The UCL Investment fund is an autonomous student-run organization within the UCL Investment society, concerned with educating and exploring the investment universe. UCLIF core competencies comprise the following:
Industry Sector Heads
This team of experienced students with past investment and work experience managing portfolios in the industry of their expertise is here to assist their analysts with deep understanding of sector-specific methodologies and strategies for analysis and investment.
Fund members and guest lecturers will be hosting a series of workshops with detailed analysis of current affairs, as well as their implications on global markets. Students can gain insights into fundamental analysis and brainstorm potential trade ideas.
Broad Look at the Industry
The fund is keen to introduce the trading industry to everyone, regardless of previous knowledge. This involves events, including talks by notable industry representatives on the composition, function and feel of the Sales & Trading department.
The society and the fund are working closely with UCL alumni working in various divisions of S&T, including senior traders, researchers and London-based strategists. These sessions will give students a better understanding of the division specific details necessary for securing spring, summer and graduate offers.
In 2017/18 the UCLIF is hosting the annual trading competition available to everyone interested in investing. This aims to help students gain practical experience, such as assessing and undergoing calculated risks or working in a team.
Analysts within the fund will be producing in-house security and sector research available to all members of the society, used for familiarising students with the expected standards of research on the job, as well as useful insights into current market trends, methods of stock valuation, and analysis.
In addition to conventional investing, the fund will be exploring quantitative trading (ran purely on coded algorithms) in one of the portfolios. UCLIF is collaborating with notable alumni working in Quantitative and Data Science departments of top banks in creating the portfolio and educating interested students in the methods and strategies of algorithmic and high-frequency trading.
Portfolio Managers have the task of producing detailed quarterly reports of sector activity, portfolio performance, investment decision reasoning and strategy, and future outlook. This will be done in a simple “letter to the shareholders” format.
Recruitment for UCLIF commences in September for Portfolio Managers and October for Analysts. Candidates are required to fill out a formal application form with all relevant information, CV and Cover Letter. The detailed dates are to be confirmed on the fund and society Facebook pages. The Fund currently manages 5 portfolios, with 1 Portfolio manager and 4 analysts assigned to each of them.
Candidates are expected to answer several simple questions about the industry and market. Successful analysts will face 2 rounds of interviews with respective sector head and a management committee member, portfolio managers will be interviewed by all three managers. Admitted students will also undergo occasional check-ins, in order to maximize effectiveness. Slacking or failure to complete your tasks will result in replacement.
The process is structured in a style resembling a conventional Investment Banking application. Analysts are required to fill out a formal application for specific portfolios of interest and submit their CVs and cover letters on the UCLIS website. Successful candidates will be interviewed at two stages with the respective portfolio manager and a member of the management team. Analysts will be shuffled between portfolios throughout the year, based on interest and availability. All candidates will receive feedback on their applications.
The UCLIF operational plan covers the proposed activity of the fund throughout the upcoming investment season of 2017/18. All participating fund members are expected to have a clear understanding of their responsibilities throughout the operational year.
At the center of the fund’s operation are the seven portfolios managed by a team of one portfolio manager and four analysts. Each team of analysts is expected to develop and communicate trade ideas for execution by the respective portfolio manager. Each portfolio team selects its own strategy within aggregate fund guidelines. Each trade must be made with full consensus of each team with final approval of the portfolio manager.
Throughout the year, analyst teams will shift industries every 2-3 months in order to acquaint members with multiple industries for broader commercial and market awareness. Portfolio Managers will remain with their chosen industries for the full year to becomes experts in their industries and bring incoming analyst teams up to speed.
In order to achieve effective communication and participation of fund members, each portfolio team is expected to meet on a weekly basis to present trade ideas and communicate industry movements. Each team is free to decide the location and time of these meetings with the goal of achieving full participation. In addition, the whole fund will meet on a monthly basis to discuss performance, updates, and other points of information.
Reports and Pitches
In order to ensure members are gaining essential trading skills, each team will aid the portfolio manager in producing Industry Research Reports every term. These reports will cover overarching trends in the industry, performance over the recent quarter and LTM, and any potential changes in the business landscape. These reports will be published onto fund media pages for UCL Investment Society members and others to gain an insight into the research being produced by the UCL Investment Fund. In addition, analysts will regularly be preparing and presenting stock pitches in their teams and potentially to a wider fund audience.
Workshops and Training
As part of the regular operations of the fund, training and the development of skills is of paramount importance. Workshops will be organized with the UCL Investment Society to ensure both new and experienced members will gain fundamental knowledge for trading. Opportunities for training will persist throughout the year with resources, sessions and portfolio manager guidance provided to all fund members.
The UCLIF team is proud to announce the new educational plan for the upcoming investment season of 2017/18, containing several opportunities in which our members would be encouraged to participate. All of the following will be advertised on both the UCL Investment Society and UCL Investment Fund Facebook pages closer to the date of launch.
Our fund Facebook page is open to everybody and contains useful information about the sales and trading industry. On top of general tips about the industry, potential opportunities and openings, the fund will be responsible for in-house sector research. Each sector head will provide quarterly research for public use. It will contain all of the relevant data and research giving our members a feel of the industry etiquette and format, necessary to win internship and job offers.
During November, the fund will begin recruiting new analysts for the investing season. The process will be formalised in a style resembling a conventional application for an investment bank. Analysts will be required to fill out a formal application for specific portfolios of interest and submit their CVs and cover letters on the UCLIS website. Successful candidates will be interviewed at two stages with the respective portfolio manager and a member of the management team. Analysts will be shuffled between portfolios throughout the year, based on interest and availability. All candidates will receive feedback on their applications.
The UCLIF, in partnership with the UCL Investment Society, has created several trading workshops to assist young traders in their first steps. Each sector head will host 3 sessions in respect to his/her specific line of business. The workshops are open to anybody interested, yet would require a registration. Participants can expect pointers in fundamental and technical analysis as well as more industry specific coaching.
UCL Trading Competition
In November, the fund will launch a university wide trading competition open to everybody. Interested candidates must form a team of 4-5 people, with 1 Portfolio Manager responsible for the application, correspondence and decision-making. Teams will be given 6 months until April to build their portfolio in any way and using any strategy they see fit. Teams will be required to produce reports of their portfolio activity, adequately explaining the decisions made, in order to be eligible for prizes for the top 3 teams.