UTM Capital: the club that sets you up for financial success
Co-presidents Nilesh Goburdhun and Carrie Dang provide the inside scoop on why financial knowledge is important and how their club helps students delve into the finance industry.

Established in 2018, UTM Capital is the first student-run investment fund at the University of Toronto Mississauga (UTM). It is open to all UTM students and free to join.

In an interview with The Medium, Nilesh Goburdhun and Carrie Dang, co-presidents of UTM Capital, discuss the importance of financial knowledge and why the club is dedicated to exposing students to the finance industry, regardless of their background. 

One-of-a-kind opportunities

UTM Capital hosts bi-weekly meetings where general members, also referred to as analysts, meet with their assigned investment leaders. Investment leaders guide analysts through what to research when investing in stocks of their coverage groups. 

At the beginning of each academic year, analysts get placed into their coverage groups of choice. The six coverage groups include Technology, Media, and Telecommunication; Financial, Insurance, and Real Estate; Consumer and Retail; Power, Utilities and Infrastructure; Metals and Mining; and Healthcare.  

“The reason why they meet up bi-weekly,” Goburdhun explained, “is because [the analysts] are going to come together and check on each other’s progress and try to complete an investment pitch together in eight months.”

These efforts are meant to help a member expand their financial knowledge and provide them with experience in the field. Additionally, analysts get the chance to follow through with their own pitch.

“Essentially, we pick the top three presentations and invest money in the three winning presentations,” Goburdhun explained.

The benefits of joining UTM Capital do not end here. The club also hosts networking events such as the Alumni Panel and Speaker Series. 

“A Speaker Series is where we bring in a highly successful person from a designated field,” Goburdhun shared. “For example, we could invite a managing director at a bank. They could then give a keynote speech about how a bank is structured and how to break into this particular field.” After the presentation, students get the opportunity to network with the keynote speakers themselves.

On the other hand, the Alumni Panel offers students a chance to build connections with alumni to increase opportunities for career advancement in the future.

UTM Capital values

The club abides by three main values: inclusivity, collaboration, and education. 

In terms of inclusivity, Dang emphasized the club’s goal to educate everyone including finance and non-finance students. “We believe that students from any background can learn about finance,” Dang said, “there are no restrictions.” 

“We want to equip students with relevant skills that they can use to develop a career in finance. Or just to learn about personal finance skills that they can use in daily lives,” Dang added.

Importance of financial education

“According to the Government of Canada, only 13 per cent of people in Canada are considered financially literate,” Goburdhun stated. “And obviously, this is quite a low number.” The club wants to improve its member’s financial literacy by teaching them the basics.

“We can’t change how things are done in schools. But what we can do is to help students develop an interest in building their financial literacy through our club,” Goburdhun explained.

He also emphasized the importance of investing, “Many people focus a lot on minimizing spending and saving money. But truly, what you should be doing, at least in my opinion, is that you should be investing some of that money.” 

Goburdhun explained that inflation is usually much higher than the savings rate one would receive from a bank. If you’re not investing your money, then you are losing money. Therefore, investment is a crucial skill not just for future Wall Street investors but for people like you and me. 

Biggest misconception about the finance industry 

“Many people have this stereotype or bias that finance is all about numbers,” Dang expressed. She explained that while this is partially true, the finance industry involves much more than quantitative research. 

“The quantitative part is when you look at the company’s financial reports, trying to see the numbers through analysis. But, there’s also a qualitative part where you’re trying to understand the core business of the company.” 

Qualitative research includes analyzing the entire structure of a company. It includes analyzing the company operations, the company’s strengths, weaknesses, and management quality. 

To fully grasp the finance industry requires plenty of logical thinking and knowledge of societal aspects, such as the state of the market, supply and demand, or even politics. These are all factors that could affect the financial market. 

Elevate your financial knowledge

“Start with the qualitative research,” Dang suggested for those looking to enhance their financial skills. “Try to read the news and watch YouTube videos.” Wall Street Journal, New York Times, or even Artificial Intelligence can be helpful to kickstart your investment journey. 

Aside from that, it is important to build a healthy mindset around money management. 

“Essentially it starts with setting yourself up with discipline,” Goburdhun advised. “For example, if you’re on a paycheck from a part-time job, just save or invest five or 10 per cent of your paycheck. You can set it aside and forget about it. Just let the money do its thing.” 

Even though you might not see a dramatic difference in your assets short term, decades later, you might thank yourself for your consistent investment.

A good way for anyone to start in Canada is through applications such as Wealthsimple and Questrade. For more information on how to use these applications, watch some tutorials on YouTube. 

How to get involved

The registration period for UTM Capital is usually between mid-September to mid-October. All you need to do is sign up through the link provided on their Instagram. 

If you are interested in setting yourself up for financial success, there is no better way to start than to join UTM Capital. The club provides you with plenty of opportunities as well as professional, life-changing knowledge. So, what are you waiting for?