University of Dayton, Ohio

Invested in the Future

Two Federal Reserve presidents today expressed confidence in the recovering economy during a free-flowing conversation with Bloomberg Radio's financial reporter Kathleen Hays and students from around the world at the University of Dayton Arena.

Welcome to the opening day of RISE 13, the world's largest and longest-running student investment forum.

Dennis P. Lockhart, president and CEO of the Federal Reserve Bank of Atlanta, and Charles L. Evans, president and CEO of the Federal Reserve Bank of Chicago, appeared together in a kick-off panel discussion before a record 2,400 finance students, professors, professionals and high school students.

In a taped message, Federal Reserve Chairman Ben Bernanke, who keynoted the RISE forum in 2005, talked to students about the importance of financial literacy. "Among the lessons of the recent financial crisis is the need for virtually everyone — both young and old — to acquire a basic knowledge of finance and economics," he said.

This year's forum has attracted the attention of the national press corps. CNBC's Steve Liesman covered the Fed's asset purchase policy and the outlook on employment during a live morning interview with Lockhart on "Squawk Box."

Later, Hays interviewed UD President Daniel J. Curran and Davis Center student manager A.J. Ziegler during her three-hour Bloomberg Radio weekday program, "The Hays Advantage," which aired from UD Arena.

Liesman followed up with another live afternoon interview on the "Street Signs" show with Ziegler and Michael Hermes, two finance majors who are part of a team managing $16 million of the University's endowment. Their portfolio is up 8.5 percent this year.

FOX Business News and CBS News also are represented on panels, and Reuters, Dow Jones, Bloomberg News and Market Watch International sent correspondents to cover the opening day.

The morning's session with two Federal Reserve presidents captured the most attention.

"The economy is making progress. The mood seems to be improving," Atlanta Fed President Lockhart told students in his upbeat outlook.

Chicago Fed President Evans said he expects a 2.5 percent economic growth this year. "While I'm optimistic, I don't think we should be complacent," he said. Later, he added, "The watchword here is patience."

For the first time, students in China participated in RISE via a satellite hook-up from the University of Dayton China Institute in Suzhou Industrial Park.

"How does the U.S. economy affect China and the world economy?" asked Sijia Hao, a senior finance major from Nanjing University of Finance and Economics, one of UD's partner schools.

"The Chinese and U.S. economies are very interconnected," responded Lockhart. "The U.S. is an importer of consumption goods, many made in China. The People's Bank of China is a major holder of U.S. securities.

"China," he said, "has a big stake in the success of our economy and our policies."

Qui Yuqing, another finance major from Nanjing University of Finance and Economics, was one of 29 finance and MBA students from five Chinese universities who watched the forum's proceedings from a classroom in UD's China Institute. Afterwards, she called the forum "thought-provoking and stimulating."

"Apart from the fact that the RISE 13 forum is the largest and most famous financial forum in the world, it provides us a platform to communicate with each other and exchange our views — as well as get to know the world economy more clearly," Yuqing said.