Q Group President's Report

Introduction

It gives me great pleasure to present the President’s Report for 2000. The more so because we have just passed the 10th year since the inception of the QGroup, and because of the various initiatives we have undertaken in recent months. In this report last year I focused on the theme of "where we have come from … where we are today …. where we might go to from here". This year I would like to present a more traditional report, but include a special focus on membership involvement.

Membership, Finance and Executive Committee

This has been a stable year regarding membership numbers — new members equalling those who have lapsed. The current membership stands at 139 members, of whom 7 are inactive, being overseas or in similar circumstances. Nineteen former members let their membership lapse during the year.

Our financial position, as you will see in the Treasurer’s Report which is tabled for this meeting, is also stable, with a slight increase in funds available as compared to this time last year. Under the new taxation arrangements, the QGroup now has an ABN number, and you will be pleased that our membership fees are not subject to GST.

Three long-serving members of the Executive Committee have decided to stand down at the end of the year -- Secretary Joy Adams, Vice-President John Jarratt, and immediate past Vice-President Chris Condon

Events in 2000

The QGroup’s charter indicates our primary activity is dissemination of research for the benefit of the membership, but also, as finances allow, to the benefit of the wider financial commnuity.

Traditionally the largest single event in this regard is the full-day annual colloquium which was held in August at the Landmark Parkroyal Hotel, Sydney. It was again organized by Chris Condon. There were 45 attendees, with 10 speakers. After the proceedings, a special dinner for members was held as a celebration of our 10th anniversay. During the dessert, a robust debate was held between a team representing long-standing members versus a team consisting of more recent members. A list of speakers and their papers' titles is included in the handout you will have received tonight. Several of these papers are on our website.

And of course we have the ongoing seminars throughout the year, organized this year in Sydney by Susan Gosling, and in Melbourne by Paul Litchfield. There were 8 seminars in both centres. We arranged for two Sydney speakers to also present in Melbourne, and hope to do more of the same in 2001. Again, a list of speakers and their papers' titles is in your handout, and again some of the papers are available on our website.

For me personally, the combined Annual General Meeting and Christmas Dinner, with a guest speaker, is a highlight of the year. Tonight we have the privilege of hearing from Ms. Jillian Broadbent, member of the Reserve Bank Board.

Initiatives In 2000

In line with the previously mentioned charter and emphasis on research, this year the Committee decided to establish an annual university prize of $200. It was initiated and implemented by Paul Litchfield’s energetic efforts. Monash University holds an annual contest for the best Honours thesis in Finance. The best three theses, as adjudicated by the Faculty, are invited to present to the QGroup Melbourne Chapter who vote for the winner. Incidentally, the seminar attendance was the best for the year. This year’s prize winner was Ricardo Troiaino. We aim to extend the scheme further in the coming year.

A more far reaching decision regarding research was arrived at by the Committee late in the year. Resulting from approaches by two of our members, Dr. Alan Brace and Dr. Peter Buchen, the Committee decided that the Sydney Financial Mathematics Workshop (SFMW) would become a "special interest" branch of the QGroup. As its name suggests, the SFMW is a major disseminator of mathematical financial research in general. It holds monthly meetings, and these will be open to all members of the QGroup. A significant number of the members of the SFMW are already members of the QGroup and we would expect further applications for membership as a result of this initiative.

A new two person SFMW sub-committee of the QGroup has been formed, the chair of which will also join the Executive Committee. We look forward to a successful first year for this new special interest group in 2001. You will be able to follow the progress via our website which will be available to the sub-committee.

QGroup Australia has had no formal links with any other groups save one. Our intention has been not to favour one group over another in this regard. The exception has been the Securities Institute of Australia (SIA) with whom we have run joint conferences and who have carried on certain administrative activities on our behalf. With the improvements in technology available to us via the internet and website, the link with the SIA has lapsed in practice and we are in the process of formalizing this.

Dr. Rob Trevor and Dr. Geoff Shuetrim have recently begun work on a major upgrade of our website, and we look forward to the implementation in the new year.

QGroup Australia currently has two chapters, Sydney and Melbourne, with the Sydney chapter being the larger in terms of membership. In conjunction with one of our members, Dr. John van der Hoek, we are investigating the feasibility of creating a small chapter in Adelaide. We will keep the membership posted regarding this process.

Membership Involvement

Turning now to the somewhat delicate subject of membership involvement. Last year, in a section of my report titled "President’s personal objectives" I indicated I would like to see "A greater involvement by members in the running of the Q Group and its activities, be it volunteering to stand on sub-committees or assistance in finding speakers for seminars."

Regarding the committees, I see that the nominations for this year represent a substantial influx of new colleagues, which we hope will assist in guiding the QGroup in coming years. As an aside, I note that the most recent three presidents were all born in 1945. In due course we can expect this change.

I am pleased to report that this year on the upside, the proportion of seminars and presentations at the Colloquium made by our members was probably at an all time high. On the downside, given our increased membership, attendance at the Sydney seminars barely matches what we used to have with with a significantly smaller membership. Also, we probably received less assistance from the membership in regard to arranging overseas speakers than we have in past years.

I would make a special appeal to the membership in regard to these two issues. Also, if you feel you have any ideas regarding improvements that could be made, please talk to one of the Committee members at the earliest opportunity.

Important Acknowledgements

Firstly, I would again like to thank all the members who have contributed in anyway this year, be it by presenting a paper, some other service, or simply attending the seminars.

I would like to thank Susan Gosling and Paul Litchfield for the seminar organization in Sydney and Melbourne respectively, and Chris Condon for his efforts in putting together yet another successful Colloquium.

Finally, I would like to thank all the Committee members who have contributed so much in 2000, and offer special thanks to Joy Adams, John Jarratt and Chris Condon for their untiring contributions during many years on the Executive Committee.

In conclusion, may I wish you all a happy Christmas and a successful year in 2001.

GARRY DE JAGER 14 December, 2000