Equity Valuation, Risk and Investment: A Practitioner's Roadmap

9780470226407

0470226404

Praise for Equity Valuation, Risk, And Investment "Equity Valuation, Risk, and Investment pulls off the difficult feat of making an original contribution to the core of investment theory. With a combination of mathematical rigor, historical perspective, and clear exposition, Peter Stimes provides invaluable insights into valuation and portfolio construction." -Martin Fridson, CFA, Publisher, Leverage World "Peter Stimes translates the arcana of valuation models into common sense and plain English. This book will be a useful reference for anyone who is focused on fundamental measures of valuation as part of their investment process." -Rob Arnott, Chairman, Research Affiliates, LLC, Editor Emeritus, Financial Analysts Journal "Peter Stimes successfully integrates his years of practical experience in both fixed income and equity markets to propose an altogether new way of considering risk and valuation in equity portfolios. He does this in large part by applying insights derived from recent capital market innovations to the work of previous academicians and practitioners, such as Leibowitz, Fama, and Miller. Among other things, what emerges calls into question much of the codification of modern equity markets (growth vs. value, large-cap vs. small, significance of P/E ratios, etc.) and cogently argues for portfolio managers and fiduciaries to consider new ways of discovering opportunities within these markets." -Lawrence B. Zuntz, former managing director, Institutional Business Division, Strong Capital Management "This book is an important resource for equity investors, in particular value investors. Peter Stimes, using his extensive investment experience and thorough understanding of financial theory and mathematics, develops, explains, and verifies the validity of an equity valuation model that adjusts for the effects of inflation. The book is written in a reader-friendly style." -Kevin Larson, CFA, Senior Vice President, CFO, and Treasurer, UniSource Energy Corporation "Behavioral finance, inflation adjusted equities, and a well thought out plan for long-term investment are ably described by Peter Stimes in his new book. His insight and experience have been used to produce an investment approach to help ameliorate the possible upcoming financial tsunami caused by retiring baby boomers. Investors, of all ages, can profit from applying his model to their investments." -Jeanne M. Boeh, PhD, Chair and Associate Professor, Economics Department, Augsburg College