Agenda

1
Agenda

• Brainteasers
• Announcements (GS Nov. 3rd Paul Shiala Partner
  Agency Mortgages 95 NYU)
• Trade Pitches (2 today)
• Mock Trading Nov. 12 noon at Stern
• 30 x 10 300 subsidy we pay for bus,
  accomodation on you (MIT Trading Comp, talk at
  portfolio meeting)

2
Asset Classes

• Equities
• Fixed Income
• Currencies
• Commodities
• SUPPLY AND DEMAND

3
Equities

• What affects stock price?
• Earnings
• Growth
• Multiples
• P/E, EV/EBITDA
• Everyday movements
• Why do investors believe earnings would be less
• Belief in earnings/psychology
• What affects priceswhat goes on in the world
• ETFs

4
Fixed Income

• Governments (rates)
• Corporates (ratescredit)
• Mortgages (ratescredit)
• PricingWhat affects each
• Investment-Grade
• High-Yield
• Crossovers
• BBB

5
Currencies

• Directly related to rates
• PPP
• Carry trade
• Balance of payments (why that affects currencies)

6
Commodities

• Goldprecious metals
• Oil/energy
• Agricultural

7
Regulation

• Glass-Steagal
• Volcker (bank-holding companies)
• Issuance will be affected (debt markets will dry
  up)
• Hostile takeovers (Drexel Burnham)
• Pricing (IPOs debt, what determines pricing? Of
  debt equity) (syndicate)
• Why distressed funds are going public