Maverick Fund
The Maverick Fund project is a class where we, as a group of 12 students, work with a professor to manage the MNSU investment portfolio value of about $850,000. We have access to the resources and tools that financial institutions and professionals use to manage their money. I analyze the economy, research various industries, identify and thoroughly analyze stocks, present my investment ideas to the faculty, university administrators, and investment professionals, and finally invest real money in these securities. Also, we discuss Wall Street Journal articles and Barrons magazine to keep track of recent economic news. I use Morning Star Direct to keep track of financial statements and read analyst reports.
Research Experience
So what?
One of the biggest takeaways was that I learned to use economic indications to understand current market conditions. Understanding market conditions help a lot with focusing on the right industry/sector. For example, currently, the stocks in the tech sector are overpriced, so purchasing stock in the tech sector is not the best idea unless the subsector is at fair value and has a buoyant demand in the market. It is essential to focus on growing industries and allocate funds according to the benchmark.
Also, while synthesizing and integrating ideas, I learned that it is crucial to interpret and summarize the data. While presenting and investing ideas, you want to be concise and direct to the point. I would compare this process to an elevator pitch because the process of the research and investment ideas include many variables that have to be considered. For instance, to explain the rationale behind my choice, I had to analyze the company's industry performance, financial performance, the intrinsic value of the stock, projects that company involved, internal and external risks, and analyst reports. This knowledge helped me make a sensible decision not only for the Maverick Fund project but also on my personal brokerage account.
Now what?
The knowledge I gained from this project will be used in my profession because I want to work as Financial Advisor. So now, when I know how to manage a portfolio and make sensible investment decisions, I can apply this knowledge in my future career and help others achieve their investment goals.
