Equity research challenges: how the CFA Research Challenge works

Which equity research competitions can you enter?

The list below is every competition we track for equity research, checked on each organizer's page. The CFA Research Challenge is the flagship. The others are stock pitches that welcome research-style work, a real estate stock pitch, and two economics contests that use the same habits.

• CFA Institute Research ChallengeCFA Institute with local CFA SocietiesThe global champion's university receives a USD 10,000 scholarship; travel to local rounds is at the team's own expense.
• Bianca Caragliano Stock PitchWilliam and Mary Mason School of Business$8,500 in total cash awards; two hotel rooms per team, four meals, and up to $1,000 in transportation reimbursement.
• Rocky Mountain Investment ChallengeColorado State University College of BusinessCash prizes paid directly to the student competitors; the page states no amounts.
• Cornell Undergraduate Stock Pitch ChallengeParker Center for Investment Research, CornellNot stated on the page.
• Roger F. Murray Stock Pitch CompetitionGabelli Center for Global Security Analysis, Fordham Gabelli School of Business$4,000 first, $2,500 second, $1,000 third.
• Invest like a ChampionNotre Dame Institute for Global InvestingNot stated on the page.

How does the CFA Research Challenge work, round by round?

Teams form in the fall at participating universities, each with a faculty advisor. The local CFA Society runs the first round, and the winners move up through sub-regional and regional rounds to a global final. Travel to local rounds is at the team's own expense, according to the page.

1. Your university joins through its local CFA Society, and a faculty advisor forms a team of three to five.
2. The team researches the company assigned for its round, the way a sell-side analyst covers a stock.
3. The team writes a research report with a recommendation and a price target.
4. The team presents the call to a panel of judges and takes their questions.
5. Winners advance through sub-regional and regional rounds to the global final.

What goes into the research report?

Write it the way a real initiation report reads: the call and the price target first, then the reasons, then the numbers that back them. Follow the official rules for length and format, which the challenge sets each year.

• The recommendation and target price on the first page, with three supporting points.
• Business description: what the company sells, to whom, and how it makes money.
• Industry and competitive position: who it competes with and why it wins or loses.
• Valuation: a DCF and a comparables check, with the key assumptions stated.
• Financial analysis: the drivers of revenue, margins, and cash flow, with your forecasts.
• Investment risks, and ESG considerations where they affect value.

How is this different from a stock pitch competition?

A stock pitch rewards a sharp idea that you chose, often with a catalyst and a variant view. The research challenge rewards thoroughness on a company you did not choose: a defensible forecast, a valuation that ties to it, and a report a portfolio manager could act on. That is the equity research job, which makes the challenge the closest undergraduate work sample for it.

If you want hedge fund or asset management seats, the stock pitch guide covers those competitions. If equity research is your target, the research challenge is the one to put your year into.

How do you use the challenge in equity research recruiting?

Equity research summer seats open from September to January and the intake is small, so the report itself becomes your best evidence. Bring it to interviews as a writing sample if allowed, and be ready to defend the call months later.

• Resume line: the challenge, the company you covered, your section, and the round you reached.
• Interview story: your price target, the one assumption it depends on, and what has happened to the stock since.
• Networking: CFA Society judges and volunteers often work in research and asset management. Write to one afterward.
• Writing sample: a section you wrote yourself, cleaned up, if a firm asks for one.

Questions students ask

Can sophomores join a CFA Research Challenge team?

The page says teams of undergraduate or graduate students from a participating university. Your faculty advisor picks the team, so ask early in the fall how members are chosen.

Does my school have to participate?

Yes. Teams come from participating universities through their local CFA Society. If your school does not take part, ask your finance department or investment club whether a faculty member would advise a team.

Do we pick the company?

No. The company is assigned for your round, which is part of what makes the challenge different from a stock pitch.

Is there an individual equity research competition?

Yes. CFA Society Columbus runs an individual stock pitch challenge for undergraduates and recent graduates, and Penn State's REIT stock pitch is individual for Penn State students.

What should I learn before the challenge starts?

A three-statement forecast, a DCF, and trading comparables. Those three carry the valuation section, and the rest is research and writing.