Experience Stern | News & Events

Excerpt from Moneycontrol -- "I am extremely surprised that something that we built 50 years ago is popular even today. I think the secret to its longevity is three factors: first, it is a simple analytical tool involving five commonly found financial measures which helped distinguish between healthy and unhealthy companies. Second, it continues to be quite accurate, ranging between 80 to 90 percent accuracy for large companies. And third, it is free. Anyone can use it, test it, and if they do not like it, throw it out."

Excerpt from Greenpointers -- "Greenpointers asked Dawn Jo Branch where she found the image of Greenpoint garbage, but she hasn’t responded. More than 8,000 people have shared her post of trash in 'Seattle.' Unfortunately, this type of photographic trickery is common, explains Paul Barrett, deputy director of the NYU Stern Center for Business and Human Rights and researcher who investigates the spread of misinformation across social media."

Excerpt from Seeking Alpha -- "For further reading on the topic of treating stock based compensation in cash flow valuations I highly suggest this post by a fellow Seeking Alpha contributor as well as this post by NYU Professor Aswath Damodaran."

Excerpt from Nature -- "Personal economic advantage is more likely to persuade people to switch to solar power than campaigns focusing on public interest.Kenneth Gillingham at Yale University in New Haven, Connecticut, and his colleagues assessed the outcome of a grassroots campaign to convince people to outfit their homes with solar panels. The study used data collected in 29 Connecticut municipalities with more than 680,000 residents in total, and included information on rooftop solar-panel installations."

Excerpt from Business Today -- "Shadow banking isn't exactly a neoliberal (radical right) concept, it existed earlier, but as Prof. Nouriel Roubini of New York University and Prof. Stephen Mihm of the University of Georgia pointed out in their 2010 book "Crisis Economics" it entered mainstream financing in a big way and turned the rules of the game in the neoliberal era."

Excerpt from NY Mag -- "On the latest episode of the Pivot Schooled Live series, Kara Swisher and Scott Galloway discussed how much the supremacy of a company’s product still matters in 2020, and to what extent innovation has been co-opted by huge companies that can hire inexpensive labor and create the illusion of forward progress. Swisher contended that companies need to prove themselves to consumers to really succeed, but Galloway argued that a “cheap capital economy” that thrives on the exploitation of workers has taken over the American entrepreneurial model that had been ascendant since the 1970s."

Excerpt from Marketplace -- "Sylla said that historically, Wall Street has tended to gravitate toward the Republican Party because it’s perceived as the 'party of business.' He pointed out, though, that markets actually have performed better when Democrats are in charge, possibly because Democrats offer policies that pursue full employment. However, over time, Sylla noted, there’s been a shift with Democrats, who are not exactly 'pro-business,' but 'pro-policies that are good for business.'"

Excerpt from Poets & Quants -- “Business schools all over the world have been innovating new ways to teach business skills to young professionals, modernizing traditional MBA programs, and launching new, more specialized degrees in such fields as data analytics and chain supply management.”

Excerpt from Business Insider -- "'I am heartbroken by what happened to George Floyd,' Matthew Meade, 36, a vice president who works in risk management at the bank, wrote to his team in an email viewed by Business Insider. 'When I think of George, it is no longer a matter of if what happened was wrong or right,' Meade added. 'It's not about black versus white, it's about America versus racism.' Meade, who is currently pursuing an executive MBA at the NYU Stern School of Business, has spent nearly 10 years working at JPMorgan. In recent years, he's taken on a number of roles, at work and in his personal life, to improve the experiences of other young people of color. Later this month, he'll unpack some of those topics in 'Wisdom On the Way to Wall Street: 22 Steps to Navigate Your Road to Success,' his forthcoming book, which Meade will self-publish on August 22."

Excerpt from The Wall Street Journal -- "David Yermack, a New York University finance professor who has studied stock gifts, said he wasn’t familiar with the Karfunkels’ donation, but 'in general there’s a lot of circumstantial evidence that people backdate charitable gifts to local maximums in the stock price, when they could get the maximum charitable deduction.' He said the chances of such favorable timing are greater when the donor has ties to both sides of the transaction—as did Mr. Karfunkel with the congregation."

Excerpt from Pittsburgh Quarterly -- "'Right now, everyone wants to know what the ‘new normal’ will look like. I don’t have a satisfying answer for that question,' said Amy Webb, a futurist consultant and professor of strategic foresight at the NYU Stern School of Business. 'The new normal, at least for a long while, will be continued disruption.'"

Excerpt from Financial Times -- "There is another reason US workers have been prevented from negotiating higher wages. Between 1997 and 2012, 75 per cent of industries became more concentrated. As economist Thomas Philippon argues in his book 'The Great Reversal,' this is driven by a lack of competition. As superstar companies rise to the top and squash potential rivals, they become less inclined to raise wages because competition for workers is limited. Beefing up antitrust policy would help reverse this trend."

Excerpt from El Pais -- "Before the pandemic exploded, trade and capital flows fluctuated below where they were before the 2008 financial crisis. 'With regard to exports of services, although in recent years they have been increasing notably from hand in hand with the processes of productive transnationalization, a significant reduction in these flows is expected due to the impact on the world tourism sector,' says Steven Altman, principal investigator and executive director of the Center for the Globalization of Education and Administration NYU Stern School of Business. Globalization has entered a new era."

Excerpt from The Economist -- "Done well, pre-docs enrich both economists and economics. They help produce good research and open up the profession. Peter Henry of New York University started his programme in 2014 to increase the representation of minorities. Camille Gardner, one of his pre-docs, says the experience has persuaded her to pursue a phd, and taught her skills important for graduate study, such as how to write a good paper. She thinks of Mr Henry as her mentor, 'not just my boss"'.

Excerpt from Business Insider -- "'There will be a better time to enter these stocks, but if you're an active investor picking stocks, I don't see how you can have a portfolio without at least one of these stocks, perhaps more, in your portfolio. It seems very difficult to build a portfolio that can beat or even meet the market without these stocks,' said Damodaran."

Excerpt from Bloomberg -- "'You just have to be mindful and purposeful, and to cultivate the habit of leaving your phone as far away from where you are as possible,' Alter wrote in an email. 'Most of us can reach our phones without moving our feet for most of the day, so the key is to thoughtfully introduce distance between us and our phones.'"

Excerpt from Bloomberg -- "Arun Sundararajan, a business professor at New York University's Stern School of Business, expects dine-in demand to keep growing even after the Covid-19 pandemic and Uber Technologies Inc. and DoorDash Inc. are poised to benefit."

Excerpt from Business Insider -- "Former RBI Deputy Governor Viral Acharya believes that the the apex bank should ‘respect’ its core mandate and get choice because of the relationship inflation shares with the repo rate."

Excerpt from Marketplace -- "The pandemic has created a lot of uncertainty, 'and since accounting involves a lot of estimates about the future, it makes the accounting numbers much less reliable,' said Eli Bartov, an accounting professor at New York University’s Stern School of Business. The pandemic could also tempt some companies to cross the line. They might use accounting tricks to smooth out revenue so it looks steady from quarter to quarter. Or include other metrics in their financial statements that say, well, if it weren’t for COVID-19, here’s what our numbers would have looked like."

Excerpt from Financial Advisor IQ -- "The fee transparency obligations imposed by the Department of Labor’s previous fiduciary rule on brokers that handled retirement accounts dimmed the popularity of variable annuity products, but also improved investment outcomes. That’s according to a 62-page report, “Conflicting Interests and the Effect of Fiduciary Duty — Evidence from Variable Annuities.” The report, published in July, was written by Mark Egan, an assistant professor of finance at the Harvard Business School; Shan Ge, an assistant professor of finance at New York University; and Johnny Tang, a doctoral student in economics at Harvard University. The report was published by the National Bureau of Economic Research."

Excerpt from Food Business News -- "More than half of consumers said they are buying more or as much organic products as they did prior to COVID-19, and 7 in 10 said they are buying more or as much eco-friendly products. 'This shows that sustainability-marketed products are growing, but what was really stunning is that 16% delivered 55% of market growth between 2015 and 2019,' said Tensie Whelan, founding director and professor at the NYU Stern Center for Sustainable Business."

NYU Stern welcomes new faculty for the 2020-2021 academic year.

Excerpt from NY Mag -- "One company that came up repeatedly during the show was TikTok. Swisher and Galloway spoke with Vanessa Pappas, TikTok’s general manager, about the Chinese company’s tumultuous week, during which President Trump threatened to ban it, then endorsed Microsoft snapping it up — and the intense scrutiny the company now receiving from all sides."

Excerpt from Bloomberg -- "More than 30 American companies with liabilities exceeding $1 billion have already filed for Chapter 11 since the start of January, and that number is likely to top 60 by year-end after businesses piled on debt during the pandemic, according to Edward Altman, creator of the Z-score and professor emeritus at NYU’s Stern School of Business. Companies globally have sold a record $2.1 trillion of bonds this year, with nearly half coming from U.S. issuers, data compiled by Bloomberg show."

Excerpt from Biz Ed -- "Undergraduates at the New York University’s Stern School of Business now have the option to pursue a new degree program in technology and entrepreneurship. The four-year, STEM-certified bachelor of science in business, technology, and entrepreneurship will enroll its first class of 30 to 50 undergraduates in August 2021. The program, which students will complete as a cohort, consists of a four-part curriculum: an immersive experiential course that integrates entrepreneurship and technology, foundational courses in computer science and data analytics, courses in entrepreneurship that include experiences inside and outside the classroom, and a capstone course in which students will develop their own ventures or work on projects for early-stage startups."