Since inception, The Darla Moore School of Business Student Managed Investment Fund (SMIF) has provided an opportunity for students to gain investment analysis and portfolio management experience.
Active portfolio management is a difficult endeavor. According to popular measures from S&P Dow Jones Indices, in 2016 over 70% of U.S. Equity Mutual Funds were outperformed by their respective benchmark indices. The Student Managed Investment teams research, test and implement leading investment strategies from both academics and industry practice with the goal of improving the odds of outperforming the market. Our teams also understand that performance can be improved not only through return generation, but also through risk reduction. A key to our Portfolio is the use of asset allocation strategies to minimize portfolio volatility.
We believe financial markets are largely efficient and we respect the difficulty in attempting to outperform the market. We do not believe we have better information than other market participants and therefore do not engage in ad hoc “stock picking”, nor do we attempt to “time the market.”
Operations of The Fund
The Fund is a real portfolio where students are managing real money. Seed funding was provided by the Business Partnership Foundation of the Moore School of Business. The students of FINA 772 (graduate) and FINA 472 (undergraduate) jointly manage the Fund each semester and are organized into various fundamental and portfolio management teams. The class meets twice a week, in the Moore School's Trading Room.
The Spring 2017 SMIF has implemented a new organizational structure, adding multiple teams to assist in management of the Fund. The teams include:
- Management Team
- Risk Team
- GMVP Strategy Team
- Piotroski Strategy Team
- BAB Strategy Team
Entry into the fund is highly competitive. Selection will be based on the student’s academic background, career goals, prior finance experiences, and overall motivation. The application process takes place mid-semester around the time of advisement. If you have any questions or are interested in applying, visit our Contact page.