84th Installment of the Longest Running HBCU Rivalry Game
This weekend, two of the most prominent historically black colleges will head to Columbus, Georgia for the 84th annual Tuskegee-Morehouse Classic, the longest running historically black college football rivalry series. The game is played every year in A.J. McClung Memorial Stadium, known for hosting the annual Auburn-Georgia game—"the Deep South's Oldest Rivalry"—from 1916 until 1958. For most of that period black residents and soldiers from nearby Fort Benning were not allowed to attend, and the Tuskegee-Morehouse classic was founded in 1936 in response to create an event for the community as well as a showcase of two of the top black football programs. The Auburn-Georgia game eventually grew too big for the 15,000-seat stadium in Western Georgia, a challenge the organizers of the Tuskegee-Morehouse Classic are now facing, as stadiums with better amenities angle to lure the game away from Columbus.
Historically black colleges and universities (HBCUs) are generally defined as an institution of higher learning founded before the passage of the Civil Rights Act of 1964 with the primary purpose of educating African Americans. This is the second HBCU matchup we have previewed this year. For a history of HBCUs in general please see our report on the Prairie View A&M-Grambling State game. This week we feature two of the most influential HBCUs—Tuskegee, founded by Booker T. Washington and attended by the Tuskegee Airmen, and Morehouse, the alma mater of Martin Luther King Jr. and the first HBCU to produce a Rhoades Scholar.
The football programs are two of the most popular in Division II, leading in average home game attendance. The Tuskegee Golden Tigers first took the field in 1913, and have racked up over 680 wins—the most of any HBCU—and 29 Southern Intercollegiate Athletic Conference (SIAC) titles. The Morehouse Maroon Tigers kicked off their season this year playing in the inaugural Black College Hall of Fame Classic in Canton, Ohio, where they lost 35-30 to Division I Alabama A&M.
Deep History at Tuskegee
Tuskegee was founded in 1881 by Lewis Adams, George Campbell and Booker T. Washington, a leading advocate of African American advancement through education, entrepreneurship and economic well-being. Washington led the school, originally known as the Tuskegee Institute, from 1881 until his death in 1915, a period in which the school gained academic independence and a national reputation. Washington was a prolific fundraiser, soliciting donations from major philanthropists including Andrew Carnegie and John D. Rockefeller, while insisting on an all-black faculty to "develop Black leadership to the maximum extent." He believed in black self-reliance and emphasized a more practical, often agrarian education, rather than a more classical liberal arts education. George Washington Carver was instrumental as head of the Tuskegee agriculture department, where he advocated for crop rotation and the cultivation of alternative crops—most famously peanuts—as a way for impoverished farmers and sharecroppers to overcome soil depletion from the overproduction of cotton.
As mechanization, the boll weevil and the Great Migration dragged on Southern agriculture, the school's academic programs gradually evolved. The veterinary school, which has educated roughly 75% of black veterinarians, was established in 1944, followed by engineering, architecture and eventually a full range of liberal arts, technical and professional programs.
As World War II loomed, the U.S. military remained strictly segregated, and the Army Air Corps— the predecessor to the Air Force—did not admit black pilots. After President Roosevelt authorized black enlistment in 1941, the 99th Pursuit Squadron was founded and began training black pilots on Moton Field, just a few miles from the Tuskegee campus. The 992 pilots from the training program, who were educated at Tuskegee and known as the Tuskegee Airmen, went on to see tremendous success in the skies over Europe, serving primarily as bomber escorts. The men returned to the United States victorious on the battlefield but still facing Jim Crow laws on the home front. By 1948, however, President Truman ordered the full integration of the U.S. armed forces, in no small part due to the Airmen's exemplary service.
With so much history at Tuskegee, it is easy to forget it is still a major source of innovation to this day, particularly in agricultural sciences—continuing the legacy of George Washington Carver— advanced materials, atmospheric science, biotechnology and information security. It has over 3,000 students and is the only university campus registered as a National Historic Landmark. The city of Tuskegee is about 40 miles east of Montgomery and 20 miles west of Auburn, with a population of just around 10,000. In addition to its historical importance as the site of the Tuskegee Institute, it was home to the Tuskegee Veterans Administration Medical Center, built to provide care for thousands of black World War I veterans, who were blocked from receiving care at segregated facilities.
Morehouse & Atlanta
Morehouse has plenty of history of its own. Founded in 1867 as a seminary for freed slaves, it moved to its present location in southwest Atlanta after the donation of a parcel of land from John D. Rockefeller. Morehouse emphasized a more rigorous, classical liberal arts education, in contrast to Booker T. Washington's more experiential and skills-based philosophy at Tuskegee.
Today Morehouse is one of only three all-male non-religious four-year schools in the nation, along with Hampden-Sydney College in Virginia and Wabash College in Indiana. Currently Morehouse has around 3,000 students and offers 26 majors, and it has awarded bachelor's degrees to more African American men than any other school in the United States.
Morehouse has close ties to Atlanta—alumnus Maynard Jackson was the first African American mayor of the city, and several Morehouse graduates have also gone on to distinguished careers in public service and politics. Morehouse graduates are well integrated throughout the Atlanta economy, attaining key leadership positions in the region's financial services, healthcare, construction, entertainment and publishing industries. Morehouse is also a member of the Atlanta University Center Consortium, which consists of four HBCUs: Clark Atlanta University, Spelman College (the nation's oldest higher education institution for black women), Morehouse and the Morehouse School of Medicine. Combined, the four institutions have 9,000 students.
The Morehouse class of 2019 made headlines when billionaire Robert F. Smith, one of the nation's wealthiest African Americans, pledged in his commencement speech to pay off all of the class's student loan debt, instantly becoming the largest donation to a HBCU in history. Smith did not attend Morehouse himself, but the school has a tremendously influential roster of alumni, including Martin Luther King Jr., Edwin Moses, Herman Cain, Spike Lee and Samuel L. Jackson. It was also the first HBCU to produce a Rhoades Scholar, and has since produced three more.
Morehouse comes into the game 2-3, while Tuskegee has had somewhat of a rough start to the season, going 1-4 and in the midst of their first three-game losing streak since 2011. They have not lost four in a row since 2003, adding even more fuel to the fire of this rivalry game. Still, there is more to this weekend than the contest on the gridiron. Festivities surrounding the game include community-based religious services, a parade and tailgating, all meant to raise funds to provide scholarships to aspiring college students.
The game will kick off at 2 PM Eastern and will be broadcast on ESPN3. Tuskegee comfortably leads the overall series 72-28-7 and has won 20 of the last 25. The point differential the last five years has been 213-83 in favor of the Golden Tigers, but Morehouse came away victorious last year in a game that extended into triple overtime. Tuskegee is favored by four points on Saturday.
Recently, the stock market has experienced high levels of volatility. If you are thinking about participating in fast moving markets, please take the time to read the information below. Wells Fargo Investments, LLC will not be restricting trading on fast moving securities, but you should understand that there can be significant additional risks to trading in a fast market. We've tried to outline the issues so you can better understand the potential risks. If you're unsure about the risks of a fast market and how they may affect a particular trade you've considering, you may want to place your trade through a phone agent at 1-800-TRADERS. The agent can explain the difference between market and limit orders and answer any questions you may have about trading in volatile markets. Higher Margin Maintenance Requirements on Volatile Issues The wide swings in intra-day trading have also necessitated higher margin maintenance requirements for certain stocks, specifically Internet, e-commerce and high-tech issues. Due to their high volatility, some of these stocks will have an initial and a maintenance requirement of up to 70%. Stocks are added to this list daily based on market conditions. Please call 1-800-TRADERS to check whether a particular stock has a higher margin maintenance requirement. Please note: this higher margin requirement applies to both new purchases and current holdings. A change in the margin requirement for a current holding may result in a margin maintenance call on your account. Fast Markets A fast market is characterized by heavy trading and highly volatile prices. These markets are often the result of an imbalance of trade orders, for example: all "buys" and no "sells." Many kinds of events can trigger a fast market, for example a highly anticipated Initial Public Offering (IPO), an important company news announcement or an analyst recommendation. Remember, fast market conditions can affect your trades regardless of whether they are placed with an agent, over the internet or on a touch tone telephone system. In Fast Markets service response and account access times may vary due to market conditions, systems performance, and other factors. Potential Risks in a Fast Market "Real-time" Price Quotes May Not be Accurate Prices and trades move so quickly in a fast market that there can be significant price differences between the quotes you receive one moment and the next. Even "real-time quotes" can be far behind what is currently happening in the market. The size of a quote, meaning the number of shares available at a particular price, may change just as quickly. A real-time quote for a fast moving stock may be more indicative of what has already occurred in the market rather than the price you will receive. Your Execution Price and Orders Ahead In a fast market, orders are submitted to market makers and specialists at such a rapid pace, that a backlog builds up which can create significant delays. Market makers may execute orders manually or reduce size guarantees during periods of volatility. When you place a market order, your order is executed on a first-come first-serve basis. This means if there are orders ahead of yours, those orders will be executed first. The execution of orders ahead of yours can significantly affect your execution price. Your submitted market order cannot be changed or cancelled once the stock begins trading. Initial Public Offerings may be Volatile IPOs for some internet, e-commerce and high tech issues may be particularly volatile as they begin to trade in the secondary market. Customers should be aware that market orders for these new public companies are executed at the current market price, not the initial offering price. Market orders are executed fully and promptly, without regard to price and in a fast market this may result in an execution significantly different from the current price quoted for that security. Using a limit order can limit your risk of receiving an unexpected execution price. Large Orders in Fast Markets Large orders are often filled in smaller blocks. An order for 10,000 shares will sometimes be executed in two blocks of 5,000 shares each. In a fast market, when you place an order for 10,000 shares and the real-time market quote indicates there are 15,000 shares at 5, you would expect your order to execute at 5. In a fast market, with a backlog of orders, a real-time quote may not reflect the state of the market at the time your order is received by the market maker or specialist. Once the order is received, it is executed at the best prices available, depending on how many shares are offered at each price. Volatile markets may cause the market maker to reduce the size of guarantees. This could result in your large order being filled in unexpected smaller blocks and at significantly different prices. For example: an order for 10,000 shares could be filled as 2,500 shares at 5 and 7,500 shares at 10, even though you received a real-time quote indicating that 15,000 shares were available at 5. In this example, the market moved significantly from the time the "real-time" market quote was received and when the order was submitted. Online Trading and Duplicate Orders Because fast markets can cause significant delays in the execution of a trade, you may be tempted to cancel and resubmit your order. Please consider these delays before canceling or changing your market order, and then resubmitting it. There is a chance that your order may have already been executed, but due to delays at the exchange, not yet reported. When you cancel or change and then resubmit a market order in a fast market, you run the risk of having duplicate orders executed. Limit Orders Can Limit Risk A limit order establishes a "buy price" at the maximum you're willing to pay, or a "sell price" at the lowest you are willing to receive. Placing limit orders instead of market orders can reduce your risk of receiving an unexpected execution price. A limit order does not guarantee your order will be executed -" however, it does guarantee you will not pay a higher price than you expected. Telephone and Online Access During Volatile Markets During times of high market volatility, customers may experience delays with the Wells Fargo Online Brokerage web site or longer wait times when calling 1-800-TRADERS. It is possible that losses may be suffered due to difficulty in accessing accounts due to high internet traffic or extended wait times to speak to a telephone agent. Freeriding is Prohibited Freeriding is when you buy a security low and sell it high, during the same trading day, but use the proceeds of its sale to pay for the original purchase of the security. There is no prohibition against day trading, however you must avoid freeriding. To avoid freeriding, the funds for the original purchase of the security must come from a source other than the sale of the security. Freeriding violates Regulation T of the Federal Reserve Board concerning the extension of credit by the broker-dealer (Wells Fargo Investments, LLC) to its customers. The penalty requires that the customer's account be frozen for 90 days. Stop and Stop Limit Orders A stop is an order that becomes a market order once the security has traded through the stop price chosen. You are guaranteed to get an execution. For example, you place an order to buy at a stop of $50 which is above the current price of $45. If the price of the stock moves to or above the $50 stop price, the order becomes a market order and will execute at the current market price. Your trade will be executed above, below or at the $50 stop price. In a fast market, the execution price could be drastically different than the stop price. A "sell stop" is very similar. You own a stock with a current market price of $70 a share. You place a sell stop at $67. If the stock drops to $67 or less, the trade becomes a market order and your trade will be executed above, below or at the $67 stop price. In a fast market, the execution price could be drastically different than the stop price. A stop limit has two major differences from a stop order. With a stop limit, you are not guaranteed to get an execution. If you do get an execution on your trade, you are guaranteed to get your limit price or better. For example, you place an order to sell stock you own at a stop limit of $67. If the stock drops to $67 or less, the trade becomes a limit order and your trade will only be executed at $67 or better. Glossary All or None (AON) A stipulation of a buy or sell order which instructs the broker to either fill the whole order or don't fill it at all; but in the latter case, don't cancel it, as the broker would if the order were filled or killed. Day Order A buy or sell order that automatically expires if it is not executed during that trading session. Fill or Kill An order placed that must immediately be filled in its entirety or, if this is not possible, totally canceled. Good Til Canceled (GTC) An order to buy or sell which remains in effect until it is either executed or canceled (WellsTrade® accounts have set a limit of 60 days, after which we will automatically cancel the order). Immediate or Cancel An order condition that requires all or part of an order to be executed immediately. The part of the order that cannot be executed immediately is canceled. Limit Order An order to buy or sell a stated quantity of a security at a specified price or at a better price (higher for sales or lower for purchases). Maintenance Call A call from a broker demanding the deposit of cash or marginable securities to satisfy Regulation T requirements and/or the House Maintenance Requirement. This may happen when the customer's margin account balance falls below the minimum requirements due to market fluctuations or other activity. Margin Requirement Minimum amount that a client must deposit in the form of cash or eligible securities in a margin account as spelled out in Regulation T of the Federal Reserve Board. Reg. T requires a minimum of $2,000 or 50% of the purchase price of eligible securities bought on margin or 50% of the proceeds of short sales. Market Makers NASD member firms that buy and sell NASDAQ securities, at prices they display in NASDAQ, for their own account. There are currently over 500 firms that act as NASDAQ Market Makers. One of the major differences between the NASDAQ Stock Market and other major markets in the U.S. is NASDAQ's structure of competing Market Makers. Each Market Maker competes for customer order flow by displaying buy and sell quotations for a guaranteed number of shares. Once an order is received, the Market Maker will immediately purchase for or sell from its own inventory, or seek the other side of the trade until it is executed, often in a matter of seconds. Market Order An order to buy or sell a stated amount of a security at the best price available at the time the order is received in the trading marketplace. Specialists Specialist firms are those securities firms which hold seats on national securities exchanges and are charged with maintaining orderly markets in the securities in which they have exclusive franchises. They buy securities from investors who want to sell and sell when investors want to buy. Stop An order that becomes a market order once the security has traded through the designated stop price. Buy stops are entered above the current ask price. If the price moves to or above the stop price, the order becomes a market order and will be executed at the current market price. This price may be higher or lower than the stop price. Sell stops are entered below the current market price. If the price moves to or below the stop price, the order becomes a market order and will be executed at the current market price. Stop Limit An order that becomes a limit order once the security trades at the designated stop price. A stop limit order instructs a broker to buy or sell at a specific price or better, but only after a given stop price has been reached or passed. It is a combination of a stop order and a limit order. These articles are for information and education purposes only. You will need to evaluate the merits and risks associated with relying on any information provided. Although this article may provide information relating to approaches to investing or types of securities and investments you might buy or sell, Wells Fargo and its affiliates are not providing investment recommendations, advice, or endorsements. Data have been obtained from what are considered to be reliable sources; however, their accuracy, completeness, or reliability cannot be guaranteed. Wells Fargo makes no warranties and bears no liability for your use of this information. The information made available to you is not intended, and should not be construed as legal, tax, or investment advice, or a legal opinion.