Corporate Performance, Valuation, and Market Performance
Thursday, October 14, 2010
12:30pm - 2:10pm
Speaker: Rafael Resendes
Accounting based performance metrics suffer from inherent flaws that prevent them from properly summarizing a firm’s true underlying performance. This presentation reviews many of the common accounting distortions related to GAAP, IFRS, and other local country accounting standards. The talk then reviews how The Applied Finance Group addresses those issues to measure corporate performance through its Economic Margin™ Framework.
After laying a foundation for corporate performance measurement globally, the talk transitions to how analysts, portfolio managers and corporate executives can apply this information for daily decisions. This aspect of the discussion focuses on how global markets reward and punish firms on the basis of: economic performance; management quality; and deviations from intrinsic value. Various company specific examples and aggregate empirical data is discussed to illustrate each concept and support its use in investment activities.
The presentation concludes with a review of global markets using AFG’s Value Expectations™ Framework to understand the corporate performance expectations embedded in stock prices for various markets around the world.
Mr. Resendes co-founded The Applied Finance Group (AFG) in 1995 with Daniel J. Obrycki to develop an investment research firm that helps institutional investors, and corporate executives understand the growth and profitability embedded in share prices. They focused their research on understanding: why earnings do not reflect a company’s true profits; why P/E ratios are poor proxies for company value; and why growth contrary to popular beliefs often destroys value. Since its inception 15 years ago, AFG’s buy-and-sell recommendations and model portfolios have consistently outperformed their benchmarks across size, style, economic sectors, and countries. Currently over 220 investment houses, corporations, and consulting firms around the world utilize AFG’s research.
Thursday October 14, 2010
Please indicate lunch choice at time of registration:
Salad…mixed greens with crispy red beets, roasted golden beets, tomatoes, and shaved Parmesan cheese with a basil vinaigrette.
AND (please choose one of the following)
[A] Herb crusted salmon with a chardonnay citrus sauce, red roasted potatoes, baby carrots and green beans
[B] Sautéed chicken breast in a Chardonnay, lemon & caper sauce served with mashed potatoes and julienne vegetables
[C] Pasta Primavera (vegetarian option)
Registration (please click links directly below):
Time: 12:30 pm – 2:10 pm
Location: Stella Mare’s (Greenhouse)
50 Los Patos Way
Santa Barbara, CA 93108
Payment methods accepted: Visa/Mastercard, American Express and Discover. If you prefer to pay by check please register online and select "purchase order" as your payment option and enter your last name as the purchase order number. Mail check to: CFA Society of Los Angeles, 350 S. Grand Ave, Suite 1680, Los Angeles CA 90071.
Credit card payments will not be accepted by phone or email.