Global Network for Advanced Management

2016-17 Global Network Investment Competition

2016 – 2017 Competition Rules & Logistics

Rules

  1. Teams can be between 2-6 members.  It is okay for one school to have up to three teams.
  2. Each team will produce five investment ideas total, with one top idea fully written out (maximum of 10 pages including figures, charts and appendices) and 4 ideas with 250 word summaries each. Investment ideas must be equity (i.e. publicly traded stocks, not fixed income or derivatives) and no shorting is allowed.
  3. Only the fully written idea will be judged for the Security Analysis Prize. The other 4 ideas will only be used for the purposes of the Performance Prizes. All 5 investment ideas must be about publicly traded domestic companies incorporated and traded in the country in which the participating network school is located.  All five investment ideas must have a share price of at least 5 US dollars, and they must be investable and legal with respect to the regulations of the country of listing.
  4. Teams must use PowerPoint to present the investment thesis for their top idea. All the submissions, including write-ups, PowerPoints, and video recordings of stock pitches will be posted on the GNAM Investment Competition website.

Logistics

  1. Each team should fill out one registration form by October 18, 2017, 11:59 PM EST. Please talk to the MBA Director at your school to get the registration link for this year’s competition.
  2. The deadline to submit investment ideas and pitch documents is October 29, 2017,11:59 PM EST.
  3. The submitted portfolio will be entered into commercial software within a week of submission.  All portfolios will be entered at close of trading prices on the same calendar day.
  4. Certain teams will be selected to move onto Round 2 of the Security Analysis Prize Competition, and will be notified by e-mail.  The timing of Round 2 will depend on the number of teams that enter the competition and the judges’ schedule. Teams that do not make it into Round 2 will still be eligible for Performance Prizes.
  5. Teams selected to participate in Round 2 of the Security Analysis Prize Competition will pitch their top idea via videoconference to the panel of judges.
  6. The Security Analysis Prize will be announced immediately following Round 2 of the pitch competition.
  7. The Performance Prizes will be announced in May 2018. Participants will be able to track the performance of their investment submissions in the performance section of this  website.

Judging

Security Analysis Prize: Teams will have 10 minutes to go through their top investment idea pitch with an additional 15 minutes of question and answer with the judges. Winners will be chosen based the quality of the investment thesis, research, question and answer, as well as presentation skills.

Performance Prizes: Performance Prizes will be based on the total excess return generated by the stock picks. The five stock selections will be equally weighted at the start of the competition, but after that the portfolio will be treated as a buy and hold portfolio with no trading until the end of the competition. The investment period for the purposes of the performance prize runs for the 6 months between October 31, 2017 and April 30th, 2018.  Performance will be defined in terms of excess return over the applicable country’s capital-weighted stock market index unless that is unavailable. Excess return is defined as the [return of the portfolio] – [return of the applicable country index]. Any substitutions for these benchmarks will be announced within two weeks of the portfolio submissions to allow for clarification.

The winning teams for both the stock pitch and the performance competitions will be awarded $3,500, and the runners up will be awarded $1,500.


Prizes

The International Center for Finance at the Yale School of Management is offering prizes for both the quality of the security analysis as well as the actual performance of the investment ideas presented. The winning teams for both the stock pitch and the performance competitions will be awarded $3,500, and the runners up will be awarded $1,500. The Security Analysis Prizes will be announced immediately following Round 2 of the competition and the Performance Prizes will be announced in May 2017.