Description: Vivek Ramaswamy got a pretty special present for his 32nd birthday in August: $1.1 billion in funding from SoftBank and other investors for the audacious biopharmaceutical firm he founded and leads, Roivant Sciences. Source: Fortune.com Date: Sep 21, 2017 Link: http://fortune.com/2017/09/21/roivant-sciences-ceos-profile/?iid=leftrail Questions for discussion: What is so unique about this financial structuring? Why does it appeal to… Read more »
Monthly Archives: September 2017
A Start-Up Slump Is a Drag on the Economy. Big Business May Be to Blame.
Description: Unemployment has fallen, and the stock market has soared. So why has the economic expansion since the recession been so tame, with sluggish productivity and, at least until recently, anemic wage growth? Source: NYTimes.com Date: Sep 20, 2017 Link: https://www.nytimes.com/2017/09/20/business/economy/startup-business.html?rref=collection%2Fsectioncollection%2Fbusiness&action=click&contentCollection=business®ion=rank&module=package&version=highlights&contentPlacement=1&pgtype=sectionfront Questions for discussion: Explain the arguments made in this article. Do you agree? What… Read more »
How the ‘great central bank unwind’ could ignite the next financial crisis
Description: As the Federal Reserve prepares to begin paring the size of its $4.5 trillion balance sheet next month, analysts at Deutsche Bank on Wednesday warned that what they have dubbed the “great central bank unwind” is one of several candidates for creating the next financial crisis. Source: MarketWatch.com Date: Sep 20, 2017 Link: http://www.marketwatch.com/story/how-the-great-central-bank-unwind-could-ignite-the-next-financial-crisis-2017-09-20… Read more »
Google Is Buying HTC’s Smartphone Expertise for $1.1 Billion
Description: SAN FRANCISCO — Google announced late Wednesday night that it is spending $1.1 billion to hire a team of engineers from the smartphone business of the struggling Taiwanese manufacturer HTC in a bid to bring more hardware expertise to its own mobile technology operations. Source: NYTimes.com Date: Sep 20, 2017 Link: https://www.nytimes.com/2017/09/20/technology/google-htc-smartphones.html?rref=collection%2Fsectioncollection%2Fbusiness&action=click&contentCollection=business®ion=rank&module=package&version=highlights&contentPlacement=2&pgtype=sectionfront Questions for discussion:… Read more »
Toys ‘R’ Us Is a Cautionary Tale for Technology
Description: How about this setup for a joke: What does Toys “R” Us Inc. have in common with business software companies? Source: Bloomberg.com Date: Sep 21, 2017 Link: https://www.bloomberg.com/gadfly/articles/2017-09-21/toys-r-us-is-a-cautionary-tale-for-technology-firms Questions for discussion: What does article say about the use of debt and the consequences? What should investors and financial managers take away from this report?
Bitcoin Is Plunging After Jamie Dimon Called It a ‘Fraud’
Description: Bitcoin’s value has dropped 10% since J.P. Morgan CEO Jamie Dimon slammed the cryptocurrency Tuesday, briefly falling below the $3,800 mark on Wednesday. Source: Fortune.com – video report Date: Sep 13, 2017 Link: http://fortune.com/2017/09/13/bitcoin-jamie-dimon-fraud-price/ Questions for discussion: Why did Bitcoin drop in value after the pronouncement by Jamie Dimon? Do you agree with his assessment?
Introducing Fortune’s 2017 Fastest-Growing Companies List
Description: Here are the top ten. Source: Fortune.com – video report Date: Sep 11, 2017 Link: http://for.tn/2eTKRSl Questions for discussion: What do the firms on this list have in common? Do they represent good investment opportunities at this time, or is it “too late” to get on board?
Stock market’s 5-month win streak should cheer the bulls
Description: Wall Street has tended to maintain momentum after similar streaks Source: MarketWatch.com Date: Sep 13, 2017 Link: http://www.marketwatch.com/story/stock-markets-5-month-win-streak-should-cheer-the-bulls-2017-09-13 Questions for discussion: What is the basis for confidence in future market gains? Do you agree with the analysis and advice?
‘False Peace’ for Markets? A Trader Is Betting Millions on It
Description: AUSTIN, Tex. — Last Wednesday was another good day to make money on Wall Street: Stocks pushed up, interest rates were at rock bottom and the VIX gauge of investor unease was again trending downward. Source: NYTimes.com Date: Sep 13, 2017 Link: https://www.nytimes.com/2017/09/13/business/dealbook/market-volatility.html?rref=collection%2Fsectioncollection%2Fbusiness&action=click&contentCollection=business®ion=rank&module=package&version=highlights&contentPlacement=2&pgtype=sectionfront Questions for discussion: What does the article say about conditions and… Read more »
Roots Is Said to Seek C$700 Million Valuation in its IPO
Description: Company could raise about C$200 million in share sale. Move comes two years after Searchlight Capital investment Source: Bloomberg.com Date: Sep 13, 2017 Link: https://www.bloomberg.com/news/articles/2017-09-13/canadian-casualwear-retailer-roots-files-for-toronto-ipo Questions for discussion: Do you think the evaluation is fair? Why do you think the IPO is being considered by management at this time, given the problems facing other… Read more »