portfolio management
The Portfolio Management Directed Study is a unique opportunity to learn advanced financial concepts above and beyond what is offered at the undergraduate level. The key is to offer students the opportunity to directly implement investment decisions.
Learning Objectives
- Gain experience applying tools learned in SMG courses
- Manage and optimize a real money portfolio
- Work with the MBA & MS students in the MSIM program
- Use BARRA and other industry-standard software
- Generate analyst reports
- Understand process analysts and portfolio managers follow for investing
- Learn how tough investing can be
The directed study is structured like an actual investment business:
- 1st year students are junior analysts
- 2nd year students are senior analysts
- Chief Investment Officers supervise research, recommendation and decision processes
Portfolio Highlights:
- Holdings:
- 2 ETFs
- 13 Common Stocks
- Beta of .85 versus custom index
- Active risk of 7.7%
Active Return Q1 2002
Comparative Returns 9/2001 - 6/2002
Process
- Sector teams identify most and least attractive firms in sector
- Purchase most attractive names
- Weightings set to maximize performance and diversification
Curriculum and Credit Structure
Applying to the program requires submission of certain academic documents
and a written proposal. The program accepts 5 applicants each fall. The positions
are highly competitive and the proposals are carefully evaluated by the program
coordinators. Completion of our valuation
project is recommended as a prerequisite to this program. Ideal candidates
are juniors who have completed core (second semester juniors) as the timing/experience
level of these candidates would follow the program below. However, this is
not a rule, and we suggest highly interested sophomores and seniors apply.
- Spring of Junior Year – 4 credits
- 3 stock coverage
- industry review
- stock recommendation
- Fall of Senior Year – 2 credits
- industry and stock drivers
- continued stock coverage
- Spring of Senior Year – 2 credits
- stock selection modeling
- continued stock coverage
- helping train Juniors
Applications are accepted every December. Announcements for the application period will be made mid-semester and will include the requirements: deliverables, deadlines, et cetera.
Feel free to contact us for further information.
