Buy Side Simulation

In the simulation, participants will:

• Conduct deep dives on potential investments across different asset classes.

• Create and interpret valuation models to determine intrinsic value.

• Allocate capital based on a strategic mandate and tactical views.

• Monitor and adjust portfolio beta, sector concentration, and credit quality.

• Pivot strategy in response to simulated economic crises or black swan events.

• Defend stock picks or allocation changes to a simulated investment committee.

• Analyze benchmark-relative performance and attribution reports to refine strategy.

• Understand the structure, roles, and objectives of buy-side institutions.

• Apply core valuation methodologies to assess investment opportunities.

• Construct a diversified portfolio aligned with a specific investment mandate and risk tolerance.

• Implement practical risk management frameworks and tools.

• Evaluate the role and analysis of fixed income and alternative investments in a total portfolio.

• Articulate investment theses and performance results clearly and persuasively.

• Develop disciplined investment decision-making processes under conditions of uncertainty and market stress.

1. Receive the Mandate Teams are assigned a specific client profile (growth pension fund, conservative endowment) with clear return objectives and risk constraints.

** 2. Research and Due Diligence** Participants analyze a universe of securities, using provided financial data, research reports, and macro-economic indicators.

3. Make Allocation Decisions Teams decide on their strategic asset allocation and select specific securities, submitting their target portfolio.

4. Navigate Live Market Rounds Over several simulated time periods, new market data and events are released, forcing teams to re-evaluate their holdings.

5. Present to the Committee Teams may be required to justify their portfolio decisions or pitch a new idea to a simulated investment committee.

6. Review Outcomes and Reflect Each round concludes with detailed performance feedback, including risk metrics, benchmark comparison, and peer ranking. Teams use this to adapt their strategy for the next round.

• Who is this buy side simulation designed for? It is ideal for finance students (BSc, MSc, MBA), aspiring analysts, and professionals in related fields (like investment banking) who want to understand the capital allocation and portfolio management perspective of asset managers, pension funds, and hedge funds.

• Do participants need prior finance experience? A basic understanding of corporate finance concepts (like DCF) is helpful but not mandatory. The simulation includes instructional content, guides, and tooltips suitable for all levels, allowing beginners to engage and learn core concepts through application.

• How long does the simulation run? The core simulation experience is designed for 4-6 hours of engaged activity. It can be condensed into an intensive half-day workshop or extended across multiple classroom sessions with deeper analysis and presentation components.

• Is this simulation individual or team-based? It supports both formats. The team-based format is highly recommended as it replicates the collaborative research, debate, and decision-making process of a real investment team.

• What asset classes are covered? The simulation primarily focuses on public equities and fixed income, with modules available to incorporate private equity deal analysis and hedge fund strategy allocation, providing a comprehensive buy-side view.

• Can the simulation be customized for our program? Yes. Instructors can tailor the focus on specific sectors, adjust the complexity of financial data, emphasize certain concepts (like ESG deep dives), and modify the client mandates to align with course learning objectives.

• How is participant performance measured and assessed? Performance is multi-dimensional. The simulator provides quantitative metrics like portfolio return, Sharpe ratio, alpha generation, and maximum drawdown. Qualitative assessment can be based on the investment thesis, risk management rationale, and quality of committee presentations.

• What roles does this simulation prepare participants for? It provides foundational experience for roles such as Investment Analyst, Portfolio Manager, Equity Researcher, Risk Manager, and Asset Allocator at mutual funds, pension funds, insurance companies, endowment funds, and family offices.

• Risk-adjusted returns (Sharpe ratio), benchmark outperformance (alpha), and downside risk control.

• Depth of analysis, valuation methodology, and adherence to the stated mandate.

• Responsiveness to new information and quality of portfolio rebalancing decisions.

• Clarity and persuasiveness of investment pitches and collaboration within the team.