Consulting on quantitative stock selection strategies and sharing my research output with clients. In this regard, see article number 16, EQUIVIEW: A RANK ORDER STOCK SELECTION MODEL (which I developed using Lotus 123 macros combined with a 1600 stock database that clients would buy from Value Line); and article #17, THE PROBLEM WITH QUANTITATIVE STOCK SELECTION MODELS, that is in the INVESTMENTS section of my web site, paradoxinvestments.com. Also of note is article #1… Show more Consulting on quantitative stock selection strategies and sharing my research output with clients. In this regard, see article number 16, EQUIVIEW: A RANK ORDER STOCK SELECTION MODEL (which I developed using Lotus 123 macros combined with a 1600 stock database that clients would buy from Value Line); and article #17, THE PROBLEM WITH QUANTITATIVE STOCK SELECTION MODELS, that is in the INVESTMENTS section of my web site, paradoxinvestments.com. Also of note is article #1 which includes John Maynard Keynes' classic essay about the stock market and "beauty contests". Thus, Keynes easily destroyed the EFFICIENT MARKET HYPOTHESIS way back in 1936 by using one brilliant metaphor after another -- without a single number or equation in sight); and article #9, EVIDENCE ON THE MISPRICING OF COMMON STOCKS -- THE DJIA REEXAMINED. Finally, of some relevance also is article #15, THE DEFINED FUTURE EARNINGS MODEL AND THE RIDDLE OF PERPETUAL CLAIMS, which indirectly makes the case for index funds -- if your abilities as a securities analyst, or portfolio manager, do not at least match those of Warren Buffett! As for the chronic absurdity of the Efficient Market Hypothesis, click on the OVERVIEW tab on the home page of my web site for a brief refutation of the EMH that is in the process of becoming a much more substantial article. Show less

In addition to what has already been reported, I have given talks to the New York Society of Security Analysts (THE CAPITAL ASSET MODEL REVISITED) and to The Center for Investment Research, founded by two Noble Laureates among others (SURVEY OF ERRORS IN CONSENSUS ESTIMATES OF LONG-TERM EARNINGS GROWTH RATES); as well as making a speech to institutional investors at the Waldorf Astoria in 1968.I served on the "faculty" at the 1985 FINANCIAL INVESTMENT MICRO COMPUTER CONFERENCE AND… Show more In addition to what has already been reported, I have given talks to the New York Society of Security Analysts (THE CAPITAL ASSET MODEL REVISITED) and to The Center for Investment Research, founded by two Noble Laureates among others (SURVEY OF ERRORS IN CONSENSUS ESTIMATES OF LONG-TERM EARNINGS GROWTH RATES); as well as making a speech to institutional investors at the Waldorf Astoria in 1968.I served on the "faculty" at the 1985 FINANCIAL INVESTMENT MICRO COMPUTER CONFERENCE AND EXPOSITION in New York City. My article, EARNINGS EXPECTATIONS AND SECURITY PRICES was reviewed in THE CFA DIGEST and included in THE HANDBOOK OF CORPORATE EARNINGS ANALYSIS: COMPANY PERFORMANCE AND STOCK MARKET VALUATION along with articles by Robert D. Arnott, T. Daniel Coggin, Werner F.M. De Bondt, Edwin J. Elton, Dan Givoly, Martin J. Gruber, John B. Guerard, Jr., Mustafa Gultekin, Josef Lakonishok, Burton Malkiel, John W. Peavy III, William R. Reichenstein, Richard H. Thaler, Langdon B. Wheeler and Leonard Zacks.In addition to the companies I have actually worked for, I have received job offers from IBM, Metropolitan Life, Randall Helms Fiduciary Consultants and Lockheed-Martin.Among my consulting clients while at Investment Analytics were DuPont, Merrill Lynch, Warner Lambert, Home Insurance Company, INFOCOMM SYSTEMS, Rochdale Capital Management and Randall Helms. Show less

Analysis of the theoretical and practical applications of consensus forecasts of corporate earnings. In addition to writing a weekly newsletter for clients, I was responsible for relations between I/B/E/S and the academic community. While at LJR, I also wrote EARNINGS EXPECTATIONS AND SECURITY PRICES, published in the Sept-Oct 1984 issue of THE FINANCIAL ANALYSTS JOURNAL. The article was accepted on the spot by then Editor in Chief, Charles D' Ambrosio without peer review. Thus, he wrote… Show more Analysis of the theoretical and practical applications of consensus forecasts of corporate earnings. In addition to writing a weekly newsletter for clients, I was responsible for relations between I/B/E/S and the academic community. While at LJR, I also wrote EARNINGS EXPECTATIONS AND SECURITY PRICES, published in the Sept-Oct 1984 issue of THE FINANCIAL ANALYSTS JOURNAL. The article was accepted on the spot by then Editor in Chief, Charles D' Ambrosio without peer review. Thus, he wrote back to me saying. "I think its great; just the kind of "stuff" our readership needs: systematic, scholarly approach to nuts-and-bolts issues. I accept it for publication." FAJ-1, as I refer to it, was the first article in print on the power of consensus-earnings-estimate-revisions to move security prices. The "random appearance" of these revisions has since become a major source of investor interest, activity and trading. My article was the "first in line" for the FINANCIAL ANALYSTS JOURNAL'S special edition honoring the lifetime work of Benjamin Graham -- the "metrologist of stocks and bonds" according to Harry Markowitz. Wayne Daniel, of Salmon Brothers, did the computer programming and I wrote the article which has received 55 professional citations. At around the time I joined LJR in 1981, I had just completed QUANTUM MECHANICS AND MODERN CAPITAL MARKET THEORY (which is on my web site) about which Peter Bernstein, Editor of THE JOURNAL OF PORTFOLIO MANAGEMENT, wrote to me: "I like this article a lot and would be interested in carrying it...It teaches two lessons at once....." Well, Bernstein also asked me to write something for the article about Nobel Laureate Milton Friedman's "Economic Positivism" which asserts that "the assumptions of a model," however bizarre, "do not matter" so long as the model (such as the CAPM) predicts outcomes better than any alternative -- which the CAPM certainly does not do; nor does the "Efficient Frontier," for that matter. Show less

Securities Analysis and Portfolio Management. One of my colleagues at MBL was Robert Angelica who later became Director of the AT&T pension fund. Bob generously served as a job reference for me as did Steve Einhorn, a key Partner at Goldman Sachs, who later joined the hedge fund, OMEGA ADVISORS. Another colleague of mine at MBL was Edgar Peters who is now a Partner at First Quadrant and was previously Chief Investment Officer for PanAgora Asset Management. Ed has also become the… Show more Securities Analysis and Portfolio Management. One of my colleagues at MBL was Robert Angelica who later became Director of the AT&T pension fund. Bob generously served as a job reference for me as did Steve Einhorn, a key Partner at Goldman Sachs, who later joined the hedge fund, OMEGA ADVISORS. Another colleague of mine at MBL was Edgar Peters who is now a Partner at First Quadrant and was previously Chief Investment Officer for PanAgora Asset Management. Ed has also become the investment community's leading authority on Chaos Theory and the Capital Markets and has written three books on the subject -- with over 3,000 professional citations according to Google Scholar. Ed and I still talk often about the capital markets and other shared interests. Show less

Stock Selection and Deal Promotion. I was there during the period that former Under-Secretary of State, George Ball -- LBJ's fiercest critic over Vietnam -- was a Partner, not to mention the billionaire Pete Peterson (former Secretary of Commerce) and founder of The Concord Coalition with Senator "X" (deceased) and Sam Nunn.Meanwhile, here is what Lehman's misfortune, due to dealing in bogus securities which left the firm with only $650 billion in assets (while it needed $675 billion),… Show more Stock Selection and Deal Promotion. I was there during the period that former Under-Secretary of State, George Ball -- LBJ's fiercest critic over Vietnam -- was a Partner, not to mention the billionaire Pete Peterson (former Secretary of Commerce) and founder of The Concord Coalition with Senator "X" (deceased) and Sam Nunn.Meanwhile, here is what Lehman's misfortune, due to dealing in bogus securities which left the firm with only $650 billion in assets (while it needed $675 billion), removed from Wall Street. It is from a 1966 article in TIME: "Lehman's principal business is investment banking - with $1.7 billion of underwritings last year. The firm runs second only to First Boston ...Thus, Lehman's partners and associates sit on the boards of over 100 large corporations including General Motors, RCA, Pan American Airways, Tidewater Oil, American Express and United Fruit. Altogether, Lehman guides or controls the investment of $2 billion of other people's money -- more than any of its rivals.Robert Lehman controls the major part of the firm's capital with just enough wall space for six paintings from his $100 million private collection...Top members of the firm gather daily, in what must be one of the oldest, but finest, corporate dining rooms in America, to savor epicurean food prepared by a former chef of Le Pavillon restaurant, while they discuss ice-breaking new ways of investing and making money....Lehman has also enhanced its growth and prestige by creating two of the largest U.S. investment trusts: Lehman Corp and the One William Street Trust. The firm operates an Investment Advisory Service for blue-chip clients which has grown into the largest run by any investment house. The Partners of Lehman contend that private banking faces more opportunities than problems (there will be satellites, high speed trains, undersea dwellings, passenger travel through space) and feel certain of one thing: nobody is likely to devise a substitute for money." Show less

Responsible for the Paper, Tobacco and Metal and Glass Container industries. Alan Greenspan was a consultant to DHR while I worked under the extraordinary leadership of Paul F. Miller, Jr. who said to me after a job interview: "Well, Gene, you can start tomorrow as far as I'm concerned." Paul left DHR and later sold the "research boutique" he started to Morgan Stanley for $350 million. While at Drexel, I corresponded with the legendary Editor of the FAJ, Nicholas Molodovsky, who (quite… Show more Responsible for the Paper, Tobacco and Metal and Glass Container industries. Alan Greenspan was a consultant to DHR while I worked under the extraordinary leadership of Paul F. Miller, Jr. who said to me after a job interview: "Well, Gene, you can start tomorrow as far as I'm concerned." Paul left DHR and later sold the "research boutique" he started to Morgan Stanley for $350 million. While at Drexel, I corresponded with the legendary Editor of the FAJ, Nicholas Molodovsky, who (quite ironically) wrote to me: "I feel that we are reaching the saturation point with our series of articles on the Random Walk Hypothesis...particularly because we are not an academic journal and the majority of our readers are generally irritated by theoretical articles..."[And later on] "As a Russian, I was particularly pleased to see your reference to Dostoevsky, which was so much apropos." Show less