Financial markets programming expands educational portfolio for Broad students

      David Cosper (BA Finance Administration’77; MBA Finance ’78), chief financial officer of Sonic Automotive, says he wishes that the Student Investment Fund (SIF) existed when he was in school.

Today, the Broad School’s MBA and undergraduate SIF students manage a $3.7 million portfolio for the MSU Foundation. SIF managers research and recommend purchases of securities for the portfolio and must defend their investment strategies and decisions to the Broad School’s Finance Advisory Board made up of investment professionals, like Cosper.

“It didn’t take long to see that partnering alumni, the faculty and the students in this way is a winning combination. The students get the exposure to the real world of finance, the Broad School is able to raise its profile as a top business school, and prospective employers are able to hire well-prepared, talented workers,” Cosper says. “And for me, it is such a joy to be able to mentor these young people at this pivotal point in their careers.”

Building on that successful experience, the Broad School has added new programs in the Finance Department that partner alumni and industry professionals with students. In the last year, the Financial Markets Institute (FMI) was established to prepare undergraduate students to successfully compete for careers in financial markets.

To participate, students apply for acceptance as FMI Scholars, beginning in their sophomore year. To be considered, students must have a minimum overall GPA of 3.5 and must have strong skills in math, statistics, economics and accounting. Elizabeth Booth, professor of practice in the Broad School’s Finance Department and the Institute’s faculty advisor, works with the FMI Scholars to develop an individualized curriculum. The Institute also supports the students with internships and full-time job assistance with employers in leading U.S. financial centers.

“With budgets for recruitment at schools being limited, the top financial firms usually go to the Ivy League schools to find their talent,” says William T. Warren (BA Finance ’97), a vice president at Lehman Brothers, in New York. “When I came out of school 10 years ago, there was no formal support system for finance students who wanted to work at the top East Coast firms.” Lehman has hired several of the FMI students and plans to continue recruiting at the Broad School in the future. Banc of America Securities, Bear Stearns, Citigroup, General Electric, Giuliani Capital Advisors, LaSalle Bank, Stout Risius Ross, Inc., and Wachovia Securities have also hired FMI graduates.

Craige Stout (BA Professional Accounting’86), chief executive officer and managing director at Stout Risius Ross, Inc., says, “The employers who come to FMI to recruit are high-end customers, looking to buy the best product on the market.”

“There never was a question that the Broad School could deliver top-notch graduates,” says Geoffrey Booth, Frederick S. Addy Distinguished Chair in Finance and chair of the Finance Department. “Now, initiatives like SIF and the Institute have changed the perspective of recruiting employers from the money center firms.”

Industry attention and the partnerships that FMI has forged with alumni and other advisors have meant more opportunities for interaction and exposure to prospective employers. According to Helen Dashney, the Institute’s director, those opportunities include student trips, called Road Shows, to visit major financial centers. During the New York Road Show this past fall, FMI students met with 30 MSU and Broad School alumni at a reception hosted by Banc of America Securities. In January 2007, the Road Show headed to Chicago where a similar student-alumni event was held.

Funding Success

      “The development of financial resources to support our goals in financial markets research, curriculum and advising is a high priority for the Broad School,” says Cathy Hicks, acting director of Development for the college.

The Broad School needs $5.5 million to support its expanded Financial Markets Programs, which includes funding for an Endowed Chair in Investments in the Finance Department and financial support for the Institute, the Student Investment Fund and the Finance Advisory Board.

If you’d like to find out how to support the Financial Markets Programs, call the Development Office at 517-353-4340.

Finance Department Advisory Board William C. Alsover Chairman Centennial Securities Co., Inc. George Benson Executive Director MSU Foundation Ralph Carmichael Managing Director Carmichael & Co., LLC Mustafa Chowdhury Managing Director US Rates Research, Deutsche Bank AG/New York Kathleen Y. Colin Intercapital, LLC Paul Cook Senior Vice President Intelius David Cosper Executive Vice President, CFO & Treasurer Sonic Automotive, Inc. Jeffrey S. DeGraaf Chief Technical Strategist Lehman Brothers Timothy P. Dykstra Vice President and Treasurer DaimlerChrysler Corporation Kurt Hallead Managing Director RBC Capital Markets James M. Hering Principal and Chief Administrative Officer Gresham Partners, LLC Jay W. Keranen Senior Vice President Investments Morgan Stanley

John Koczara Portfolio Manager & Principal AMBS Investment Counsel Peter Kurrie Managing Director, Client Service Allegiant Asset Management Group Patrick Lynch Treasurer Chicago Mercantile Exchange Michael W. Mahler President/Chief Operating Officer First Federal of Northern Michigan Alec McAree Managing Director Highbridge Capital Management Ted Neely Managing Director Goldman Sachs & Co. Todd A. Penegor Vice President & CFO Kellogg Snacks Paula Rogers Executive Vice President Institutional Capital Fernando Ruiz Vice President and Treasurer The Dow Chemical Company Patrick Sahm Manager of Investments Office of Finance & Management, Denison University Thomas G. Smith Assistant Administrator, Stock Analysis Division, Department of Treasury State of Michigan Dale W. Tremblay President/Chief Executive Officer C.H. Guenther & Son, Inc.

Financial Markets Institute Advisory Board Peter R. Bitter Vice President Plante & Moran Corporate Finance Bryan J. Brown Vice President Giuliani Capital Advisors Stephen A. Cruise Managing Director UBS Investment Bank Ian C. Davis Director Credit Suisse Robert F. DesMarais Vice President Swander Pace Capital Scott E. Eston Chief Operating Officer and Partner Grantham, Mayo, Van Otterloo & Co., LLC Bryan N. Fingeroot Senior Managing Director Bear, Stearns & Co., Inc. Jeffrey G. Kania Director Citigroup Geoffrey E. Kirles Associate J.P. Morgan Securities Inc. Charles J. Kraft William Blair & Company LLC Daniel B. Markaity Managing Director Merrill Lynch Alec C. McAree Managing Director Highbridge Capital Management

Ted K. Neely Managing Director Goldman Sachs & Co. Joseph (Jay) F. Page Vice President Goldman Sachs & Co. Paula Rogers Executive Vice President Institutional Capital Ian G. Ross Senior Associate The Edgewater Funds Charles M. Sheridan Vice President Harris Nesbitt Stan C. Sokolowski III Caxton Associates, LLC Craige M. Stout Chief Executive Officer and Managing Director Stout Risius Ross, Inc. Jeffrey J. Thelen Associate Vestar Capital Partners Brian J. Van Elslander Managing Director Wachovia Securities William T. Warren Vice President Lehman Brothers David R. Witzke Principal and Equity Analyst Banc of America Securities, LLC Daniel T. Zelazny Regional Vice President Neuberger Berman Rob A. Zielinski Riordan, Lewis & Haden