DarkKestral said:
Why not tailor it precisely to the wizard's specific specialty as far as arcane casters go, and give them more spell knowledge? In short, they get a book of spells and incantations that they could personally use (see Unearthed Arcana or the variant section of the SRD for rules on incantations) worth ~20k or so if they win.
It's not a charged item, but it certainly gives them something beneficial. Additionally, it would also allow you to give them some stuff that they could look forward to, such as a few spells of a higher level than they could currently cast.
Alternatively, you could give them a special robe or cloak which gives them bonuses.
Problem with part 1 is that the awards are set ahead of time, and any arcane caster is allowed to participate (including sorcerers, warmages, wujen, beguilers, etc etc etc). We're going to be using the non-leathal magic dueling rules in complete arcane. Also I'm not the DM, I'm just helping him out since he doesn't have a lot of spare time these days.
Here are example items which I threw together for the melee tournament. One of them I just took from a book which only I have, so I know the other players will never have heard of it, and the other two I built using the standard creating items chart. As you can see for the two custom items I tried to make them useful (in case a player won them, as the PCs can participate in these tourneys) but still flavorful.
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Rod of Arming; 15000 gp (Heroes of Battle, p131) - This adamantine rod is used to instantly arm or unarm the wielder. When fully armed, using the rod instantly removes the weapons and armor and stores them for later use. At any time after that, the wielder can activate the rod again, and be re-equipped instantaneously. If the wielder is wearing any armor or weapons when this occurs, that equipment becomes stored in the rod. Using the rod is a standard action. (command word)
Karoch-Tor; 19460 gp (custom) - Created long ago for an orc chieftain, these spiked plate gauntlets are made of what appears to be black dragon scales, and are inlaid with orcish symbols spelling out battle cries and oaths to the god of strength. Though at first glance they appear crude and bulky, once worn it is obvious they are of excellent make, easily allowing the wearer to use their hands normally. They are +1 Spiked Gauntlets of Strength +4.
Sauriv Orn, 22000 gp (custom) - It's name in draconic means "Silver Eye", but most refer to this item by the more generic term 'Helm of Foresight'. This glistening steel helm is of obviously superior quality, and has a scale motif etched all across it, as well as a short fan crest over the top clearly designed to imitate that of a silver dragon. When worn, it provides a mystical ability to the wearer to see into the future, granting a +2 Insight bonus to both AC and saving throws.