The Challenges of Managing a Student-Managed Fund

Abstract

This article summarizes the authors’ experiences as faculty advisors to the 360 Huntington Fund at Northeastern University. They strongly encourage other universities to provide their students with similar experiential investment opportunities. The article details the role of students relative to the faculty in the fund, the selection of investment choices, and various difficulties encountered, notably the need to replace high-quality student managers as they graduate. The objectives in creating the fund, beyond experiential learning, was to give students an advantage in their job searches. This has been an unqualified success, with our students getting more and better jobs as a result.

TOPICS: Portfolio construction, security analysis and valuation