Thanks for a Great Year!

It was an honor to host this club the past four years. Thank you, Mr. Dahl, for hosting the final year, and thanks to these students and others who have dropped by for the meetings!

Hunter Vazquez Michael Trehan Patrick Young Tareq Allan Narek Divanyan Sahil Sandhu richard dahl
WSCA Finance Club members

Left to Right: Hunter Vazquez, Patrick Young, Michael Trehan, Tareq Allen, Sahil Sandhu, Narek Divanyan. Cameron Gage left before the photo.

If You Miss a Meeting…

WSCA students: If you miss a meeting, please go over the slides under the WSCA Lectures tab for that meeting. The first dozen meetings or so are cumulative, and you need to know what we talked about in the prior meetings for the next one to make sense. You will have to research the bullet points on the slides yourself, because those slides simply serve as a list of topics for me to talk about. Email me any questions you have concerning topics that you were not able to research on your own.

– Michael Trehan

Meeting Times

Hello everyone,

I hope your summer went well. WSCA kids, please contact me via my RAFOS email now indicating what time and what days you would prefer to have the on-campus meetings. I will then work with Mr. Dahl to reconcile a schedule that works for everyone.

If you haven’t already, please look through the summer assignment in the previous post. Also, I finished beta development of a project I have been working on for a couple years — view it at www.OptionVista.com . I will be using it to teach some characteristics of options if you are interested.

– Michael Trehan

2017-18: Summer Assignments

Hello current and prospective members,

If you are interested in becoming a NEW MEMBER of the club for next year, fill out this Google Form here.

EVERYONE, including prospective members, read the rest of the post.


I am pleasantly surprised with the work that you all have been doing individually. I would like to continue this pattern of individual research in the 2017-18 school year.

As you know, the school year is wrapping up. In order for us to be as successful as possible next year, I would like all of you to take some time over summer to do the following:

  • New members ONLY:
    • Go through all the meeting slides from 2014. Google every point in the slide; the slides do not explain the concepts, but they serve as a directory of information.
    • Read ALL the blogs tagged “education” on this site, even the esoteric ones.
    • Come in knowing about stocks, bonds, fundamental, and technical analysis. Don’t worry about options and corporate finance too much.
  • Everyone, including new members:
    • Read the financial news headlines every day — WSJ.com or paper copy if you please (I get it on my doorstep every day, along with Barrons every Saturday). It should take 5 minutes.
    • Pick a single stock to follow over summer, and follow it extensively. Mid- to large-cap companies only (read the slides if you don’t know what that means), try NVDA, AMZN, SNAP, etc. Tech will have more news and larger swings for you to follow.
    • For your understanding of fundamental analysis, watch the HBO documentary on Warren Buffet. A link that may or may not work is https://www.youtube.com/watch?v=Lu6_XV21pT0, but it should be on YouTube somewhere; find it yourself if that link is down.
    • Now that you’ve watched that, know that fundamental analysis will not work for you in that way. Watch https://www.youtube.com/watch?v=cppxO67e6eo for an overview of a ratio that is used in fundamental analysis. You should’ve also seen this in the 2014 meeting slides if you are a new member.
    • For your understanding of technical analysis, watch https://www.youtube.com/watch?v=rlZRtQkfK04 over and over until you are familiar with all the terms used.
    • For your understanding of corporate finance, read pages 1-42 of http://www.econ.yale.edu/~nordhaus/homepage/documents/corporate-finance.pdf . Try to understand what they are talking about. Do not give up — this is necessary information as you will find out later.
    • One more thing — have an excellent summer!

Presidential Address

President Trump’s speech covered a wide array of topics regarding the political atmosphere currently surrounding our nation. He began with a nod to the end of black history month, and swiftly moved into the glut of his message. After an inauguration address which touted a country in turmoil, President Trump began this speech with a promise that the United States, under his administration, will stand united and ready to lead the world. His initial message built up the vision in our nation of a shrinking middle class and failing inner cities, much of which he looked to address in the latter portion of his speech. He touts the need for improved infrastructure, and reminds his bi-partisan audience that he has the mandate of “tens of millions…all united by one very simple but very crucial demand- that America put its own citizens first.” He begins with a rundown on the actions already taken by his administration and an explanation of planned actions to come:

  • Meetings with heads of American based businesses to keep jobs here in America
  • The reduction of the cost of the F-35 fighter jet which saves tax dollars
  • A hiring freeze on non-military and non-essential federal workers
  • A 5-year ban on lobbying by executive government officials and a lifetime ban on lobbying for foreign nations
  • The establishment of a deregulation task force in every federal agency
  • A new mandate that for every new regulation, two old regulations must be eliminated
  • “Stopping” of regulations that threaten the future and livelihood of coal miners
  • A directive that American pipelines be made of American steel
  • Withdrawal of the United States from TPP (Trans-Pacific Partnership)
  • To protect citizens the Department of Justice has been directed to form a task force on reducing violent crime
  • Executive federal departments such as the DoJ, Homeland Security, and the Director of National Intelligence have been ordered to coordinate an aggressive strategy to dismantle the criminal cartels currently present in the United States
  • Stopping the flow of Heroin from Mexico (plan of action left unaddressed)
  • Construction of the new America-Mexico border wall (Trump’s wall)
  • Sanctions on entities and individuals who support Iran’s nuclear program
  • Appointment of a conservative justice to the Supreme Court bench
  • Tax cuts across the board to level the playing field
  • A revival of American protectionism in trade to “protect American jobs”
  • $1 Trillion infrastructure stimulus plan proposal to Congress
  • Repealing and Replacing ObamaCare
  • School vouchers (“education is the civil rights issue of our time”)
  • Trump ended the speech with an inspiring call to unity in the nation reminding everyone that we salute the same flag and we are all American.

In my opinion, Trump not only addressed and proposed real change that our nation desperately needs, he also delivered his best political speech so far. This speech, unlike some other teleprompted speeches in the past, did not sound like more campaign rhetoric. It truly sounded like our President proposing a path for America to prosper once again. Along with taking smart and what should prove to be effective executive actions, Trump took a huge step in uniting the nation.

Democratic Governor from Kentucky, Steve Beshear gave a response just minutes after the President’s speech

Beshear made an emphasis on his work as a bureaucrat, starting the speech off by mentioning he took over the Kentucky executive office at the beginning of the Great Recession. He balanced the budget and “built partnerships with business leaders and with Republicans in our legislature.” He then plays the American dream card by reminiscing how “the America I love allowed a small-town preacher’s boy to be elected governor.” He then finally gets to his critiques of Trump, however not before reminding the audience how the Democrats are “committed to created opportunity” (a faulty statement nonetheless). He accuses Trump of signing executive orders which favor “Wall Street” (an ambiguous term propagated by the left to describe the entire upper class of America…a way to vilify those who have found success in their careers). Most of the remainder of the response focuses on the Republican ambition to repeal and replace ObamaCare, an ambition which gov. Beshear accuses as an effort for “you and your Republican allies in Congress seem determined to rip affordable health insurance from millions of families.” Beshear sprinkles in more critiques on foreign policy, mainly revolving around the fake news claims propagated on how Putin “hacked” our elections. Thankfully, he does ditch the party politics for the final paragraph by saying we should all work towards making America come together “as one nation, under god, indivisible, with liberty and justice for all.” Overall, my opinion on the response is that it was fairly weak. The dems could’ve picked a stronger person to deliver it, someone who is actually still a participant of government instead of some has been. Much of the rhetoric Beshear spoke can be found nightly on the networks of MSNBC and CNN, so overall I give it an A for trying.

The President’s speech bolstered financial markets. Here are some possible reasons:

  1. Realization that the President can act Presidential
  2. Assurance of infrastructure spending
  3. Calls for unity, less volatility

Energy and financial stocks rallied on calls for less regulation. Biotech was not hit as hard as one would expect, because Trump had previously iterated his stance on drug prices being “too high.”

— Aabhash Gautam

2017 News & Notice

Hello followers,

Welcome to the new school year! We hope it is getting off to a good start for all of you. In the Rocklin Finance Club’s third year of existence, we’ll be focusing on what I learned in the two months I was in Cambridge taking Harvard University’s S192 Introduction to Capital Markets, what Aabhash has learned about money while visiting USC, and what Ken has been researching on SeekingAlpha. Stay tuned for more student-produced financial news and education!

Our meetings are no longer at Rocklin High. For information on meeting times and locations, please get my number or personal e-mail from any student that knows me on your campus and contact me, or fill out the old Google Form.

– Michael Trehan

Summer of 2016 Blog Lineup

Hello listeners,

The Rocklin Finance Club is excited to announce that we are having a massive blog blitz over the summer. Expect a blog almost every day this summer, from Michael Trehan, Ken Croker, Aabhash Gautam, and Srinjay Verma on a variety of topics. Want to get a sneak peak? We’ve already started work, and you can view our inner workings at the 2016 Blogging Timetable over here.  We even have blog standings Have a wonderful summer, and keep checking back.

Happy trading!
– The Rocklin Finance CLub

2015-16 Blog Lineup

Hello subscribers,

The Rocklin High School Finance Club has a new blog lineup and a new membership for the 2015-16 school year. Every member will be doing a blog.

M&A Analysis: Michael Trehan. Coverage of mergers and acquisitions brought to you weekly, sometimes through video.

Quantitative Strategies: Srinjay Verma. Insight into how automated technical analysis can be used to help your personal finances, also through video occasionally.  We apologize, but Srinjay Saayan Verma was unable to bring this series to fruition because of his work at Quip with Bret Taylor and an internship at the Mayo Clinic. Sorry for the inconvenience.

Corporate Politics: Aabhash Gautam. Arguments over how politics affects the corporate world.

Financial Education: Nolan Laplante. Educational articles on corporate finance.

Note that not all blogs in a series are written by one author. Michael will be writing the first few blogs in all series.

– Michael Trehan