articles 1 to 10 of 617
Investor Sentiment and Stock Prices: Explaining the Ups and Downs
Academics, traders and money managers are forever trying to figure out what makes stocks rise and fall. Some influences are clear, like the price gain after a company reports strong earnings. But other behaviors are mystifying. For example, why do shares of companies with fast asset growth sometimes do better than expected according to standard measures like earnings? And why do they sometimes do worse? New research by Wharton finance professor Robert F. Stambaugh and two colleagues shows that market-wide investor sentiment is a key influence in such stock return anomalies.
From: May 09, 2012
Why Eurozone Woes are Creating Headwinds for Global Firms
Europe is in crisis -- and that has major implications for multinational firms with significant operations in the region. In fact, while much is written about the race by corporations to penetrate emerging markets like China and Brazil, the reality is that the investment by multinationals in Europe dwarfs the assets they have in those fast-growing economies. And the sovereign debt crisis in Europe, along with weak economic growth, is sparking changes in how these firms operate -- altering everything from manufacturing strategies to marketing to financial maneuvers.
From: April 25, 2012
AXA's Dominique Senequier: 'Private Equity Portfolios Should Outperform' Stocks in the U.S.
Dominique Senequier is on the Forbes list of the world's 100 most powerful women. What's more, she has made a mark in private equity (PE), a domain that men have traditionally dominated. The 58-year-old Senequier is CEO of Paris-based AXA Private Equity, which she launched in 1996. Recently, Senequier has turned her attention to the U.S. market, acquiring investment portfolios from Bank of America and Citigroup. In an interview with Knowledge@Wharton, Senequier discusses the European debt crisis and notes that although the PE market will perform strongly in the long term, "exits may get delayed in the new environment."
From: April 06, 2012
Christine Lagarde: Emerging Market Nations Will Get More Power in the IMF
Christine Lagarde, managing director of the International Monetary Fund (IMF), sees no alternative to the strict austerity policies being imposed on many peripheral European countries, says the double dip recessions in Italy and Ireland just announced come as no surprise, and notes that IMF reforms will shift 6% of current quotas to dynamic emerging and developing countries. Lagarde's comments came in an exclusive interview with Knowledge@Wharton and media partner ParisTech Review late last week, as BRIC countries demanded more voting power in return for the larger financial contributions being requested by the IMF. (Podcast with transcript)
From: April 03, 2012
The End of the 30-year Bond Bull Market?
Is the great 30-year bull market in bonds coming to an end? Yes, perhaps -- or maybe not: It depends on whom you ask and how flexible your timing is. While many people think of bonds as conservative holdings, they have produced stellar returns for decades, thanks to the taming of inflation and other factors. But some experts say economic recovery could now reverse the process by driving interest rates higher, causing bond prices to fall.
From: March 28, 2012
China's Gravity-defying Economy: How Hard Will It Fall?
As China's high-octane economy shifts into lower gear, virtually everyone agrees that the double-digit, super-charged boom years are drawing to a close. Speculation over the possibility of a so-called "hard landing" for the country flourishes with each boom and bust cycle, only to die down as China's growth revs up again. This time, however, both external and internal factors are reinforcing the downturn, and experts warn that without some painful reforms, there will be worse trouble to come.
From: March 28, 2012
Social Finance's Tracy Palandjian on the Next Generation of Responsible Investing
According to Tracy Palandjian, CEO and co-founder of Boston-based Social Finance, encouraging Wall Street to join forces with nonprofits and governments will help solve major societal issues -- everything from the swelling prison population to chronic homelessness. A public-private investment vehicle called the Social Impact Bond is at the heart of her organization's strategy, and she touted the idea during a keynote lecture at a recent Wharton Social Impact Conference.
From: March 14, 2012
Market Update: A Real Recovery, or a False Start?
The Dow has hit its highest level in years, loan rates are at record lows and the U.S. economy appears to be gaining momentum. Even the housing market is starting to look inviting. But is this a real recovery -- or a false start like last year's? Wharton's Jeremy Siegel and Scott Richard think the economy is showing signs of a true rebound, and predict that stocks should do well in the next 12 months. But bonds, they warn, are in dangerous waters, and economic growth will be in jeopardy if oil prices keep rising and the European credit crisis worsens. (Video with transcript)
From: March 14, 2012
Private Equity: Fact, Fiction and What Lies in Between
What good is private equity, anyway? Critics say these investment pools make money the wrong way -- buying "target companies," slashing jobs, piling on debt and selling the remnants, which by then are doomed to fail. Defenders say PE is a strong creator of jobs and value, and a vital source of outsized returns for pension funds, university endowments and other investment pools that serve ordinary people. Who's right?
From: February 08, 2012
The Unexpected Early Winners of the Arab Spring
After toppling long-standing regimes, destabilizing others and grabbing the world's attention, the Arab Spring's protestors most likely remain amazed at the far-reaching effects of their actions in early 2011. Although their demands in Tunisia and Egypt were focused squarely on long-term economic and political betterment, they also had an immediate impact on investment prospects in two countries that are geographic bookends of the Middle East -- Morocco and Iraq.
From: January 03, 2012
