Friendly Finances & Loans

Cultural forces influence how well partnerships develop. Each company’s management style, whether autocratic or consensus based, may be a factor. Is the organization’s culture past oriented or future oriented? Is the corporate culture closed or open? Are organizational structures flexible or rigid? Are partners willing to collaborate on all critical issues? Later in the Explore [...]

All of the examined asset classes exhibit significant positive autocorrelation. There are two main reasons that should be noted. As mentioned earlier, one reason is the illiquidity of certain segments of the international bond markets. The high-yield sector is a typical example for a rather illiquid market segment. Broad high-yield indices represent the investment universe [...]

Discounted cash flow is based on one key principle: that the value of money changes, effectively reducing with time. In other words, cash today is worth more than cash promised in the future. For example, it is not worth investing $100,000 today for the promise of the same amount returned next year; more usefully, discounted [...]

Harley-Davidson, a motorcycle manufacturer, hit hard times during the late 1970s that resulted in a management buy-out in 1981. At this point, senior managers visited Honda’s Marysville, Ohio, motorcycle facility. The contrast with their own facility was dramatic in terms of layout, production flow, efficiency and inventory management. Harley’s managers concluded that if they were [...]