Compared to the entrepreneurial starting week of the CEU NYC module the second week offered a rather different view on the diverse New York business scene. The first day a representative of BTA Partners LLC gave a presentation on the general finance landscape in the city, in particular comparing a variety of funds and securities. A few terms have caught my attention like for example the “2 and 20 model” when the client and the asset management firm are aligned on the investment portfolio characteristics. Also, the importance of the day by day tracking of the net asset value of the portfolio was one of the key elements of the talk. The key learning from this session is to go for the best names in finance to build a solid foundation to our career.
Another session of the week was with Vertical Cloud Solutions, an independent management consultant company. The key learning for me here was the phrase that “people buy the value you bring to them, not you.” We need to offer our clients packages of value that lead to positive business outcomes. Also, according to the presenter, the biggest problem of modern day corporations is the “shadow IT.” The message is to leverage on this pain point, or in more positive terms, this opportunity to create initiatives that add value. Another fundamental question raised during this session is – Who owns the data? A key question indeed when ends meet between an independent consulting firm and a large corporation.
State of the Art in Finance was a classroom presentation at the end of the week which made the entire subject of joining a well-established organization for better career opportunities a very controversial decision. According to the presenter innovation per se is done on the periphery, far in time and space from the core of large corporations. The key takeaway from this session is to combine sound business understanding, deep technical knowledge and apply these competences in emerging markets where competition is less dense and where getting a slice of the pie is hence more likely. The second important thought was on emerging companies that offer private wealth management services based on fully automated INDEXES that are run by algorithms capable of calculating risk tolerance and diversify the investment portfolio adjusted to the constantly changing market characteristics. The question remains open: “Would you trust a machine to manage your retirement savings?”
To sum up the key learnings from the second week of the module:
- Learn from the best BUT
- Do not stay in one organization and wait for change!
- Focus on emerging markets with business & technology competences combined.
- The biggest failure sources of organizations is the lack of project and change management capabilities HENCE
- According to EY, MBAs are preferred, so we are in the right place J