Teaching Finance the Maryland Smith Way
Short-term thinking hurts companies. But finance students at Maryland Smith learn a different approach. They focus on value maximization, not profit maximization.
How Shareholder Primacy Wards Off Short-termism
Companies have built-in incentives to avoid short-termism. But they fall into the myopia trap when they confuse value creation with income maximization.
Here’s What’s Missing From the Shareholder Primacy Debate
Critics come down hard on shareholder primacy. But Maryland Smith professor Michael Faulkender says people err when they overlook risk/reward economics.
A New Way To Predict Mutual Fund Returns
With so many mutual fund companies and so many pricing options out there, how should an investor choose?
How Bezos Defies Tech's Biggest Myth
Industry giant Amazon started in a garage, like many of Silicon Valley's storied startups. But its founder, Jeff Bezos, did not drop out of college.
The Saving-Too-Little Myth
This isn’t another article about avocado toast, the delicious scapegoat to an entire generation’s money problems.
A Textbook Emerging Market Crisis? Not Exactly
The current emerging market crisis has been stirring uncertainty among investors, much like similar crises we've seen before. But Maryland Smith’s Pablo Slutzky explains why this one might be different.
Robinhood Effect: Why JPMorgan Is Offering Free Stock Trades
SMITH BRAIN TRUST – In a kind of Robinhood effect, JPMorgan Chase recently launched a new digital investing service with deeply discounted trading fees and free access to the bank’s stock research. It’s seeking to attract younger, millennial investors and striving to fend off competition from fast-growing startups – notably Robinhood Markets Inc. – that offer unlimited, free app-enabled trading services.
What Is a Poison Pill, Anyway?
It's not often that a company's board of directors employs a poison pill to fend off a hostile takeover. Even rarer is the way it's being used at Papa John's.
Fannie and Freddie Might Need Your Money
Ten years after Fannie Mae and Freddie Mac were placement into conservatorship, the two mortgage-finance giants might soon face a new crisis.