Sentences with phrase «on economic valuation»

Progress is urgently needed beyond this limited focus, with instructive examples in recent work (albeit primarily focused on economic valuation).

Not exact matches

Asia and Latin America are not risk - free, but «there seems to be sense in buying equities in these regions on similar or lower valuations than their counterparts in the developed world given that dividend growth is likely to be superior, given higher economic growth potential.»

The bar is now very high on the two most important components for stock valuations: economic data and earnings.

She has been a regular contributor to Fortune since April 2010 and is the author of two books on corporate governance and valuation, Economic Value Management: Applications and Techniques and Value - led Organizations.

In itself, it seems fairly clear, at least to me, that the current account surplus indicates that the RMB is undervalued on a fundamental basis, and that the balance of payments deficit is caused primarily by speculative outflows, or other kinds of outflows that are not sensitive to economic valuation issues.

Our long - term forecasts are based on our assessment of current valuation measures, economic growth and inflation prospects, as well as historical risk premiums.

«On the other hand, using the same essential measures of valuation and market action, but including periods of major economic dislocation into the dataset, produces average return / risk inferences that are substantially less favorable.

The PRC sets ranges for the balanced asset mix and makes tactical adjustments based on bottom - up forecasted returns, relative valuations and an assessment of economic and market data.

Figure 1 shows that the difference between return on invested capital (ROIC) and weighted average cost of capital (WACC), also known as the economic earnings margin, explains 67 % of the changes in valuations between stocks in the S&P 500 [1].

The economic gains and market returns that emerged during the Reagan Administration began from a starting point of 10.8 % unemployment, a current account surplus, and market valuations that - on the most historically reliable measures - were less than one - quarter of present levels.

With the S&P 500 within about 8 % of its highest level in history, with historically reliable valuation measures at obscene levels, implying near - zero 10 - 12 year S&P 500 nominal total returns; with an extended period of extreme overvalued, overbought, overbullish conditions replaced by deterioration in market internals that signal a clear shift toward risk - aversion among investors; with credit spreads on low - grade debt blowing out to multi-year highs; and with leading economic measures deteriorating rapidly, we continue to classify market conditions within the most hostile return / risk profile we identify — a classification that has been observed in only about 9 % of history.

In order to find value, it's time to get back to the basics of reading footnotes and focusing on economic earnings and return on invested capital (ROIC), the true drivers of valuation.

Economic Value Management has been selected as a Featured Book Recommendation or «Recommended Read» by numerous publications including, among others, Harvard Business School's HBS Working Knowledge, CEO Refresher, Directors Monthly, Global CEO, The Corporate Board, The Institute of Chartered Accountants in Australia, Valuation Issues, On Philanthropy, Accounting Today, Cost Management, and The Journal of Accounting and Finance.

Thus, what matters are relative valuations across assets rather than putting too much emphasis on historical valuations that belonged to a very different economic environment.

Interest rates and nominal economic growth rates tend to move in tandem, so their competing effects on «justified» valuations generally cancel out.

Estimates of prospective long - term returns for the S&P 500 reflect our standard valuation methodology, focusing on the relationship between current market prices and earnings, dividends and other fundamentals, adjusted for variability over the economic cycle (see for example Investment, Speculation, Valuation, and Tinker Bell, The Likely Range of Market Returns in the Coming Decade and Valuing the S&P 500 Using Forward Operating Evaluation methodology, focusing on the relationship between current market prices and earnings, dividends and other fundamentals, adjusted for variability over the economic cycle (see for example Investment, Speculation, Valuation, and Tinker Bell, The Likely Range of Market Returns in the Coming Decade and Valuing the S&P 500 Using Forward Operating EValuation, and Tinker Bell, The Likely Range of Market Returns in the Coming Decade and Valuing the S&P 500 Using Forward Operating Earnings).

«I'm basically doing time arbitrage - finding companies where economic, industry or company - specific disappointments prompt short - term investors to sell me their shares at compelling absolute valuations based on what I consider normal longer - term earnings power» Whitney George

Not only were valuations getting pretty close to fair value on the Rule of 20 scale (19.2 in 04» 10, 18.7 in 04 ’11 and 17.3 in 03» 12, the latter admittedly more reasonable), but economic momentum stalled, leading to a soft patch and rising investor concerns, aggravated by political chaos in Europe and the U.S.

As usual, I don't place too much emphasis on this sort of forecast, but to the extent that I make any comments at all about the outlook for 2006, the bottom line is this: 1) we can't rule out modest potential for stock appreciation, which would require the maintenance or expansion of already high price / peak earnings multiples; 2) we also should recognize an uncomfortably large potential for market losses, particularly given that the current bull market has now outlived the median and average bull, yet at higher valuations than most bulls have achieved, a flat yield curve with rising interest rate pressures, an extended period of internal divergence as measured by breadth and other market action, and complacency at best and excessive bullishness at worst, as measured by various sentiment indicators; 3) there is a moderate but still not compelling risk of an oncoming recession, which would become more of a factor if we observe a substantial widening of credit spreads and weakness in the ISM Purchasing Managers Index in the months ahead, and; 4) there remains substantial potential for U.S. dollar weakness coupled with «unexpectedly» persistent inflation pressures, particularly if we do observe economic weakness.

My firm, 720 Global, has repeatedly urged caution as valuations are currently stretched on the back of reckless Federal Reserve monetary policy and poor economic fundamentals.

Owing to the economic strength of the late 1990's, the least extreme valuation measures were based on earnings.

In any case, investors should keep in mind that the stock market's reaction to Fed cuts has historically been dependent on other conditions such as valuations, economic expectations and the slope of the yield curve.

As of last week, the Market Climate for stocks was mixed - valuations remain unfavorable, technical action was mixed but tenuous, with various indices flirting with widely observed levels of support and resistance (e.g. the 1100 level on the S&P 500), while leading measures of economic activity remain decidedly unfavorable.

On the other hand, both historically and even since 2009, when investors have shifted toward risk - aversion, as evidenced by divergent market internals, rich valuations and fragile economic foundations have typically resulted in steep market losses.

Unlike other valuation proxies, the Rule of 20 has been reliable in all types of equity markets and economic environments since it incorporates inflation in the valuation process (click on chart to enlarge).

Rather, the current economic downturn is likely to focus its damage on asset prices - the U.S. dollar, home values, low and mid-quality debt, and equity prices (largely through the combination of narrowing profit margins and lower valuations).

He discusses how he believes two pillars — consumer spending and corporate earnings — will continue to support US economic growth, and gives his take on equity valuations and investment opportunities in the current market environment.

Estimates of prospective long - term returns for the S&P 500 reflect our standard valuation methodology, focusing on the relationship between current market prices and earnings, dividends and other fundamentals, adjusted for variability over the economic cycle.

People who are lower on the economic and social valuation have become redundant.

He is currently the Sterling Professor of Economics at Yale University and is a Nobel Laureate as well, having been awarded the Nobel Memorial Prize in Economic Sciences for his work on data - based analysis of asset prices and valuations.

As you can see, we've moved into a rare area on the graph where valuations are far above their typical levels for the current level of economic volatility.

If there is no economic value (and placing no value on the joy of the work of valuation) in active investing then valuation and reviewing of financial statements is completely useless.

-LSB-...] talking about the important concept of economic moats in the first part of his interview, Prof. Bakshi talks about his thoughts on valuations, mental models, -LSB-...]

After talking about the important concept of economic moats in the first part of his interview, in this second and concluding part, Prof. Bakshi talks about his thoughts on valuations, mental models, diversification, checklists, and why you must buy great businesses for the long term.

We continue to hold short duration positions in both Europe and Australia given improving economic cycles and poor valuations, but remain cautious given both central banks need to see further developments on the inflation front to consider tighter policy.

Finding the yield on cash unacceptably low, people who have invested conservatively for years are beginning to throw money into stocks, despite the obvious high valuation of the market, its historically low dividend yield and the serious economic downturn currently under way.

Valuation - Informed Indexing # 392 on why Shiller is unique among some who predicted the economic crisis of 2008 and how that applies to investing By Rob Bennett A Buy - and - Hold friend of mine (a severe critic of Valuation - Informed Indexing) recently posted a -LSB-...]

For other investors, a careful study of the headline economic indicators & local market valuations will enhance risk / reward — for example, I focus particularly on Vietnam as a highly attractive single - country opportunity.

And so, accordingly, it tends to attract pretty dissimilar investor constituencies, who may only focus on: i) a handful of the largest caps, regardless of valuation & exposure, ii) stocks which (may) offer cheap / alternative access to overseas growth (a surprisingly large number of Irish companies are UK / Europe / globally focused), iii) stocks offering domestic exposure (notably, economic pure - plays are actually pretty rare), iv) a listed commercial & residential property sector that's only emerged in the past couple of years, and finally (& perhaps most notoriously) v) a (junior) resource stock sector that's been decimated in the last few years.

As of last week, the Market Climate in stocks was characterized by a combination of rich valuations, unfavorable market action, continued negative economic pressures on forward - looking indicators, and additional indicators (sentiment, credit spreads, etc) associated with a poor average return / risk profile in stocks.

The Paradox of the Zero Bound Subpar Economic Recovery Gets Premium Market Valuation Wall Street Earnings Expectations Ignore Economic Divergences The Great Divergence An Update on International Market Valuations Business Cycles, Election Cycles, and Potential Risks An Update on Valuations and Forward Earnings Assumptions Bond Yields, Earnings Yields, and Inflation A View from the NBER Recession Indicators Three Observations on Third Quarter Earnings Forward Looking Measures Still Don't Provide Evidence for a V - Shaped Recovery This Earnings Season, Watch Sales Forward Earnings Imply a Return to Near - Record Profit Margins Without Phoenix Stocks, Volume Continues to Contract Is the Job Market Ready for a Recovery?

Valuation - Informed Indexers believe that long - term price changes can be predicted because investor emotion is the primary influence on stock prices in the short term and the economic realities are the primary influence in the long term.

But if the theory behind the Valuation - Informed Indexing model is on the mark, it is not economic conditions that are causing our troubles — it is the largely ignored reality that we borrowed $ 12 trillion from future investors to pay for the bull markets of the late 1990s and that we now need to pay that money back.

On sufficient improvement in market internals, we would be inclined to establish call option positions that would gradually take us to a significantly less hedged position on persistent market strength, but we do not expect to eliminate our put option defenses until the combination of valuations and market action becomes clearly favorable, or until it is reasonable to expect a sustained economic recovery within a quarter or twOn sufficient improvement in market internals, we would be inclined to establish call option positions that would gradually take us to a significantly less hedged position on persistent market strength, but we do not expect to eliminate our put option defenses until the combination of valuations and market action becomes clearly favorable, or until it is reasonable to expect a sustained economic recovery within a quarter or twon persistent market strength, but we do not expect to eliminate our put option defenses until the combination of valuations and market action becomes clearly favorable, or until it is reasonable to expect a sustained economic recovery within a quarter or two.

JPMorgan and Credit Suisse are also bullish on EM equities, citing attractive valuations, rising earnings, and economic growth as the reasons.

Or, corporations will view higher rates as a sign of economic strength (it's there, you know) and go on a massive acquisition spree, pushing up stock valuations?

It discusses the assessment of climate change impacts on forest regulating services using an ecosystem based valuation approach and finally presents the economic valuation exercise, and corresponding monetary estimation results of forest sequestration services in the context of climate change.

This interdisciplinary conference explores the latest science on green infrastructure performance, economic valuation and public policy developments, new technological developments, and best practices in design, installation, and maintenance.

This brief provides conclusions and recommendations from the second international workshop on «Bridging the Gap between Ocean Acidification Impacts and Economic Valuation.»

• The effects of management strategies on climate, ecosystem services, and the resilience of ecosystems to climate change; field experiments and models designed to learn about coupled human - and environmental systems and to test different management interventions • The valuation of ecosystem services, including the economic or other costs associated with impacts of climate and other environmental changes • Adaptive approaches and institutional and governance mechanisms for addressing the regulatory aspects of special status species management