As price volatility during the last five years has clearly demonstrated, there is simply no substitute for in-depth fundamental analysis to determine intrinsic value. At the recent 15th Annual Equity Research and Valuation Conference in Philadelphia, CFA Institute and CFA Society Philadelphia gathered world-class investors — including such luminaries as Aswath Damodaran, John C. Bogle, and Michael J. Mauboussin — to discuss how analytical tools are best applied to specific sectors.
In the keynote session, “Assessing the Relative Value of Stocks, Bonds, and Other Asset Classes,” Jeremy J. Siegel of the Wharton School of the University of Pennsylvania discussed the outlook for stocks and the global economy. He emphasized the importance of looking at the long-term average annualized returns and offered a criticism of the Shiller PE ratio. The speech was broadcast live, and an archived version is available if you missed it.
Below is a roundup of the social media highlights from the event. For more details, see #CFAEQ12, read a summary of Michael J. Mauboussin’s presentation, and look for forthcoming coverage of the individual sessions on this blog.