Student Managed Investment Fund Presents on First Operating Quarter Returns
In a conversation peppered with "debt-to-asset ratios," "betas" and "numerators,"
four undergraduate members of the newly formed Student Managed Investment Fund (SMIF)
presented the results of their portfolio's performance during its first quarter in
operation to their advisory board.
The board, which includes University of Dallas professors and financial analysts,
quizzed students on the past performance, liability and competitive advantage of different
companies and industries in the SMIF's portfolio. A full list of advisory board members
is available here.
"In the last three months, student fund managers have researched stock selections
extensively and followed conservative management strategies, such as avoiding some
excessively risky technology stocks," said Jenny Gu (right), a Certified Financial
Analyst, assistant professor in the Satish & Yasmin Gupta College of Business and
SMIF faculty advisor.
Return on equity for the SMIF's first quarter of trading as of Dec. 31, 2013 was 5.5
percent. A portion of the proceeds from the fund will go to a scholarship program
for prospective and current students with a demonstrated interest in finance. The
SMIF itself was made possible by a $100,000 gift in early 2013 from a donor who wishes
to remain anonymous.
"Analyzing various companies creates exposure to many aspects of the business world,
and that has been useful as I try to determine what I should do in my future," said
SMIF member Will Chavey, BA '15. "I definitely continue to develop an interest in
finance, but also in strategy, management and sales processes--all factors in helping
to determine whether or not a company presents a buying opportunity."
The SMIF members are now preparing for a brief presentation to be made to the Board
of Trustees at their February meeting.