Student-Managed Investment Fund (SMIF)

Contact: Dr. Kenneth Martin.

Student-managed investments are funded through the Cheryl Glass Wetherbe and James C. Wetherbe Dean’s Excellence Fund for Student Investment.

Open and/or download the SMIF: Wetherbe Fund Excel spreadsheet to see the latest results.

After you open the file, click the “Enable automatic refresh” button.

The Wetherbe Fund. In 2006, James C. Wetherbe established the Cheryl Glass Wetherbe and James C. Wetherbe Dean’s Excellence Fund for Student Investment with the NMSU Foundation.

The fund was established with the $75,000 net proceeds from selling a 1957 Chevrolet automobile (a turquoise rag-top no less!) and from the proceeds of a Rolex watch, both of which were received as gifts from Mr. Wetherbe.

This fund is administered as a student-managed investment fund through prudent investment management techniques. The fund’s allocations to different asset classes are established in accordance with the principles of Modern Portfolio Theory augmented with the methodology of Black and Litterman.

Students evaluate possible investments in large-cap U.S. companies and decide on stocks in which to invest. Exchange-Traded Funds are used as investments for the different asset classes. From 2007-2015, the fund has earned an average annual return of 5.26% with a volatility of 11.16%, whereas a 60/40 benchmark of stocks/bonds averaged a 4.54% return annually with a volatility of 10.70%. Therefore, the fund has outperformed its benchmark on a total return basis as well as on a risk-adjusted basis.

The first investments into the fund were made in January 2007.