A capital appreciation fund aiming to educate Bowdoin College students on the stock market and inves

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A capital appreciation fund aiming to educate
Bowdoin College students on the stock market and
investing.
Find out more studorgs.bowdoin.edu/bcfs
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Objectives

• Given the belief that the greatest form of
  learning is achieved through hands-on experience,
  the Bowdoin College Finance Society has launched
  a student-run investment portfolio, Polar Bear
  Capital Management (PBCM). PBCM is a diversified
  domestic equity fund, seeking capital
  appreciation.
• The main objective of PBCM is to get Bowdoin
  students thinking about the business world and to
  create enthusiasm for the stock market and
  investing. We hope to support this enthusiasm by
  using the fund to actively invest with a
  long-term buy and hold strategy and apply
  knowledge gained from the finance society.

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Management

• Managers
• For the 2005-2006 academic year, three managers
  have been selected by the BCFS board
• Eddie Kim 07 ekim_at_bowdoin.edu
• Pat Pierce 08 ppierce_at_bowdoin.edu
• Mark Fuller 08 mfuller2_at_bowdoin.edu

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Professor DeCoster

• Before the start of February, Professor DeCoster
  from the Econ department will come and speak to
  us giving a lecture on what it means to invest
  and the driving factors of stocks.

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Meetings

• Meetings will be held once a week in a roundtable
  discussion format, in a location such as
  Lancaster Union or the 2nd floor room of West
  Hubbard.
• Each month will be dedicated to a specific
  industry, giving ample time for in-depth research
  and discussion.
• For the spring 2006 semester, we will be looking
  at stocks in the following sectors retail,
  healthcare, consumer staples, and technology.

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Monthly Organization of Meetings

• 1st Week Introduction to industry in question.
  Examination of important themes, trends and
  metrics in the industry.
• 2nd Week Discussion of at least three specific
  companies in the industry. Discussion at this
  stage will focus on a compays story rather
  than its stock.
• 3rd Week Look at companies fundamentals and
  valuation of stocks.
• 4th Week Action is taken after an in-depth
  discussion of the companies and their stocks. A
  conference call with an alum will give an
  opportunity for feedback on the companies. Each
  member must be prepared to defend and support his
  opinion. Existing positions are reviewed and
  action is taken if necessary.

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Example Retail

• For instance, if a month is dedicated to the
  teen retail industry, each meeting would work in
  roughly this schedule
• 1st Week Introduction to retail What types of
  businesses (large, small, monopolistic) populate
  the industry and determinants of success in the
  industry. What are the effects of demographics
  and fashion trends? Introduce metrics such as
  comparable sales and inventories.
• 2nd Week Discuss two to four specific companies
  within retail, perhaps those that have an
  influence on Bowdoin. These discussions focus on
  the company and its actions, not the history of
  the stock.
• 3rd Week Analyze the history and prospects of
  the stocks. Look at fundamentals such as P/E
  ratio, Price to book ratio and market cap.
• 4th Week This is where people bring out their
  ideas and we discuss in-depth the companies we
  have been analyzing. Through voting procedure we
  decide on companies which we feel will be
  successful and take a position in these
  companies.

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PBCMs Trading Account

• PBCM has created an online simulated trading
  account with StockTrack. This will give PBCM the
  opportunity to gain experience and invest in a
  risk-free environment. This simulated account
  will become proof to the administration of the
  seriousness of PBCM and open the possibility of
  funding in the future.

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Voting Procedures

• Members must have attended three meetings of the
  month, including the final meeting to be eligible
  to vote.
• At the beginning of this final meeting we will
  review the companies we have analyzed and have
  in-depth discussion about the pros and cons to
  each company.
• In order to enact a buy proposal, 2/3 of
  attending members must be in favor.
• Up to 5 proposals can be made but only 2 stocks
  per month can be approved to be bought.
• After the vote, there will be a conference call
  with a member of the alumni where proposals are
  pitched by team leaders.
• Team leaders will have 5 minutes to pitch the
  chosen stocks.
• Stock pitches must include a thesis, expectations
  and exit strategy.
• During this meeting, we will also review the
  current holdings in PBCM and make sure they are
  still in a favorable situation.

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Conclusion

• This is a great opportunity to learn about
  finance and picking stocks.
• PBCM has the support of alumni, faculty and the
  CPC.
• The packet will serve as an essential foundation
  for choosing stocks.
• We need team leaders who are interested in
  pitching stocks next semester.