In the spring of 2008, the world was hit by the worst Financial Crisis since World War 2. The crisis began during the Reagan administration and concluded a couple decades later with the collapse of the housing bubble. Behavioral Finance defines the term “bubble” as an event occurring before a market crash due to overvalued market prices (Ricciardi 2000). The housing bubble, which grew alongside the stock bubble in the mid 90’s, eventually burst, and a financial meltdown ensued. Initially, one bank
Words: 1345 - Pages: 6
whose behaviour they could not predict • The SEC was exposed as ill-equipped to deal with the chaos after the GFC • US govt handed the financial sector a multi-billion dollar bailout • In 2010, it SEC reached it largest ever settlement when Goldman Sachs was fined $550 million for committing fraud by misleading investors about mortgage securities • Lack of attention to detail to every level of an enterprise Mary Schapiro • Career regulator • She was appointed by the president to assess
Words: 744 - Pages: 3
founder, who still controls 15.6 percent of the shares. Dell has also gotten bids from Blackstone Group (BX) and Carl Icahn. The two deals “may be unique to this quarter,” says Michael Carr, head of mergers and acquisitions for the Americas at Goldman Sachs (GS). At other companies, concern about U.S. government spending cuts, leadership changes in China, and persistent sovereign debt problems in Europe are weighing on executive confidence and inhibiting deals, according to Mark Shafir, co-head of
Words: 786 - Pages: 4
History and Evolution of the Securities and Exchange Commission The Securities and Exchange Commission was created at the conclusion of the Senate Banking and Currency Committee’s 1932–1934 investigation of stock exchange practices, usually called the Pecora Hearings, in recognition of the decisive role played by the committee’s counsel, Ferdinand Pecora.(Macey, 2010) Between September 1, 1929, and July 1, 1932, the value of all stocks listed on the New York Stock Exchange shrank
Words: 3762 - Pages: 16
Restructuring and Rebuilding In the wake of support received from the U.S. government, AIG has modified its operations and structure to strengthen its financial condition and enhance the enterprise value of its nucleus of businesses to meet working capital needs and repay obligations to U.S. taxpayers. To meet these objectives, AIG has focused on four main priorities: • Building AIG’s enterprise value by strengthening its international property and casualty and domestic life insurance businesses
Words: 2295 - Pages: 10
IPO When a business is growing, but not as quickly as it could, the next best thing to do instead of borrowing capital is going public. A company can do so by creating an initial public offering, or IPO where they sell ownership shares of the business to the public. The IPO can open windows of opportunities for a business in terms of financial growth and public awareness. On the downside, an IPO can restructure a company’s management and everything about the company must be disclosed and viewed
Words: 2294 - Pages: 10
Summary of JADS transactions over the past three months: Overall Portfolio Performance Month | Monthly Returns | September | 467,414.43 | October | 402,622.24 | November | 330,099.25 | Total | 1,200,135.92 | Over the past three (3) months, JADS group performed quite well in comparison with other groups. There were at least 2 members who made significant returns on investment. There were some stocks trades which resulted in high gains whilst there were others which incurred losses from
Words: 2254 - Pages: 10
Course Name: Economics of Financial Institutions Course Code: ECON 3031 ID#: 620031134 Name: Ronel Richardson Date: July 5, 2013 Introduction In the eyes of the general public the stock market can seem a lot like gambling. Choosing the right time to invest plays a vital role in whether you realize tremendous returns on your investment or simply a loss. The fact that the stock market plays an important role in the health of the economy it leads us to ask the following questions: how the stock
Words: 2219 - Pages: 9
market for Tata Motors. India had good economic conditions in the year 2004. They had a growth rate of 8%, their gross domestic product (GDP) grew 4.3% in fiscal year 2003, and the GDP was expected to grow 11% in fiscal year 2007. According to Goldman Sachs, India will have the highest growth rate in GDP in comparison with other emerging economies until 2045-2050. It was also expected that in 2009, 60% of India’s population will be 25 years of age and less. Transportation needs grew to 13.5% in the
Words: 851 - Pages: 4
Goldman Sachs (India) Finance Private Limited Internal Guidelines on Corporate Governance Contents/Structure Sr. No. 1 2 3 Section reference Section I Section II Section III Area Eligible Criteria Corporate Governance Mission Board of Directors 3.1 Key Role 3.2 Composition and Selection of BOD 3.3 Board Meetings 3.4 Powers of the Board 3.5 Information to be placed before BOD 3.6 Change in Status or Responsibilities Sub-area 4 5 6 Section IV Section V Section VI Board Committees Conflict
Words: 887 - Pages: 4
