Experience Stern | News & Events

Excerpt from Bloomberg -- "How to ensure that a damaging scandal won’t happen again? The answer seems straightforward: Wherever feasible, benchmarks for financial contracts should derive from actual transactions, not surveys, as is the case with Libor."

Excerpt from Fast Company -- "In a recent study the economists Arun Sundararajan (of NYU’s Stern school) and Ravi Bapna (of Carlson School of Business at the University of Minnesota) noted that the program has been successful in enrolling Indians who didn’t have any form of ID at all. These newly registered Indians have until now been excluded from banking services, government aid, and numerous other facilities that demanded identification."

Excerpt from Reuters -- "'The bottom line is that they have to get smaller so they can manage better,' said Roy Smith, a finance professor at New York University's Stern School of Business. 'They have to give up the idea of being a universal bank holding company that jams together businesses that have nothing to do with each other.'"

Excerpt from Xinhua -- "If you're able to quiet down the markets, then I think the Spanish economy will have enough time to recover from this recession and go back to a path of growth. That's one of the reasons why politicians have been trying to gain some time but it's becoming clear that time is coming to an end."

Excerpt from Bloomberg -- "Facebook officials will need to convey confidence without making promises they can’t keep, said Baruch Lev, a professor at New York University Stern School of Business and author of 'Winning Investors Over: Surprising Truths About Honesty, Earnings Guidance, and Other Ways to Boost Your Stock Price."

Excerpt from Bloomberg Businessweek -- "'Coming from a investment banking practitioner’s background, he provides practical advice and truly cares about the students. [Murphy] is always available for students to stop by and ask any questions or concerns that we might have.'"

Excerpt from The New York Times Magazine -- "Good news, Shermans: according to a new study, people with easier-to-pronounce surnames occupy higher positions in law firms, particularly 4 to 15 years out of law school, when the likelihood of making partner is most variable."

Excerpt from Barron's -- "'They have always advertised at the Olympics, but the climate is just different now,' says Hal Hershfield, assistant professor of marketing at the NYU Stern School of Business. He think this kind of backlash could spread to the US"

Excerpt from Bloomberg -- "Most of the banks have failed since 2009 to earn a return that exceeds their cost of capital, said Roy Smith, a finance professor at New York University’s Stern School of Business and a former Goldman Sachs partner. The impact of new capital requirements and legislation such as the 2010 Dodd-Frank Act is having a more profound effect on profitability than managements seem willing to acknowledge, he said."

Excerpt from Project Syndicate -- "A significant equity-price correction could, in fact, be the force that in 2013 tips the US economy into outright contraction. And if the US (still the world’s largest economy) starts to sneeze again, the rest of the world – its immunity already weakened by Europe’s malaise and emerging countries’ slowdown – will catch pneumonia."

Excerpt from NY1 -- "'For most small businesses, it's important to remember that most cost increases get passed on to customers,' said Joseph Foudy of the NYU Stern School of Business. 'Anything you do to increase the cost of employees, in most cases, will increase the cost of the goods they are selling.'"

Excerpt from Council of Foreign Relations -- "It distorts trust in the marketplace if you can't trust the rates at which banks are lending to one another,' says Thomas Cooley of New York University's Stern School of Business. "

Excerpt from Bloomberg -- "Plaintiffs would face difficulties, such as proving how much money they lost, said Roy Smith, a finance professor at New York University’s Stern School of Business and a former Goldman Sachs partner. Because Libor rates excluded some of the highest and lowest estimates, it may be hard to calculate which firms were culpable for influencing the outcome, he said."

Excerpt from Fortune -- "'The more rivals you have in the workplace, the more you have a chance of being undermined and being ruined in some instances,' says Seth Freeman, professor of negotiation and conflict management at NYU and Columbia."

Excerpt from NBC News -- "Murphy also said the planned 'clawback' of millions of dollars in bonuses from executives and employees at JPMorgan involved in the bank's misguided trading strategy could go a long way toward changing attitudes on Wall Street."

Excerpt from PolitiFact -- "‘Carried interest is currently a legitimate way of reducing one's tax obligation,’ he said. ‘It may be unfair and distortionary; but it's not any more a ‘trick’ than taking advantage of the mortgage interest deduction. Congress ought to change the law so that carried interest is taxed at regular income rates. But until then. …’"

Excerpt from Project Syndicate -- "To be effective and properly targeted, policies need to include an accurate diagnosis of growth potential and impediments in both the tradable and non-tradable parts of the economy. Focusing on one (say, the competitiveness problem in the tradable sector) to the exclusion of the other (perhaps a serious non-tradable demand shortfall or stagnant absolute productivity) will not be enough."

Excerpt from Financial Times -- "'We’re getting students into the world through the lens of research,' says Prof Henry. 'We’re giving students the chance to say, 'I didn’t just take a set of classes. I built something.'"

Excerpt from The Wall Street Journal Smart Money -- "Lawrence White, professor of economics at New York University's Leonard N. Stern School of Business, says the data raises a question about whether the FICO score still is a good predictor of a borrower's likelihood of repayment."

Excerpt from Bloomberg -- "Between Jan. 2, 2007, and Aug. 8, 2007, 95 percent of submissions had an impact on where the rate was set, according to “Libor Manipulation?” a 2008 paper by academics including Rosa Abrantes-Metz, an economist with consulting firm Global Economics Group and an associate professor at New York University’s Stern School of Business."

Excerpt from Variety -- "'Whether 100,000 or 1 million people are reading about them … the point is somebody is reading, and these magazines are quite visible in supermarkets and discount stores where millions of women congregate,' says Al Lieberman, executive director of entertainment media and technology at NYU's Stern School of Business."

Excerpt from Institutional Investor -- "Levich and Pojarliev separate currency traders into 'beta grazers' who settle for returns commensurate with going risk premiums and 'alpha hunters' who capitalize on market inefficiencies and behavioral bias. (Wall Street analyst Marty Liebowitz coined both terms.) Hence the provocative title of their new research paper: 'Hunting for Alpha Hunters in the Currency Jungle.'"

Excerpt from Forbes -- "'It’s one thing to lie about your borrowing rate to make you look better. That’s like saying you’re 5 feet 9 inches when you’re really 5 feet 7 inches,' he says. But the worst case scenario is that the evidence shows banks were in fact colluding to push the Libor rates up or down for their own profit. 'If banks were colluding to push the rates in one direction or another then that’s a much more serious problem,' Subrahmanyam says."

Excerpt from Forbes -- "... NYU Stern School of Business recently announced a new financial aid program to help graduates who want to work for L3Cs, certified B Corps., or companies registered under the new Benefit Corporation structure, as well as for nonprofits and the public sector."

Excerpt from Bloomberg -- "The behavior of wealthier households can have an adverse effect on less-wealthy people, Robert Frank, a Cornell University economist, wrote in an e-mail, describing the phenomenon as a 'positional arms race.'"