JUNIOR MINTS INVESTING IN STOCKS, BONDS, MUTUAL FUNDS A GROWING TEEN-AGE TREND.

Byline: Chris Sieroty Staff Writer

NEWHALL - At an age when most teen-agers spend their money on skateboards or razor scooters, 15-year-old Al Von Kessler IV is saving his nickels and dimes to invest in the stock market.

Kessler, a sophomore at Hart High School in Newhall, says he was introduced to the stock market by his grandparents, who constantly talked about their investments every time they came over for Sunday night dinner.

To be able to carry on a conversation with them, the part-time karate instructor began searching the Internet for information on investing.

``My knowledge of the markets is all self-taught,'' said Kessler. ``You make more mistakes, but in the end you learn more about yourself and the markets.''

Using his knowledge of the markets and some help from his father, earlier this year he purchased five shares of Juniper Networks at $200, which then rose to $250 before splitting 2-for-1, giving him a total of 10 shares.

``It made me kind of nervous to purchase the five shares, because I had never made a major decision before,'' he said. ``However, now that I have a job and some money, I realize that by investing it I can live the lifestyle I want later on in life.''

Kessler is not alone in his passion for investing.

``Many of my friends are now interested in stocks and bonds because of the money I've made from my investments,'' he said.

According to a recent survey by Boston-based Liberty Mutual, 35 percent of eighth- through 12th-graders in the United States own stocks or bonds, while 20 percent own mutual funds. In 1993, just 10 percent owned stocks or bonds and 4 percent owned mutual funds, the survey said.

``This is a trend that is expected to continue,'' said Nan Meed, director of communications for the Englewood, Colo.-based National Endowment for Financial Education. ``Parents who got involved in the market over the past decade have urged their children to get involved.''

Besides following his own investments, teaching karate at Rising Sun in Santa Clarita, the highly motivated teen also helps to run an investment club. The club, which began over the summer, includes four of his friends from Hart as well as two other friends from rival Valencia High School.

``They don't ask any questions if they make money,'' he said. ``They only question me if a stock goes down.''

Some of the companies Kessler and his friends find attractive include Corning and Broadcom.

Kessler also owns the Van Kampen Technology Class C Fund. He purchased 150 shares last month for $22.07 a share.

``I chose the fund because it included some of the top holdings in the fiber optics and telecommunication industries,'' he said. ``It's working really well for me.''

NEFE's Meed cautions parents that before they get their children involved in investing or investment clubs, they should explain the risks and rewards of investing.

They also should discuss the goals of any investment, whether it's saving for a car or for college.

``We think that kids becoming involved in the market is a good thing,'' she said. ``Investing in the stock market is a great way to show kids how the time value of money can work in their favor.''

Al Von Kessler III would agree his son's involvement in the stock market is a good thing.

``This has been a really positive thing for my son,'' he said. ``When he talks with adults he can communicate in a mature way about business.''

The teen spends hours online researching a company, knowing everything from its ticker symbol to its price to earnings ratio, his father said.

``The more he seems to get into it, the more he gets out of it,'' said the elder Kessler. ``This is something he will have all his life. No matter what he does, even if it's not in business, the knowledge he's learning about the stock market will help later on in life.''

Steve Love, who teaches introduction to business at Hart High, says Kessler's knowledge of the stock market is noticeable every time he answers a question in class.

``He has some knowledge of the stock market and how the business system works,'' he said. ``He is definitely one of the sharper students. I'm not surprised he is so involved in investing and knows what he wants to do with his future.''

Love says a lot of students these days graduate from high school without a clue about their future, and more students are leaving college not knowing what they want to do.

``Al would be an exception,'' he said.

As for his future, Kessler, a member of the Future Business Leaders of America, says once he graduates from Hart he wants to attend the University of Southern California and study business.

Following college, he plans to leave Los Angeles for the bright lights of the Big Apple and, he hopes, a job as a broker with Morgan Stanley Dean Witter.

``I want to move to New York and work on Wall Street, because that's where all the action is,'' he said.

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2 photos

Photo:

(1 -- color) At 15, Al Von Kessler IV, a Hart High sophomore, is already a seasoned investor in the stock market.

(2 -- color) - Al Von Kessler IV

John Lazar/Staff Photographer