and earning money outside of the job market. “Investors of Tomorrow understands just how important and opportunistic these times are for students,” says Talha Zubair, President of IOT and a third year student at the Richard Ivey School of Business. “Pushed into ‘survival mode’ students are looking for more ways to save and earn money, and IOT is there to help them along the way.’ With numerous educational officers, a detailed curriculum, informative newsletters and a Stock Pitch Competition set to mimic real-world financial markets, IOT works to expose students to investing and saving. While investing in retirement before one even has a job sounds unorthodox, with Social Security dwindling and OAS age eligibility increasing, it is becoming increasingly more evident that in order to retire comfortably, the earlier you start the better.
Investors of Tomorrow is on the leading edge of innovation in educating today’s youth about financial literacy with the continued success of our uniquely developed InvestYoung Stock Pitch Competition. We are currently working to expand our operations in multiple provinces in Canada in order to provide our members with more opportunities to learn, get involved and contribute to the largest student run Canadian Registered Charity. To find out more, please visit www.investyoung.org.