Tag Archives: CFA Society Minnesota

Changing Perceptions Interview with Joan Kampmeyer, CFA – Private Investor

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Tell me a little about yourself 

I have a Bachelor’s degree in French from the University of Minnesota.  I went on to get my MBA from the Carlson School of Management at the University of Minnesota and earned my CFA Charter in 1986.

What sparked your interest in the investment industry and CFA Program?

I have always had an interest in business since graduate school. I started out in corporate treasury at a company called Jostens, which was a public company at that time. During my five years with the company, I became Assistant Treasurer with responsibilities that included oversight of external managers running the company’s pension fund. So, through that exposure, I met managers who had the CFA designation, and it intrigued me, though I didn’t really need it in my work at that time.  I thought the CFA was worth investigating, one thing led to another and three years later got my CFA Charter.  At that time, I worked for an investment banking unit that was part of what is now Wells Fargo. It really paid off when I moved to Ameriprise as a fixed income analyst where professionals were strongly encouraged to obtain a CFA.

Did you have a mentor who was instrumental in your career?

I never really had a mentor.  At that time there weren’t a lot of women in asset management; in fact, I can think of only one who was a senior portfolio manager. I think the critical element is not just having a mentor but also making sure you cultivate your network on a regular basis.  That way, when you are looking to make a change, you can tap your network.

The CFA Charter also helped me find a position in asset management.  I went to a CFA Society Minnesota monthly luncheon and sat next to a woman who worked at Ameriprise.  It was she who told me about a fixed income analyst opening.

What professional challenges have you experienced?

My challenge was how to stay in finance yet move my career in new directions. I went from working for a consumer-based company, Jostens, to working for a large banking institution, to working for an asset management firm, and finally a family office. Therefore, the challenge is how to navigate all the different choices out there without thinking of it as too much of a stretch.

What is the biggest risk you’ve taken in your career?

The biggest risk was to leave the corporate world and leap into investment banking.  The nature of work was completely different from what I had been doing at Jostens. In addition, it was a newly formed group with no track record and I was the only female professional.  Lastly, I took a small cut in salary but added bonus potential.

Do you have any advice for young professionals interested in a career similar to yours?

Follow your instincts and don’t be afraid to try new positions and industries. Every job is different, and there are a lot of opportunities in the world of finance and investments. You may have to take more of a zigzag path, but that can actually make it a lot more fun.

 

Student Interviewer

Francine Umumarungu is from Kigali, Rwanda, and a senior at Gustavus Adolphus College majoring in Financial Economics. Her plans after graduation are to take the CFA Level One Exam in December and apply for a job in the finance or investment field to gain work experience before embarking on the rest of the CFA Program.

Volunteerism is Currency that Appreciates

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Craig Popp, CFA

People choose to volunteer for a variety of reasons. Some want to give back to their community or support a cause they’re passionate about. Others see it as a way to develop a new skill or build real-world experience. Volunteering is an excellent way to boost your career prospects. But for many, it’s because someone asked them.

Don’t believe me? I’ll offer you proof. According to PTO Today, the number one reason people say they don’t volunteer is because no one asked them. It’s worth noting the asking part requires a personal approach. I am the example. My participation on the CFA Society Minnesota (CFAMN) Membership Committee began with an email from your Society Vice President, Chris May, CFA.

Hey Craig,

I hope that you are doing well. I wanted to follow up on something that we talked about a while back – CFAMN participation. Would you still be open to being a little more involved if it could work with your schedule? I lead the Membership Committee which is responsible for a few things, but in reality our main function is to ‘add value to CFAMN members.’ We have plenty of freedom to execute that……..

We lost a committee member due to relocation, but were lucky enough to gain a new member quickly. However, I would like to have one or two more individuals and I thought of you……

In the past, I made false promises to myself about getting involved. First it was “After I pass Level III.” Then “I have to finish grad school.” I easily could have said no to Chris with a valid excuse—given that I live 100 miles west of Minneapolis. You can surmise that I said yes.

The experience has been fulfilling. Witnessing engagement ideas develop is one of the highlights for me. Do you like seeing the Membership Milestones on the monthly email from CFAMN? That was a Membership Committee idea. Personally, I suggested an individual who participated in the Industry Roundtable event held last fall. I was proud to make a contribution to that great event.

Being an outstate volunteer isn’t as difficult as I thought it would be. The committee meets four to six times per year. I have attended half the meetings in-person and the other half via teleconference. When I attend in-person, I typically spend the day in the metro area conducting client meetings or catching up with colleagues. The committee also tries to schedule our meetings to coincide with other society events such as the Society Social or luncheons.

I’ve learned that involvement is a great way to meet people, and I’ve been able to develop relationships with other committee members. Attending society events is also more enjoyable—predominately because I know more people. Have you ever attended a Society Social and felt awkward that you didn’t know anyone? These events are littered with Society volunteers.

Volunteering is good for you—for your health, your career, your self-esteem and enhances your Curriculum Vitae. I’ll simply conclude by following the lead of Chris May and ask you to get involved with CFAMN. Many of your society committees are looking for help. If that’s not for you, CFAMN is always looking for volunteers to help with things such as the mentoring program, CFA Institute Research Challenge, or simply to have coffee with someone who wants to learn more about the CFA Program.

 

Bio/Disclosures

Craig Popp, CFA is a Financial Advisor with Raymond James Financial Services, Inc. Member FINRA/SIPC located at 115 Litchfield Ave SE, Willmar, MN. Craig Popp can be contacted at 320-235-1416 or craig.popp@raymondjames.com. Any opinions are those of Craig Popp and not necessarily those of RJFS or Raymond James. Expressions of opinion areas of this date and are subject to change without notice. Investment Advisory services offered through Raymond James Financial Services Advisors, Inc. Raymond James is not affiliated with CFA Society Minnesota.

CFA Institute Research Challenge: Upper Midwest Finals

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Craig Popp, CFA

On February 15, 2018, CFA Society Minnesota hosted a local finals for the CFA Institute Research Challenge at the Thrivent Auditorium in downtown Minneapolis.

If you’re not familiar with the Research Challenge, below is a bit of information courtesy of CFA Institute. Complete details can be found on the CFA Institute site.

The CFA Institute Research Challenge is a global competition that tests the equity research and valuation, investment report writing, and presentation skills of university students. The first Research Challenge competition was hosted by the New York Society of Security Analysts in 2002 and involved just five teams from the New York area. Since then, the competition has grown to involve thousands of students from over 1,000 universities in more than 75 countries.

Prior to the local finals round, 13 university teams submitted written reports as part of our society’s local competition. Those reports were graded by CFA Society Minnesota volunteers based upon the following criteria:

  • Business Description
  • Industry Overview & Competitive Positioning
  • Investment Summary
  • Valuation
  • Financial Analysis
  • Investment Risks
  • Corporate Governance

Out of the papers submitted, five were selected to advance to the local finals. This year’s finalists were Bethel University, University of Minnesota (undergrad), Gustavus Adolphus (team #2), North Dakota State University, and University of Minnesota Duluth. Each team had ten minutes to present their analysis which was followed by ten minutes of question and answer from the judges. Volunteer judges scored the presentation according to the following criteria:

  • Financial Analysis: How thorough was their analysis of the industry, company, and competitors?
  • Valuation: Were the valuation methodologies appropriate and detailed?
  • Presentation: How effective/convincing was their presentation? Was it logical and did the facts support the recommendation?
  • Question & Answer: Were they able to answer the questions effectively and with confidence?
  • Team Involvement: Team involvement in the presentation/questions and answers.
  • Materials: Quality of slides.

Congratulations to University of Minnesota Duluth on their win. They will move onto the Americas Regional competition being held in Boston March 19-20.

This was my first time attending a Research Challenge event. I did so mostly out of curiosity, but was also on a scouting mission as I’ve contemplated volunteering to support this event. Below are a few of my observations.

A Strong Competition

While UMD won, two teams tied for second place. Without the benefit the seeing the final scores, I’m guessing the top three were close. “Keeping score” on my own, I thought two teams were relatively equal. Forced to choose, I would have given the nod to the eventual winner.

Presentation Skills Matter

An area where the UMD students separated themselves was their presentation delivery.

Their stage presence was noticeable—speaking with powerful voices and working the stage. This team conveyed the highest confidence of their analysis. That was particularly apparent during the Q&A when one judge asked about the team’s opinion of company management (a question given to all teams). All teams gave a formidable answer. However, most began with the phrase “We think” or “We believe.” UMD provided the following answer: “They are the perfect management team to run this company, because….”

One might consider this a bit of gamesmanship, or maybe my observation is splitting hairs. With that said, when the difference between competitors is small, it’s the little things that make the difference.

This is your Competition

I’m stealing this line from Patrick O’Shaughnessy’s Invest Like the Best podcast. Each judge noted how much farther ahead these students are compared to when they themselves were undergraduate students. I would echo that comment. Experienced professionals might not be running scared. However, if you are a graduating college student and these individuals are your competition, you should be worried.

Duluth Dynasty

UMD has won the Upper Midwest Finals three of the past four years (2018, 2017, & 2015). If this were football, the term dynasty might get used. Their success seems to have created a sense of pride among alumni as they had a large following from the audience.

If you would like another perspective about the Research Challenge, I would suggest reading Tom Brakke’s Freezing Assets post. He was a judge for the 2017 Americas finals and offers a great synopsis of the experience—and some advice for future competitors. If you would like to get involved with the Research Challenge, there are multiple volunteer opportunities as your society needs help in the form of industry mentors, report graders, and presentation judges.

 

Bio/Disclosures

Craig Popp, CFA is a Financial Advisor with Raymond James Financial Services, Inc. Member FINRA/SIPC located at 115 Litchfield Ave SE, Willmar, MN. Craig Popp can be contacted at 320-235-1416 or craig.popp@raymondjames.com. Any opinions are those of Craig Popp and not necessarily those of RJFS or Raymond James. Expressions of opinion areas of this date and are subject to change without notice. Investment Advisory services offered through Raymond James Financial Services Advisors, Inc. Raymond James is not affiliated with CFA Society Minnesota.

What Keeps CFA Charterholders Up At Night?

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Elizabeth Engel, M.A., CAE

What keeps you up at night? And what can CFA Society Minnesota do to help?

About nine months ago, CFAMN engaged Spark Consulting to try to find out.

The timing of the project was inspired by some technology changes the CFA Institute is making that will help the Societies and the Institute work together and share data better to help members like you achieve your most important goals and solve your most pressing problems.

Society leadership proposed questions we wanted to try to answer such as:

  • What do members need from CFAMN to continue to grow as financial professionals throughout their entire careers?
  • What do members truly value in their relationship with CFAMN? What, if anything, is missing?
  • Are members contributing to CFAMN in ways the Society isn’t aware of or recognizing?
  • What can CFAMN do to intentionally build and strengthen the organization’s relationships with members, and members’ relationships with each other?
  • How can CFAMN work more collaboratively with both the CFA Institute and the other Societies to better serve all charterholders?

Over the course of the summer of 2017, Spark’s CEO Elizabeth Engel interviewed four members of the board of directors, 15 charterholders, and the Institute’s Society Relations staff; and spent two days in Minneapolis meeting with CFAMN’s staff, board of directors, and membership committee in person (she also had the opportunity to attend our summer social and learn about lawn bowling). Engel also reviewed CFAMN data, including the results of several years’ worth of member satisfaction surveys and event evaluations, the Society Data Book provided by the Institute, our current strategic goals, and member program use and other demographics over time.

By the time Labor Day rolled around, she had learned a number of things about our members and your needs:

  • Going into this project, CFAMN had a theory that geographical location (Twin Cities versus the rest of our three-state region) was a strong determinant of members’ sense of connection to the Society. That theory appears to be correct: “Right now, I’m this anonymous person in the woods of northern MN; it’s hard to figure out how to be engaged.”
  • With regards to your needs, we were able to identify two programming gaps: members would like more programming for experienced professionals and more programming that’s accessible to non-Twin Cities members.
  • Members are also concerned about brand awareness: “Friends with both the CFA and a JD say it’s as hard as the bar exam, but the general public doesn’t understand that. While big financial services firms and banks understand the value of the CFA, smaller banks and firms don’t.”
  • Charterholders use financial skills in all aspects of their lives. Many of you, particularly those who pay for membership out of pocket (or out of your own small business revenues), make the actual financial calculation about membership: “Do I plan to attend enough events this coming year so that the total amount I’d save through the member discount equals or exceeds the cost of dues?”
  • Given that, we’re especially pleased to report that the overwhelming majority of you answer that question with a resounding “Yes!” The Society annually retains more than 94% of members, which is above the overall average for all Societies and for the Institute itself, where membership is required in order to continue to use the CFA designation. The Institute considers 95% retention to be “perfect,” so CFAMN is just about perfect on this measure.

What does all that mean?

We’re glad you asked!

We’ll be running a short series of blog posts over the next two months or so, sharing some more findings from the project, allowing board of directors and committee members’ to tell you their thoughts and reactions, and discussing the roadmap of where CFAMN and the Institute plan to go next in helping you continue to advance, personally and professionally.

Event Recap: Technical Analysis Workshop

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By Joseph G. Ogega, a student in Financial Mathematics at the University of Minnesota and CFA level I candidate.

On Tuesday December 5th, the CFA society hosted a technical analysis workshop with Ralph Acampora, a renowned enthusiast of market analytics. Ralph comes with a broad range of experience from Wall Street, not to mention, he’s previously served as the Director of Technical Analysis Studies at New York Institute of Finance, a currently holds the Director of Technical Research at Altaira Capital Partners.

Ralph started by giving a brief intro on how he, in the company of his friend, initiated the idea behind CMT (Chartered Market Technician), in the early days of his career. Up until then, there was no well-known technical analysis library, which he later helped set-up. He defined technical analysis as the study of data generated from demand and supply of price activity. Ralph further believes that a holistic diagnosis of market dynamics should encompass fusion of technical and fundamental analysis. He also put emphasis on trading with movements in price and volume simultaneously. Typically, stocks go through cycles of four phases of price activity: accumulation, momentum, diffusion and consolidation. This perhaps was the highlight of the workshop.

While there could be many ingenious ways of drawing trend lines, Ralph prefers the simplistic approach of connecting ascending lows and declining highs. The decision on how often one would like to trade, whether daily, weekly or monthly, will highly influence the type of time-bounded charts they will find useful. “Always keep your eyes to right of the price chart and draw them slowly to the left, looking out for ‘support’ and ‘resistance’ price-levels,” says Acampora.

In summary, Ralph shared this approach regarding investing in equities:

  1. Choose index
  2. Look at the internal breadth of the market. taking into account the proportion of stock that goes up vs. down
  3. Sentiments: includes market info, company perception and inside activity
  4. Sector analysis
  5. Intermarket analysis

As a parting thought, Ralph spoke about the four-year presidential cycle exhibited in the stock market. Historically, presidential elections year tend not to have any significant effect on the price of stocks. However, in the succeeding year, stock prices have consistently gone down, before the market recovers up until the next election period, which marks the beginning of the next cycle.