What would you do with a million dollars?

By Jasmine Makar

The Ted Rogers Investment Council (TRIC) prepares students for their future ventures in the world of finance with a growing mock investment portfolio of over $1 million.

The student led initiative under the Ted Rogers Students’ Society has curated an investment portfolio, yielding 19.9 per cent returns last year and 11.7 per cent in current year-to-date returns.

With a team of 40 members and an even bigger alumni network, TRIC’s main goal is to give students the skills they need to enter and succeed in capital markets. According to Eshan Patel, president of TRIC and a fifth-year accounting and finance student at Toronto Metropolitan University (TMU), the group provides experience beyond what is taught in the classroom.

“Your classes don’t directly get into capital markets, [regarding] job-related skills right away,” said Eshan. “TRIC gives a learning experience that you can’t really find elsewhere at TMU for getting into the industry.”

The student group runs on 12-week programs, where the group is split into six different sectors. Each sector­—led by a student portfolio manager—is responsible for creating a stock pitch. Students in these groups are also provided with a variety of workshops and activities, according to Eshan.

“Your classes don’t directly get into capital markets, [regarding] on the job-related skills”

Since its creation in 2011, TRIC has seen its alumni network grow, with some graduates working at the Big Five investment banks in Canada.

“There is a compounding effect in the sense that, as our alumni graduated and landed bigger roles, we now had this network of people that are in these roles…and that’s extremely valuable,” said Eshan.

As one of the “non-target schools” for business and finance as mentioned by Eshan, TMU students have often leaned on student groups for a leg up in the industry. With an extensive and continuously growing network of alumni, students get a taste of what is possible post-graduation.

Chief investment officer at TRIC and fifth-year financial mathematics student Sophia Rybnik explained the strategies that have allowed the team to see higher-than-average market returns.

“In terms of investment strategies, we’re covering North American equities. The long journey we’re looking to see is what the market is missing,” she said. “During the semester, our analysts spend a lot of time doing research, understanding the industry they’re working with and specifically, just the company itself.”

However, maintaining a strong portfolio isn’t easy. Many factors go into assessing risk and potential profit, resulting in long research phases. Alan Kaplan, an associate finance professor at TMU, explained the importance of doing thorough research and building a portfolio that is designed to mitigate risk.

“During the semester, our analysts spend a lot of time doing research”

“Make sure you understand your risk tolerance and invest accordingly in terms of safety while diversifying,” he said.

Kaplan also explained that when dealing with such a large sum of mock investments, it’s important for students to diversify their portfolio.

“Diversify your investments so that when one goes up, maybe the others will go down… and in that way, you’re going to reduce your risk,” he said.

TRIC’s chief strategy officer, Nachiket Patel also added that the student group does their thorough due diligence in order to find out whether a company is a good buy based on a specific set of investment criteria, which is one of the biggest reasons for their great financial returns.

Along with industry experience, TRIC is also known for hosting a number of events such as their Women in Capital Markets and their Women in Tech and Finance events. These diverse conferences are meant to encourage women to apply to more student groups like TRIC and to network with people across the industry.

“There are a lot less female employees,” said Eshan. “I don’t think it’s that the interest isn’t there in the capital markets industry from women, I think it’s just that there’s a lot of stigma around it.”

“This group has really shaped who I am within the capital markets industry”

Nachiket added that these events include a chance for students to hear panelists “give their insights, their struggles, on how they overcome this EDI stereotype.”

Kaplan also described TRIC as a “tremendous student group” that shows students hands-on practical experience with investing and improves their abilities. He says it also gives students a feel for how the investment funds industry operates.

Both Eshan and Nachiket started getting involved in TRIC during their first years of university. Nachiket spoke about his experience with TRIC throughout the entirety of his undergraduate career at the Ted Rogers School of Management.

“This group has really shaped who I am within the capital markets industry. It’s guided me a lot,” he said. “So TRIC was an eye-opener, and it was also a tool for me to learn things on my own as well. It’s been there. It’s also been the best source for networking.”

Students have grown their own skills along with new professional experiences and networking with the help of TRIC.