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Piecing Together the Jigsaw: Applied Investment Theory

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Notes

  1. 1.

    Chen and Zhang (2007), for example, develop and test a model of how accounting variables explain returns; and Barberis et al. (1998), Daniel et al. (1998), and Hong and Stein (1999) test various models of how recognised investment biases could impact valuations.

  2. 2.

    See, amongst others: Beckmann et al. (2008), Brown et al. (2014), Drachter et al. (2007), Farnsworth and Taylor (2006), and Tuckett and Taffler (2012).

  3. 3.

    The popular textbook by Brealey et al. (2012) leads its list of known finance facts with discounted cash flow analysis.

  4. 4.

    As an example, Boudoukh et al. (2013) state: “A basic tenet of financial economics is that asset prices change in response to unexpected fundamental information”.

  5. 5.

    In the United States since 2007 alone, major financial institutions that collapsed include: AIG, Bear Sterns, Fannie Mae, Freddie Mac, Lehman Brothers, Madoff Investment Securities, Merrill Lynch and Washington Mutual.

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Coleman, L. (2016). Piecing Together the Jigsaw: Applied Investment Theory . In: Applied Investment Theory. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-319-43976-1_10

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