SMIF member Matt Koenigsberg ’16 pitched DOW Chemical to the Student Managed Investment Fund (SMIF) on April 4, 2016. Dow Chemical Company is a diversified company that manufactures chemical, plastic, and agricultural products and provides services to various essential consumer markets worldwide. The company serves customers in countries around the world in markets such as food, transportation, health and medicine, personal care, and construction. Dow’s strategy is to invest in a market-driven portfolio of advantaged and technology enabled-businesses that create value for shareholders and customers. Matt cited a top down approach for his equity selection, maintaining that the SMIF could benefit from the diversification of a large cap materials equity. DOW’s global presence and pending merger with DuPont positioned it best within the materials sector. In addition, DOW offers a strong dividend yield and has promising EPS, net income and EBITDA performance. In the end, the SMIF voted to purchase the recommended quantity of DOW Chemical while selling off our entire Restoration Hardware position.
