Kelley School stock analysts show value with Reese Fund\nTheir stock picks regularly outperform Standard and Poor's 500 and other benchmark market indicators, yet you'll never see a famous celebrity pitching his financial expertise on television. \nThese analysts, who manage the Reese Fund portfolio, saw a return on their investment this year of 5.9 percent, compared to S&P's 4.3 percent. They've appeared in past years on CNBC's Power Lunch program to explain their stock picks, which have been cited in the business pages. \nSince 1986, groups of about 20 second-year students in Indiana University's Kelley School of Business have managed a stock portfolio established that year by a $100,000 gift from a successful Kelley alumnus. Since then, after good years as well as bad, the value of the 18-stock portfolio has grown to $445,000. Students managing the fund over the last 19 years have seen an average annual compounded return of 8.2 percent. \nAccording to Charles A. Trzcinka, the James and Virginia Cozad professor of finance and director of the Kelley School's Investment Management Academy, the fund grew by about $27,000 last year. \n"To have the opportunity to present stock ideas in front of experienced investors is great," said Matthew Swaim, an MBA student from Iowa City, Iowa. "To hear what insights they have and the focus of the board's questions forces you to think differently about your company and what factors may affect the stock in the short and long run. \n"It gives us the ability to practice what we will be doing for our career," Swaim added.
United Airlines expands flights to Asia\nCHICAGO -- United Airlines announced increased passenger service to Asia on Wednesday, a day after two rivals were cleared to begin nonstop flights to China.\nThe expansion highlights the intensifying scrap between U.S. carriers over the burgeoning market in China and elsewhere in Asia.\nCiting growing international demand, UAL Corp.'s United said it will increase flights in May between Chicago and Hong Kong, add a larger aircraft on Chicago-Beijing flights this summer and initiate service in April between Nagoya, Japan, and Taipei, Taiwan. That continues a series of international upgrades since last year.\n"Demand for passenger -- both business and leisure -- and cargo service to the region has significantly increased over the last few months," said Mark Schwab, vice president for United's Pacific operations.\nAmerican Airlines and Continental Airlines won tentative government approval on Tuesday to begin nonstop passenger service from the United States to China, joining United and Northwest Airlines Corp.\nThe expansion flurry results in part from a July 2004 aviation agreement by the two nations to expand service and drop most restrictions on each other's airlines. The accord increases the numbers of passenger and cargo flights allowed by Chinese and U.S. carriers in stages over the next six years.\n"China is still a small market," said Scott Hamilton, a Seattle-based airline analyst and consultant. "But over the next several decades, it's going to be obviously one of the largest economies in the world, and the air traffic is going to grow along with it."\nHe said United's expansion announcement appeared to be an "in-your-face" statement to larger American, which plans to begin flying from Chicago to Shanghai in April 2006.
