Financial Market
What is the current points value of the S&P 500? (+/- 100 counts as correct)
6,466.91 (as of 8/24 9:50pm)
Name the two major stock exchanges in NYC
New York Stock Exchange (NYSE) and NASDAQ Stock Market
What is the name of NYU's business school?
Stern School of Business
What U.S. President is on the $100 bill?
Benjamin Franklin
How do you calculate Discounted Cash Flow?
Estimates the value of an investment or a company based on the present value of its expected future cash flows. Take the projected cash flows and divide them into the current value using a discount rate.
What is the "efficient market hypothesis"?
Asset prices, such as stocks, reflect all available information at all times.
What does Stern's finance program prepare you for vs what does BTM prepare you for?
Stern's finance program prepares you for entering the investment banking and finance industry while BTM prepares for you for operational and managerial roles.
What's the term for money losing value over time?
Inflation
Typically, what is the relationship between bond prices and interest rates, and when the interest rates are high, are stocks more appealing than bonds?
When interest rates rise, bond prices typically fall, and when interest rates fall, bond prices tend to rise. When interest rates are high, bonds tend to offer more competitive yields or interest payments to investors. This can make bonds relatively more attractive compared to stocks.
Risk free rate + beta (Market rate - Risk free rate)
What Austrian-school of thought economist taught at Tandon (then Polytechnic Institute)?
Murray Rothbard (1963 - 1985)
What is the smallest unit of Bitcoin?
Satoshi (.00000001 BTC)
Name the 8 Bulge Brackets
Bank of America, Goldman Sachs, Barclays, Deutsche Bank, JP Morgan Chase, Citigroup, Morgan Stanley, UBS
What is the longest period of zero total real returns in the S&P 500 since 1871? *including dividends*
20 years (1901 - 1921)
Name a professor that teaches/taught at NYU that won a Nobel-prize in economics.
Paul Romer - 2018 - Integrating technological innovations into long-run macroeconomic analysis
Robert Engle - 2003 - Autoregressive conditional heteroskedasticity (ARCH)
What is yield curve inversion and why does it matter?
When short-term government bond yields (like the 2-year Treasury) are higher than long-term yields (like 10-year Treasury). This usually indicates a recession is expected because investors anticipate an economic slowdown, causing them to shift riskier long-term investments to safer, short-term ones, driving up short-term yields and pulling down long-term yields.