In this edition: recent developments such as Brexit as well as insights from investment luminaries, including a Nobel Laureate's advice to his children on managing money and Edward Altman of Altman Z-score fame on global credit markets.
Edward Altman anticipated the 2008 credit meltdown in 2007. He believes another bubble is building in credit markets today. He explains why in the last installment of his interview with Larry Cao, CFA.
It's been nearly a half century since Edward Altman developed his Z-score model for assessing a company's potential for bankruptcy. In the second part of his interview with Larry Cao, CFA, he discusses how the model is applied and misapplied today.
Edward Altman recently spoke with Larry Cao, CFA, in Hong Hong about the Altman Z-score, its original inspiration, evolution, use and misuse, as well as the current credit situation around the world. In this first installment, Altman discusses how the Z-score model was developed and how its latest iterations have built on that initial foundation.