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 Global Finals New York Asia-Pacific EMEA Americas Regional Regional Regional Regional 20 Teams 19 Teams 25 Teams 47 Teams 91 LOCAL LEVEL CHALLENGES

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 Maria Kioulafa, CFA Dr N. Milonas 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 1 st 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 • Mentors and faculty may NOT contact the company • Only 1 team per University • Mentors and faculty may • Enrolled in school at time NOT provide inside of kick off meeting information or company • Original work of students reports • No contact with company • Students, Mentors, and outside of organized events Faculty all agree to the • No purchased or CFA Institute Code of professional research Ethics and Standards of reports may be used Professional Conduct

Advisor and Mentor Involvement Faculty Advisor Industry Mentor • • Insight and guidance on Insight and guidance on research methods and tools industry practice as taught in academia • 6 hours of productive time • 10 hours of productive time maximum maximum • Face to face or virtual • Access to faculty for other • Company management projects unrelated to the question development Research Challenge is • Review first draft of research permitted report • All work must be the original • Presentation development work of the students assistance

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

Sample Report

Report Scoring Section Maximum 20 Investment Summary 20 Valuation Business Description 5 Other Headings 5 Industry Overview & Competitive 15 Positioning 20 Financial Analysis 15 Investment Risks 100 Total

Presentation Scoring Section Maximum Argument 25 Questions 25 Financial, Valuation & other Analysis 20 Team Involvement 15 Poise 10 Materials 5 Total 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 on 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 To lead the investment profession globally by setting the highest standards of ethics, education, and professional excellence. 11/19/2011 Ethical Decision Making

Why Ethics Matters 11/19/2011 Ethical Decision Making

Code of Ethics Integrity Reasonable Competence care Ethics Independent Professionalism judgment Diligence Respect 11/19/2011 Ethical Decision Making

Law vs. Ethics Law: a clearly defined set of enforceable rules that applies to everyone. It represents a minimum level of expected conduct that everyone must observe. 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. 11/19/2011 Ethical Decision Making

“Buffett Test” 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. Warren E. Buffett, CEO of Berkshire Hathaway Inc. 11/19/2011 Ethical Decision Making

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