1
00:00:00,000 --> 00:00:03,010
--understand the
health care industry.

2
00:00:03,010 --> 00:00:04,190
Hi everyone.

3
00:00:04,190 --> 00:00:05,510
My name is Siyu Bao.

4
00:00:05,510 --> 00:00:07,110
You can call me Claire.

5
00:00:07,110 --> 00:00:09,100
I'm a senior at Mount
Holyoke College studying

6
00:00:09,100 --> 00:00:11,080
psychology and statistics.

7
00:00:11,080 --> 00:00:14,650
Today I would like to talk about
my summer internship working

8
00:00:14,650 --> 00:00:19,360
in a health care dedicated
hedge fund in New York City.

9
00:00:19,360 --> 00:00:23,290
So, first of all I will
introduce the working

10
00:00:23,290 --> 00:00:24,560
environment.

11
00:00:24,560 --> 00:00:27,522
This is the building
and this is our office.

12
00:00:27,522 --> 00:00:31,290
And I'll start with
what is a hedge fund?

13
00:00:31,290 --> 00:00:34,570
So a hedge fund is in the
opposite of sales side,

14
00:00:34,570 --> 00:00:36,200
so it's a buy side.

15
00:00:36,200 --> 00:00:38,560
It's generally a
private investment fund

16
00:00:38,560 --> 00:00:42,920
that only focuses on
accredited investors.

17
00:00:42,920 --> 00:00:45,430
So basically
wealthy individuals.

18
00:00:45,430 --> 00:00:50,350
And hedge funds generally have
a lot of investment latitude.

19
00:00:50,350 --> 00:00:57,370
That means we can invest in
almost every field, lend,

20
00:00:57,370 --> 00:01:00,700
real estate, equities,
derivatives and all.

21
00:01:00,700 --> 00:01:04,090


22
00:01:04,090 --> 00:01:07,600
Compared to mutual funds,
we have more freedom

23
00:01:07,600 --> 00:01:13,220
and less regulatory limits.

24
00:01:13,220 --> 00:01:19,300
And hedge funds use leverage
to magnify financial returns.

25
00:01:19,300 --> 00:01:23,140
So, we are actually
risk seekers.

26
00:01:23,140 --> 00:01:27,100
We don't avoid risk
like mutual funds.

27
00:01:27,100 --> 00:01:32,070
And that's the general
difference with sell side.

28
00:01:32,070 --> 00:01:35,450
And health care,
from my perspective

29
00:01:35,450 --> 00:01:41,240
working in a hedge fund, is
that annually have a long term

30
00:01:41,240 --> 00:01:44,010
growth plan,
especially when, right

31
00:01:44,010 --> 00:01:48,430
now, a lot of new
technology is advancing

32
00:01:48,430 --> 00:01:51,730
and it really drives the
development of the health care

33
00:01:51,730 --> 00:01:53,690
industry.

34
00:01:53,690 --> 00:01:56,580
There's a huge market space.

35
00:01:56,580 --> 00:02:04,020
The United States every
year spends 17% of GDP

36
00:02:04,020 --> 00:02:06,920
in health care, so there
are numerous investment

37
00:02:06,920 --> 00:02:10,940
opportunities, especially during
the whole process of health

38
00:02:10,940 --> 00:02:15,450
care delivery process.

39
00:02:15,450 --> 00:02:22,310
We can take an example of
a heart disease patient

40
00:02:22,310 --> 00:02:27,680
He will generally first go
to a primary care physician

41
00:02:27,680 --> 00:02:30,020
to figure out
what's his problem,

42
00:02:30,020 --> 00:02:35,120
and then he will need
to go to the hospital

43
00:02:35,120 --> 00:02:40,280
to take further assessments.

44
00:02:40,280 --> 00:02:43,660
So in this whole
process, you will

45
00:02:43,660 --> 00:02:48,170
need a lot of facilities,
and also drugs, and also

46
00:02:48,170 --> 00:02:54,020
all kinds of technologies
that [INAUDIBLE] him.

47
00:02:54,020 --> 00:02:55,984
So there's a lot of
investment opportunities

48
00:02:55,984 --> 00:02:57,310
during the process.

49
00:02:57,310 --> 00:03:01,890
So the place I worked
was OrbiMed advisors.

50
00:03:01,890 --> 00:03:04,550
It consisted of three
general sectors.

51
00:03:04,550 --> 00:03:07,010
The first one is public
equity, the second one

52
00:03:07,010 --> 00:03:08,750
is private equity.

53
00:03:08,750 --> 00:03:14,000
We have investments in the whole
three regions in the world,

54
00:03:14,000 --> 00:03:15,920
and royalty opportunities.

55
00:03:15,920 --> 00:03:20,210
It's basically maintaining
a long term connection

56
00:03:20,210 --> 00:03:23,646
with our customers.

57
00:03:23,646 --> 00:03:30,250
So my responsibilities
consisted of the four sectors.

58
00:03:30,250 --> 00:03:32,720
The first one is
equity research.

59
00:03:32,720 --> 00:03:36,380
So I was working
two senior analysts

60
00:03:36,380 --> 00:03:40,900
and studying the other
companies they were covering.

61
00:03:40,900 --> 00:03:43,470
Every day, I would
work with them

62
00:03:43,470 --> 00:03:47,060
to look into Wall
Street projections

63
00:03:47,060 --> 00:03:49,310
of these companies's growth.

64
00:03:49,310 --> 00:03:55,730
There's a lot of specialist
calls and a lot of meetings.

65
00:03:55,730 --> 00:03:58,820
And also, I would look
into clinical trials.

66
00:03:58,820 --> 00:04:02,800
Because, generally speaking,
in the health care industry

67
00:04:02,800 --> 00:04:07,580
there's a lot of regulatory
limits in the products

68
00:04:07,580 --> 00:04:10,100
and technologies
we're working on.

69
00:04:10,100 --> 00:04:14,330
There's a high
possibility that it's not

70
00:04:14,330 --> 00:04:19,300
going to be passed by the
USDA, so there's huge risk

71
00:04:19,300 --> 00:04:22,120
and we need to be
careful about that.

72
00:04:22,120 --> 00:04:24,460
And the second
part was modeling.

73
00:04:24,460 --> 00:04:29,160
There is a lot of DCF modeling
and a lot of projections,

74
00:04:29,160 --> 00:04:33,410
and I was working on a
company that went public

75
00:04:33,410 --> 00:04:37,190
during my internship, and
we went to the road show

76
00:04:37,190 --> 00:04:39,020
and we met with the CEO.

77
00:04:39,020 --> 00:04:43,520
It was fancy, but I
didn't say a single word.

78
00:04:43,520 --> 00:04:47,330
But it was good to
take a look at it.

79
00:04:47,330 --> 00:04:50,180
I've also had ongoing projects.

80
00:04:50,180 --> 00:04:53,136
We were working with
the operation team

81
00:04:53,136 --> 00:04:56,270
on treating cost
model, and there's

82
00:04:56,270 --> 00:05:01,460
a lot of high level knowledge
that I have never heard of,

83
00:05:01,460 --> 00:05:04,160
but I learned on the
spot and also learned

84
00:05:04,160 --> 00:05:05,810
from the people I
was working with.

85
00:05:05,810 --> 00:05:09,920
So that has been a really
rewarding experience.

86
00:05:09,920 --> 00:05:11,735
I have also had
tons of challenges

87
00:05:11,735 --> 00:05:13,630
during my internship.

88
00:05:13,630 --> 00:05:17,180
The first one is I am
a psychology major.

89
00:05:17,180 --> 00:05:20,300
I have never worked
in finance before.

90
00:05:20,300 --> 00:05:23,130
So how did I manage that?

91
00:05:23,130 --> 00:05:29,300
Before the internship, I
learned a lot by myself.

92
00:05:29,300 --> 00:05:33,320
I studied the Vault guide.

93
00:05:33,320 --> 00:05:35,000
That's my recommendations
for anyone

94
00:05:35,000 --> 00:05:37,680
else who is not a
finance major but wants

95
00:05:37,680 --> 00:05:38,970
to go into that field.

96
00:05:38,970 --> 00:05:41,950
I also learned
accounting by myself.

97
00:05:41,950 --> 00:05:44,540
That has been really useful
not only for the interviews,

98
00:05:44,540 --> 00:05:48,730
but also on the job, like when
we're looking to the companies,

99
00:05:48,730 --> 00:05:50,900
I know where to go, I
know where to focus,

100
00:05:50,900 --> 00:05:55,030
and where to look for flaws
in the financial statements.

101
00:05:55,030 --> 00:05:58,160
And also general
technical questions

102
00:05:58,160 --> 00:06:01,760
and when you are working,
feel free to ask people

103
00:06:01,760 --> 00:06:05,330
as many questions as you
have, because they are really

104
00:06:05,330 --> 00:06:07,830
willing to help.

105
00:06:07,830 --> 00:06:11,780
And it was also a very
male dominated environment,

106
00:06:11,780 --> 00:06:13,330
which was a little
bit challenging

107
00:06:13,330 --> 00:06:15,170
for me at the very beginning.

108
00:06:15,170 --> 00:06:19,570
There was about 50 people in the
company, but only five of them

109
00:06:19,570 --> 00:06:20,890
are female.

110
00:06:20,890 --> 00:06:24,010
And that was really
intimidating to me,

111
00:06:24,010 --> 00:06:26,680
because I was coming
from Mount Holyoke,

112
00:06:26,680 --> 00:06:29,170
and I was stressed at
the very beginning,

113
00:06:29,170 --> 00:06:31,410
but actually it's still--

114
00:06:31,410 --> 00:06:35,350
males and females are
not different in any way

115
00:06:35,350 --> 00:06:37,510
in the workplace,
because they support

116
00:06:37,510 --> 00:06:43,000
you the same way, both
emotionally and in the work.

117
00:06:43,000 --> 00:06:47,050
And also, I'm not
a native speaker,

118
00:06:47,050 --> 00:06:51,880
and I was kind of
nervous that I would not

119
00:06:51,880 --> 00:06:55,000
fit into the
environment, but I would

120
00:06:55,000 --> 00:06:58,776
like to tell everyone who's
going to the workplace here

121
00:06:58,776 --> 00:07:03,580
that if the company is
willing to hire you,

122
00:07:03,580 --> 00:07:05,860
that means that you
will fit in that place

123
00:07:05,860 --> 00:07:08,840
and you will do well.

124
00:07:08,840 --> 00:07:12,230
OK, and what I've learned
from this experience

125
00:07:12,230 --> 00:07:18,280
was that my attention to detail
was promoted really high,

126
00:07:18,280 --> 00:07:20,875
because there's a lot
of rules and things

127
00:07:20,875 --> 00:07:23,140
to look at in daily
work, and I have

128
00:07:23,140 --> 00:07:24,740
to be really careful about it.

129
00:07:24,740 --> 00:07:28,810
It not only shows
your professionality,

130
00:07:28,810 --> 00:07:34,695
but also shows your ability
to complete your work.

131
00:07:34,695 --> 00:07:38,090
And the second one was
financial literacy.

132
00:07:38,090 --> 00:07:41,530
I learned so much,
and right now I

133
00:07:41,530 --> 00:07:44,635
can say that I'm not so
different than people

134
00:07:44,635 --> 00:07:48,900
who graduated from
a business school.

135
00:07:48,900 --> 00:07:50,680
And also how to--

136
00:07:50,680 --> 00:07:53,710
I also gained a
financial mindset,

137
00:07:53,710 --> 00:07:58,840
like how to put my money in the
most efficient way, personally.

138
00:07:58,840 --> 00:08:02,620
I also learned about
communication skills, which

139
00:08:02,620 --> 00:08:04,810
has been really useful
not only in the workplace,

140
00:08:04,810 --> 00:08:07,780
but also coming back
to Mount Holyoke.

141
00:08:07,780 --> 00:08:11,710
It was a very intensive
learning experience.

142
00:08:11,710 --> 00:08:17,060
Now I understand my ability
of learning new stuff,

143
00:08:17,060 --> 00:08:20,190
and I really want to
look into opportunities

144
00:08:20,190 --> 00:08:21,760
like this in the future.

145
00:08:21,760 --> 00:08:26,470
Because learning five minutes
every day is really not much,

146
00:08:26,470 --> 00:08:29,680
but if it accumulates,
it's going to be a lot

147
00:08:29,680 --> 00:08:31,360
and you're going
to be benefiting

148
00:08:31,360 --> 00:08:34,753
from it your whole life.

149
00:08:34,753 --> 00:08:37,886
I would like to thank to thank
OrbiMed advisors, who hired me,

150
00:08:37,886 --> 00:08:40,630
And the CEO, Stan Isaly,
I worked with him.

151
00:08:40,630 --> 00:08:44,480
He didn't like me at all at
the very beginning, [INAUDIBLE]

152
00:08:44,480 --> 00:08:49,500
but as we progressed, he
kind of saw the value in me,

153
00:08:49,500 --> 00:08:52,250
and he has been like
a grandfather to me

154
00:08:52,250 --> 00:08:53,950
at the very end.

155
00:08:53,950 --> 00:08:58,425
And my role models, Scott
Stevens and my senior analyst

156
00:08:58,425 --> 00:09:01,550
Jung Ryu, and my
supervisor, Cason Kim.

157
00:09:01,550 --> 00:09:02,610
Thank you very much.

158
00:09:02,610 --> 00:09:05,143
[APPLAUSE]

159
00:09:05,143 --> 00:09:05,643