THE GEORGE INVESTMENTS VIEW Volume 20 | Newsletter 2015 Madhu Rao, PhD ASSOCIATE DEAN AND PROFESSOR OF DECISION SCIENCES School Of Business Administration Yiorgos Bakamitsos, PhD ASSOCIATE DEAN AND ASSOCIATE PROFESSOR OF MARKETING EUGENE M. AND CHRISTINE LYNN BUSINESS CENTER K.C. Ma, Ph.D., C.F.A., TELEPHONE: (386) 822–7442 | 421 N. WOODLAND BLVD., UNIT 8398 | DELAND, FL 32723 DIRECTOR, GEORGE INVESTMENTS INSTITUTE ROLAND GEORGE CHAIR OF APPLIED INVESTMENTS Lynn Thompson ADMINISTRATIVE SECRETARY Editor’s Note The storied history of the Roland George and Evan Sieg will share their bond swap Investments Program had another ban- recommendations. Jordan Schultz, Kiara ner year in 2014. This past year has seen Urena, Maren Rygh, Chester Espie, Jack many great additions to the program, as Stautberg, Nick Carpenter, and Evan Sieg the legacy continues to grow as classes pass will share their passed stock recommen- through the trading room. In this issue dations. Finally, we will recap our perfor- of The George Investments View, we will mance from the 2015 G.A.M.E. V Forum see how the program continues to prosper competition held in New York City. under the direction of Dr. K. C. Ma. Personally, this past year in RGIP has When Sarah George created the Roland been the highlight of my career at Stetson George Investments Program in 1980, University and there is one man to thank - I doubt she could have envisioned the Dr. K. C. Ma. The dedication and insight by Matt Taylor nature of the program today. Students from from Dr. Ma are just some of the reasons around the country are attracted to Stetson that make the program so worthwhile. I University for the chance to enter the think I can speak for all the students in the program. The trust ensured to the students class this year that it has been an honor for in the program is the foundation that us to become a part of the storied tradition continues to drive the students to put in of RGIP. The personal bonds and friend- the hours of hard work in order to see our ships created from our many late nights in over $3.5 million dollar portfolio succeed. the lab will impact us for years to come. I Trust, dedication, and tradition are the hope that this latest issue of the newsletter engine that continues to drive RGIP year provides you with a front row seat to the after year. continued success of RGIP. Enjoy! In this latest issue of The George Personally, this past year in RGIP has Investments View, we will share insights been the highlight of my career at Stetson from our equity and fixed income fund University and there is one man to thank portfolios. We will also learn about some - Dr. K. C. Ma. The dedication, insight, exciting new additions to the Roland and free dinners from Dr. Ma are just some George Investments Program this past of the reasons that make the program so year provided by Krystal Somaza, in the worthwhile. I think I can speak for all the article “RGIP Goes Public.” Next, Scott students in the class this year that it has Williams will recap the activity of the fixed been an honor for us to become a part of income portfolio in the past year, while the storied tradition of RGIP. The personal Kiara Urena will do the same for the equity bonds and friendships created from our portfolio. Following the portfolio updates, many late nights in the lab will impact us selected students will provide a recap of for years to come. I hope that this latest their in-depth equity and fixed income issue of the newsletter provides you with a reports that RGIP selected to invest in front row seat to the continued success of this past year. Michael Fiore, Matt Taylor, RGIP. Enjoy! 2 Newsletter 2015 THE GEORGE INVESTMENTS VIEW Director’s Note by K.C. Ma, Ph.D., C.F.A. This is also the first year the entire class Because of these students’ hard work and Director, George Investments Institute worked on projects that in the past were dedication, RGIP stock and bond portfo- reserved for only a few students cho- lios have outperformed their benchmarks Roland George Chair of Applied sen to participate in the CFA Global by 2 percent year-to-date. Investments Competition. During 2014-15, each Those on the distribution list, mainly George student was required to write and George alumni, will receive George stu- It is another year of firsts for us. This year, present a CFA-like stock recommendation dents’ recommendations at the same time we decided to change the investment and an industry-only bond report. On as the current RGIP trustees. More than theme of Roland George Investments average, George students had to spend 100 alumni signed up within the first 24 Program (RGIP) to identify companies 60-80 hours working on each report. hours after the website went live, and they with unique business models. We believe You will see the highest quality yet of have already received the most recent new that this approach will distinguish RGIP their research in this issue of the George stock and bond recommendations. from other student-managed fund pro- Investments View. grams. “Uniqueness” is defined by one or This has been an exciting year and we The end result was stock presentations that more of these types of business descriptors: are looking forward to new ventures wowed more than 500 guests attending next year. • First two RGIP Public Trustee Meetings -- the • Largest hottest tickets in town! The meetings • Only were so successful, we are getting constant • Best requests to have more public meetings • Most innovative soon, and next year we are taking the show on the road with a four-city tour of George • Most disruptive student stock presentations! • Most interruptive RGIP, NYC, Dec. 2014 (Left to Right) Row 1: Erin Davis, Krystal Somaza, Shayn Sparks, Jordan Schulz, Kiara Urena, Michael Fiore, Chester Espie, Kaitlyn Ochrum, Brittany Rathburn Row 2: Adam Frocione, Matthew Taylor, Evan Sieg, Jeremiah Riddle, Jozsef Nemeth, Nick Carpenter Row 3: Gabriele Vittori, Eric Ebersole, Tyler Warmoth, Minki Lee, Stephen Small, Scott Williams, Dylan Bateh, Jack Stautberg, Mark Lechler, Christopher Aguirre. 3 RGIP Goes Public By by Krystal Somaza For years, the magic behind the Roland to present to the public our work in RGIP highlight the difference between a buy George Investments Program has been was not only about personal growth, but recommendation and hold/sell recommen- hidden from the public. The success of the something I will remember for the rest of dation, Matt Taylor presented a hold rec- program was only shown in the competi- my life.” Kiara Urena said, “I’m honored ommendation of Keurig Green Mountain. tions won and banners hung. This changed to be part of the legacy as the first class to Mark Lechler said, “The opportunity to during the 2014-2015 school year, as the host public meetings: a success that will work alongside Dr. Ma and present in front inner workings of RGIP was opened to the go down in RGIP history!” The public in of so many people was a great learning public and Stetson University for the first attendance, along with RGIP students, experience that I can continue into my time. In both the fall and spring semester, were allowed to ask questions to the career.” Chester Espie even correctly pre- RGIP opened a regularly scheduled trustee presenters. The first RGIP public meeting dicted GrubHub’s next quarterly earnings meeting to the public. This past November, was such a success that we elected to do results to the penny, beating Wall Street a public trustee meeting for stock buy rec- another open meeting in the spring as well and GrubHub management’s expectations! ommendations was held in Lee Chapel on as make public meetings an annual event The meeting built off the success of the first the Stetson University’s DeLand campus. on the RGIP calendar. In February, RGIP open meeting and provided RGIP with a Six students combined to pitch four differ- introduced its new and improved public successful template for future open meet- ent stocks in front of an audience of over trustee meeting. Held in the Stetson Room ings for the public. 100 students, faculty, administrators, and in the Carlton Union Building on campus, The success of the public trustee meetings public. Mike Fiore pitched Magna Auto the event surpassed the success of our first sparked another exciting idea that RGIP Parts, Shayn Sparks recommended Visa, event. Over 250 students, faculty, staff will debut with the next class of George Matt Taylor presented Chicago Bridge & and public attended. Afterwards a recep- students. RGIP is going on the road to Iron, and the team of Kiara Urena, Jordan tion was held with food, drink, and the present their ideas and recommendations Schultz, and Maren Rygh pitched Netflix. chance to interact with RGIP students and around Florida! Interest from groups such The event was received tremendously as guests. There were three buy recommenda- as the Citrus Club in Orlando and Stetson many viewers commented that they had tions and one hold/sell recommendation Alumni around the state will provide never seen student presentations as well presented during the meeting. Evan Sieg another opportunity for RGIP to market done. By the way, the student presentations presented Alibaba Group, Mark Lechler its storied history. Dr. Ma is excited to take were memorized with complimentary pitched Rightside Group, and Chester students around the state to showcase the PowerPoint presentations and videos.