Some things change others never do. Fischer Black seems to be one of those things. After a long vacation, Fischer returned to the corporate world when he accepted a position at Goldman Sachs. The time away from the private sector was not misspent however. The research he had begun while at academia would help him as he consulted with one of the biggest financial institution in the world. During this time he had also been able to develop ideas and demonstrate his talents through different projects. In the end Goldman Sachs hired him. This came with an added benefit to his personal life as his father approved of his work in “real job.” His ex-wife was also overjoyed, as she received 40% of his salary. She found however that though his salary had changed, he really had not.
D for Skylar - 3 mistakes is not passing work for a Master's student.
ReplyDeleteI love the simplicity of the rules at the end of the section: discount at the current interest rate, while maybe not an improvement over using WACC, is a huge improvement over the non-sensical subjective discount rates often used by managers. And, of course, "Use pro form earnings statements..." is pretty much Chapter 11 of most finance texts.