Investing

[ad_1] Finding suitable peers for financial analysis is a vexing task that requires careful consideration of firms’ underlying economics, accounting choices, and financial statement presentation. But without comparable financial statement information, peer benchmarking may yield less meaningful and even misleading insights that negatively impact earnings forecasts. In a recent study […]

[ad_1] From the gold fever of the 1840s and 1850s and the bicycle bubbles of the 1890s to the bowling manias of the1960s and the dot-com boom of the 1990s and early 2000s, our animal spirits are forever in search of greener pastures. In recent times, the financial herd has […]

[ad_1] ChatGPT and other natural language processing (NLP) chatbots have democratized access to powerful large language models (LLMs), delivering tools that facilitate more sophisticated investment techniques and scalability. This is changing how we think about investing and reshaping roles in the investment profession. I sat down with Brian Pisaneschi, CFA, […]

[ad_1] This article is derived from a recent speech by Bo Sun to CFA Society China and is translated and adapted by Zhang Ke, CFA, Zhang Xiao, CFA, and Li Na, CFA. The reform of China’s social security system has entered a new stage, one of system integration, synergy, and […]

[ad_1] Turkey has enjoyed strong economic growth over the last 20 years. Unfortunately, much of this expansion has been driven by debt-fueled infrastructure spending. This excessive debt accumulation has had significant repercussions that have created severe imbalances in Turkey’s economy. As the global economic outlook has deteriorated in the face […]

[ad_1] In Pursuit of the Perfect Portfolio: The Stories, Voices, and Key Insights of the Pioneers Who Shaped the Way We Invest. 2021. Andrew W. Lo and Stephen R. Foerster. Princeton University Press. Between this book’s introductory and closing chapters, each of 10 famous superstars of finance receives a chapter […]

[ad_1] What’s most surprising about aggregated private market performance calculations? The widespread “tolerance” of mathematical errors, gross inaccuracy, and representativeness among private market investors, advisers, enthusiasts, detractors, and even academics. In the traditional asset classes, investment professionals are laser-focused on every “micron” of performance difference in their attribution analyses. With […]

[ad_1] Sustainability metrics and disclosures have attracted significant attention globally. Yet, assurance practices vary in the amount of work performed and investors may be lulled into a false sense of security by the word “assurance.” The voluntary nature of sustainability reporting has led to fragmented practices and concerns about greenwashing, […]

[ad_1] Is artificial intelligence (AI) currently regulated in the financial services industry? “No” tends to be the intuitive reply. But a deeper look reveals bits and pieces of existing financial regulations that implicitly or explicitly apply to AI — for example, the treatment of automated decisions in GDPR, algorithmic trading […]

[ad_1] For more insights on the equity risk premium from Rob Arnott, Cliff Asness, Mary Ida Compton, Elroy Dimson, William N. Goetzmann, Roger G. Ibbotson, Antti Ilmanen, Martin Leibowitz, Rajnish Mehra, Thomas Philips, and Jeremy Siegel, check out Revisiting the Equity Risk Premium, from CFA Institute Research Foundation. “After the automotive bubble, […]