Skarbeck: Understand accounting–or pay the consequences
Throughout history, good accounting practices have promoted trust in government and capitalist systems, while inadequate accounting has led to financial chaos and even revolutions.
Throughout history, good accounting practices have promoted trust in government and capitalist systems, while inadequate accounting has led to financial chaos and even revolutions.
Despite your newly obtained degree, you don’t know anything. You have no skills. If you are really lucky, you will soon land your first job. You are not entitled to that job. If you get it, you should be grateful for your good fortune and make the most of it.
Merger activity has exploded this year, and a key factor behind many of the deals is the ability to use cash stockpiles held overseas.
Slow and steady wins the race” is a value-investing mind-set that’s also applicable to building an NFL roster. Choose overlooked or undervalued prospects, not the Heisman Trophy winner or Twitter.
According to the Switzerland-based Bank for International Settlements, aggregate global debt has ballooned more than 40 percent since the financial crisis and is estimated to have reached $100 trillion.
‘Behavior gap’ is the difference between what an average investment returns and what the average investor actually earns, because he or she can’t leave investments alone long enough for them to prosper.
As another annual report season arrives, the compensation tables in proxy statements clearly show that it pays to be a director of a public company.
In a 2013 cover story, Fortune magazine described Amazon as a “brass-knuckled battler for every penny of competitive advantage.” As state treasurers can attest, that portrayal is both well-deserved and important to understanding the rise of Amazon.
In 2012, Fannie and Freddie started making money as the housing market rebounded and losses in their mortgage portfolios reversed. By the end of this month, the firms will have returned $203 billion to taxpayers. In the meantime, several hedge funds began acquiring both the preferred shares and common stocks of Fannie and Freddie.
Whether an athletic contest or the “game” of investing, many factors determining whether we win or lose are beyond our control. However, we can control how we approach the game and respond as events unfold, which can be just as important.
Critics are divided on whether Regulation NMS has achieved its stated purpose, or whether it has produced unintended consequences.
Warren Buffett’s annual letter to shareholders in Berkshire Hathaway’s annual report always contains timeless advice, useful in good times and bad. He told of two non-stock investments he made decades ago. Though relatively small and insignificant to his net worth, they illustrate important concepts.
For those who feel they missed capitalizing on the bull market in stocks, consider that an elite fraternity of heralded money managers actually lost money for their clients over the past three years.
Sports betting wouldn’t be what it is today without an innovation by Charles K. McNeil. McNeil’s strong analytical ability enabled him to earn a living as a professional gambler, or “sharp.” His innovation was the “point spread.”
Wall Street analysts are notorious for their short-term attention spans. This leads to undue scrutiny of a company’s quarterly figures and can lead to poor decisions by investors.
Value investing can look foolish short term, but usually pays off long term.
The number of traded stocks has been shrinking, but as both the economy and stock market continue to recover, private equity firms will seek to list their holdings as IPOs and the number of publicly traded stocks may once again expand.
We’re old school investment managers and think having the objective of underperforming the market by a little bit is the very definition of mediocrity. We reject the notion it’s foolish to even try to outperform.
Since last year, there have been several personnel changes in key financial and regulatory positions in the federal government.
At some point, you’re likely to face a competitor with vastly superior size, strength and resources. You’re the underdog, but if you’re willing to wage an unconventional battle, outwork your opponent and don’t fear social disapproval, victory can be yours.