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Educational Meeting. 3/12/09. Meeting Outline. Time Value of Money DCF Primer Board Recruitment Process Important Dates. Time Value of Money. What would you rather have? A) $100 today B) $100 one year from now What about if I change it to $110 one year from now?
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Educational Meeting 3/12/09
Meeting Outline • Time Value of Money • DCF Primer • Board Recruitment Process • Important Dates
Time Value of Money • What would you rather have? • A) $100 today • B) $100 one year from now • What about if I change it to $110 one year from now? • Rational individuals would prefer to receive a payment today
Time Value of Money (Cont.) • PV = FV / (1+r) = FV - r*PV • PV: Present Value • FV: Future Value • r : discount rate (interest rate) • This allows us as investors to “discount” future payments to ascertain how valuable they are today, and as such forms the basis of investing
Time Value of Money (Cont.) • Annuity = Equally sized payments (mortgage) • A : annuity payment • i : interest rate • Perpetuity = Annuity that last forever
DCF Primer • Lokesh Todi will not walk you through a DCF primer in excel • Focus on the big picture so that you will be prepared for Prof. Downs in depth review of DCF valuations on April 2nd
Board Recruitment Process • Formed a Senior CSIA Committee • John Roberts • Lokesh Todi • Kevin Xu • Josh Jamner • Prabh Singh • Chow Zhou
Board Recruitment Process (Cont.) • All applicants must submit a cover letter and resume by the April 2nd meeting • Bring 1 hardcopy and email to csia@colby.edu • Cover letter • When did you join the CSIA? • What have you done since you joined? • What position do you want on the board? • Why would you be able to excel in this position? • Resume • Allows the selection committee to get to know you better
Board Recruitment Process (Cont.) • Committee will meet with all candidates and then select a CEO for next year • Committee will advise new CEO on who they should appoint to their board • All appointments will be confirmed by a majority town hall vote • Once elected, all new board members will be encouraged to attend the remaining board meetings
Important Dates • April 2nd • Prof. Downs DCF presentation • Board Applications due • April 16th • Trading meeting • Board Positions confirmed (tentative)