UIC Finance and Investment Group

November 2009 FIG Newsletter

Dear Young Financier,

Hello All,
Check out our event tonight at 5:00PM in Lecture Center D4
Upcoming events:

  • Investment Education Sessions, Every Tuesday, 5:00-6:00PM in Lecture Center A3
  • Career information sessions, Every Thursday, 5:00-6:00PM in Lecture Center D4
  • Thursday, November 19, 2009: Teach for America, 5:00pm, Room: TBA

Welcome our two new writers to FIG!
Sagar Shah
Colette LaKoma
are the two new writers for Young Financier and Rachel no longer writes for Young Financier

In This Issue
Liaisons
"Volunteer work"
Are We Out of the Recession?
FIG liaisons
"LIAISONS READY FOR ACTION!"

The Liaisons are headed for success and are becoming one of the most important assets of the Finance and Investment Group. Their plans start in taking small steps within FIG, but before you know it they will be taking over the world! The six FIG Liaisons are Ryan Williams, Andrey Drozd, Jing Lin, Yang Song, Hashim Ali, and Sam Weis. Their duties as a FIG Liaison include: expert communication, assistance to executive board members, attendance to meetings, and having the strength and motivation to continually post numerous flyers around campus that keep UIC CBA students updated with current FIG events.

The Liaisons are planning on major steps for the future of FIG. Hashim and Sam are serious when they say, "I see myself in one of the lead positions in the Portfolio Management Team by senior year." The Liaisons are planning ahead and even Yang can see FIG "at least everywhere in UIC! The goal is to be so famous that every company in Chicagoland area knows FIG!" Jing also sees FIG as "the BIGGEST club on campus! I think everyone, regardless of major, should know a little basic finance to be savvy in today's world. It is so easy to get mislead by creditors or get into debt because of bad money management skills. Good finance is a fundamental skill everybody should learn. Knowledge is power!"

It seems as though these Liaisons are not messing around!

When describing the duties of a Liaison for FIG, Ryan said, "I have found it takes hard work, determination, and perseverance to get through a day as a Liaison (What? Paper cuts really hurt!). But seriously, it has been a good time getting to know the officers and learning things about portfolio management that you just don't get to experience until the latter part of an education in finance. It's a great way to get more experience in finance." Sam agrees with Ryan on the paper cut comment stating that "papers cuts hurt". Andrey feels that "with all of the walking around in the cold weather, posting flyers in the morning is a cheap alternative to coffee, which really helps my wallet." So what is their favorite part about FIG? Jing said how "the people in FIG are amazingly focused and talented and it inspires me to be my best as well. Another favorite of mine is the free pizza of course!" These FIG Liaisons have great advice. If you have not been interested in FIG yet, I hope their words of wisdom have inspired you to.

As you can see it is not easy to be a FIG Liaison. It takes hard work and dedication, but our FIG Liaisons are absolutely amazing and have done their job extremely well. Keep up the great work Liaisons!

VOLUNTEER
By: Sagar Shah

Are you looking to impress potential employers with your resume? Why not bolster up your resume with volunteer work? Not only do you gain leadership experience and get to work with your peers, but you gain the satisfaction of knowing you're making a difference. You're probably sitting there thinking to yourself "Yeah, that's great I'm totally doing volunteer work, wait I don't know any volunteer groups." Well let me help you get started in that case! Check out these groups:

Junior Achievement:
Junior Achievement has been one of the more popular volunteer groups among business students here at UIC. By teaching students about the basics of business, you help young minds better understand the way a company works. As if that isn't enough, you can also get extra credit in your Accounting and Business Administration classes! To get more information visit the College of Business Accounting Office on the 11th floor of University Hall

Alternative Spring Break:
ASB is a UIC student run organization that sends students around the country during either spring or winter break to help aide those in need. Past trips have tackled poverty, environmental conservation, civil rights, and storm relief, just to name a few. For more information, please visit http://asbuic.googlepages.com or email their listserv at asbuic@gmail.com.

Invisible Children:
nvisible Children is a national volunteer organization group that addresses the Ugandan rebels who have captured and turned children into soldiers, forcing them to kill their own civilians in efforts to take down their government. Their inhumane efforts have caught the eyes of Oprah, Fall Out Boy, and Miley Cyrus along with UIC students looking to make a difference. For more information about Invisible Children on campus, visit their website at https://uic.collegiatelink.net/Community?action=getOrgHome&orgID=17783 or visit them at www.invisiblechildren.com

Are We Out of the Recession?
By: Daniel Yukilevich

The biggest update surely to take over the financial news networks is the latest report on the nation's GDP numbers. On Thursday, October 29th, the stock market gained nearly two hundred points after the nation's Gross Domestic Product grew at a 3.5 percent rate in the third quarter. This was the largest increase since early 2007, and it is the first positive growth after four quarters of decline. Since GDP is perhaps the most important measure of our economy, many have said that we are now officially exiting the recession. Would it be safe to say goodbye to the worst slump since the Great Depression?

Many economists are split on their interpretation of the numbers because of the complicated nature of what the GDP measures. GDP is broadly defined as the value of all final goods and services made within a country for a given year. GDP numbers usually come out in quarters. This quarter looked at the months of July-to-September. The majority of the 3.5 percent growth for the quarter came from consumer spending (2.35 percent). The government has credited increased consumer spending on the stimulus package including the Cash for Clunkers program, which allowed consumers to trade in their used "clunkers" for more fuel-efficient automobiles. Another crucial factor for the GDP growth was the increase in private investment. 1.22 percent of the 3.5 GDP rate came from increased investment. This was seen in the surge of residential construction and the increase in corporate spending on equipment such as computer technology.

Given these figures, it seems like America could finally be optimistic about the economy. However, many financial experts and economists have doubts on whether these figures will hold into the next quarter. Consumer spending may decline due to the end of the Cash for Clunkers program and a decrease in government stimulus. Furthermore, consumers may find it hard to keep purchasing given the high risk of unemployment with rates as high as 9.5 percent. In private investment, commercial real estate is expected to continue declining due to loan defaults and risky financing.

We may all hope that these interpretations don't hold, but it is important for the public to not quickly assume a conclusion by just looking at the rate of growth. Americans, and especially finance students, should do their own research on the changes within our economy in order to make better informed decisions. The better we understand the challenges and issues of our economy, the faster we can get out of this mess.

Office Hours
The Finance & Investments Group's office is on the 11th floor of University Hall in 1147.

Our office hours are as follows:
Monday 9:00am-10:00am & 12:00pm-1:00pm
Tuesday 12:30pm-4:30pm
Wednesday 1:00pm-2:00pm
Thursday 3:30pm-4:30pm
Friday 12:00pm-1:00pm