In the shadow of Facebook’s (NASDAQ: FB) awful IPO comes this list of “commandments” for successful public offerings (IPOs and secondaries) by Nic Colas of ConvergEx:
Create The Illusion of Scarcity. The biggest challenge to a successful stock offering is to convince the base of buyers that there is much more demand than supply. Raising the price range of an offering a good sign. Increasing the number of shares is much more problematic and requires a “Measure twice, cut once” approach. . . .
The questions were fairly innocuous and appeared to be probing the breakdown between distributors and the actual buyers of Herbalife products. Yet soon after Mr. Einhorn’s questions, the company’s shares tumbled. Investors were assuming he knew something and had placed a big short bet.
Mr. Einhorn, however, did not and has not disclosed whether his firm has any position whatsoever in the stock. Does that make sense . . .
When talking about Zuckerberg’s most valuable personality trait, a colleague jokingly invokes the famous Stanford marshmallow tests, in which researchers found a correlation between a young child’s ability to delay gratification—devour one treat right away, or wait and be rewarded with two—with high achievement later in life. If Zuckerberg had been one of the Stanford scientists’ subjects, the colleague jokes, Facebook would never have been created: He’d . . .
I am a big fan of Ayn Rand and I was absolutely thrilled to come across this interview she did with Mike Wallace from 1959. She discusses the basis of her philosophy, objectivism, which was taking the United States by storm:
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