Kick-off meeting 2011-12 14 November 2011 Hellenic CFA Society - - PowerPoint PPT Presentation

Kick-off meeting 2011-12

14 November 2011

Hellenic CFA Society Information

2011 Global Champions

Politecnico di Milano – Milan, Italy

What is the CFA Institute Research Challenge?

• Worldwide University competition

between teams of students

• Organized by local CFA societies
• Analysis of a publicly traded

company

• Interview company management
• Mentoring by a CFA charterholder
• Research report writing
• Presentation of research

2011 Research Challenge Network

• 2500 Students
• 546 Universities
• 1200 Industry

Volunteers

• 102 Local CFA

Societies

2012 Tournament Diagram

91 LOCAL LEVEL CHALLENGES

Asia-Pacific Regional 19 Teams EMEA Regional 25 Teams Americas Regional 47 Teams New York Regional 20 Teams

Global Finals

2011 Tournament Results

Participating Teams

University Faculty Advisor Mentor ALBA Dr N Tessaromatis Petros Georgilas, CFA Business School/MSc in Finance Dr S. Zarkos AUEB Dr D. Giamouridis Alex Boulougouris, CFA Dept of Accounting and Finance Dr S. Anagnostopoulou IHU Dr S. Leventis Panagiotis Kladis, CFA Graduate School /MSc in Finance Dr A. Dasilas UOA Dr.S. Thomadakis Dr N. Milonas Maria Kioulafa, CFA Dept of Economics Dr A. Christopoulos UOM Dr Y. Lazarides Dimitris Karydas, CFA Dept of Accounting and Finance Dr S. Papadopoulos UNIPI Dr A. Merikas Nikos Koskoletos, CFA Dept of Maritime Studies Dr G. Paroikakis

Timeline

Today Kick-Off Next 10 days Preliminary Research Question Development December 7 (11:00) Company Presentation January 9 1st Draft Due to Mentor January 30 Final Report Due Interim Report Grading Feb 9 Local Competition Final March 7 EMEA Region Final (London, UK) April 12 Global Final (New York, USA)

Rules Overview

• Teams of 3-5 students
• Only 1 team per University
• Enrolled in school at time
• f kick off meeting
• Original work of students
• No contact with company
• utside of organized events
• No purchased or

professional research reports may be used

• Mentors and faculty may

NOT contact the company

• Mentors and faculty may

NOT provide inside information or company reports

• Students, Mentors, and

Faculty all agree to the CFA Institute Code of Ethics and Standards of Professional Conduct

Advisor and Mentor Involvement

Faculty Advisor

• Insight and guidance on

research methods and tools as taught in academia

• 10 hours of productive time

maximum

• Access to faculty for other

projects unrelated to the Research Challenge is permitted

• All work must be the original

work of the students

Industry Mentor

• Insight and guidance on

industry practice

• 6 hours of productive time

maximum

• Face to face or virtual
• Company management

question development

• Review first draft of research

report

• Presentation development

assistance

Online Ethics Case Study

Ethical Standards for Investment Professionals: An Interactive Case-Based Course

Sample Report

Report Scoring

Section Investment Summary Valuation Business Description Other Headings Industry Overview & Competitive Positioning Financial Analysis Investment Risks Total Maximum

20 20 5 5 15 20 15 100

Presentation Scoring

Section

Argument Questions Financial, Valuation & other Analysis Team Involvement Poise Materials Total

Maximum

25 25 20 15 10 5 100

Subject Company

• Coca Cola Hellenic Bottling Co

http://www.coca-colahellenic.com (bloom: EEEK GA)

• Company Profile

Coca-Cola Hellenic Bottling Company S.A. produces, Sells and distributes soft drinks, fruit juices, and mineral water. The company produces all kinds of Coca-Cola brand name products such as Coke, diet Coke, Sprite, diet Sprite, and Fanta. Coca-Cola Hellenic manufactures and distributes in 26 countries worldwide.

• Management

George David, Chairman Robert Murrey, CFO Jan S Gustavsson, Dir of Strategy Oya Gur, Dir of Investor Relations

Interacting with Coca Cola Hellenic

• Designated Officers ONLY
• Organized Meetings ONLY
• Industry Mentor or

Faculty Advisor must be present for ALL student- company interactions

• Students may contact

company suppliers, customers, vendors, etc.

Questions

The Student Benefits and Experience

Benefits for Students

• Learn best practices in research and report writing
• Real-life learning experience as a Sell-Side Equity

Analyst

• Gain access and exposure to leading industry

professionals

• Professional report and experience can be featured
• n resume/CV and on job interviews
• Experience presenting to top financial professionals
• Individual and team prizes
• Opportunity for travel (all expenses paid)
• Potential for media exposure
• Join a network of over 5000 students & 2000

volunteers worldwide

The Student Experience

– “Candid feedback from mentors, graders, and judges helped me to understand the industry” – “It was a thrill to open the NYSE!” – “It was an honor to win US$10,000 for my university” – Understanding : “opportunity favors the prepared mind” – “My sell-side research report opened doors to a fantastic internship” – “I was offered a job in the investment industry where jobs are difficult to find.”

Media Exposure

Student Testimonial

“I found the Research challenge to be an invaluable, real- life prep for job interviews. I interviewed with an equity research firm while working on the report and the interviewers were amazed at my level of exposure as a student. I was extended an offer, based without a doubt, on my participation in the Challenge. I highly recommend the Research Challenge to students who are interested in a career in finance.” – Steve Catera, Rutgers University, 2009 Research Challenge Participant

2012 Timeline

Asia-Pacific Regional Final

Hong Kong, Week of February 28, 2012

EMEA Regional Final

London, Week of March 5, 2012

Americas Regional Final

New York City, Week of April 9, 2012

CFA Institute Research Challenge Global Final

New York City, Week of April 9, 2012

Questions

Page

Ethical Decision Making

CFA Institute Mission Statement

11/19/2011 Ethical Decision Making

To lead the investment profession globally by setting the highest standards of ethics, education, and professional excellence.

Why Ethics Matters

11/19/2011 Ethical Decision Making

Code of Ethics

11/19/2011 Ethical Decision Making

Ethics

Integrity Competence Professionalism Diligence Respect Independent judgment Reasonable care

Law vs. Ethics

11/19/2011 Ethical Decision Making

Law: a clearly defined set of enforceable rules that applies to

• everyone. It represents a

minimum level of expected conduct that everyone must

• bserve.

Ethics: guidelines that address situations not covered by the law (relations with competitors, interpersonal relations at work) and also contribute to the creation of laws.

“Buffett Test”

11/19/2011 Ethical Decision Making

Warren E. Buffett, CEO of Berkshire Hathaway Inc.

I want employees to ask themselves whether they are willing to have any contemplated act appear the next day on the front page of their local paper—to be read by their spouses, children and friends—with the reporting done by an informed and critical reporter.

Ethics in the CFA Institute Research Challenge (1/2)

How does this apply to my participation in the CFA Institute Research Challenge? All participants must adhere to the Code of Ethics and Standards of Professional Conduct, with emphasis on the Standards outlined in the next slide:

11/19/2011 Ethical Decision Making

Ethics in the CFA Institute Research Challenge (2/2)

–Standard I.B (Independence and Objectivity) –Standard I.C (Misrepresentation) –Standard II.A (Material Nonpublic Information) –Standard II.B (Market Manipulation) –Standard V.A (Diligence and Reasonable Basis) –Standard V.B (Communication with Clients and Prospective Clients)

11/19/2011 Ethical Decision Making

Questions

CFA Institute Research Challenge Team

Brian Stype – Manager Amanda Quinn – Program Coordinator Amy Strunk – Administrator

• www.researchchallenge.org
• email: researchchallenge@cfainstitute.org