CFA Lecture: The Dark Side of Financial Statement Analysis (München)

By Professor Joel Litman

Chief Investment Strategist, Valens Securities and Professor at Hult International Business School


Thursday, 19th May 2016



6:00 PM – Doors open
6:15 PM – Lecture and Q&A
7:45 PM – Get together
*Snacks and refreshments will be provided.


DONNER & REUSCHEL Aktiengesellschaft
Friedrichstraße 18
80801 München

Language: English

The Gross Distortions Lurking in the Financial Statements and How To Greatly Improve Equity and Credit Research


The content of this program has been one of the most popular across CFA Societies around the world. GAAP, IAS, and IFRS Financial Statements don’t report economic reality. Instead, they provide a collection of mis-categorized, inconsistently measured, and misunderstood metrics that distort financial analysis. When financial statements are properly adjusted to the purpose of the analysis, accounting distortions are systematically and manually removed. Through this, one gains an entirely new understanding of business performance and thereby equity valuations and credit analysis. Seemingly endless controversies around the cost of capital, use of multiples, terminal values, and DCF models seem far more reasonably solvable. The goal is the achievement of an extremely practical framework for fundamental financial research.