The Wildcat Investment Value Fund (WIVF) was established in 2016 with a generous allocation of funds carved out of the Johnson and Wales University endowment. WIVF is a portfolio of under-valued mid and large cap US equities, allocated across six sectors—financials, consumer discretionary, health care, technology, industrials, and other. The main objective of the fund is to provide a learning experience to students through the real-time management of assets. While the WIVF is the first fund at JWU that utilizes real money, finance students for the past 15 years (since 2000) have used the globally recognized leader in simulation trading, StockTrak, to actively manage simulated portfolios in multiple required finance courses (i.e. FISV 3001 Investments, FISV 3005 International Finance, FISV 4040 Futures Options, FISV 4050 Portfolio Management, FISV 4060 Fixed Income
The financial objective of the WIVF is to achieve long-term capital appreciation, and seeks to outperform the iShares Russell 1000 benchmark. Required stock selection criteria utilized for fundamental analysis includes economic analysis, sector analysis, and key metrics. To quantitatively support investment decisions, WIVF managers employ industry recognized practices in Financial Modeling of unlevered discounted cash flows, capital asset pricing models, in conjunction with other financial models, aiding students in making the most informed decisions.
Management of the WIVF is handled by nine student interns enrolled in the 4.5 credit FISV 4099 WIVF internship, over 3 consecutive terms (Fall-Winter-Spring), and 3 summer interns enrolled in the 13.5 credit FISV 4099. To apply for this internship, a list of possible candidates will be prepared by Finance leadership from a pool of qualified students, sent to the Finance faculty adviser for preliminary approval, before being sent to the Chair of the Department of Accountancy and Finance, and the Dean of the School of Business.
The internships are comprised of five sector analysts, three senior members of the WIVF operating committee, and one Portfolio Manager who is responsible for collecting all investment decisions, along with the corresponding justification backing each decision. The advisory committee, comprised of three university members and three industry members, is responsible for monitoring the academic merits supporting the WIVF. The appointed faculty advisor will serve as the WIVF internship advisor, and the Accounting Association faculty advisor will serve as the WIVF advisor to the Chief Compliance Officer. The WIVF reporting requirements are on a monthly, quarterly, semi-annual, and annual basis.
Much like the Kantor Challenge, the WIVF empowers students to bolster their education through this experiential opportunity. By allowing the top finance and accounting students the opportunity to manage a live portfolio, the students are rewarded with invaluable experience, trumping that of other institutions, while setting up each student for success post-graduation.