Experience Stern | News & Events

Excerpt from Financial News -- "The rebound in trading revenues should not tempt banks that have decided to retreat from the area to reconsider that choice. The giants of fixed income, currency and commodities that profited so handsomely in the quarter from their constancy to trading, still face long-term performance issues in the post-crisis market-making business."

Excerpt from Reuters -- "Aswath Damodaran, a valuation expert at New York University, says the auto industry qualifies as a 'bad business.' ... Not only is the industry globally not generating a return on invested capital equal to its cost of capital, which Damodaran calculates at 7.53 percent in 2015, but has only done so once in the past 10 years. There are, according to Damodaran, four main strategies for bad businesses: sell up; starve it and take cash out; close your eyes and hum; or, finally, restructure aggressively."

Excerpt from Bloomberg -- "You're talking about media plans that take years to plan. ... Also, I think a lot of different sports agencies are looking at the brands, how they're going to respond. So I think it'll be a measured, slow unwinding. But I do think they're going to withdraw from this."

Excerpt from The New York Post -- "'Wall Street has changed,' Viral Acharya, a finance professor at New York University, told The Post. 'The incentives, and the ability, to leverage through the regulatory cracks, that ability has been shrunk dramatically, however imperfect Dodd-Frank might be.'"

Excerpt from The Wall Street Journal -- "Nouriel Roubini, an economist and a professor at New York University, told the gathering that central banks have no choice but to pursue this loose policy, although it will certainly eventually lead to bubbles, because a fast tightening of monetary policy isn’t an option either, said the official."

Excerpt from VICE -- "Anindya Ghose, co-author of that study, believes that online dating apps have had a similar effect. 'Basically what the Internet does is makes it a lot easier to find a casual partner,' he told VICE News. 'Without the internet you'd have to put effort into casual relationships, chatting with someone at the bar or hanging out in places, but these platforms make it a lot more convenient and easy. That's essentially what the primary driver is.'"

Excerpt from CBS News -- "In its first year, Casper made more than $30 million in sales in the U.S. and Canada. 'The fact that they have so much word of mouth going is remarkable,' Williams said. 'But that word of mouth was generated by the ingenious design.'"

Excerpt from Big Think -- "I think American foreign policy is in the critical state that it is in part because the Americans are less interested in playing the role that we have historically. Some of that is 3 trillion dollars in wars in Iraq and Afghanistan that were seen to be very, very badly managed. Part of it is an energy revolution and a food revolution that means that ... we don't depend economically on other parts of the world, unstable parts of the world the way we used to. A part of it is the United States with... tools of power, like cyber surveillance, drones, the weaponization of finance... All of those policies don't require a lot of coordination with allies."

Excerpt from Marketwatch -- "The Greek government has made a number of unsuccessful attempts to get the U.S. to intervene on its behalf with the eurozone, said Nicholas Economides, an economics professor at NYU Stern School of Business. But he said he did not 'expect the U.S. to put a lot on the line for Greece in the G-7 meeting.'"

Excerpt from Forbes -- "They find that, keeping company size and industry constant, private U.S. companies invest nearly twice as much as those listed on the stock market: 6.8% of total assets versus just 3.7 %."

Excerpt from SciTech Now -- "We see movement to bring some of these jobs back to the US. I think one of the reasons for that is because the nature, the lifecycle of software is changing. We see a lot more rapid software development. We see a lot more development organized around, intended to answer quickly, consumer feedback and user feedback. As a result, you don't have so much of the sequential nature of development and testing. It's much more iterative. And so, this is opening up a gap in the marketplace where a lot of the headaches that are traditionally associated with going off-shore can maybe be solved and done in a more efficient way by having some of these jobs on-shore."

Excerpt from Forbes India -- "[Lev] was one of the first to credibly point out the limitations of traditional accounting-based financial analysis in capturing a) the true risk profile of [a] company and b) value creation possibilities. He believes that traditional financial analysis captures maybe 15 to 20 per cent of the reality—and I agree."

Excerpt from Fortune -- "We found that all of the job losses associated with falling house prices during the Great Recession are concentrated among establishments of companies that increased their leverage during the go-go years. Put another way: Employees who had the bad luck of living in towns with a relatively high concentration of debt-laden companies were more likely to get laid off than people who lived elsewhere."

Excerpt from The New York Times -- "Between 2009 and 2011, a group of economists at New York University’s Stern School of Business published an influential series of reports and books that sought to explain what, exactly, happened during the financial crisis. ... For the report’s principal authors, Matthew Richardson and Viral Acharya, the evidence of this shift came from careful study of the various ways that banks have legally evaded regulation of their capital requirements.A fundamental tenet of bank regulation is that banks shouldn’t borrow too much, because being overleveraged makes them vulnerable to collapse."

Excerpt from Bloomberg -- "'It’s really about how Goldman is reacting to the tidal wave of litigation that now seems to be part of the ongoing government toolkit for regulating banks,' said Roy Smith, a professor of finance at New York University’s Stern School of Business and a former Goldman Sachs partner. 'It can help to have some people who know how government prosecutors and investigators think, some guy who has the mindset of an alligator.'"

Excerpt from San Francisco Chronicle -- "The survey results 'underscore that schedule flexibility and work-life balance will be critical for the workforce of the future,' said NYU business professor Arun Sundararajan, who studies the on-demand economy. He thinks that about half of workers will be free-lancers over the next decade, either exclusively or for supplemental income."

Excerpt from Institutional Investor -- "In reality, the market is just inefficient enough to allow skillful, hardworking active investors compensation for their efforts, costs and risks, but that’s the extent of the inefficiency. The market is just inefficient enough to reward skill, but efficient enough to discourage any more active investing than that."

Excerpt from Bloomberg -- "Romer's mathiness eruption…it’s about the role of math in economic theory. Romer says that in the new, debased culture of macroeconomics, 'empirical work is science; theory is entertainment.'"

Excerpt from Financial Times -- "'I think that Barclays is just the tip of several fines on Isdafix. Isdafix may become very large, as swaps are a very large market too. Maybe fines will not be bigger than the foreign exchange fines, but I expect they could still be very big,' says Rosa Abrantes-Metz, managing director of Global Economics Group, an economic analysis company."

Excerpt from Clear Admit -- "...Stern this year expanded 'allyship'—a concept promoted within the LGBTQ community of inviting straight peers to serve as allies to LGBTQ community members—to be inclusive of all community members, a first among business schools. As part of Ally Week in April, a full 75 percent of the student body signed the Ally Pledge, promising to serve as allies to one another. 'The Ally Pledge historically has been LGBTQ-specific,' says Hurnyak. 'We changed it so that it includes all people and calls for a promise to respect everyone, making Stern a safe space for everyone.'"

Excerpt from Fort Worth Star Telegraph -- "Having researched gender stereotypes in the workplace for more than a decade, we believe what needs to happen is a change in the way gender is discussed in order to facilitate progress toward gender equality."

The Leonard N. Stern School of Business Graduate Convocation Ceremony took place on Thursday, May 21, 2015 at the Theater at Madison Square Garden.

Excerpt from Financial Times -- "My brief time in the country challenged my Western perspective and broadened my worldview in important ways. It’s inspiring to visit a place where people govern their lives differently from the way you govern your own. You not only begin to understand the nuances of their culture but you become sensitive to their unique customs and norms—sometimes even leading you to question why things are the way they are in your own culture. In essence, this is what emotional intelligence (EQ) is all about: bridging differences, building empathy and growing self-awareness."

Excerpt from SFGate -- "The survey results 'underscore that schedule flexibility and work-life balance will be critical for the workforce of the future,' said NYU business Professor Arun Sundararajan, who studies the on-demand economy. He thinks that about half of workers will be freelance over the next decade, either exclusively or as supplemental income."

Excerpt from Bloomberg -- "I think this settlement will show that authorities are serious about deterring future behavior. I think that part of changing future behavior is also a lot of the changes that have happened with respect to how benchmarks are set. The reality is that benchmarks are easy targets - they're very easy to manipulate, nobody was looking, and the gains were humongous."