Events

CFA Society Philippines – Calculating TRUE EARNING POWER: Advanced Financial Analysis Beyond GAAP/PFRS

By Professor Joel Litman

CEO of Valens Research, Former Deloitte Director, Former PwC Senior Principal, Credit Suisse and American Express Alumni

Date

Friday, 25th June 2021

Schedule

PHT
10:00 AM – 11:30 AM

ET

10:00 PM – 11:30 PM

This engaging event discusses and highlights inconsistencies and quality issues of earnings, assets, and credit metrics, as evidenced by many U.S. and Philippine companies.

The fact is, Uniform Earning Power—under Uniform Accounting—drives stock prices, not the as-reported PFRS or GAAP-based accounting numbers.  

Poll the greatest investors in the world and see how they adjust reported numbers into economic reality. UAFRS-based research reports are actively in use at 9 of the top 10 investment firms in the world—and more than 200 of the top 300 global money managers. 

The “erosion in the quality of earnings” and financial statements, in general, has been a deterioration several decades in the making. Financial analysis and valuations are inherently getting less reliable.   

International Financial Reporting Standards (IFRS), PFRS, and GAAP have led to financial statements that are inconsistent, incomparable, and materially distorted. Earnings, assets, debts—even revenues—are being misreported around the world.

The underlying research is eye-opening, to say the least.

 The Dark Side of Financial Statements: Uniform Accounting as an Analytical Advantage

  • Why the world’s top investors are turning away from GAAP and IFRS to advanced, adjusted, apples-to-apples playing fields of financial statement analysis such as UAFRS.
  • Garbage In, Garbage Out: The state of financial statement distortions in as-reported earnings, assets, liabilities and even cash flows are today… killing investment returns and investment processes.
  • The decision-changing, alpha-generating differences from Uniform P/E multiples, Uniform earnings measures, Uniform assets, and other key factors by fixing the as-reported financial statement distortions.

In this advanced program, Professor Joel Litman, President and CEO of Valens Research and Chief Investment Strategist of Altimetry Financial Research, will discuss some of the biggest sources of inconsistency and incomparability latent in the reported earnings numbers. Using real cases and real data, the program covers the adjustments necessary to fix those problems. 

The result of Uniform Accounting, as many of the greatest billionaire investors know, is a fix for the misleading, misinterpreted, as-reported performance and valuation numbers.

Recent programs in New York, Boston, Chicago, London, and Hong Kong have received the highest marks from financial professionals. However, they have also noted that it is not for the faint of heart. This is truly an advanced program, and strong knowledge of the financial statements is necessary in order to get the most out of this session.

The promise for attendees of this program is a familiarity with some of the largest problems in reported earnings, and the adjustments necessary to achieve economic reality.

Past audiences have included fundamental investors, equity research analysts, corporate financial personnel, and corporate credit researchers. The course helps anyone who is a heavy user of publicly listed financial statements and private companies with GAAP/IFRS/PFRS-like reporting requirements. 

The trend toward “Uniform Accounting” is based on a global restatement of financial statement data using consistent uniform adjustments. How do equity, credit, and even macroeconomic research change when viewed through UAFRS based analytics?

*There is no charge for attending this special webinar. Registration is required. 

See you there!

Register for this Program