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Latest NewsEconomics, government & businessLearning & development

Lehman Brothers meltdown will benefit future investment bankers

by Greg Pitcher 22 Sep 2008
by Greg Pitcher 22 Sep 2008

The UK’s future investment bankers will benefit from the tumultuous events of last week, according to a financial educational charity.

Rod McKee, head of financial capability at the IFS School of Finance, said the crisis that saw Lehman Brothers go bust and HBOS bailed out by Lloyds TSB was a learning opportunity for young people and would boost skill levels in years to come.

The IFS Student Investor challenge opened last week, encouraging teams of 14- to 19-year-olds to invest a fantasy £100,000 in the stock market for four months. The eventual winner receives an all-expenses-paid trip to New York and £2,000 for their school or college.

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McKee said: “A considerable number of students taking part in the student investor challenge will read the business and finance pages of newspapers and watch the news with interest for the first time because they want to know more about the companies or sectors they could invest in.

“Better informed investors make for better returns, and equipping young people with these skills can help them to avoid some of the pitfalls later in life.”

Greg Pitcher

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