One thing that NYU Stern students know really well is financial valuation – that is, determining the intrinsic value of securities. Renowned NYU professor Aswath Damodaran teaches several courses on the subject matter, ensuring that all Stern students (as well as those who follow his blog) have a solid understanding of how to value stocks and bonds. But investing is not just about valuation – it’s about the evaluation of a number of quantitative and qualitative factors, including price, value, risk and return, in the context of an ever-changing investment opportunity set. Hence, the name of NYU Stern’s inaugural investment newsletter: EVALUATION.
It is our pleasure to introduce the first issue of Stern’s studentrun investment newsletter, covering a range of topics, from global value investing to sector-specific commentary. Inside you will find interviews with industry participants and academics alike, perspectives from seasoned professionals to young alumni, as well as student-submitted work. We hope that you enjoy, and take away a few new ideas!
Finally, we would like to thank our interviewees for their contributions, as this would not be possible without their valuable insights. With that, happy reading!
Your EV Editors,
Mike & Bryce
EVALUATION (EV): When did you first become interested in investing? What was your first investment?
James Rosenwald (JR): I first became interested in investing when I was 12 years old. I would discuss investments with my grandfather who was a securities analyst at Nikko Securities. While on vacations we would discuss the balance sheets of corporations and how accounting differed in Japan and the US. I was instructed on how to reconstruct income statements using a first generation calculator and a 12 column accounting pad.
My first investments were made in 1970 in Kirin Beer and Bank of Tokyo. Kirin was the first export beer from Japan and was growing at high double digit rates due to increases in beer
consumption in Japan as consumer demand expanded.