ORAL PRESENTATIONS
Buy, Sell or Hold: An In-Depth Look at the Flyer Fund Security Selection Process
Presenter(s): Erica M Kleinman, Natalie J McGregor, Corey R Pryor, Kelsey E Stroble Advisor(s): Robert D Dean, John E Rapp Economics and Finance 11:00 AM-12:00 PM Independent Research Miriam Hall - 118 (Davis Center) The Flyer Fund holds on average 55 mid to large-cap stocks, each of which undergoes a stringent fundamental evaluation with periodic updates. The purpose of this presentation is to provide an in-depth look at the Flyer Fund stock selection process, including the identification of the key fundamental factors that determine if a stock is selected or not for the Flyer Fund. Also included in the presentation is the identification of the primary sources of financial information/data used by the security analysts responsible for buying or selling stocks. Stocks currently under consideration for the Flyer Fund will be used to explain the selection process.
The U.S. Economic Outlook for 2012 and Flyer Fund Sector Weights
Presenter(s): David P Beyerle, Michael R Groff, J Ross Hallman, Tyler C Hujik Advisor(s): Robert D Dean, John E Rapp Economics and Finance 1:00 PM-2:00 PM Independent Research Miriam Hall - 118 (Davis Center) The Flyer Investments Fund uses a top-down investment approach to determine which of the 10 S&P 500 Sectors it plans to overweight, underweight, or marketweight. The purpose of the presentation is to describe this top-down approach and how it relates to past, present, and projected future economic conditions in the U.S.. Topics to be discussed are (1) U.S. Economic Indicators, (2) Sector Weights, and (3) Economic Outlook Analysis.
ROA and ROE as Determinants of Quality in Portfolio Management Presenter(s): Joseph J Capka Advisor(s): Robert D Dean, John E Rapp Economics and Finance Honors Thesis
2:20 PM-2:40 PM Miriam Hall - 213
Does Quality Matter? Since 1956, Standard & Poorâs has offered a rating system that differentiates stocks by quality, known as its Quality Rankings. From S&P’s perspective, quality is a function of the growth and stability of earnings and dividends over time. While a number of past studies have concluded that stocks with a high quality ranking tend to outperform the market, some studies have identified variability among rankings, which suggests that a more complete set of ranking criteria is needed. In my study, I have tested the hypothesis that both Return on Equity (ROE) and Return on Assets (ROA), when considered as criteria for portfolio construction, generate additional performance above the S&P 500. Through an analysis of hypothetical portfolios of quality-ranked stocks, I have concluded that both ROE and ROA are additional determinants of quality and hence portfolio performance.
Do Dividends Matter: An empirical analysis of the impact of dividends on portfolio stock selection, portfolio weights, and portfolio returns for S&P 500 stocks over the period 2005-2010 Presenter(s): Gregory J Castell Advisor(s): Robert D Dean, John E Rapp Economics and Finance Honors Thesis
2:40 PM-3:00 PM Miriam Hall - 213
Because of a growing number of dividend-focused portfolios today, the critical issue is whether or not these types of portfolios create alpha. Therefore, the purpose of this study is to determine if a portfolio of stocks focused on dividends can create alpha (i.e. excess returns) in both declining and rising stock markets. Holding constant such key factors as valuation, earnings growth, and profitability, at the margin, I have assumed the critical dividend factors in determining alpha are dividend yield, dividend growth, and dividend payout ratio.To test the hypothesis that one 135