----- Original Message ----- From: Doug Henwood <dhenwood at panix.com> To: <lbo-talk at lists.panix.com> Sent: Thursday, January 06, 2000 10:35 AM Subject: RE: thegreatcrash.com press release
> From Richard A Brealey and Stewart C Myers, Principles of Corporate
> Finance, Fourth Edition (McGraw-Hill, 1991), p. 60. Maybe there's a
> new edition that's gotten more in touch with the New Era. Their use
> of DEC as a growth stock example is pretty sobering.
I went to Amazon to check out this book. Thought this review was interesting (and there are three or four more on the site like this):
Why do investment bankers on the Street love this book? Simple---it makes their lightweight discipline look like rocket science, especially if you're unitiated. The structure of the book is tortuous and confusing, there is no mention of CAPM or Arbitrage Pricing Theory, precious little attention to statistics, and the authors' idiosyncratic (and unfunny) sense of humor. For those who want a thorough, simple introduction, get Ross/Westerfield/Jaffe's fine Corporate Finance; for those who want to get their hands dirty, try any of Damodaran's books or Bodie/Kane/Marcus Investments. Frankly, finance should be about making money---not wading through this kind of garbage.
Rocket science without statistics? How could it be?
Christian