Thoughts of a teacher & practitioner of value investing and behavioral economics
I asked this question from my students in the mid-term exam at MDI today. Risk Arbitrage Template # 1: Base case of risk-free open offer Company A’s stock price is quoting at Rs 35 per share. Suddenly, a competitor of Company A makes an offer to buy out all the outstanding shares of the company… Continue reading Can You Teach Risk Arbitrage?
There is a company which has the world’s strangest bond outstanding. Strange, because this bond has no maturity date. Stranger, because the bond issuer pays no interest on it. Strangest, because year after year, the issuer gets paid to have this bond on its balance sheet. What better source of financing is there than one… Continue reading Flirting with Floats: Part I
Fundoo Professor 
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