This article is republished from the LSGI April 2011 Advisors Report. Visit the LSGI Fund website.
We are pleased to announce that Michigan Technological University senior Annette Felton is the 2011 LSGI Scholarship award winner. The scholarship is awarded to a student who displays excellent academic achievement, expresses an interest in finance or applied mathematics, and demonstrates high moral and ethical characteristics.
Ms. Felton is from Chesterton, Indiana, and attended Michigan Technological University because of its unique Applied Portfolio Management Program (APMP). The undergraduate APMP students actively manage, under guidance, $1.5 million of the school’s endowment fund.
This unique program is comprised of Michigan Tech finance students from various countries around the globe. Historical returns of the student managed APMP portfolio have exceeded the S&P 500 index. While the program is small (14 students this year), graduates of the program are
working across the globe for various financial institutions, money management firms, and hedge funds.
From a statistical standpoint, the students in the program have provided the portfolio with positive ‘alpha’ (excess returns) for the level of risk they have incurred. The students’ portfolio is managed as an ‘enhanced index’ portfolio, split between student selected exchange traded
funds, stocks, and bonds. This year, students have also developed strategies to effectively trade options which has enhanced the learning experience.
APMP students were recently interviewed by a local television station on the impact of global unrest on investment strategy and the markets, and were interviewed live by Bloomberg radio at the recent University of Dayton investment symposium.
Annette is the co-founder and Vice President of the MTU Finance Club and is an active member of the Dean’s Student Advisory Council. Last year as part of the APMP team she attended the Berkshire Hathaway annual shareholders meeting in Omaha and met Warren Buffett and Charles Munger. Graduating in Finance with a minor in International Business and the German language, she has an interest in foreign currency and cash management. She has been offered a position as a financial analyst from the global mining powerhouse ArcelorMittal.
In her free time she enjoys backpacking, volunteering at the humane society, water sports, and traveling both domestically and abroad. We are proud to have Annette Felton as the 2011 recipient of the LSGI Scholarship.