TAMID Israel Investment Group_Business Plan

.

Business Plan 2009

TAMID Israel Investment Group PO Box 4473

Ann Arbor, MI 48106 [email protected]

Table of Contents

Name Page Number

I. Executive Summary 1

II. Problem and Opportunity 2

III. Solution 3

IV. Mission 4

V. Business Model

A. The Model 5

B. Program Overview 6-7

C. TAMID’s Three Pronged Approach 8-11

D. General Site Structure 12-13

VI. Financial Analysis and Projections

A. Financial Breakdown of a TAMID Site 14

B. Pro – Forma Annual Budget 15

C. Individual Itemized Budgets 16-17

VII. Succession Plan 18

VIII. Donor Involvement 19

IX. How is TAMID Different? 20

X. Vision

21

XI. Organizational Growth 22

XII. Pilot Program 23-27

XIII. Conclusion

28

Appendix I: Sample Letter to Investor 29-30

Appendix II: Endorsement Letter 31

1) Educational Seminars Students spend their Freshman and Sophomore years being educated by Israeli executives and business school professors:

Video Conference calls with Israeli managers, traders, venture capitalists, start-up executives

Seminars taught by business school professors 2) TAMID Fund Students manage a fund of Israeli securities, which comprises 25% of TAMID’s endowment by:

Researching, analyzing and presenting investment opportunities in the Israeli market

Consulting with Israeli investment houses Preparing quarterly portfolio reports

3) Fellowship Program Returns on investments from the TAMID endowment sponsor the TAMID Fellowship Program:

$5,000 travel and living stipend for three month internship

Internships available in banking, private equity, venture capital, high-tech, and consulting

Provides substantial and prestigious experience for future professional opportunities

Donors encouraged to directly sponsor student fellowships

Problem:

The relationship between American, Jewish college students and the State of Israel is limited, sporadic, and unsustainable.

The status quo is not enough to support the future of the Jewish people.

Opportunity: To pioneer the next generation of Jewish leaders by aligning the personal and professional aspirations of

business students with the collective interest of Israel and the Jewish people. These young Jewish leaders are the future Jewish philanthropists and investors in Israel.

Solution: The TAMID Israel Engagement Program

A comprehensive initiative geared towards business-minded students consisting of an educational program, a student managed investment fund, and a fellowship program.

Students have the opportunity to invest 25% of TAMID’s endowment in the Israeli economy; developing skills to serve their professional careers while simultaneously facilitating a deeply rooted connection with the Jewish homeland.

Fellowship Program: TAMID members supplement their experience by interning with prestigious Israeli businesses.

Vision: Within 5 years, TAMID will become a national organization with chapters at every major American university

investing independent portfolios in the Israel market, engaging hundreds of students nationwide. TAMID will thus create a highly interactive network of young American Jewish business leaders who have a

sustained and substantive connection with the State of Israel.

Executive Summary TAMID Israel Investment Group

2

II. Problem/Opportunity: The relationship between American Jewish college students and the State of Israel is limited, sporadic, and unsustainable. The status quo is not enough to support the future of the Jewish people. Currently, pro-Israel and Jewish organizations on college campuses do not holistically reach students in a substantive and sustained manner. While there are numerous highly effective organizations such as Taglit-Birthright, Hillel, and various pro-Israel activism programs, these organizations do not afford students an opportunity to engage with Israel on a level beyond a fleeting experience. Students have no means of interacting with Israel on a daily basis and no opportunities to connect their personal and professional interests with Eretz Yisrael and the future Jewish people. Moreover, while programming for Israel’s cultural and political identity are routine on campus, Israel’s business and economic climate are often neglected. Specifically, programming does not target American, Jewish, business-minded students. Ironically enough, in a time when Israel is experiencing an explosion of innovation, investment, and entrepreneurship—while emerging as a world economic powerhouse—no initiative is being taken to encourage business-minded college students to engage this flourishing landscape. This has led to an enormous gap between the personal and the collective—a mismatch between students’ professional ambitions and the collective interest of Israel and the Jewish people. As the situation stands now, Jewish, American business-minded students are selected for top jobs in American financial sectors without any connection to their people or their land. These students are the next generation of Jewish philanthropists; these students are the next generation of investors in Israel. Who will instill in them a commitment to their Jewish identity? Who will help guide them to a life long commitment to their people and to Israel? The results of this status quo are twofold. On the one hand, our generation will grow to see Israel as a beautiful but distant place to visit and support through donations and activism. On the other hand, Israel will never be more than a remote entity in the hearts and minds of our generation. The relationship between Israel and the next generation of American Jews will not fulfill its immense potential and will not grow beyond the foundation which has been set by previous generations. Israel will not become a part of the daily personal and professional lives of Jewish students, nor will it shape who they become as Jewish individuals, pioneers, and leaders.

3

III. Solution: The TAMID Israel Investment Group is a comprehensive, three phased program that integrates the Israeli economic landscape into business education, hands-on investment experience and career oriented work experience. 1) Educational Seminars Students spend their Freshman and Sophomore years being educated by Israeli executives and business school professors:

Video Conference calls with Israeli managers, traders, venture capitalists, start-up executives

Seminars taught by business school professors

2) TAMID Fund Students manage a fund of Israeli securities, which comprises 25% of TAMID’s endowment by:

Researching, analyzing and presenting investment opportunities in the Israeli market

Consulting with Israeli investment houses Preparing quarterly portfolio reports

3) Fellowship Program 50% of each donation will directly sponsor student fellowships:

Returns on investments from the TAMID endowment sponsor the TAMID Fellowship Program

$5,000 travel and living stipend for three-month internship

Internships available in banking, private equity, venture capital, high-tech, and consulting

Provides substantial and prestigious experience for future professional opportunities

Donors encouraged to directly sponsor student fellowships

TAMID affords students an unprecedented opportunity for hands on, daily interaction with Israel’s economic landscape. Students participate in a semester-long educational program on financial topics, raise funds from donors, invest in Israeli firms, interact with and learn from top Israeli executives, and spend time interning in Israel with leading financial companies. The program spans the students’ entire time at university, instilling in them a profound commitment to Israel from both a Jewish and business perspective. They will carry these values with them into top jobs in the American financial sector, pioneering a new generation Jewish leaders who will develop and support American and Israeli business collaboration.

4

IV. Mission: The TAMID Israel Investment Group will: ALIGN the professional interests of Jewish, American, business-minded students with Israel’s business and entrepreneurial future. INSTILL a profound commitment to Israel and Israeli business that students will carry for the rest of their lives. PIONEER the next generation of American commitment to Israel. TAMID will revolutionize the connection between American students and the state of Israel by taking Israel and Jewish identity out of the periphery and making them central aspects in the lives of these students. This organization will lead a paradigm shift by creating a new status quo in which business students across the nation are active stakeholders in the economic growth of Israel. This organization will be a bridge between the passions, interests, and aspirations of American business students and the Israeli economy which, until now, had been inaccessible to these students. As such, TAMID will realign the discrepancy between the personal and collective by engaging the personal and professional goals of Jewish, American, business-minded students. TAMID has made Israel’s economic landscape accessible to the full-time student by utilizing the tangible incentives of professional opportunities, experience, and success. A Student Perspective… The American business student seeks opportunities to:

o Develop leadership experience, interpersonal skills, and decision making abilities which will be applicable to their personal and professional objectives

o Gain direct experience in investing, portfolio management, fundraising, and management o Participate in prestigious internship programs with top firms where they can play an

active and engaged role o Meet influential business leaders who can offer advice, professional assistance, and

professional networking opportunities o Network and work with other future business leaders at universities across the nation

TAMID provides students with opportunities to:

o Gain tangible leadership experience and applicable organizational skills while guiding an organization which is devoted to Israel and the future of the Jewish people

o Directly invest in Israeli companies, manage a portfolio of securities, raise funds from donors, and manage an active and important organization

o Apply for and be placed in internships with top Israeli financial firms where they can live in Israel and work in a fast-paced and professionally demanding environment

o Personally meet, learn from, and network with some of Israel’s leading business pioneers o Partner and work with top students from universities across the nation who share a passion

for Israel

5

V. Business Model: A. The Model The TAMID business model is based on the concept of creating sustainable TAMID Groups at every major university in America. Each group will be supported by an individual repository, but will also be connected via a national organization for oversight and network development. Each TAMID Group will be led by an executive board of experienced students who have already spent two years involved with TAMID. The executive board will run the three-step TAMID program and will guide each successive class of students through the program. At any given time, three separate classes of 20 students will be progressing through the TAMID program. The TAMID Repository will be raised through tax-deductable donations and will be split into two portions.

50% of each TAMID Repository will finance the TAMID Fellowship o This pool will be professionally invested for growth

50% of each TAMID Repository will be invested for growth o 75% will be professionally managed o 25% will comprise the TAMID Investment Fund and will be managed by

students and invested in Israeli firms The returns from the professionally invested portion of the TAMID endowment will fund the fellowship program and the educational program. The returns from the student-managed portion of the TAMID endowment will be used to cover overhead expenses and excess returns will be used to fund additional fellowship opportunities. Donors will also have the option of donating directly to the fellowship program. TAMID is currently being piloted at the University of Michigan and each successive TAMID Group will be established by following a basic, transferable set of guidelines. The goal is steady and sustained growth across American university campuses following the success of the working model. This conglomerate of groups at American universities will form a coherent network of students with a common commitment to and passion for Israel.

6

B. Program Outline The TAMID program begins during students’ second semester at the university. At that point they go through a competitive recruitment and interview process to join TAMID. Top students are selected to the program based upon their academic accomplishments and commitment to TAMID and Israel. Once selected for the program, students will become part of a class of 20 students who will go through each phase of the TAMID program together. The TAMID Executive Board will oversee each successive class of students through the duration of the program. An individual student’s experience in TAMID will follow a structured progression:

i. Freshman Year Semester 1:

Active recruitment initiative Interested students apply Qualified students are selected to an interview TAMID class of 20 students is selected

ii. Freshman Year Semester 2:

Educational Program Phase Begins Students attend lectures and seminars to learn about the Israeli economic landscape Students learn financial skills such as researching companies, analyzing portfolios,

evaluating risk, and understanding financial markets. Students have some interaction with TAMID’s portfolio by observing the

investment team and general portfolio operations

Business Model (continued)

7

iii. Sophomore Year Semesters 1 & 2 Fund Management Phase Begins Students continue to attend lectures and seminars while gaining increased exposure

to TAMID’s investment portfolio Students actively research companies and present opportunities to the TAMID

Executive Board Students assemble quarterly reports of TAMID’s portfolio progress Students manage the TAMID Investment Fund, which comprises 25% of the

group’s endowment

iv. Summer between Sophomore and Junior Years TAMID Summer Fellowship Begins Students receive a stipend to go to Israel and intern with prestigious companies in

the industries of their choice and interest Students gain invaluable professional experience to further develop their future

ambitions Students experience Israel firsthand

v. Junior and Senior Years

Executive Board Phase Begins Students who demonstrate an outstanding commitment to TAMID are elected to the

Executive Board These students are primarily responsible for:

o Managing the overall program o Managing the TAMID Investment Fund o Recruiting new students o Designing the educational curriculum for current and future TAMID classes o Making contacts in Israel to set up speaking opportunities o Networking with American and Israeli company executives o Maintaining the fellowship program o Designing all publicity and marketing materials


8

C. TAMID Israel Investment Group: The Three-Pronged Approach Educational Curriculum, Freshman Year Semester 2, Sophomore Year The TAMID Educational program provides the foundation for the organization to meet its goals. Students will spend their second semester of their freshman year in an intensive educational seminar series where they will learn about general financial principles and build an understanding of investing in the Israeli market. The program continues through the student’s sophomore year. TAMID’s educational curriculum has two goals:

1. To teach students about general financial principles, which will help them further their own professional aspirations.

2. To teach students about the Israeli economic landscape and how they can apply their knowledge of investing to the Israeli markets.

Topics of the Educational Curriculum Include: General Topics: -Why Do We Invest? -Portfolio Management -Equity and Bond Valuation -Introduction to Financial Statements -International Currencies -The Financial Crisis: What Now? -Non-Profit Management -International Financial History -Introduction to Alternative Investments -Social Entrepreneurship Who Will Teach the Seminars? Seminars will be taught by on-campus professors, Israeli MBA students, and Israeli professionals. Members of the TAMID Advisory Board will also give guest lectures on specific topics throughout the program via video conference from Israel.


Israel Specific Topics: -History of the Israeli Economy -Chalutz 2.0: Israeli Business Leaders -Tel Aviv 100: An Overview -The Shekel versus Global Currencies -Israel in the Global Economy -Israel's Political Economy -War, Terrorism and the Economy - The Israeli Entrepreneurial Culture - Israeli Real Estate Market - Hi-tech, Bio-tech and Pharmaceuticals - Pioneering Israel’s Future - Alternative Energy and Cleantech in Israel - Challenges for the Israeli economy: What Does the Future Hold?

9

Fund Management, Sophomore Year The TAMID Investment Fund serves as the core foundation of TAMID. By running this fund, students will have the opportunity to spend at least one year managing a portfolio of investments in Israeli companies and to engage with the Israeli economy on a daily basis. This portion of the organization is the heart and soul of TAMID—managing this portion of the portfolio will give students ownership over their investments and foster a sustained, substantive and dynamic relationship with Israel’s economic environment. The financial structure of the TAMID Israel Investment Group is designed to maximize student decision making and involvement while minimizing risk and ensuring stability and sustainability of the fund. Students managing the fund will assemble a portfolio of Israeli companies using an original investment strategy by deploying what they learned in the educational phase of TAMID. To achieve success, they will consult with the advisory board, university professors and the managed account professionals. Students will attend bi-weekly investment team meetings, learn about Israeli companies, pitch stocks, and vote on portfolio management decisions. The TAMID Investment Fund will comprise 25% of the TAMID Endowment:

25%

75%

TAMID Endowment

The fund will be managed by a Fund Director who will be a student on the Executive Board with extensive investment experience. Investment decisions will be made by students in the Fund Management stage of the TAMID program. Such decisions will be overseen by the Executive Board, with final authority granted to the Fund Director, Director, and Associate Director. In addition to portfolio management activities, students will create several deliverables throughout this phase of the TAMID program. These will include but not be limited to:

Quarterly Fund Reports Monthly Analyses of the Israeli economy Sector Reports and individual Stock Pitches

A sample letter to donors and a sample analysis of the Israeli economy can be found in Appendix I.


Student Managed Portfolio of Israeli Securities

Professionally Managed for Growth

10

Fellowship Program, Summer Following Sophomore Year The fellowship aspect of the TAMID Israel Investment Group will serve as the pinnacle of the developmental program. As the most important and influential component, the fellowship will allow students to apply their knowledge and background to a hands-on experience in Israel during the summer months. The fellowship will include an 8-week internship with a top Israeli company, volunteer service projects within various communities, and group activities with fellow interns. The fellowship will consist of the following parts: 1) The Internship: The students’ experiences and knowledge, gained throughout the TAMID program, will enhance their experiences in Israel and placements with top firms. The internship will allow the students to gain invaluable experiences working and living in an Israeli environment. The internship aspect will require participants, upon acceptance, to select three or four of their most desired internships, or provide a certain company in which they have a particular interest. Students will apply for internships by submitting resumes and cover letters. They will then be paired with companies who express interest in the student’s skill-set through an interview process. Where Will the TAMID Fellows Work? ... In Israel! … In Israel

o Global Investments o Economic Policy and Strategy o Government business affairs o Entrepreneurial o Information Technology o Marketing

o Banking (investment, private, commercial) o Sales and Trading o Venture Capital o Investment Research o Private Equity o Hedge Funds o Consulting


11

2) Community Service Tikun Olam (Repairing of the world) is a fundamental Jewish value. An essential part of the fellowship is giving back to the community in which the students live. Community service activities will not only provide a meaningful connection between the students and Israeli society, but will also allow them to build strong bonds with their peers. Activities will include: ‐ Volunteering with victims of terror ‐ Working with children in absorption centers ‐ Teaching English in elementary schools ‐ Volunteering in Soup Kitchens ‐ Bikur Cholim (Visiting the sick) ‐ Food Delivery ‐ Various small-scale construction projects including home repair

3) Social Activities In addition to community service, participants in the fellowship will enjoy social outings such as tiyulim (tours, hikes, etc.) and Shabbatonim (Shabbat gatherings or experiences). The tours and hikes are also an essential component to gaining the full experience as a Fellow in Israel. The goal of this aspect of the fellowship is to incorporate culture and history into their experiences and will strengthen the participants’ bonds with Israel. Fellows will also have the opportunity to register with the Jewish Agency and take part in Jewish Agency events with other foreign students in Israel. II) Estimated Budget Summarized Estimate Food1 $1100.00 Transportation2 $500.00 Housing3 $1500.00 Flight to Israel $1500.00 Miscellaneous4 $400.00 TOTAL $5,000

1. Food: 75 NIS/Day = $1100 per 8 weeks 2. Transportation: 30 NIS/Day = $500 per 8 weeks 3. Housing estimate based on current craigslist.com apartment postings. Prices may vary based

on exchange rate and Israeli housing market trends. 4. The participant will be subsidized a miscellaneous amount after subtracting the actual cost of

the flight. Other estimated costs will hold.


12

D. General Site Structure

Each TAMID site will be a dynamic organization which is centered around an Executive Board of student leaders. The Executive Board will manage three groups of student members progressing through the TAMID program. Each TAMID site will be supported by an array of multifunctional support bodies. These entities exist to advance the goals of TAMID and to provide an extensive network of expert advisors to the student Executive Board.

Advisory Board: This is a group of Israeli and American business executives who volunteer

some of their time each month via email or video-conferencing to interact with the Executive Board to answer questions, lend advice and update the board on any significant or interesting happenings in the Israeli economic landscape.

University Professors: These are business professors who are experts in finance, accounting, or

related fields who spend a significant amount of time with the Executive Board - specifically the investing team, helping them research companies and make sound investment decisions.

Resource Board: These are American and Israeli professionals, such as lawyers and

accountants, whose areas of expertise will be helpful for developing and maintaining TAMID’s infrastructure. The resource board will assist with aspects such as 501-c-3 regulations, filing of taxes, and potential legal liabilities.


13

Israeli Students This is a group of Israeli university students who are actively engaged in

investing and business clubs at Israeli universities. Such organizations and funds exist at universities such as Ben Gurion University and Hebrew University of Jerusalem. TAMID will form a partnership with these students to learn from each other and establish a network of devoted future leaders.

Executive Board: These are a group of the brightest students at the University who have

graduated from the TAMID program and have taken on the responsibility of managing the organization. The Executive Board makes all final investment and organizational decisions after conducting individual due diligence and receiving advice from the supporting structures.

TAMID Members: These are students who are currently going through the three step TAMID

program. At any given time, this group will consist of three, 20 member classes of students. The newest class will be engaged in the educational program while the two elder classes will be in the fund management aspect of the program.

The entire TAMID organization will also be split into four functional teams. Each team will be led by an executive board member. The teams will work closely with one another to create a fully functional, business-like environment, which utilizes students’ specific professional interests and aspirations. The teams will be: Investing Team: These are students who are concentrating in finance or are extremely well

versed and experienced in investing. The investing team is responsible for all company research, pitching investments to the group, running investing team meetings, organizing board votes regarding investment decisions and any emergency financial operations.

Marketing Team: These students are responsible for marketing TAMID nationally as well as recruiting the top students at each university for the next class of TAMID members. The team is responsible for press releases, media interaction, publicity and recruitment.

IT Team: These are technologically savvy students who will be able to provide TAMID with a major internet presence. The team will be responsible for website construction, daily maintenance, and multimedia development. Fundraising Team: The fundraising team is responsible for raising $250,000 for each TAMID

Repository. Additionally, they are responsible for other fundraising initiatives throughout the life of TAMID. These students, who have experience raising funds for local federations, private foundations, youth groups, and other charities, will create a fundraising strategy, meet potential donors, and work to secure donations and relationships with potential partners and sponsors.


14

A. Financial Breakdown of a TAMID Site Every TAMID site will be founded with $250,000 in accumulated donations. This amount will allow every college’s program to operate with a sustainable repository while funding the first three years of the fellowship program. TAMID sites will be founded one year prior to the funding as a means of establishing a solid leadership team and training a class of students to begin the fund management component.

Returns from the student-managed TAMID Investment Fund as well as from the professionally-managed portion of the endowment will fund:

1) Annual overhead expenses including legal fees, accounting fees, printing expenses, and miscellaneous other costs 2) All remaining returns will be used to fund additional TAMID fellows. Based on projections of 5% - 10% annual returns, the initial endowment will be able to fund one more TAMID fellow annually.

VI. Financial Analysis and Projections

50% of every donation will go towards the site’s

Endowment

50% of every donation will go towards the Fellowship Program

Startup funding will sustain the program for first

three years

15

B. Pro-Forma Annual Budget

TAMID Israel Investment Group

Pro-Forma Annual Budget*

Year 1 Year 1

Overhead Costs Fellowship Costs

Printing Cost $ 1,471.12 Airfare to Israel $ 1,500.00

Materials Cost $ 404.25 Housing $ 1,500.00

Advertising Cost $ 97.00 Food $ 1,100.00

Travel Cost $ 1,239.70 Transportation $ 500.00

IT Cost $ 555.48 Miscellaneous Costs $ 400.00

Legal Fees $ 15,000.00 Total Stipend Per Student $ 5,000.00

Accounting Fees $ - Students in Year 1 5Total Overhead Costs $ 18,767.55 Total Fellowship Costs $ 25,000.00

Total Year 1 Budget $ 43,767.55

* Please see pages 16-17 for individual itemized budgets and explanations

VI. Financial Analysis and Projections (continued)

16

C. Individual Itemized Budgets


Printing Itemized Budget Item Pages Quantity Printed Pages

Business Plan 35 100 3500 One Page Summary 1 300 300 Pitch Books 12 100 1200

Total Color Printed Pages 5000

Educational Materials 50 30 1500

Total Black Printed Pages 1500

Item Pages Per Item Quantity Needed Price Cost

Black Cartridges 750 7 $ 39.96 $ 266.40 Color Cartridges 500 13 $ 38.75 $ 503.75 Bindings n/a 100 $ 5.00 $ 500.00 Paper Packages n/a 7 $ 28.71 $ 200.97

Total Printing Cost $ 1,471.12 *Printing calculated by cartridge to save funds as opposed to utilizing printing services

TAMID Israel Investment Group Materials Itemized Budget

Item Quantity Price Cost

Tshirts 45 $ 6.99 $ 314.55 Binders 30 $ 2.99 $ 89.70

Total Materials Cost $ 404.25

Advertising Cost

Campus Flyers 500 $ 0.19 $ 97.00

Total Advertising Cost $ 97.00


17

TAMID Israel Investment Group Travel Itemized Budget*

Item Mileage Price per Mile Quantity Cost

Driving Cost Detroit 43.21 0.74 15 $ 479.63 Chicago 241.99 0.74 1 $ 179.07 Cleveland 167.67 0.74 1 $ 124.08

Total Driving Cost $ 658.70

Flying Costs New York 1 $ 198.00 Boston 1 $ 219.00 Washington 1 $ 164.00

Total Flying Cost $ 581.00

Total Travel Cost $ 1,239.70 *Travel costs will cover visits to potential donors across the United States


IT Itemized Budget

Item Price Quantity Cost

Website Construction 300 1 $ 300.00 Web Maintenance (monthly) 15 12 $ 180.00 Internet Hosting 6.29 12 $ 75.48

Total IT Cost $ 555.48

TAMID Israel Investment Group Legal Itemized Budget


Non-Profit Exemption Filing 15000 1 15000Annual Legal Assistance Pro- Bono 1 0

Total Legal Cost $ 15000

TAMID Israel Investment Group Accounting Itemized Budget


Annual Accounting Assistance Pro- Bono 1 0

Total Accounting Cost $ 0


18

The TAMID Israel Investment Group is structured for long-term sustainable growth. Organizational stability is absolutely essential as each TAMID Group will be managing a major endowment and an investment fund. Organizational succession will be managed by the formation of a national TAMID Group organization. We are currently in the process of recruiting several young professionals with experience in Jewish non-profit management to lead the national TAMID organization. A national director will be hired by January 1, 2010 and a national organization will be formed shortly thereafter. Organization sustainability within each TAMID chapter will be managed internally and overseen by the national organization. In case of mismanagement or failure, all repository funds will be transferred from the failed chapter to the national organization. TAMID is also exploring the possibility of partnering with a prominent national Jewish organization to facilitate organizational sustainability and growth. Within each TAMID Chapter, all Executive Board members will assume their positions with one and half years of experience in the organization and they will make one year commitments to the Executive Board. TAMID directors and assistant directors will be required to have served on the Executive Board for one year and will thus make two year leadership commitments.

VII. Organization Succession Plan

19

The TAMID Israel Investment Group will be entirely funded by tax-exempt donations. By supporting TAMID, donors are investing in the human capital of the next generation of Jewish leaders. Donations will be accepted from any individuals, foundations, and organizations who take an active interest in the goals of TAMID. The allocation of a sample donation is as follows:

Donors will have an opportunity to play a very active role in TAMID or to take a more passive approach if they prefer to do so. All donors will receive quarterly reports detailing the progress of TAMID and including statistics on the success of the fund. Furthermore, all donors will receive a comprehensive annual organizational report. Interested donors will have an opportunity for constant interaction with the students and will provide guidance for the executive board throughout the educational, fundraising, and investing process. Donors are invited to attend any executive board meetings and investment team meetings as observers. A major effort will also be undertaken to raise funds on campus from student donors. Although this will only account for a marginal portion of the overall funds generated, such an effort will actively engage the entire campus community in TAMID’s cause as well as raise publicity among the student body. We will be searching for a donor to match the total student donations. In addition, the TAMID website will contain a fully functional online donations application.

VIII. Donor Involvement

20

1) Masa Israel Journey: “MASA enables young Jews from all over the world to spend a semester to a year in

Israel on any of over 160 programs.”

MASA has no programming to connect Jewish youth with Israel’s dynamic economic landscape

TAMID is an educational initiative centered on Israeli business, which provides students hands on experience engaging this flourishing economic landscape.

MASA only provides funding for educational programs in Israel

TAMID Fellows will receive a stipend for garnering real work experience in Israel 2) Stagerim: Jewish Agency Program for Internships in Israel: “Interns work in their professions in

a wide variety of disciplines, including medicine, tourism, hi-tech, law, education, social service, communications, government, etc. Each job placement is tailor-made, based on the needs of the employer and the qualifications of the applicant.”

Stagerim participants are paid a mere $75/ month. This is not enough compensation to excite

a college student and attract them to a competitive job in Israel TAMID will pay students $5,000 for two months of work. This is a substantial sum and will fully compensate for flight, apartment rental and living expenses.

Stagerim does not provide internship opportunities with top Israeli firms which will facilitate the personal and professional growth of business-minded students.

TAMID will provide students an opportunity to work in real, professional environments at Israeli businesses. TAMID fellows will have significant responsibilities, as they would on Wall Street, and will gain a resume building experience that will further their professional aspirations 3) Israel Chamber of Commerce: “As the country's largest employers association, FICC is one of the

leading members of the coordinating council of Israel's economic organization, and represents the interests of Israel's business sector, including exporters and importers, wholesale and retail, services and manufacturers.”

Israel Chambers of Commerce have no measure in place to ensure that American business

students, the next generation of Jewish leaders, will have economic ties to Israel. TAMID is actively instilling a commitment to Israeli business in each of its participants, all of whom are college aged students. These students are future American business leaders and the future Jewish philanthropists and investors in Israel. It is imperative that the Jewish community in the Diaspora works to ensure a lasting, intergenerational connection to Israel.

IX. How is TAMID Different?

21

Our vision is to create an organization that will change the future of the Jewish people. TAMID will become a national organization in the next 5 years, with sites at every elite university in the United States whose undergraduate programs place students in top businesses in the American job market. This organization will engage students from across the nation in a common movement of supporting Israel while developing professional skills and investing experience. As TAMID grows, we will harvest a massive network of human capital consisting of the brightest Jewish American minds, deployed to align Israel’s entrepreneurial future with American students’ personal and professional interests. We envision students graduating from the colleges like the University of Michigan, the University of Pennsylvania, Northwestern University, Harvard College, University of Maryland, UCLA, and Columbia Universities – after completing the TAMID program and spending several years of their college experience actively involved with investing in Israel. These students will enter the workforce and eventually rise to prominent positions in international business, politics, and other fields. As they do so, they will inevitably maintain the connections with Israeli firms, Israeli business leaders, and Israeli peers that they had developed in their formative years with TAMID. Such relationships will allow our generation to build upon the successes of past generations by becoming actively engaged in the future of the Jewish people from an early age and continuing this involvement in their professional careers and through the rest of their lives. Additionally, we envision TAMID to be a recruitment opportunity for Israeli companies by granting them access to an unparalleled source of business-educated American students considering job placement in Israel. Students who have an active interest in making Aliyah will have the opportunity to make the necessary professional connections to guide them in making important lifetime decisions. Finally, TAMID will build and develop the next generation of Jewish leaders who care about their people and seek opportunities to turn their deepest emotions into effective action. This network of pioneers, entrepreneurs, and innovators will begin at the university level through regional on-campus TAMID sites and will grow to permeate a dynamic network of Jewish business Zionists. This generation is ready and willing to take the future of the Jewish people into their hands and build it into something truly great. The TAMID Israel Investment Group is an extraordinary vehicle to facilitate this revolution.

X. Vision

22

The University of Michigan site will be piloted for a year. After a successful pilot program, preparations will be made to expand TAMID and open two new sites on university campuses. Initial discussions will begin in May 2009. These two sites will begin functioning on January 1, 2011 and the investing of their funds will commence on September 1, 2011. In May of 2011, discussion will begin to open the next three TAMID sites. The third round sites will begin functioning on January 1, 2012 and will begin investing on September 1, 2012. In May of 2012 plans will be made to open a national office and to open the next six TAMID sites. By January 1, 2013 the national office will be open to coordinate and support all of the TAMID sites and to direct expansion activity. At that time, the national office will oversee twelve Below is a diagram to show the projected organizational growth of TAMID, along with sample campuses at which TAMID sites could be located.

XI. General Organizational Growth

January 1, 2011

January 1, 2009

January 1, 2012

January 1, 2013

23

XII. Pilot Program The TAMID concept is currently being piloted at the University of Michigan since September 1, 2008. The University of Michigan was chosen as the pilot site because the co-founders of the organization are presently students there. The idea for TAMID was developed one late night in the South Quad Dormitory. It originally came up as a means of supporting Israel against divestment initiatives and has since developed into a much greater and further reaching project. A. The TAMID Michigan Executive Board

Sasha Gribov, 20 Director Cleveland, Ohio Majors: Finance and Strategy Prior Experience: AXA Advisors LLC, Intern to Executive Vice President GreenSun Energy LTD, Business Development and

Strategy intern for Israeli hi-tech startup Chair, American Movment for Israel – a pluralistic Zionist

organization at the University of Michigan

Garrett Levenbrook, 20 Associate Director Wayne, New Jersey Majors: Finance, Strategy Minor: Near Eastern Studies Prior Experience: Arba Finance Venture Capital – Intern Bear Sterns – Institutional Equities &

Operations Intern

Eitan Ingall, 20 Director Bethesda, Maryland Major: Strategic Management and Sustainable Development Prior Experience Presentense Institute - Fellow Assistant to the President, Dershowitz Group – A

Washington D.C. policy based public relations firm President, Israel IDEA – A pro-Israel political advocacy

organization at the University of Michigan

24

Evan Plisner , 20Farmington Hills, Michigan Fund Manager Majors: Economics and Program in the Environment Prior Experience: Global Data Intern, Bloomberg LP Holds the FINRA Series 65 registration Michigan Interactive Investments, President

XII. Pilot Program (continued)

Corey Matthew Friedberg, 20 Woodcliff Lake, NJ Major: Economics Prior Experience Wachovia Securites: CMBS and CDO origination

and securitization K&L Gates: Structured Finance (CMBS, CMBX,

CDO, Synthetic CDO) Credit Suisse: Rotational program split between:

Global Real Estate Hedge Fund specializing in REITS and Leveraged Finance Hedge Fund

Elliot Management: Private Equity Hedge Fund with over 12B under management.

Brett Siegal, 19 Cleveland, OH Vice President, Fundraising Major: Finance and Economics, Minor: Chinese Language Prior Experience Key Banc Capital Markets, Intern Cleveland Federal Reserve Bank, Intern Forest City Real Estate National Residential Marketing, Intern United Synagogue Youth (USY) Regional President Cleveland Jewish Federation College Fundraising Outreach Co-

coordinator

25

Benjamin Kaminsky, 19 Hong Kong Major: Finance Prior Experience: Allianz AG, Intern Woori Global Markets Asia, Intern

Elianna Sara Starr, 20 Sharon, MA Majors: Finance, Accounting, Strategy Prior Experience: Walt Disney Company, Strategic Operations Initiatives Intern CVS Corporation, Online Marketing Intern Partners HealthCare Inc., Marketing and Strategy Intern


Joshua Myles Bloom, 22 Ann Arbor, Michigan Majors: Accounting and Finance Prior Experience: Intel Finance Yahoo Finance BIAD, Economic Development Center

Mike Kaplan, 22 Chicago, Illinois Major: Economics Prior Experience: Arba Finance, Intern at Israeli Venture

Capital firm Bank Hapoalim – Intern at major Israeli Bank

26

Daniel Charles Gutman, 20 Highland Park, IL Major: Business Minor: Political Science Prior Experience: William Blair – Institutional Sales and

Trading Intern Congressional District Office of Rahm

Emanuel - Intern

Joel (Chaim) Matthew Frenkel, 19 Silver Spring, MD Major: Undecided Prior Experience Choicepoint, Inc. – Intern to CFO of Government Services EarthSearch Communications – Intern Total Comfort Installation – Intern Smithsonian Institute – Treasury Department Frenkel & Knizhnik Photography – Co-founder JobSwagger.com - Founder

Hal David Kominsky, 20 Cleveland, OH Major: Neuroscience Prior Experience: Cleveland Clinic Hospital –

Science Internship Program Participant & Mentor

University of Michigan Cancer Center – Intern/Researcher


27

Chad Michael Schwartz, 20 Highland Park, IL Majors: Finance and Management Prior Experience: Metro Commercial Real-Estate Brokerage

Firm - Intern Park District of Highland Park – Basketball

Coach and Referee

Ilana Leykekhman, 19 Chicago, IL Majors: Corporate Strategy & Finance Minor: Art History Prior Experience: Quantum Events USA, Inc. – Marketing Intern Chair, My Bear Mitzvah, Hillel Donations

Procurement


28

IX. Conclusion In our minds, the future of the Jewish People’s connection to the State of Israel hinges upon one crucial transformation: our generation needs to pioneer a paradigm shift from viewing Israel as a distant place for donations and vacation. We will revitalize a vision of the Jewish homeland, the Land of Milk and Honey, as a magnificent country for prosperity, and innovation, which is an integral component of Am Echad — one Jewish nation. As the tradition teaches, the Jewish people are to be an “Or L’Goyim,” a light unto the nations, and Israel is emerging at the epicenter of this vision. Ultimately, however, in order to engage busy American Jewish students—future leaders of the world—we must align this vision with their personal and professional aspirations. In this way TAMID reinvents Hasbara, Israel advocacy, in a way that reaches students in their current space. TAMID is the way to engage our generation of students, leaders and businessmen with a positive vision for the Jewish People and Eretz Yisrael. TAMID will instill in each participating student an incredibly unique commitment to Israel and their Jewish Identity: It is a commitment to Israel and the Jewish people through their own lenses—vis-à-vis their own interests and ambitions—in a profoundly deep and substantive manner, which will emerge as a cornerstone, guiding value through their professional careers and the rest of their lives.

29

Appendix I

DEAR INVESTOR, Equity Allocation

The month of October has been a truly unusual experience; as one economist pointed out, three to ten standard deviation events now occur with some regularity. Subsequently, we believe a more prudent approach to asset allocation must be undertaken. With this in mind, we have reduced our allocation to TASE – Listed securities to 15% in an effort to reduce the excess volatility experienced in Israeli’s comparatively smaller equities market. As true fundamental investors, however, we have eschewed from significantly underweighting equities as an asset class; rather, we are of the belief that while the interconnectedness of the Global economic slowdown will reduce future earnings, current equity values more than reflect this notion. With their heavy weighting towards smaller technology firms, the Yeter 120 will continue to struggle. As a result of tighter credit standards and reductions in capital expenditures, we no longer believe our Yeter 120 position to be appropriately sized and are reducing our holdings to 5% of Board managed assets, from 10%. One position we would like to highlight is our increased interest in Israel Chemicals Ltd. (TLV:ICL). Israel Chemicals, is a multi-national Israeli manufacturing concern that develops, produces and markets fertilizers, metals and other special-purpose chemical products. IC, like all firms in the chemical and industrial space, has seen its shares fall precipitously in the past quarter. Upon completion of our corporate and market analysis, we believe IC’s market position and product line should provide greater resistance to the weakness in both agrichemicals and minerals alike. Additionally, we believe phosphate currently exhibits an attractive risk/reward value.

Fixed-Income Allocation

In preparation for a prolonged period of economic distress, CPI linked government bonds (Galil) have been all but abandoned by many fixed-income managers. We, like managers at Bill Gross’s PIMCO, believe that while a slow-down is inevitable, the current pricing of a number of inflation-linked bonds do not accurately reflect the intrinsic values of the securities. Additionally, the actions taken by global central banks to reduce interest rates and dramatically enhance global credit liquidity should result in textbook currency weakness and subsequent inflation. With this in mind, TAMID plans to increase our Galil position to 15%.

30

As a result of declining U.S. interest rates, we have also sped up our move out of money market and equivalent funds and into medium dated assets. We believe this trend will become increasingly attractive as money market yields approach zero.

Hedges

In order to further reduce portfolio risk, we have continued to hold our USD/NIS hedge, and plan to do so for some time. Because we expect Israeli interest rates to follow the global trend downward, we expect this hedge to prove especially useful.

We sincerely appreciate your continued vote in Tamid; your contributions have, and will continue to make a profound impact on Jewish youth and the next generation of Jewish business leaders. Please feel free to contact me, Eitan or Sasha should you have any questions, comments or concerns you would like to discuss. B’shalom, Evan David Plisner VP of Fund Management TAMID Israel Investment Group Ltd. Mobile: (248) 762-8111

Appendix I (continued)

31

Appendix II

Date post:	11-Jun-2015
Category:	Documents
Upload:	josh-bloom
View:	151 times
Download:	0 times

TAMID Israel Investment Group_Business Plan

Documents