It’s been too long since I last read a book since I am always drowning in academic articles. It is quite refreshing and I do hope to read more before starting full-time employment in September.
Peter Thiel is a co-founder of Paypal, Palantir, Founder’s Fund, and the first outside investor in Facebook. Together with other well-known entrepreneurs like Elon Musk — Tesla, SpaceX; Reid Hoffman — Linkedin; Steve Chen, Chad Hurley, Jawed Karim — Youtube, Jeremy Stoppelman and Russel Simmons — Yelp and David Sacks — Yammer, they built Paypal which transformed the way payment works.
The main message in…
Since I became rather frustrated with my thesis and the whole process of propensity score matching… I thought, why not write about this so someone in the future could be less frustrated by the confusing amount of information out there!
But first, a picture to calm everyone and me down 😃
First, is to understand why do we even use propensity matching? In this article, the author did a great job illustrating the example and rationale 👍
Then, one can move onto the R programme (package: Matchit or Matching) to actually see a code example of R-perspective. They both have…
After 2 months of struggling to keep up with all the citations and bombarding of information, I finally learn to create a system that works to make my reading and writing easier. Feel free to copy my system :)
2. Clean up my folder regularly
It is already quite frustrating to keep up with the thesis deadlines and article, but even crazier when you have files named FINAL_thesis, FINAL_thesis v1, FINALFINAL_thesis, etc. So it is a good reminder to review what is important in the folder and archiving is very important! One needs to be bold…
The article by Jason Voss, CFA, talked about how financial practitioners are either ignorant or becoming overly-reliant on database aggregators, and the consequences will be devastating. As I reflect upon this, any financial analyst who does not take time to learn and refresh on their skills of accounting, myself included, is likened to an airplane pilot who does not take time to learn about the new autopilot technology (e.g. the Boeing 737 MCAS software) nor do they refresh their skills by practice manual flying. …
My favourite book of all time! Bought this book when I was strolling around Trafalgar Square, London. Crazy weekend indeed after a grueling assessment center with Bank of America! But glad that I bought this book :)
It is striking to me when describing the “child mortality rate”, it is not simply that knowing the number of children who died 5 years after birth, but it also implies that a country would have a good healthcare system that ensures the child’s survival; a good level of food supply for the child, good sewage system…
I am so thankful to be able to finish reading this book during the Christmas break :) anyway, I thought of just updating my first 2021 content with the key takeaways from this book!
From the 1593 tulip-bulb bubble to the famous 2000 internet bubble, it is always a good reminder of the “madness of crowds”. Bubbles and investor irrationality is not uncommon. I am reminded to always take a step back to think, especially away from the crowds, bankers, friends and family to understand the underlying mechanism driving the market.
By recalling the development of the financial…
When people ask me this question, I have a strong urge to clarify the concepts of these two terminologies. So here there are!
First, the scope of comparison is different. When we speak of the economy, we are encapsulating the entire economy across all industries, all private and public, small and big companies alike. Now contrast that to the financial market indices which are exclusive to only large, public companies listed in the US. If we take the SP500, then we are further filtering the measure to the largest 500 companies with biased towards specific industries like Healthcare and IT…
Perhaps let's start with the all-too-familiar investment bank. Here from WSP, I found an incredible relationship map of the various parties involved. I would say that this is perhaps 10x clearer than most presentations I have seen from actual investment banks themselves (e.g. BaML or JPM). Throughout my research, investment banks are almost always synonymous with M&A and often have other nicknames like wholesale bank, advisory, and corporate finance, however, it is not always the case as seen in figure 1.
Faced with the COVID-19 pandemic, we are witnessing 3 distinct trends in the market — yield curve changes with Fed intervention, US currency demand surge widening the cross-currency basis and the imminent corporate debt crisis. The severity of the impact is uncertain and is heavily dependent on the future measures taken by the central banks, governments and largely on the progress of COVID spread.
Yield Curve Development
On the 29th September 2020, Altia and Arcus announced a merger, citing reasons for stronger Nordic and Baltic region presence. Synergies of €8–10million are expected across cost and revenue synergies.
Assuming an offer value of €292 million, I believe this deal is dilutive (-28%) for the next 3 years and would require an additional €25.3 million pretax synergy to breakeven. The complication of exchange rates (NOK-EUR) as well as the lack of insights to % asset write-up, makes the model rather inaccurate; however, given an all-stock deal, I believe that these assumptions would not significantly affect the results.