GTSF Investments Committee

1. GTSF Investments Committee Mentorship, Fall 2013 Daniel Bruce danielbruce@gatech.edu

2. Itinerary • Week 1 • Intro/About the IC / Intro to Capital Markets • Critical Ratios / Financial Statements / Fundamental Analysis • Week 2 • Macro/Micro Analysis / Growth Drivers / Basic Technical Analysis • How to do a pitch/presentation / Exit Strategies • Week 3 • Sector Work / Rotationals • Sector Work / Rotationals

3. Notes • Bring a laptop to every meeting • Expected to learn outside the sessions • www.bloomberg.com • www.yahoofinance.com • www.investopedia.com • www.wsj.com • TD Ameritrade • Be thinking about what sectors interest you • Will get into more detail later

4. GT Student Foundation“Moving forward by giving back” • Development Committee • PR and Marketing Arm • Fund Raising • Allocations Committee • Makes Grants to Student Organizations • ~$30,000 per year • Investments Committee • Invests and Grows Endowment

5. Welcome to the IC • Largest student managed endowment in the country. $853,002

6. What’s New This Year • Mentorship Assessment • At the end of Mentorship, an Analyst Test will be administered • Top Performers will be granted Analyst roles • Others are welcome to attend meetings and other IC events but will not be allowed to pitch or present. • Professional Dress While Presenting • No pitches/presentations will be heard otherwise • Exit Strategy • Every presentation must come with an exit recommendation. No Exceptions.

7. Asset Classes • Asset Classes • Equities • Company Stock • Alternative Investments • International Companies • Commodities • Hedges • REIT’s • Special class of company • Not necessarily limited to real estate • Fixed Income • Sovereign Debt • US Bonds • Cash

8. Equities • Financials • Banks, insurance, etc • Energy • Oil, Nat Gas, Alternative Energy • Technology • High Tech, hardware, semiconductors, software • Services • Anyone that doesn’t sell a physical product • Staples • Consumer non-discretionary items, shampoo, etc… • Cyclicals • Discretionary items, retail, etc… • Health Care • Pharmaceuticals, Health Care Services, etc… • Industrials • Machinery, engines, etc…

9. What is the Stock Market? • A loose network of economic transactions for the trading of company shares and derivatives at an agreed price. • Not in any one physical location, although there are trading floors/desks/etc… • NYSE • Largest equities-based exchange in the world • NASDAQ • World’s first electronic stock market • Stock – individual units of ownership of a company • Usually issued by a company to raise capital or reward employees (hence, capital markets) • You and I can buy pieces of company ownership for publically traded companies on one of the above exchanges.

10. We will get into these next time.

11. Important Benchmarks • Dow Jones Industrial Average • The “Dow 30” or just “The Dow” • 30 Large Cap Stocks • S&P 500 • 500 Largest Public Companies • NASDAQ • Tech Weighted Index with >3000 Stocks

12. ETF’s • Exchange Traded Funds • Basket of stocks or other financial instruments meant to achieve the performance of a certain idea. • Ex: Grains, Financials, S&P, Euro • Trades Like a Stock, Acts Like a Mutual Fund • Highly Liquid • Have Been Blamed for Increasing Systematic Risk • ETF’s make whole sectors move in tandem, reducing the benefic of diversification

14. Important Terminology • Bulls • Group of traders who are generally positive about the movement of a stock or the market as a whole. • “bullish” • Bears • Group of traders who are generally negative about the movement of a stock or the market as a whole. • “bearish”

15. Why the IC?

16. Questions • Daniel Bruce – Director of the Mentorship • danielbruce@gatech.edu • Alex Han – Senior Managing Director • ahan1991@gmail.com • Nick Keith – Senior Financial Director • nkeith88@gmail.com