Rotman Portfolio Management Competition (RPMC) 2022


Introduction

The BMO Financial Group Finance Research and Trading Lab is pleased to present Rotman Portfolio Management Competition (RPMC) 2022. This competition is open to all undergraduate and graduate students registered in universities in Canada and the US. RPMC aims to promote a hands-on learning experience for students by managing an investment portfolio with the securities listed and traded in actual markets using the Rotman Portfolio Manager (RPM) platform developed by the Rotman Finance Lab.

Students will participate in teams of up to three students and each team will start with an initial cash allocation of CAD $1 million at Day

Each team's objective is to generate the highest risk-adjusted returns by the end of the competition period measured by the Sharpe Ratio. Participants will only be allowed to trade restricted securities listed on the U.S. and the Canadian exchanges. Participants may also short-sell any securities and also trade on margin (e.g. leverage allowed).

The competition will take place online, and will run from October 18, 2021 until March 11, 2022. Selected top performing teams will be invited to virtually present their strategies on the closing day on March 18, 2022 to a panel of judges to determine the overall winner.

 

Registration 

  1. Registration period: September 20, 2021 - October 13, 2021 (11:59 PM EST).
  2. You have to register in teams of up to three students in order to participate. Only one member needs to register for the team.
  3. Complete the Team Registration Form which can be found here
  4. You will also need to pay the registration fee of CAD $30/team (+13% HST) via this payment website.
  5. Once our staff receives your completed Team Registration Form and confirms receipt of payment, you will receive an e-mail confirming your registration along with the necessary instructions for setting up your RPM account. If you have any questions, please email our staff at financelab@rotman.utoronto.ca. If you do not receive the e-email confirming your registration, please email our staff at financelab@rotman.utoronto.ca with subject line "RPMC 2022 Registration Confirmation Inquiry" and include your team representative's full name, phone number and full names of all other team members.

 

RPM

RPMC will utilize the Rotman Portfolio Manager (RPM) Software developed in the Rotman Finance Lab. Each participant is encouraged to visit the RPM Website in order to download and install the platform. More detailed instructions will be sent out once the registration is completed.

 

RPMC 2022 Information Package

In order to access more detailed information about RPMC, please refer to the information document here

 

Competition Rules

Tradable Securities – Participants will only be allowed to trade from a list of securities for the RPMC in order to make sure that the competition performance is evaluated fairly. Please refer to the Information Package above for the list of tradable securities. 

Portfolio Constraints – Each portfolio can only invest up to 20% of its total value into a single security.

Capital Allocation – Each team should invest most of the capital into securities. Cash position should be kept lower than 10% of the total portfolio value at all times starting from November 1, 2021.

Trading Frequency – Teams must maintain regular trading activity with a minimum of one trade every two weeks starting from November 1, 2021. Failure to make at least one trade every two weeks will result in a penalty.

 

Scoring

The competition will be scored on a performance basis measured by the Sharpe Ratio. Further details on the Scoring Methodology will be available on the Information Package above whcih will be posted soon. Once the 'Portfolio Management Period' is over on March 11, 2022, selected top performing teams will be required to deliver a presentation on their investment results and strategies to a panel of portfolio managers and investment professionals on March 18, 2022. Teams will be evaluated based on both presentation and portfolio performance on a weighted average basis.

 

Schedule

 Date

 Description

 September 20, 2021 - October 13, 2021

 Registration Period

 October 18, 2021 - March 11, 2022

 Competition Period

 March 18, 2022

 Final Presentations and Closing Ceremony

 

Any questions regarding the competition can be forwarded to financelab@rotman.utoronto.ca.