Student Managed Fund

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UNDERGRADUATE STUDENT MANAGED FUND
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Undergraduate Managers

• Officers
• Ryan Chauncey
• Dana Kelley
• Bob Milot

• Managers
• Luke Bartolone
• Jorge Garcia
• David Miller
• Bryan Pantages
• Beatriz Posada
• Nick Seccareccia
• Jeff Selikoff
• James Warren

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Agenda

• Investment Philosophy Strategy
• Investment Process
• Economic Outlook
• Portfolio Summary
• Portfolio Performance
• Experience
• Q A

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Investment Objective Philosophy

• Objective Outperform the SP 500 Index
• Bottom up approach
• Emphasis on value investing
• Invest using a 5-10 year horizon
• Valuation based on a 15 expected annual return

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Investment Strategy

• Conduct a business analysis focusing on
• Strong business model
• Long term growth potential
• Strategic position
• Company management
• Diversification of business

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Investment Process

• Manager scans respective sectors looking for key
  indicators
• Return on Capital
• Free Cash Flow
• Price to Earnings Ratio
• Level of Debt
• Manager thoroughly researches potential
  investments within sector
• Manager determines which investments should
  outperform the SP 500

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Investment Process

• Manager creates one page investment summary
• Manager presents the findings to the group
• Managers discuss the potential investment
• The group votes on whether or not to allocate
  capital

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Economic Outlook

• Current State
• Marketplace managing sub-prime crisis
• Tightened lending standards
• Falling US dollar
• Increasing energy demand as oil approaches 100
  per barrel

• Looking Ahead
• Potential rate decreases
• Continued fall of US dollar
• Boost in US manufacturing
• Higher energy costs

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Portfolio Summary

• 10 Positions Across 7 Sectors
• Current Portfolio Value (as of 11/28/07)
  1,119,796

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Fund Allocation
Equities 530,095 SP Depository Receipts
529,148 Cash 60,553
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Sector Allocation
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Portfolio Performance

• Outperformed SP 500 by 3.25

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Equity Performance

• Return on equity positions 0.93
• Outperforming SP 500 by 5.93

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Sector Performance
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Risk Management Practices

• Diversification
• Invested across 7 different sectors
• Quantitative Review
• Down-side review at -10
• Up-side review at 15
• Stop loss target of -15
• Qualitative Risk

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Future Considerations

• Identify well positioned, diversified global
  companies
• Increased focus on Consumer Staples
• Monitor Financials sector for potential buys
• Review stop-loss price targets for individual
  equities

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Acknowledgements

• Prof. Terrion
• Dr. Ghosh
• Steering Committee
• Investment Advisory Board
• UConn Foundation
• Bradley, Foster Sargent, Inc.

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Questions
?
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(No Transcript)