Strategy

The Graduate Student Managed Fund (GSMF) is an unleveraged, domestic balanced portfolio using the S&P 500 as its benchmark. The strategy is to use top-down asset allocation to maximize returns from various sectors of the U.S equities market. The class is expected to both underweight and overweight specific sectors of the index in order to outperform the S&P 500. The class is divided into teams and each team is responsible for their respective sectors and security selection.

The team uses both fundamental and technical analysis to present their weekly research to the class. The class then votes to establish a buy, sell, or hold recommendation. Decisions to change or add a particular security to the existing portfolio require a two-thirds majority vote of the class. The fund also generates newsletters and economic reports to help distinguish insight into the markets overall direction. The fund intends to rebalance its portfolio and sector allocations as economic and industry outlook may change.

Once the fund reaches a $100,000 market value, it will award need based scholarships according to the universities current policies and procedures as in effect from time to time.

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