CFA Institute Research Challenge LA TX CFA Society

CFA Institute Research Challenge LA/TX * CFA Society of Austin * CFA Society of Dallas Fort Worth * CFA Society of Houston * CFA Society of Louisiana * CFA Society of San Antonio *****NOW IN IT’S FIFTH YEAR*****

CFA Institute Research Challenge LA/TX CFA Institute Research Challenge • The CFAI-RC in a local intercollegiate competition sponsored by affiliate member societies of CFA Institute, is an education initiative in which leading industry professionals teach business and finance students how to research, write and present a report recommending a “Buy”, “Sell”, or “Hold” position on a publicly traded company. • Originated by NYSSA, with support from CFA Institute, the Challenge is now being replicated in Africa, Asia, Canada, Europe, Latin America, Middle East and the U. S.

CFA Institute Research Challenge LA/TX Purpose of Challenge • Teaches best practices in research to the next generation of analysts. • Provides experience in a real-world setting to complement students’ academic curriculum. • Develops interest in securities analysis and the investment profession at top area business schools. • Provides an opportunity for experienced professionals to give back.

CFA Institute Research Challenge LA/TX CFA Institute Research Challenge – LA/TX - Process Educational Seminars webcasted to students Teams selected by universities participating Mentors introduced and subject company announced Company presentation Reports submitted and evaluated Finalist teams present to panel – winner selected

CFA Institute Research Challenge LA/TX • • • Participants Benefits to the Society Key Components Challenge Timeline Next Steps

CFA Institute Research Challenge LA/TX PARTICIPATION • Local CFA Societies – – – CFA Austin CFA Dallas CFA Houston CFA Louisiana CFA San Antonio • CFA Institute • Core Schools: • • • • LSU Loyola Northwest Louisiana Rice SMU TCU Texas A&M Texas State Texas Tech Tulane U of H UNT UT UT-Dallas UT-San Antonio

CFA Institute Research Challenge LA/TX Challenge Participants CFA Society Faculty Students Industry Responsibilities • Co-ordinate all student campus activities. • Attend the various presentations/webcasts • Complete the research report/recommendation. • Prepare presentation. • Provide knowledge and • Resources • Co-ordinate Company wide activities • Present to the teams and respond to team questions. • Abide by CFA Institute guidelines and rules • Liaise with university advisors and students • Recruit volunteers – mentors, graders, judges • Coordinate logistics together with staff • • Benefits Become an active Society volunteer Contribute in Challengerelated events Share expertise with next generation of investment professionals Network with other society volunteers • Co-ordinate all on campus activities. • Prepare recruiting session in the fall • Select the teams • Communicate as requested by IRC-TX Co-ordinators Benefits • Network with other universities • Network with local CFA society members • Free sharing of ideas with working Industry and other University staff • • Benefits Network with students at other universities Network with society members and learn about the CFA program Awards at local level Winning team given opportunity to complete regionally • • • Benefits Easy give back to community Network with other Industry professional Have a active role in the Societies

CFA Institute Research Challenge LA/TX Benefits to the Society § Fulfills mission to educate investment professionals and investing public. § Promotes investment management best practices and ethical standards. § Increases number of professionals who volunteer at Society. § Attracts senior-level professionals who may not otherwise be active in Society. § Forges relationships with area business schools and students.

CFA Institute Research Challenge LA/TX • Key Components Seminars Mentoring Company Presentation Written Reports Panel Presentations

CFA Institute Research Challenge LA/TX SEMINARS • What: Investment professionals provide basic knowledge of components of securities research and analysis – Research Report Writing – Buy and Sell-side Perspectives – Ethics • When: September - November • Where: On campus and/or web cast

CFA Institute Research Challenge LA/TX Challenge Timeline September – November Ø Universities select teams Ø Seminars at participating universities or via web cast Ø Mentors chosen and confirmed December - February Ø Teams submit questions for company – Company Presents Ø Kick-off meeting at which mentors are introduced and rules are discussed Ø Teams do written reports February – March Ø Final reports are submitted and graded Ø Finalist teams present recommendations at TIPS (held at UT-Dallas) Ø Winning team announced April Ø Winning team of local LA-TX challenge ompetes regionally with other local Challenge winners across Canada, Latin American and the United States.

CFA Institute Research Challenge LA/TX Steps Completed: • • • Secured funding support from CFA Institute Communicated with participating universities Updates on: www. cfasocietiesoftexas. org Webcasts of seminars installed Company approached Final oral competition scheduled with TIPS program in February at UT - Dallas

CFA Institute Research Challenge LA/TX Next Steps (or in progress): • • Assign mentors Getting commitments on Judges/Panelists Solicit sponsors for events/competition Work with winning team on regional competition preparation

CFA Institute Research Challenge LA/TX Coordinators • Leah Bennett, CFA Society of Houston 713 -961 -0462 (x 112) lbennett@kingadvisors. com • Sharon Criswell, CFA Society of Dallas/Fort Worth 214 -987 -0860 (x 116) scriswell@almfirst. com

CFA Institute Research Challenge LA/TX • The New York Society of Security Analysts (NYSSA) introduced the Investment Research Challenge in the 20022003 academic year as a means to promote best practices in research among the next generation of analysts. The Challenge is an eight-month educational initiative in which leading industry professionals teach business and finance students how to research and report on a publicly traded company. The challenge is now trademarked, administered and managed by CFA Institute and over 80 local society affiliates and is being offered globally with the involvement of more than 500 universities and student teams.