Joseph Wharton

WINTER 2012 MAGAZINE

JW DINNER

The 2011 Joseph Wharton Awards Dinner ��3 Jay Fishman, W’74, WG’74 ��4 Peter Lynch, WG’68 ��6 Dr. Mehmet Oz, WG’86, M’86 ��8 Nat Turner, W’08 ��10

THE 2011

Joseph Wharton CLUB Letter from the President ��2 Executive Committee ��2 AWARDS DINNER History of the WCNY ��12 Placement on Nonprofit Boards ��14 Two Executive Volunteers Step Up! ��15 Membership Benefits ��22 Take the Call! ��23 Calendar of Upcoming Events ��24 Letter from Executive the President Committee O matter how busy things get at the WCNY, I love working on the President Joseph Wharton Awards Dinner. By honoring four alumni each year Kenneth Beck WG’87 we celebrate the breath and depth of the Wharton Alumni Community, CEO Connection N [email protected] which is quite amazing. Attending the dinner is a great opportunity to hear and meet these successful people in a private setting offered to no one other than Executive Vice President Wharton alumni. George Bradt WG’85 The caliber of thinking by Wharton Alumni is evident through the four PrimeGenesis Executive Onboarding extensive interviews of our 2011 award recipients in this magazine. Jay Fishman, [email protected]

W’74, WG’74, CEO and Chair of The Travelers Companies, shared that: “We Vice President, Finance don’t swing for the fences, we go for lots of singles and doubles.” Peter Lynch, Rosemarie Bonelli WG’99 WG’68, said: “During my years at Fidelity, sometimes… I had a few good ideas. Chartis International Surety and ecoPractice But I always wanted to hear other points of view”. Dr. Mehmet Oz, WG’86, [email protected] M’86, shared his concern about his patients:” If only I had been able to get a key Vice President, bit of information to them perhaps a few months ahead of time, their condition Marketing & Communications could have been averted.” Nat Turner, W’08, who co-founded Invite Media, Peter Hildick-Smith C’76, WG’81 explained his investing approach: “When angel investing, I prefer personalities, Codex-Group LLC who are more reserved and who take time to learn things on their own, instead of [email protected] making rash assumptions.” Vice President, Career Development The Wharton Club of New York began in earnest in 1971 thanks to a confi- Charles S. Forgang, Esq. W’78 dent, young graduate, Bob Bedell, W’68, and an enthusiastic team of volunteers. Law Offices of Charles S. Forgang We are chronicling the history of the club in a series of articles beginning in this [email protected] issue. Be sure to let us know what you know about the club’s history, as this series continues. Vice President, Business Development Regina Jaslow W’97 Carl E. Rosen, WG’77, recognizes Wharton alumni’s abundant capacity to Penn Club of NY make a difference. Carl wrote about an event held by the Club’s Career Develop- [email protected] ment Division on how to get placed on a nonprofit board and why you should want to. Vice President, Volunteer Services Two key volunteers, who helped the club so much in past years, continue to Diana Davenport WG’87 The Commonwealth Fund propel it forward in their new positions. Regina Jaslow, W’97, and Jennifer [email protected] Gregoriou, W’78, share their thoughts on their hopes for the club. Speaking of involvement, you may wish to become a Contributing Member Vice President, Programming of the Club. Please read about the benefits of becoming a Contributing Member Jennifer Gregoriou W’78 and how to register. Jennifer Gregoriou, Management Consulting On a personal note, my good friend and the honorary chair of the 2011 Joseph [email protected] Wharton Awards Dinner, William P. Carey, W’53, passed away in December. The JWD was his last public appearance. What a great man, friend and alumnus.` Magazine Editor Finally, you know I am going to tell you: TAKE Kent Trabing WG’01 THE CALL! Review the postings on the inside USP Development LLC [email protected] back cover and visit this hyperlink, www.whartonny. com/forum.html to post your own! Remember • Wharton Alumni help, hire, invest in, and buy from Wharton Club of New York Wharton Alumni; and if a fellow alumnus calls… 1560 Broadway, Suite #1011 New York, NY 10036 you take the call! It is this enlightened self-interest Phone: (212) 463-5559 that is the ultimate power of the Wharton commu- Fax: (917) 464-5977 nity. The Wharton Alumni network continues to be Web: www.WhartonNY.com your most powerful tool for business, social, career • and intellectual growth. Use it! Take the Call! Kenneth Beck WG’87 Cover Photo (from left): Chief Executive Officer, CEO Connection Peter Lynch, WG’68, Samuel T. Lundquist, President, Wharton Club of New York Associate Dean, Kenneth Beck, WG’87, Wm. Polk Carey, W’53, Dr. Mehment Oz, WG’86, M’86, Nat T 646.416.6991 | F 646.292.5129 Turner, W’08, Jay Fishman, W’74, WG’74. [email protected] | www.ceoconnection.com 2 2 The 2011 Joseph Wharton Dinner

Over 320 attendees enjoy conversation and cuisine at the magnificent Metropolitan Club in Manhattan

LL alumni should attend at least one Joseph Wharton ton Award for Young Leadership for the Wharton alumna who, Dinner. Preferably often, for three reasons. First, the early in his/her career, has demonstrated the greatest potential A selected honorees are exceptional business leaders (Jon for leadership and lasting impact, was awarded to Nathaniel M. Huntsman, W’59, H’96, James David Power III, WG’59, Turner, W’08, Co-Founder of Invite Media. James Tisch, WG’76, to name a few) in both their accom- Benjamin Franklin wrote: “By failing to prepare, you are plishments and thinking. Their acceptance speeches lift you up preparing to fail.” Conversely these honorees all succeeded by as a member of the Wharton family. preparing well. From Peter Lynch who from age 11, learned Second, the environment is replete with friendly, alumni about picking stocks as a golf caddy, to Nat Turner who was on who focus on achieving their dreams and are fascinating to get his sixth start-up by the time he co-founded Invite Media as a to know. Finally, as an alum, you will walk out feeling inspired, senior at Wharton. The chairman of the event, William Polk challenged, and proud. Carey, W’53, likewise embodied that ethos, as an innovator in The 2011 Joseph Wharton Dinner, held at The Metropolitan real estate finance. Mr. Carey pioneered the sale-leaseback and Club, at One 60th Street, surpassed expectations. The four other financial instruments that at-once provided hundreds of honorees, interviewed in the following pages, were gracious in companies with needed working capital and steadily grew his their time talking to fellow alumni before and after the dinner, portfolio to 850 properties worth over $5 billion. He has since and gave thoughtful talks as one amongst friends. given away hundreds of millions of dollars to found several new The Joseph Wharton Award for Leadership for the Whar- business schools in his own name. ton alumnus/a, who embodies the highest standards of leader- Over 320 alumni convened to congratulate and reconnect. ship in both business and society, was given to Jay Fishman, Jamie Rich, C’93, WG’01, a managing director at J.P. Morgan W’74, WG’74, Chairman and CEO of the Travelers Com- Chase & Co., shared that “The awards dinner was a unique panies. The Joseph Wharton Award for Lifetime Achieve- evening with perspectives on leadership and success shared by ment for the Wharton alumnus/a, who has had tremendous an incredibly diverse set of honorees from investment legend positive and sustained impact on business and society over the Peter Lynch to health guru Dr. Oz.” George Bradt, WG’85, a course of their careers, was given to Peter Lynch, WG’68, Vice managing director of PrimeGenesis, an executive onboarding Chairman of Fidelity Management and Research. The Joseph firm, confirmed that “the Joseph Wharton dinner evening is Wharton Award for Social Impact for the alumnus/a who has special because of the people in attendance. This includes the had the greatest impact in public service, social enterprise or award recipients of course, but also the award presenters, spon- philanthropy, was awarded to Dr. Mehmet Oz, WG’86, M’86, sors, volunteers and dinner attendees each of whom has his or heart surgeon and host of The Dr. Oz Show. The Joseph Whar- her own unique story - well worth hearing.”

WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM 3 Joseph Wharton Award for Leadership 2011 Jay Fishman, W’74, WG’74

An Interview with Jay Fishman, W’74, WG’74, Chairman and tributes complement the thoughtful business approach that CEO of The Travelers Companies, Inc. has been the hallmark of Jay Fishman’s leadership at Travel- ers, as well as his participation on the Board of Trustees of O lead your Dow Jones 30 company unscathed the University of Pennsylvania. through a major financial crisis and recession, a CEO must converse. You may have the “best management At the Joseph Wharton Awards ceremony, T you announced that Travelers would team in the industry,” but you must be able to engage them, advance ideas, listen, and learn. make a $100,000 contribution to the You can have a conversation with Jay Fishman. It helps Wharton Club of New York, beyond its that, while he takes his responsibilities seriously, he tries not co-sponsorship of the Joseph Wharton to take himself too seriously. In his too short acceptance Awards Dinner. What was behind that? It is speech at the 2011 Joseph Wharton Awards Dinner, Jay certainly a first in the club’s history. regaled us with a vivid memory from his undergraduate days I wanted to acknowledge Ken Beck and the rest of the at Wharton. “Where they cut the men from the boys in those group for their remarkable success in reinvigorating the club. days was cost accounting. I was struggling with the course Ken, in particular, has invested so much time and so much tremendously and had been studying for the final for weeks. energy. What an organization needs to thrive is someone I went in and sat down, and read the first question on the who is truly interested in both the organization and its exam, then quickly went to the second because I had no idea members. Ken is an unabashed advocate. The funny thing what the first was talking about. I rapidly came to the con- was, I was being recognized for leadership, and that was very clusion that I must have the wrong exam, because none of it nice and gracious, but events like this are always interesting. made any sense to me. I kept that bluebook as a reminder of Someone is being honored, but 100% of the time, if you peel that wonderful class, and that it’s been a wonderful struggle.” the onion, you’ll find there is someone else at the center who It also helps that Jay possesses an unguarded sense of is also deserving of the recognition and the honor. In this wonder, often chuckling at something he just realized, pep- situation, that person was clearly Ken. pering his conversation with “gosh” and “oh boy!” These at- In your acceptance speech, the word “gratitude” comes up again and again, in such a way that it seemed to characterize your approach to life. When you’re leading an organization the size of Travelers, does that quality come into play? You bet. There is a personal and a professional aspect for its relevance. First, I come from an extraordinarily modest background. My father was a small-business owner; he ran a tiny printing business, and I was part of the first generation in my family to have the opportunity to go to college. So, I do have a deep sense of gratitude and appreciation. Profes- sionally, that emotion and dynamic translate perfectly into the corporate realm. You asked how one manages such a large firm. Never alone! This is a place that requires a group of people, each of whom is really talented and capable, and you’ve got to invest in them, trust them, partner with them, listen to them and do all of the things that good partners do. I refer to the people who I work with on the senior team as “partners.” Some may think that is a little hokey, but that’s how I feel. I may be the titular leader, and it’s a function, so I get a lot of the credit. But publicly, I try to share the credit Robert Kapito, W’79 presenting the award to Jay Fishman, with all of them. I do very much stand on their shoulders. W’74, WG’74 4 WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM 5 Jay S. Fishman is Chairman and Chief Jay Fishman, WG’74 W’74, YOU ASKED HOW ONE Executive Officer ofThe Travelers Com- MANAGES SUCH A LARGE panies, Inc., a component of the Dow Jones Industrial Average, with assets in FIRM? NEVER ALONE! excess of $100 billion and revenues in excess of $25 billion. Travelers offers a wide range of property and casualty insurance Travelers is well-known for having averted products and services to businesses, orga- the 2008 financial crisis. nizations and individuals in the U.S. and selected international markets. We did. The decisions at the root of it occurred in 2004. None of us were prescient enough to see the real estate crisis. Mr. Fishman first became associated with But what we do think about all the time is the relationship of Travelers when he was named the in- risk and reward. There was a remarkably narrow gap in the re- surer’s CFO in 1993, upon the company’s ward produced by less risky assets versus more risky investment acquisition by Primerica, where he served options. In many cases, that spread had never been narrower, as an executive. Primerica later became so you really weren’t being paid to hold more risky financial Citigroup. assets. For example, by the end of 2004, we had a total of just He was named President and CEO of about $200 million in subprime, residential mortgage-backed Travelers in 1998 and Chairman in 2000. securities, which was small compared to our entire investment From early 2000 until October 2001, portfolio of about $70 billion. And we stopped buying them. Mr. Fishman also served in a number of The dynamic that made that decision such an easy one for us Citigroup senior positions. was that the difference in yield that you were paid for owning a Fannie Mae mortgage-backed security versus a residential He joined The St. Paul Companies in mortgage-backed security, of equal rating and tenor, was 25 October 2001 as Chairman, President basis points. Institutionally, we’re pretty good at thinking about and CEO. In April 2004, The St. Paul risk and reward, and the trade-off between them. The decision Companies merged with Travelers Prop- erty Casualty Corp., which had since to step back from real estate was driven by the environment been divested by Citigroup. Mr. Fishman that existed then, and you had to have the courage of your was named President and CEO of the convictions. For a couple of years, people thought we were not merged company in April 2004 and, in aggressive enough. But our analysis turned out to be pretty 2005, was also named Chairman. good. Mr. Fishman is an alumnus of the Uni- Was your approach to investing informed versity of Pennsylvania, having graduated by your approach to providing insurance? with a bachelor’s degree in economics, Would you have approached those risky magna cum laude, in 1974, and a master’s investments differently if you had not been degree in accounting from the Wharton in the insurance business? School, also in 1974. He remains active at the University of Pennsylvania, where That’s a very substantive and sophisticated question. Some he is a member of the Board of Trustees, insurance companies think of themselves as asset management the Board of Overseers for the School of firms that generate their cash by selling insurance. Some are Veterinary Medicine, and the Industry very successful at that, and they tend to have more aggressive Advisory Board of the Financial Institu- investment profiles. Then you’ve got us and others like us. We tions Center for The Wharton School. are an insurance company first, and an asset management com- He also serves as Chairman of the pany second. We take only the amount of risk on the asset side Travelers/Wharton Partnership for Risk Management and Leadership to provide that will allow us to be a successful insurance company. That’s risk management leadership and policy a very important risk-and-reward discipline, and the right one research, risk analysis, and outreach. for us. In addition, Mr. Fishman serves on the From the perspective of risk management, Board of Directors of ExxonMobil, is the what are your thoughts on our national Chairman of the American Insurance debt? Association and is an active member of Actually, we have been vocal on this topic. If you spend The Business Council. He also serves on time with the numbers — not the stories but the numbers the Board of Directors of The Philhar- themselves — the picture is deeply concerning. For instance, monic-Symphony Society of New York and is a Vice Chairman of the Kennedy total federal revenues for the fiscal year just ended were $2.3 Center Corporate Fund Board in Wash- trillion. In 2020, only eight years from now, Social Security, ington D.C. Medicare and Medicaid alone will exceed $2.7 trillion, accord- ing to the Congressional Budget Office. When you recognize Mr. Fishman and his wife, Randy, have the stress that alone will put on the economy, you understand two children. continued on page 16 4 WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM 5 Joseph Wharton �� Award for Lifetime Achievement 2011 Peter Lynch, WG’68

It had a lot of corporate executives, and some of these were buying stocks and I remember them talking about it. They would mention the names of companies they invested in and I'd go home and look for those stocks in the newspaper and then look it up a month later, and a year later, and I noticed they were going up. I didn't have any money to invest but I said to myself, "Gee, this makes a lot of sense." I only took one job interview in my life, for a summer internship, in 1965. The person I'd caddied for, for 10 years, became the president of Fidelity. When they heard I was accepted to Wharton they were excited and said, why don’t you come in for an interview? There were 75 candidates for 3 spots, but I was the only person who had caddied for the president.

You are a proponent of common sense ("Behind every stock is a company. Find out what it's doing."). What is your common sense prescription for the Peter Lynch, WG’68, receiving the Joseph Wharton Award for economy? Lifetime Achievement from someone who knows how to give out It’s the question everyone asks in the beginning, awards, James David Power III, WG’59 the middle, and the end of the day. You could get 30 Nobel Prize winners in a room and you still wouldn’t get the answer on this recession. I don’t know. It would be ETER Lynch, WG’68, is still eager to learn. lovely to get a copy of next year’s Wall Street Journal. I In his lifetime of achievement, recognized at just deal with what is going on currently. If you want P this year’s Joseph Wharton Awards Dinner, he to invest, choose companies that can do ok in a difficult has created vast opportunities, broke through business environment and if things get better they’ll do great, and models, expanded business exponentially, employed, if things get worse, they have a decent balance sheet so enriched, written, taught and inspired, but he doesn’t they won’t go to zero. see it that way. Asked about his brilliant insights, he tells you about his terrific boss. Requested to share his How did you respond in a past recession? breakthroughs he tells you he was lucky. The phrase ‘I The worst recession we had was 1980-1982. Double don’t know’ is his favorite. When interviewed celebrities digit inflation, double digit unemployment, a 20% prime are too willing to drivel on about the nation’s economy, rate, we were worried that Japan was going to take over why can’t the eminently qualified Peter Lynch provide just the world, and books were being written that the future one paragraph of insight? It was not to be. What he did of America was dim. At that time I made Chrysler share was a glimpse of his eminently practical approach to my biggest position, 5% of the Magellan Fund. 99 out investing, to giving, and of his youthful enthusiasm for life. of 100 people if they had really looked at Chrysler would have bought it, but for some reason, people had How did you get started in your field? prejudices. During a recession, you need to look at the Well, I grew up in the 1950s. I started caddying when company’s balance sheet. It would be a tragedy to invest I was 11. That would have been 1955 and the '50s turned in a company that goes bankrupt just as the economy is out to be a great decade for the stock market. I caddied turning around. Yes, Chrysler was losing money, but they at a very nice club out in West Newton, Massachusetts. had enough money for the next couple of years. When

6 WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM 7 Peter Lynch, WG’68 THE STOCK MARKET IS VERY SIMILAR TO Peter Lynch is Vice Chairman of Fidelity Management & Research THE GAME OF BRIDGE IN THAT THERE’S AN Company -- the investment advisor ELEMENT OF LUCK, WHEREAS THE GAME OF arm of Fidelity Investments -- and an Advisory Board Member of the Fidelity CHESS EVERYTHING IS IN FRONT OF YOU – Funds. Mr. Lynch was portfolio man- THERE ARE NO SURPRISES - EVERYTHING IS ager of Fidelity Magellan Fund, which was the best performing fund in the KNOWN. IT’S ALL STRATEGY. world under his leadership from May 1977 to May 1990. When he took over Chrysler went from losing $6.00 per share to losing $2.00 per Magellan Fund, it had $20 million in share investors were not attracted by that $4.00 increase in assets. By the time he retired from the fund, it had grown to over $14 billion in earnings per share. They should have said that’s terriffic in this assets and had over a million sharehold- terrible environment! But when Chrysler went from -$2.00 ers. Every single year Magellan beat per share to +$2.00 per share, their stock tripled. Go figure! the average fund, and grew larger to Another factor was that the UAW was not going to let Ford become the largest fund in the world in and GM off of the hook, but they didn’t want to see Chrysler 1983, and it continued to outperform fail. all other funds for the next seven years. At that time the auto industry was fairly predictable. Every 36 to 48 months people bought a new car. After four Author of the bestseller, One Up on years of below average car purchases, miles driven had not Wall Street, Mr. Lynch completed his second book in March 1993. His book, decreased, so you had to know there had to be a rebound. It Beating The Street, remained No. 1 on wasn’t just cheap. I was going to send bumper stickers to all The New York Times best-seller list for of our analysts that said, “Cheap Sucks”. Cheap makes a good eight weeks, and was translated into 15 research list, but it’s not a reason to buy. Chrysler’s stock was languages. Before joining Fidelity, Mr. cheap, but it had some things going for it. I got lucky, at that Lynch served as lieutenant in the U.S. time they came out with the mini-van; I didn’t expect that to Army for two years. happen. It was a huge profit maker. Born in 1944, Mr. Lynch received a What character traits were helpful in your Bachelor of Science degree from Bos- career? Self discipline? Persistence? ton College in 1965 and an MBA from The Wharton School of the University Flexibility. I watched a lot of other people. I think there of Pennsylvania in 1968. In 1994, he is a fine line between persistence and being stubborn. You was named Outstanding Alumnus by have to be careful. Wharton alumni are more used to getting The Wharton School. Mr. Lynch is an As and Bs in school, but in the business world and the stock elected fellow with the American Acad- market you get a lot of Fs. It is good for keeping your hubris emy of Arts and Sciences (of which Ben down. You just have to say “if I am right 6.5 out of 10x, then Franklin was an early member) and I’m doing well”. You can’t keep saying “I’m right, the market is a member and former director of the wrong”. Persistence is okay, but stubborn is a bad adjective. Boston Society of Security Analysts. Remember this is not pure research. You’re not a chemist Mr. Lynch is actively involved with a who spends years trying to discover the answer. In studying large number of civic and not-for-profit companies, you have to make decisions without perfect organizations. He has been recognized information. By the time you have all of the information on with several awards for his efforts, and the company, the stock could have doubled and tripled. received honorary degrees from 15 col- The stock market is very similar to the game of bridge leges and universities. For twenty one in that there’s an element of luck, whereas the game of years he served as chairman of the Inner chess everything is in front of you – there are no surprises City Scholarship Fund, raising over - everything is known. It’s all strategy. Warren Buffet and $100 million in partial scholarships for children living in the inner city of Jimmy Cayne, both successful stock investors, are avid bridge Boston and attending Catholic schools. players. In bridge, you have to make a lot of educated guesses. The ICSF continues to be his number Sometimes you’re wrong. You don’t know exactly what cards one philanthropic endeavor. the other players have in their hands. Flexibility also in looking at companies with unions, without unions, at utilities, at companies in bankruptcy. Some people look only at growth companies, I looked everywhere. You can make money on a company going from crummy to mediocre, but if a company goes from terrific to a little more terrific there is not much money to be made. continued on page 18

6 WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM 7 Joseph Wharton �� Award for Lifetime Achievement 2011 Dr. Mehmet Oz, WG’86, M’86

R. Mehmet Oz is omnipresent. Even if you never turn on a television; listen D to the radio; or read newspapers, maga- zines and best-selling books. It doesn’t matter, because your mother, daughter or friend does, and that health advice they’re giving you likely came straight from Dr. Oz. Also, someone you know may even know one of the 100 patients per year who see Dr. Oz for heart surgery. The Wharton Club of New York celebrated Dr. Oz’s compassion for others and the national impact he’s made on the health of so many Amer- icans. After reading the startling bio of Dr. Oz to those gathered at the Joseph Wharton Awards Dinner, Samuel T. Lundquist, Associate Dean of External Affairs for the Wharton School, asked the audience: “So, what have you done lately?” People have asked questions like that ever since Mehmet Oz pursued joint MBA and MD degrees at Wharton and Penn, while serving as class president. I mean, who does that? That would be like going to Harvard and being captain of the football team. Yes, he did that too. Following are some thoughts he shared about his path and passion to heal others. Dr. Oz decided to attend graduate school in Philadelphia, not Boston, because he recognized that, for a joint degree, Wharton and Penn were the best in their fields of business and medicine. Dr. Oz explains, “I wanted to be a doctor, but you couldn’t change medicine if you didn’t understand how the money worked. I thought that I would learn accounting, and marketing, but what I actually learned was how to think differently about the world.” Once in medical practice, he became in- trigued by the disconnect between the people he was taking care of and the surgery he was performing on them. “I’m a heart surgeon. That means I take people down that long hallway to the operating suite where I’m going to put a band saw through your chest bone. Rarely do patients appreciate that the things I’m about to do to them are largely preventable.

8 WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM 9 Dr. Mehmet Oz, WG’86, M’86 the Dr Daytime Emmy Award-winning host of “The Dr. Oz Show,” is Vice Chair and Professor of Surgery at Columbia . Oz, WG’86, M’86 University. He directs the Cardiovascu- lar Institute and Integrative Medicine Program at New York-Presbyterian Hospital. His research interests include heart replacement surgery, minimally invasive cardiac surgery, complemen- tary medicine and healthcare policy. He has authored over 400 original pub- lications, book chapters and medical books; has received several patents; and performs more than 100 heart surgeries per year.

Born in Cleveland, Ohio, Dr. Oz was raised in Delaware and received his undergraduate degree from Harvard University (1982). He went on to obtain a joint MD and MBA (1986) from the University of Pennsylvania School of Samuel T. Lundquist, Associate Dean of External Affairs Medicine and Wharton School of Busi- for the Wharton School presents award to Dr. Mehmet ness. He was awarded the Captain’s Oz., WG’86, M’86 Athletic Award for leadership in college and was class president during medical school. He lives in northern New Jersey If only I had been able to get a key bit of information with Lisa, his wife of 25 years, and their to them perhaps a few months ahead of time, their condi- four children. tion could have been averted. Dr. Oz has authored six New York Times “My Wharton education played an important role in bestsellers, including You: The Owner’s helping me think differently about how to talk to people Manual, You: The Smart Patient, You: about their health. I experimented with different ideas in On a Diet, You: Staying Young and You: the media, and realized that, if you could not talk to people Being Beautiful, as well as the award- in a way that they would change their minds, you would winning Healing From the Heart. His never be effective. How could I get across just one piece of newest book is You: The Owner’s Manual key information that might save their lives? Washington for Teens. He has a regular column in can’t get it done. I remember being invited to a conference Time, AARP magazine and O magazine, at the Department of Health and Human Services to look and his article Retool, Reboot, Rebuild was awarded the National Magazine at childhood obesity in this country. We came up with 17 Award for Personal Service in 2009. wonderful ideas, but none of them were practical. I returned that weekend to the hospital where I practiced and saw a Dr. Oz has been named Forbes third 25-year-old Latino woman who had been overweight her most influential celebrity in 2010 and whole life, and had a quadruple bypass procedure. The day 2011, and honored as a Global Leader after surgery, she was sitting with her two young kids, who, of Tomorrow by the World Economic to celebrate, brought her a Big Mac, two large fries and a Forum (1999-2004), as well as received soda. We laugh, but it’s a tragedy. I thought that the only the Ellis Island Medal of Honor (2008). way to make an impact was to go out and get involved in He won the prestigious Robert E. Gross Research Scholarship, and has these communities. received an honorary doctorate from “As I worked with people and, later, began speaking Istanbul University. He was voted daily to audiences in the millions through Oprah Winfrey’s “The Best and Brightest” by Esquire program, the insight that I gained was that people do not magazine, a “Doctor of the Year” by change based on what they know. They change based on Hippocrates magazine and “Healer of what they feel. If you get them to think differently, you may the Millennium” by Healthy Living not get very far, but you will if you get them to feel differ- magazine. Dr. Oz is annually elected as ently. When you turn that TV on, and I become a guest in a highest-quality physician by the Castle your home, if I can get you to believe for a moment that you Connolly Guide, as well as other major ranking groups. really don’t know, then I can create a conversation and make an impact on your health.” – KT

8 WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM 9 Joseph Wharton �� Award for Young Leadership 2011 Nat Turner, W’08

AT Turner, W’08, was already a seasoned entrepreneur when he entered Wharton N undergrad. By his sophomore year, he and classmate Zach Weinberg began and sold an online grocery-ordering firm,EatNow.com . In his junior year, Nat co-founded with Zach and two other classmates what would become Invite Media, which three years later in 2010, sold to Google for a reported $81 million. Nat Turner received the 2011 Joseph Wharton Award for Young Leadership and, here, shares wisdom beyond his 25 years.

How do you like working at Google? Are you still the CEO of Invite Media? At Google, things are functional — there is no single business unit leader at Google, but we still all work closely together as a single company. Everyone at Google is ridiculously smart, which I was surprised at, only because most big companies get diluted as they grow bigger. It’s managed to build a pretty awesome team, for having 25,000 people. It is very good at engineering products, which is the most important thing in my opinion, so I like it.

There aren’t many successful firms the first year, and figure out how to pivot the company. founded by a single person. Perhaps a Another thing that helps is if the co-founders share single leader evolves like Bill Gates or the same lifestyle. If one is moonlighting, and the other Steve Jobs, but they start out as teams. is working full-time, or if one has a family, and one Why is that? doesn’t, you’re more likely to be butting heads. To start a brand new company and grow it, you need intelligence, the ability to take risk, paranoia and, What characteristics did you bring to to some degree, cockiness. We had four co-founders. the team? A couple of us were shy and reserved and questioned All four co-founders brought a ton of different everything, and a couple others were very cocky but qualities to the table. I think, for me early on, it was had the ability to back it up. This combination allowed being generally grounded and having product and us to roll the dice yet not be blinded to every risk. Of graphic design experience. My tendency is to look at course, you also need a crazy work ethic, which we had, things realistically, see the risks and second-guess. So to be able to think far ahead and focus on one thing for I prefer personalities, when angel investing, who are months toward that vision. more reserved and who take time to learn things on We do a lot of angel investing now, and it’s rare for their own, instead of making rash, quick assumptions. one person to contain all the needed qualities. You can At Invite, we kind of quietly built the company under be shy and passive and not take risks, or be risky and the radar, not making a lot of noise about doing it, but not willing to question yourself. You can be good at we were confident that what we were building would coding but not good at selling business deals, etc. A few be better. Then, suddenly, we gained a ton of momen- qualities are crucial — you have to have them in the tum for what we were doing and, ultimately, were very initial founding team, or you’re not going to get past successful.

10 WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM 11 Once you had your initial idea, how many Nat Turner, W’08 Nat is the Co-Founder and CEO of iterations did it go through? Invite Media, an advertising technol- We changed the business end-over-end four times, yet ogy company headquartered in New there was a valuable connection between each of these four, York City. although each connection was different: Invite Media operates Bid Manager©, the first universal buying platform 1 Our first idea was to let small businesses build a video for display media. Bid Manager© ad like a 30-second TV spot with their voice and with is a fully self-service and automated up-close photos of their stores. Our application would let buying software platform used by them build the ad and then run it on a site like YouTube. over 100 agencies and advertisers to So right before a video starts, your video ad would show. execute and optimize online advertis- The name “Invite” came from that, since it was like an in- ing campaigns in real time. Invite vitation that popped up, inviting you to learn about your Media was acquired by Google in June local dry cleaners, but we discarded it because it was very 2010 and is part of the DoubleClick difficult to sell anything to small businesses. division. 2 The next idea was a Facebook application in 2007. We In 2006, Nat was named a Wharton built a video app that let you post your favorite videos Entrepreneurship Fellow, an award from YouTube to your Facebook page. It was pretty cool, given to foster “Ambassadors of and it got a bunch of users, but it didn’t go past that. Entrepreneurship” for The Wharton 3 The third idea was to optimize which videos we showed School. In 2007, Nat received the on that app, to maximize views, and then we realized that Wharton Venture Award, which is the data we had was valuable, about who you are: gender, given to Wharton students pursuing what your favorite bands were, what classes you are tak- entrepreneurial ventures. ing, etc. So we said, “Let’s see if we can optimize the ads around these applications we built and license it to other In 2009, Nat, along with his co- founders — Zach Weinberg, W’08, Facebook app developers.” So we built some algorithms Michael Provenzano, EAS’08, and with the help of some Penn professors. It didn’t work, Scott Becker, EAS’08 — were named because, let’s say you like Neil Young. It doesn’t necessar- on Business Week’s list of Top 25 ily mean that you will click on an ad for Coca-Cola off of Entrepreneurs Under 25. And in 2010, Facebook. Nat, along with his co-founder Zach 4 In the fourth generation, we decided to stay in advertis- Weinberg, were named a finalist in the ing and license technology and thought, “Let’s figure out Ernst & Young Entrepreneur of the a platform that helps marketers buy ads more effectively.” Year Award for the New York metro That was the general vision, and we narrowed it toward area. what we do today. It still ended up using “data,” albeit Nat is now also an active angel inves- differently from our third iteration, and catered more to tor and advisor and has invested in advertisers themselves as opposed to app developers or several startups in the technology publishers. space located in New York City and California. Did you realize there was some genius there? No, there was never a light bulb moment. Without realizing, we just kept moving on. When we made that fourth- NO, THERE WAS NEVER A LIGHT BULB generation concept, we didn’t really think we had a business MOMENT. WITHOUT REALIZING, WE for two more years. We were making progress; there was some traction; and people enjoyed working with us. But to a fault, JUST KEPT MOVING ON. WHEN WE we were very paranoid that we would run out of money, that MADE THAT FOURTH-GENERATION someone would figure out how to make something better CONCEPT, WE DIDN’T REALLY THINK than we could or that a client would leave. It was about three WE HAD A BUSINESS FOR TWO years from the day we started the company to when we were acquired, but it felt like 20. You can just hit walls forever. MORE YEARS.

While you were building Invite Media, how long were you at Wharton? Half of the time. By the time we graduated, we had crys- tallized Invite Media. We had built most of the first version of the product, but we still didn’t know the customers and didn’t know how to explain it, and nobody was really using it. continued on page 20

10 WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM 11 History of the Wharton Business School Club of New York The Club’s Founding

OU bet. I’ll be glad to do it!” Astoria and over 500 business people to a meeting once per month. Second, With those words, David were in attendance. The keynote speaker we came up with an idea for an annual “Y Mahoney, W’45, WEV’47, was Gus Levy, who in 1933 had led the Joseph P. Wharton Award Dinner. The chairman of Norton Simon, and a lead- one man trading department at Gold- board’s primary job was to help us select ing business executive in New York, man Sachs. and invite award recipients and keynote agreed to become the honoree of the Until 1970 Wharton alumni had met speakers for the dinner. After the dinner, first Joseph P Wharton Dinner in 1972. only socially. That year at a general meet- we didn’t have many financial challenges. Bob Bedell, WG’68, the Club’s first ing of alumni an open invitation was Of course, someone had to be a cheer- president had asked David, explaining made for someone to take on the chal- leader. that the Club wanted to establish an an- lenge of developing a formal organiza- Another challenge was that in the nual dinner as a pre-eminent New York tion in New York. Bob Bedell, recently first 10 years of the Club, we sometimes event and make it a major fundraiser graduated from Wharton and a brand had difficulty getting people out of their for the Club. That first dinner was held manager at Avon in Manhattan, stepped office over to an event. So we opened in the Starlight Room of the Waldorf up to the plate. Over the next year he our events to Harvard alumni and they wrote the constitution and bylaws, and reciprocated, because it’s discouraging then established a structure within for a speaker to show up with 15 people YES, IT WAS SO MUCH FUN. which any alumni who wanted to, could there. At a later point the Harvard and EVERYONE HAD A GREAT TIME participate in the Club. By the second Wharton clubs parted ways. year 45 alumni became volunteers, WORKING FOR THE CLUB. including 10 VPs and a few senior VPs. Was the dinner always held WHEN YOU CAN GENERATE The volunteer management team met in the Starlight Room? THAT KIND OF ENTHUSIASM once a month to discuss and advance Because we exceeded capacity that each of their areas of focus. first year, we moved next year to the AND PRIDE IN THE SCHOOL, After a long search, I tracked down Grand Ballroom of the Waldorf Astoria ...THEN IT’S WORTH IT. Bob in Hilton Head, South Carolina and held it there for the next 20 years. and asked him some questions about the Generally speaking we had 600 and Club’s founding. 1000 people in the room. We started at $1,000 per table and What were some of the Club’s over the years increased it to $3,000 initial challenges? per table. Over that period we were We needed office space to organize able to generate a profit of $200,000 to ourselves. One wonderful alumnus, $300,000 per year. This was critical be- John Main, WG’59, gave us office space cause we needed the money very badly. for three years. We hired an executive Once we had a little money in the bank director of the Club who ran the of- we established our own office and had fice. By the end of three years we were up to two to three people working there. putting on 75 programs per year, and The dinner went along just fine for eventually it became too much for one years. Then in 1992 there was a huge ef- person to handle. From the begin- fort by the University of Pennsylvania to ning our funding came only from dues, establish the Penn Club in Manhattan. thus our biggest challenge was raising Let me say that I agree with the Univer- money to run the Club correctly, and sity’s point of view that its focus should to expand it. So looking to the future have been on the Penn Club. No doubt we did two things. First we created a about it. There was an active campaign board of directors. I sought out Whar- for senior alumni to step up and support ton alumni who were the most visible the Penn Club. In that year and the next senior executives in New York, and asked they tried to hold the Joseph P. Wharton if they would sit on the board and come Award Dinner, but senior alumni lost

12 WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM 13 focus on it and the Wharton Club basi- in 1977. He currently is cally went into hibernation by 1995. SVP and CMO of BES INC. Don shared a few Why did you think you could memories of his own. “Bob pull it off? Bedell was terrific, not only In fact, I wasn’t sure we could pull it as President of the Whar- off. Until I got the first 10 volunteers ton Club of NY, but also to work at the officer level, and until I as an athlete, scholar, and got such a positive response from senior gentleman. A few friends, executives to be on our board, then I including Bob, used to play thought, “You know what? We can do football in Central Park. this.” This took about one year. There On one occasion, after Bob was no leadership above me until I asked me to get involved in formed the board, but they didn’t want to the Club and to help with be involved at the Club level. The second the awards dinner, I agreed year we awarded Don Kendall, CEO of to do it.” Pepsi, and our keynote speaker was John “In 1974, we were able to Connally, former governor of Texas (who secure the longtime gov- was in the car with President Kennedy ernor of New York Nelson when he was shot). John knocked them Rockefeller as the guest dead, and received multiple standing of honor of our Joseph P. ovations. If you get a few dinners like that Wharton Award Dinner. behind you, then you build momentum. At that time he was chair- ing the National Commis- Do you have good memories sion on Critical Choices for of those early years? America. Earlier, we had ap- Yes, it was so much fun. Everyone proached Secretary of State Henry Kiss- ministers due to a rash of kidnappings had a great time working for the Club. inger to be the Dinner’s keynote speaker, in their countries. Fortunately, we When you can generate that kind of but he had declined. Upon receiving had made an alternate plan for Don enthusiasm and pride in the school, and Rockefeller’s acceptance, one of our board Kendall, the CEO of Pepsi, to be the camaraderie amongst the officers, then it’s members went back to Kissinger. When key note speaker. He filled in and worth it. We enjoyed such a positive re- he heard the honoree was Rockefeller, he did a great job. sponse from those we asked to participate enthusiastically agreed to be the keynote “Minutes before the evening in meetings, CEOs and keynote speakers. speaker. We were elated because of the ended, I received an 11 page telegram I remember George Will, our key note important international role Kissinger from Kissinger’s office. As I read his speaker one year, kept running out to take was then playing. But the day before the words, you could have heard a pin a phone call to see if he had to write a dinner, I received a call from his office drop in the Waldorf Astoria ball- column that night. that Kissinger would be unable to attend room. Kissinger’s final words about because he was required to return to Rockefeller were: He thus exemplifies I also located E. Donald Challis, Washington on the day of the dinner for the finest of executive ability, and is C’64, WG’66, President of the Club a meeting with South American prime therefore a most fitting recipient of this award. All these qualities – and many more – are a matter of common knowledge and public record. But, Nelson Rockefeller, my personal friend, is as deserving of praise and admiration as Nelson Rockefeller, statesman and public servant. I know of no finer, more inspiring, more compassionate human being— Henry A. Kissinger.’” This is the first in a series of articles on the history of the Whar- ton Club of New York. If you have any information or photos about these early years, then please send it to Kent Leon Nad, WG’48, Nelson Rockefeller, Donald Kendall, Donald Challis, C’64, Trabing at [email protected] WG’66, Bob Moran, WG’65

12 WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM 13 Nonprofit Boards — A Rewarding Experience WCNY Career Development and BoardAssist Team Up

significant number of Wharton graduates serve ties to grow professionally by serving on non-profit boards. on non-profit boards and find the experience to They all spoke of having been enriched by the experience, A be both personally satisfying and professionally while helping others. important. However, many do not understand the roles, Non-profit boards and committees enable individu- responsibilities, obligations and expectations of being a als to follow their passions and provide a balance in life. non-profit board member, or even how to get started. To It is very important to choose the right organization meet this need, the Career Development Division of the and understand the dynamics of the board, the financial Wharton Club of New York initiated a program to edu- expectations and time commitments. Often, committee cate Wharton alumni and facilitate their placement onto assignments are aligned with professional skills; however, the boards of non-profit organizations. Wharton alumni, this can be an opportunity to learn new disciplines and widely recognized in the business world, have a respon- gain exposure to areas outside of one’s corporate responsibility to use their intellectual capital to become leaders sibilities. and role models in their communities. Feedback from the large group of attendees was ex- Earlier this year, the Career Development Division tremely positive. One attendee commented, “The infor- invited Cynthia Remec to lead a program on the subject. mation the panel gave was very constructive and relevant. She is the Founder and Executive Director of BoardAs- They did a superb job explaining what really matters in sist (www.boardassist.org), a New York non-profit board board roles, both for joining a board and being on one.” matching service that works with non-profits that range A number of the attendees have since followed up with from start-ups to well-seasoned organizations with annual BoardAssist to further develop their interest to serve on a budgets of over $100 million. “You don’t need to have a non-profit board. The Career Development Division will trust fund or a Roman numeral at the end of your name continue efforts to encourage non-profit board service to serve on a non-profit board,” Cynthia Remec assured through ongoing programming and communications on the group. board service opportunities. Three Wharton alumni served as panelists for the pro- Contributed by Carl Rosen gram: Susan Katzke, W’86, a philanthropist and former Head of Financial Services Research at Credit Suisse; Jose The Career Development Division is headed by WCNY Gonzalez, W’89, General Counsel at Torus Insurance; and Vice President of Career Development, Chuck Forgang, Carl Rosen. They reflected on their experiences serving on W’78, assisted by Carl E. Rosen, Director of Career Net- many non-profit boards, such as a national Alzheimer’s working, and William Saliy, WG’02, Director of Career disease foundation, a national education initiative and a Speaker Series. All programs are targeted to support local religious organization. They emphasized the personal Wharton graduates, including those in transition, through- satisfaction, the networking out their career. Watch for our future Career Development possibilities and the opportuni- events at the WCNY website.

Carl E. Rosen, WG’77, is responsible for the Wharton Club’s board placement initiatives and Director of Career Networking. He has been serving in leadership positions of non-profits since high school. He recommends that Wharton alumni increase their experience with non-profits, which can lead to improved professional and leadership skills, career and social networking opportunities, and personal development. “Each board or committee should be better for your having served, and you should be a better individual as a result of your participation.” In addition to his work for the Wharton Club of NY, he has served as President of his synagogue. He is a trustee of the Tufts University Alumni Association; is a board member of JFS, a countywide social services organization; and chairs numerous committees. Carl was the Chief Operating Officer of Bulova Corporation and President of Bulova Swiss, S.A. He is a Principal at Shelter Rock International, LLC, which specializes in consulting services to the luxury goods sector.

14 WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM 15 Two Executive Volunteers Step Up! ecently two of our steadfast volunteers have stepped up to important new R positions in the club. Their initiative is contagious. Read this and you might get motivated to step up yourself!

Jennifer Gregoriou, W’78, knows how to get things done. More importantly, she knows how to help others get things done quickly, quietly and with sang-froid. It Jennifer Gregoriou, W’78 is, after all, what she does as the owner of a personal/virtual assistance and small- business consulting company, www. to work with Jeannette as we move forward. jennifergregoriou.com The Community Partnership Committee What good luck that Jennifer accepted provides opportunities for Wharton the promotion to become Vice President of alumni to have an impact on not-for-profit Programming for the WCNY, building on organizations. Jeannette, who has been a Regina Jaslow’s foundation. In her new role, co-chair of this committee, will chair the she oversees University Relations, the Social committee until a new Chair is selected.” and Special Events Committee (including “The University Relations Committee, the Joseph Wharton Awards Dinner), chaired by Gilles Guillon, WG’04, and Ade Community Partnerships, and the Speaker Adedeji, WG’06, develops, implements Series, (including the President’s Forum). and coordinates all communications Jennifer formerly chaired the Speaker Series and relationships with the University of Committee and was a contributing member Pennsylvania, as well as with other alumni of the Social and Special Events Committee clubs and alumni. My goal is to assist Gilles and the 2006 launch of the Joseph Wharton and Ade as they continue the amazing job Awards Dinner. they have done for this committee. The solid “I look forward to working with several relationship they have established with the great people in the Programming Division,” Wharton School’s MBA Admission Office is Jennifer says. “The Speaker Series’ new Chair, unparalleled and key to driving prospective Sandra James, W’78, will deliver programs to students to enroll in the Wharton program.” intellectually stimulate the alumni network. Jennifer explains, “I enjoy working with This committee is composed of Author people and see my role as a facilitator for events, Entrepreneurial events, Special Wharton alumni to meet and interact with Interest events and Business Leadership one another. I want to ensure that each events. Sandra has been a member of this committee is suitably staffed and that each committee for the past four years and is an has a committee Chairperson in place. You excellent candidate to take over as Chair.” will see me at volunteer receptions, alumni “The Social and Special Events meet-ups and various committee events. Committee develops and implements And I plan to work with the various Chairs activities to entertain the alumni network to ensure that the many inquiries that come culturally, socially and intellectually. This into the club are handled and resolved. I look Committee is thriving under the leadership forward to meeting our alumni!” of Jeannette Chang, W’08, and I’m thrilled continued on the next page

14 WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM 15 Two Executive Volunteers Step Up! continued from previous page

EGINA Jaslow, W’97, brings valuable experience to her new volunteer role as Vice Presi- R dent of the Business Development Division for the WCNY. She and her husband, Jason Jaslow, W’95, EAS’95, built their own business, Mimosa Digital, a growing, innovative printing service. Regina also develops business and an award-winning environment for the Penn Club on West 44th Street as its Director of Member Marketing. Within the WCNY, Regina continues to serve on the Board of Directors and as an officer of the Steering Committee for the Joseph Wharton Awards Dinner. Her previous responsibilities include Vice President of Programming from 2004 to 2011, and Chair of the University Relations Committee from 2003 to 2004. In her new role, Regina will oversee the Club’s Wharton Investment Resource Exchange (WIRE),

Regina Jaslow, W’97 Regina Jaslow, Leads Councils and Affinity Groups. “The major initiative for this division is to help produce tangible results for its members,” explains Regina. “I’m excited Regina Jaslow, W’97 and her husband about the opportunity to help make this a reality for Jason Jaslow, W’95 our alumni.” For example, under WIRE, the Wharton Angel Network brings together early-stage investors and entrepreneurs, while at the Wharton Investor Network, investors who are looking for quality investments can connect with more established firms who are looking for funding. Thank you, Regina!

Jay Fishman–continued from page 5 I read something just this morning, something by Larry that time is of the essence. The longer we kick this down Lindsay, that sometimes we respond to the urgent, not the the road, the harder and more painful the resolution will be. important. I love that expression. I also think the more you lead, the more you have to In accepting the Joseph Wharton Award listen. Listening doesn’t mean agreeing; it just means lis- for Leadership, you spoke only about the tening. If you surround yourself with the best and bright- leadership of others, Sandy Weill and est people you can find but don’t listen to them, you’re Jamie Dimon. Could you share some of just wasting their talents. The best leaders I know, includ- your personal insights on leadership? ing Sandy and Jamie, were terrific at listening to people First, one’s own view of leadership changes with time; around them. It doesn’t mean they abdicate decisions you learn more, you see more, and you grow and under- or that they have to find consensus. Quite the contrary. stand more. A few things are important. Great leaders Decisions by consensus are often the worst. The more you create an environment where a lot of people can succeed, listen, the more you know, and the better decisions you as opposed to business environments that are highly com- will make. petitive internally. The natural human instinct to compete Then lastly, in business, analytics will point you in the should be outwardly focused, not inwardly. That’s a big right way. Jamie would often say, “If we analyze problems deal. correctly, the answer will be self-evident.” It’s not always Then, I think really good leaders periodically ask true, because there are circumstances where you must themselves if they are doing things that matter. I sit down decide with less-than-perfect information. I find that this with my calendar, and I look at what I’ve done over the perception that we have instinctive knowledge is an illu- past three months, as a self-imposed, midcourse correction. sion. We read; we listen; we incorporate; we think; and we

16 WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM 17 get smarter. When an issue arises where we have to make a Where does it go beyond its skill base? It’s so important. decision, then we analyze. I think so much of what happened to many companies in 2008 is a reflection of businesses that got beyond their real Robert Kapito, W’79, the 2009 recipient of expertise and limitations. the Joseph Wharton Leadership Award, in introducing you, said that you have “a Does Travelers only identify, assess and very special ability to listen, to counsel, price risk, or do you try to help clients to read a situation and adjust quickly manage risk? and appropriately, while making every We are committed to helping our clients manage risk. person feel comfortable and welcome.” Travelers has a significant risk management organization How do you promote that quality of 700 engineers and other professionals who actually go throughout the upper management of a into our clients’ factories, offices and stores, and we help large company? customers with fire systems, ergonomic layouts of office It’s a great question. It’s certainly an important cultur- environments and a wide range of other risks. al value at Travelers. It’s an element that I look for in the people around me, and my presumption and expectation is You started a scholarship fund for that they look for it in the people around them. I do think UPenn with $250, when you didn’t that our leadership team can set a tone. You may say we’re have much money. What gave you the big, but we’re only 30,000 people. We’re big, but we’re not confidence to do so? so big that we can’t make human connections. From the earliest days, I felt an enormous sense of gratitude. I was so appreciative that many opportunities When one thinks of the number of that I had early in my career were because of my Wharton variables to be considered in creating degree. After graduating, I recognized that I was inter- and pricing insurance products, it seems viewing for jobs and being considered for jobs that were that insurance must be one of the most far beyond what I previously felt I would achieve in my intellectually stimulating and mentally professional life, and I was so thankful and appreciative. I demanding businesses. just felt a real responsibility to begin to give back so that You’re exactly right. I do think that it is a remarkably others might have the same opportunities. intellectual challenge, because it is all about the future. We’re trying to sell an insurance policy and make esti- You’re known as someone who loves mates of losses so that we can price the product correctly. music. What kind of music do you enjoy? We’re trying to see the future, or a better way to say it, to I love classical music, and at the other extreme, I produce insurance outcomes. It’s not gambling. In gam- also love jazz, traditional jazz. I’m on the board of the bling, it’s, “I win, and you lose.” With insurance, we should Philharmonic here in New York. One of the things I tell both win. We strive really hard not to be in the gambling people when they go to see performances is to watch the business so we can produce insurance-type outcomes. It is orchestra. There is joy in just watching the music at a live demanding. performance, the movement, a pattern that evidences itself. As for jazz, I was born into it. What’s the best metaphor for Travelers Companies? Can you offer some advice to Wharton I can think of a sports metaphor that might come students? close. We’re not swinging for the fences. While other busi- Keep in mind that it is all a journey. Sometimes, in nesses do, and perhaps it’s appropriate for them, I think the push of business, you think there is a destination. You a well-run insurance business is comfortable with lots of lose the opportunity to grow, to develop, to bloom. Your singles and doubles. We look to be successful a little bit first job won’t at a time with lots of transactions, as opposed to being be your last; successful with a few very big ones that have a high risk of there will be loss associated with them. success and less That’s not to say that’s the only way to be success- than success. If ful in the insurance business. It’s a matter of figuring out you see it as a what your organization is capable of doing: What is the journey, it can richness? What’s the content? What does it understand? be a lot of fun, What risks can it evaluate? What is beyond its expertise? especially with This brings up another item of leadership, which is that wonderful “know your organization.” The metaphor for that is, “You Wharton name can’t get blood from a stone.” We try to be aware of our behind you. company’s limitations. What can it do? What can’t it do? – KT Jay Fishman, W’74, WG’74

16 WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM 17 Peter Lynch – continued from page 7 or like a referee in a soccer game. It’s very passive. If an investor thinks they can do something about it… things happen in companies that make them very Would you say that you are curious? dynamic. They can go from terrific to rotten fast. So I don’t think curiosity is part of it, it’s more not you have to watch everything. Whoops, Stock 22 just being narrow minded. I didn’t come up with this got worse. Stock 12 got better. You have to keep up philosophy. I’m just reflecting on what I did for 40 to date on competitive conditions. We had this one years. fashion company, which went bankrupt after the movie, During my years at Fidelity, sometimes I had some Bonnie and Clyde came out. Hemlines went down 8” to decent performance, and I had a few good ideas. But I 10”, and everything this company had in their inventory always wanted to hear other points of view. When you didn’t sell. They tried to respond the second year, but gathered your own information, you want to hear the most women didn’t like the new style either, so that bad side too: did I already discount it, or maybe they inventory was useless as well, and they went bankrupt. sold that division. How can you predict that one? The key thing is that I had one of those kitchen When people say watch the stock, it doesn’t mean timers. I said it was set to three minutes but I really you watch the price, it means you watch the company set it to two minutes. If someone couldn’t tell me why behind the stock. Every stock is a story happening. I shouldn’t be buying a company in two minutes … There may be five reasons to own a stock, but those because there are only so many minutes in the day. reasons can change, and they may have nothing to do There were people working with me, but there with the economy. Of course the economy may over- also were 50 or 60 fund managers and analysts outside ride all those factors, then you have to reconsider your Fidelity that I really respected. So I had people call position. them and ask: “What do you like?” Once they had a full position they could tell you. When we had all of Do you pay attention to the the shares in Chrysler that we could buy, then we could management of a company? share that. So you get good ideas. Management is critically important, and you should Then maybe at church if I saw someone with a spend time to know the management, if you are making Chrysler mini-van, I would ask “How do you like it?" private investments to own and hold a private company They’d say, “Well I like it except for the engine.” Then for 15 years, or if you are buying an entire division. I’d ask, “Would you buy another one? What are the Then you interview 10 people who really know retail, or weaknesses? Why did you buy it?” insurance, and you can make the effort to do all of the background checks. You are an insider. When you buy companies, what is your But that wasn’t my position as an investor in public role? companies. I was just a small investor, sometimes a When you buy companies, when you invest, you are little bit bigger, but I couldn’t be an insider. In a couple not running McDonalds, you’re not running The Gap. of interviews, I don’t have the ability to understand if You’re more like an observer flying over a battlefield, they are good vs. very good vs. poor. Maybe I could see if someone is intelligent, if they can win Jeopardy, I mean some people are very bright, like Jimmy Carter or Richard Nixon, it doesn’t mean they can make good decisions. Management requires wisdom, not just intelligence. Often the best thing a CEO can do is nothing, but that’s not human nature. I’d rather invest in the business with a good outlook. If you took Jack Welch or Lee Iacocca and sent them to run Bethlehem Steel any five year period during the thirty years beginning in 1970, they would have struggled. Between a terrible industry and a great manager, the industry will prevail. I’ll tell you that Jack Welch and Lee Iacocca were great managers, and I knew both very well, but their management skills were frosting on the cake, it’s not the reason you invest in a company.

How did you select your own people? We’ve had a lot of kids from Wharton. We’ve been very lucky. There we spent a lot of time. We’d interview 500, narrow it down to 20, and

18 WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM 19 make 6 job offers, so we get to see them in action. children. Why are you passionate about We don’t hire bio-chemists or an actuary, we just hire education? raw meat, and say, you get banking, you get consumer Until 1990, I wasn’t involved as much because staples, you get medical equipment. We just hire bright I was working 6 days a week. My wife and I both people, and see how they do. attended public schools and received a fine education. You were an exceptional student of Thus we assumed that today, students were getting a investing. What is your approach to good education as well. But someone born in America learning a trade? today is less likely to graduate from high school than their parents. That’s not true of any other country. It’s Well, I was lucky to join a firm where the boss a terrible situation. Kids who are 10, 11, and 12 are understood those rules, such as: You’re not always right. dropping out and have very poor prospects. People Things are dynamic. You have to report when things talk about Steve Jobs and Bill Gates dropping out, but are starting to slump in one industry. I was lucky to they were young adults, and it wasn’t because of their join a terrific firm, Fidelity and they let me have a go- bad grades. They saw an opportunity that might not anywhere fund. I could buy any company so I had the be there in two years. So many kids today just aren’t right firm and the right platform. Fidelity believes in prepared …It’s one of these fairness things. Everyone the individual’s responsibility. They monitor results but wins if nobody drops out. don’t hamstring people. The way you want to manage a fund manager is to say “you have 120 stocks, why do What is your specific focus in you have stock 18, why do you have stock 49?” They education? better have a well thought through story for why they For the last 21 years my wife and I have been own it. supporting inner city schools here in Boston. They are Can you offer advice to those just parochial schools, but open to everybody. The tuition graduating from Wharton? used to be free when the nuns taught there, but now have tuition of $4,600 for third grade. While that is I would say that if you are interested in the stock much less than the $14,000 it costs per pupil in the market, you could put together a model portfolio. Say public schools, it is still a lot to pay because 70% of the you are buying 5 companies. It’s important not to say families of our students are single parent households. you are buying Xerox or Pfizer, but why you are buying I write letters and beg money from people, contact them. Find out what you are good at. Maybe you are new donors, and ask previous donors to renew. Last good at retailers, or energy companies or turnarounds. year we raised $6,000,000 for tuition for 5,000 of these Have real reasons for buying something, not because kids. It’s a great program, because the important grades it’s on the new hotlist, or in the most exciting industry. are K through 6. American has the best colleges in Then after monitoring several years, you might find out the world, but that’s “Gee I’m good at this.” It might help you to go through not a carrot for these a recession, to see how you do. kids struggling in these What are your thoughts on the key grades. If you talk Wharton School? to educators, they can tell by age 10 –where a It’s a great school. It changed my life. In Boston kid is headed. Recently everyone talks about B school (business school), I tell they re-opened 6 or them I went to the ‘A’ school. When I went there it 7 parochial schools was much more quantitative. Everyone was working so in Memphis, which hard, I was working 3 afternoons a week at the faculty is surprising because club and 4 nights a week at an Italian restaurant. There Tennessee is less than wasn’t much time to buddy up with the guy next to you 6% Catholic, but people in class. Now their approach is to have you work on a recognize that these team, and of course, that’s what you have in business, schools work. The kids teams. You don’t become the CEO during your first hear fewer pejoratives, few years, so as teams if everyone does well, you all get we congratulate them promoted. more, plus their families Also, it’s been proven those employees who pay to go there so they volunteer have less absenteeism, and that the company care about it. They learn wins, the shareholders win, and the community wins. I the three R’s, Respect, hope that is being pushed at Wharton. Responsibility, Religion, You made a choice to make substantial which are I think, good contributions to the education of things to live your life by. – KT

18 WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM 19 Nat Turner – continued from page 11 trepreneurship under 21, because that’s when you have the ability to develop technical skills and, in general, learn new things quicker. You also haven’t developed any bad habits and Outside of your founding team, who were probably don’t have too many life obstacles, such as worrying the major influencers, advisors? about a mortgage, kids, etc. The more of those you pick up, the We had, looking back, a really strong group. I’m so thank- higher the fence you’ll need to jump to get started. ful that we had those guys. There were four professors at Penn The university is a free and supportive environment to start who were very helpful the first six months, especially with a company. There are tons of kids who can be potential co- some of our early pivots. After our third iteration, we brought founders. Plus, your parents are paying for your rent. in professional investors and guys from the ad tech (advertis- Second, stop planning and writing, and start building. Ideas ing technology) space. are so cheap; it’s all about execution. Brian O’Kelley was from the ad tech space. He helped us Third, find a co-founder. If you’re not an engineer, find learn that small world, and introduced us to the right people. one as a co-founder, and don’t think you can just outsource He also believed in it and invested his personal money as an the code writing. Zach and I were very lucky to meet our two angel. He spent countless hours with us teaching us the indus- other co-founders at Penn, who were more technical than try, how things were built and why, and where the opportunity we were. Zach and I were already working together since our was. freshman year. As an example of how to do this, purely for fun, David Brussin had started several companies in the past we started an entrepreneur society called Genesis. Out of the and helped us with entrepreneurial decisions, how to recruit, entire university, about 15 of us met every Wednesday night how to manage people, etc. This advice was invaluable from a and shared ideas. As it happened, that’s where we met our co- general entrepreneurial and startup-building perspective. founders, Michael and Scott! Josh Kopelman and his partner at First Round Capi- tal, Chris Fralic, taught us how to fundraise and, eventually, how to sell the company. They led Invite Media’s first round of funding. I owe my life to Josh from before as well, as he gave me my first summer internship at First Round Capital and then a job at a portfolio company of theirs in San Francisco the next summer. Josh is one of the most helpful and generous people I met at Wharton.

When did you get your first investment? We raised money in November 2007, right in the middle of the second iteration, well before the fourth iteration. Generally, when you raise money from a VC, you create a board, which we did. Ours wasn’t big — just Zach and I, and Chris Fralic from First Round Capital. We brought on David Brussin as an independent board member. It was helpful for us, because Chris and David were former entrepreneurs. Generally, it’s best to bring in the VCs after you have stopped pivoting (changing your busi- Invite Media created a sophisticated ness model), and the product/market fit has been decided. You solution to a problem that you couldn’t know what you are building, and it’s all about revenue, hiring know about, being college students. Was and growth — that’s when VCs can help most. this like Apple elegantly solving a problem For us, the board meetings were informal for the first six that nobody knew they had? Or were you months. We weren’t making a profit yet, so our conversations searching for a problem to solve in the were about where we were in terms of the business model and digital ad space, and found those who how much money we still had in the bank. could articulate a problem to you? The first two years were pretty rough. The last year, we Very much the latter. We engaged with very smart people/ turned a corner, and grew the team from about 20 to 50 in six advisors who knew way more about the space and were will- months. We were making many millions per month a good ing to spend time with us. We knew how to build things, but eight months before Google approached us. because it was such a “behind the scenes” and opaque industry, no one can really walk into it knowing what to build unless Any advice for Wharton students/recent you’ve spent years in the space. Since we hadn’t, and since we alums? knew we wanted to tackle the digital media space, we took a If you’re talking about a tech startup, then get technical shortcut by working with some really great people. as young as you can. I’m a big proponent of fostering en- – KT

20 WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM 21 The Wharton Club of New York Thanks the Sponsors of the Joseph Wharton Awards Dinner 2011

MAJOR SPONSOR

PLATINUM SPONSOR

GOLD SPONSOR

20 WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM 21 WHARTON CLUB of NEW YORK You belong. Your acceptance to the Wharton School was a milestone in your education and your career, and the benefits didn’t stop when you graduated. Because you live in the New York area, you automatically belong to the Wharton Club of New York, giving you access to a family of more than 25,000 alumni in the area.

The Wharton Club of New York organized 120 club events in the last year - business events, career events, social events. Each one is an opportunity to build relationships, and meet other successful Wharton alumni and support the largest, most vibrant Wharton alumni community in the world!

You belong to the club, and the club belongs to you!

We want you to be a bigger part of the Wharton Club of New York. You can become a contributing member for as little as $95 per year, helping yourself while you help the WCNY to better serve you and other alumni.

YES, I want to be a Contributing Member of the Wharton Club of New York, giving me benefits including: y More access to your fellow alumni y 1/2 price on most WCNY events y Eligibility for leadership positions y Special, members-only discounts on special services, and health insurance.

Name Credit Card Number

Address Expiration Date

Sustaining Member - $95/year Town/State/Zip Silver Supporting Member - $500/year Phone Gold Sponsor Level - $1,000/year Benefactor Level - $3,500/year Email – includes membership in the Penn Club

PleasePlease go go to to http://www.whartonny.com/memsub.html http://www.whartonny.com/memsub.html or completecomplete andand mailmail to: to: WhartonWharton Business Business School School Club Club of of New New York,York, 1560 Broadway, Suite# Suite# 1011, 1011, New New York, York, NY NY 10036 10036 Questions?Questions? ContactContact GabrielaGabriela Sanchez Sanchez atat [email protected]@whartonny.com

WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM 23 Take the Call Forum

The Wharton alumni community is one CEO Connection is looking for “Mem- My company, Truveon, is introducing of the most exclusive and powerful net- bership Co-Chairs” to make phone calls the first technology able to determine works in the world. One key element of to CEOs to encourage them to join the ROI for home energy efficiency our success is the willingness of alumni CEO Connection. This is an indepen- projects. I am currently looking for in- to help other alumni. Take the Call is a dent, flexible, commission-based selling vestors. Dan Kauffman, WG’07 dkauff- simple concept: Wharton alumni should role. [email protected] [email protected]. buy from, hire from and help Wharton alumni. And if a Wharton alum calls us Component Sourcing International, KM Harris is looking for profitable, for any reason, we Take the Call. LLC (CSI) is seeking a Supplier Quality growing, small companies who need Engineer. Responsibilities include: (1) assistance entering new markets, or in The Take the Call Forum allows you to engineering analysis; (2) serving as a growing their existing base in new ways. reach the Wharton alumni community liaison between customers and suppliers. We provide hands-on, B2B, business de- directly. Just post your message at www. Please send resume to jobs@component- velopment. Please contact Scott Tornek, whartonny.com/forum.html, and it will sourcing.com. C’87, WG’95, at [email protected]. be promoted to the 30,000 alumni in the New York metro area. Find opportunities offered by your fellow Wharton alumni. Help alumni get answers. Gain ideas and useful information. Below are some excerpts from the Take the Call Forum.

Blume Ventures, one of India’s few mi- cro-VC funds is looking for interested investors. We’ve been super active with over 18 checks in Year 1 ($50-$250K). Please see some of the portfolio at www. blumeventures.com Cheers, Karthik Reddy Bezawada, WG’01.

St. John’s University, one of the nation’s largest Catholic universities is seeking an experienced and innovative leader to direct its Office of Business Affairs and serve as the Chief Financial Officer of the university. [email protected]

Cambia Health Solutions is seeking a As a Wharton friend and SPIRE member, Senior Corporate & Business Develop- ment Associate. This position will iden- I have led and continue to host joint networking events with Wharton professionals tify, implement, and manage strategic working in real estate for SPIRE. I understand the unique needs of growth initiatives for Cambia. Please the Wharton demographic and have worked with Wharton alumni in a challenging market apply to job# 19316 on-line: https:// to find their ideal apartment--whether for a primary residence or an investment property. cambiahealth.com/careers/ Why go anywhere else? Evisors is an online marketplace for expert insights. We are looking for Ann Kim professionals with career backgrounds Lic. Assoc. R. E. Broker in finance to join our network of highly REBNY Member qualified experts and serve as part-timer Halstead Property, LLC career mentors. www.evisors.com t: 212.381.2324 c: 973.650.0796 f: 646.775.2324 [email protected]

WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM WHARTON CLUB OF NEW YORK | WINTER 2012 | WWW.WHARTONNY.COM 23 The Wharton Business School Club of New York 1560 Broadway, Suite #1011 New York, NY 10036 • USA

WCNY–CALENDAR Check website for details! Whartonny.com/events.html

Careers in the Hedge Fund Industry Why Don’t I Have A Job Yet? Wednesday, Mar 14th, 2012 at 6:00pm Wednesday, Apr 18th, 2012 at 6:00pm Career Speaker Series Career Series Event

Create Your Own Legend Now! Lessons from the Ring Master’ Thursday, Mar 22nd, 2012 at 6:00pm Thursday, Apr 19th, 2012 at 6:00pm Speaker Series Event Career Speaker Series New Models in Higher Education Compensation Post Financial Crisis Thursday, Apr 19th, 2012 at 6:00pm Tuesday, Mar 27th, 2012 at 6:00pm Wharton Education Network (WhEN) Career Speaker Series Come meet the Newly Admitted Wharton MBAs How to Fundraise for your Startup Tuesday, Apr 24th, 2012 at 6:00pm Wednesday, Mar 28th, 2012 at 6:30pm (WE-EARN) Affinity Group Leads Luncheon Friday, Apr 27th, 2012 at 12:30pm How to Use Social Media to Make Your WCNY: Leads Group Organization More Likeable Monday, Mar 26th, 2012 at 6:00pm A Golf and Brewery Social at Chelsea Piers Speaker Series Event Tuesday, May 8th, 2012 at 7:00pm Special & Social Events Committee How to be a Winner in any Field Wednesday, Apr 11th, 2012 at 6:00pm Joseph Wharton Awards Dinner Speaker Series Event October 4, 2012 – SAVE THE DATE! Young Alum Singles Mixer Saturday, Apr 14th, 2012 at 11:00am Special & Social Events Committee