Since most of my days are sitting on the couch thinking about what my next move is while not quite making that move, I've decided I will spend my time volunteering for a good cause. Searching for a good organization and cause, I came across the Sacramento Food Bank.
Founded in 1976 by Father Daniel Madigan in Oak Park in the basement of the church, he was tired of watching families and children go hungry on the streets of Sacramento.
Not everyone is given the luxury of a home and a warm meal every night, so its time that I start giving back to the community that has helped raise me.
Looking forward to the upcoming volunteer orientation on June 20th and working with the Sacramento Food Bank during my hunt for a full time position.
Wednesday, June 13, 2012
Thursday, May 10, 2012
Voodoo and Interviews
This one goes out to all of the new graduates at Cal State Sacramento! Okay, and I guess this applies to other graduates at other universities as well, but anyways... Go Hornets! Get ready to put your stingers up!
We are now reaching the point of freedom. We started with our GE courses in witchcraft and wizardry to finally completing those core classes that hopefully will teach us something in the real world. Sorry if I offended you Harry Potter and Twilight fans. (If there real to you, more power to you)
Speaking of fantasy and fiction, go see the Hunger Games if you have not yet seen it, one of my favorite movies this year!
Its time to figure out what we want to do and hopefully land that dream job that we all have been waiting for. Or hell, maybe you just want to go backpack Europe for the next 3 months.
If your jumping straight into the workforce, remember that competition is fierce and you are extremely outnumbered with applicants. But just like Katniss Everdeen, there is a small chance to win!
Talking to my finance colleagues, there seems to be a unsettling feeling in all of our stomachs when we talk to each other about what we will be doing post college. Besides one or two people in our circles, there have been no job offers as of yet and the interviews we have landed have been as shakier than grandpa before his hip replacement.
My best advice I can give you is to work on you interviewing skills. A resume is a resume, and it will always be just a resume. It is the bridge to the employer, and once you get through the screening process, its time to turn on your charm and practice your behavioral and technical questions until you have them memorized and personalized as your ABC's.
The joke that has been going around is that if you talk about any interviews you may have lined up or are waiting to hear back from, you must not say anything to anyone about it because it is bad luck and voodoo and the Interview God's will humble you without a job!
Unafraid of talking about interviews, I am currently on my second interview with one company, and third interview with another. Hoping to receive an offer, my game plan is to continually try to differentiate myself from any of other candidates that may have been interviewed.
For some tips on how to differentiate yourself from the rest of the pack, my blog Hunt on the Hunt gives you some ideas.
Also check out my blog about the Hardest Interview Question that I have come across in all of my interviews.
Also before your interviews, remember a few things:
1. What sets you apart now is not what school you attended, but how well you will fit into this company's organization. They are most likely to want to know what type of person you are and what skills you have can relate directly to the position.
2. Research the company's ins and outs. Know who the key management team is, what they produce, who are their clients or customers, and determine how you can add value.
3. Bring copies of your resume
4. If you have any relevant work that you are proud of, AND IS ERROR FREE, bring it.
5. Dress Professionally
6. And finally relax, smile, and have fun!
We are now reaching the point of freedom. We started with our GE courses in witchcraft and wizardry to finally completing those core classes that hopefully will teach us something in the real world. Sorry if I offended you Harry Potter and Twilight fans. (If there real to you, more power to you)
Speaking of fantasy and fiction, go see the Hunger Games if you have not yet seen it, one of my favorite movies this year!
Its time to figure out what we want to do and hopefully land that dream job that we all have been waiting for. Or hell, maybe you just want to go backpack Europe for the next 3 months.
If your jumping straight into the workforce, remember that competition is fierce and you are extremely outnumbered with applicants. But just like Katniss Everdeen, there is a small chance to win!
Talking to my finance colleagues, there seems to be a unsettling feeling in all of our stomachs when we talk to each other about what we will be doing post college. Besides one or two people in our circles, there have been no job offers as of yet and the interviews we have landed have been as shakier than grandpa before his hip replacement.
My best advice I can give you is to work on you interviewing skills. A resume is a resume, and it will always be just a resume. It is the bridge to the employer, and once you get through the screening process, its time to turn on your charm and practice your behavioral and technical questions until you have them memorized and personalized as your ABC's.
The joke that has been going around is that if you talk about any interviews you may have lined up or are waiting to hear back from, you must not say anything to anyone about it because it is bad luck and voodoo and the Interview God's will humble you without a job!
Unafraid of talking about interviews, I am currently on my second interview with one company, and third interview with another. Hoping to receive an offer, my game plan is to continually try to differentiate myself from any of other candidates that may have been interviewed.
For some tips on how to differentiate yourself from the rest of the pack, my blog Hunt on the Hunt gives you some ideas.
Also check out my blog about the Hardest Interview Question that I have come across in all of my interviews.
Also before your interviews, remember a few things:
1. What sets you apart now is not what school you attended, but how well you will fit into this company's organization. They are most likely to want to know what type of person you are and what skills you have can relate directly to the position.
2. Research the company's ins and outs. Know who the key management team is, what they produce, who are their clients or customers, and determine how you can add value.
3. Bring copies of your resume
4. If you have any relevant work that you are proud of, AND IS ERROR FREE, bring it.
5. Dress Professionally
6. And finally relax, smile, and have fun!
Wednesday, May 9, 2012
Facebook Shmacebook
With valuations from 75-100 billion and stock price ranges somewhere from $28-35 per share, this company will be the biggest internet IPO of our time. My time referring to me being a "very" late 80's baby who was more worried playing on my PlayStation 2 consul landing crazy jumps on ATV Off road Fury and Tony Hawk's latest release.
From the little experience I have as an investor and a finance student, I've been taught that bubbles are created by over speculation of a company that causes the stock price to rise dramatically.
If my speculations are correct, assuming history repeats itself, Morgan Stanley and all of the other underwriters for $FB will so surprised when they see that they miss-price the stock and it ends its first day at, my estimate: $75.
Sound crazy with a potential valuation of over $200 billion at this price? Yes, It's a little crazy but I think it is also very likely. Look at LinkedIn trading at a multiple of 800+ earnings.
According to efficient market hypothesis in all forms; weak, semi, and strong form, information will become or is already available. This should be reflected in the stock price, but then there is "The Greater Fool Theory," that states that buying of securities at an overvalued price is acceptable, because there will always be a greater fool who is willing to buy that security at a higher price.
So, we will wait until next week when Facebook hits the market to see if my hypothesis will come true.
From the little experience I have as an investor and a finance student, I've been taught that bubbles are created by over speculation of a company that causes the stock price to rise dramatically.
If my speculations are correct, assuming history repeats itself, Morgan Stanley and all of the other underwriters for $FB will so surprised when they see that they miss-price the stock and it ends its first day at, my estimate: $75.
Sound crazy with a potential valuation of over $200 billion at this price? Yes, It's a little crazy but I think it is also very likely. Look at LinkedIn trading at a multiple of 800+ earnings.
According to efficient market hypothesis in all forms; weak, semi, and strong form, information will become or is already available. This should be reflected in the stock price, but then there is "The Greater Fool Theory," that states that buying of securities at an overvalued price is acceptable, because there will always be a greater fool who is willing to buy that security at a higher price.
So, we will wait until next week when Facebook hits the market to see if my hypothesis will come true.
Thursday, May 3, 2012
The Ultimate M&A LinkedIn is Overlooking
LinkedIn released Q1 earnings today, posting revenue growth of 101%, contributing to the 7th straight quarter YOY growth over 100%. The company is growing its membership rapidly and the subscription and advertisement revenue segments seem to be growing well past analyst estimates. The company just released that they will acquire SlideShare for $119 million which will help professionals be more effective and productive with the content they create.
Acquisitions have been the headliners in the first quarter for large tech and social media companies including the Zuckerberg giant $FB most notable acquisition of Instagram for a easy $1 billion. But still LinkedIn may be missing something that could transform it to a Goliath that trumps all professional social networking sites that will be sure to put upcoming apps such as BranchOut on Facebook to shame.
Citrix offers web conferencing products including GoToMeeting, GoToConference, and GoToTraining. They specialize in cost savings for companies looking to get everything out of your business meetings while only sacrificing a physical handshake. With an acquisition or merger with Citrix, there would be strong synergies. Combining the largest online networking site with the leader in web conferencing is like butter and bread.
Some other forms of applications to add to LinkedIn that would help the company become a destination for networking is the integration of instant messaging and interviewing software to allow recruiters to interact with their potential candidates through a central location with a strong community.
I am unsure if LinkedIn is currently looking into this with research and development or are searching for a potential buy out. From speaking to many professionals and interacting on online forums, the most desirable new addition to LinkedIn is an instant messaging application. The fear of this is that it will negatively effect the companies reputation as strictly professional as IM has always been used for social purposes for the most part.
As for now we wait and see as the tech industry tends to change direction daily.
Acquisitions have been the headliners in the first quarter for large tech and social media companies including the Zuckerberg giant $FB most notable acquisition of Instagram for a easy $1 billion. But still LinkedIn may be missing something that could transform it to a Goliath that trumps all professional social networking sites that will be sure to put upcoming apps such as BranchOut on Facebook to shame.
Citrix offers web conferencing products including GoToMeeting, GoToConference, and GoToTraining. They specialize in cost savings for companies looking to get everything out of your business meetings while only sacrificing a physical handshake. With an acquisition or merger with Citrix, there would be strong synergies. Combining the largest online networking site with the leader in web conferencing is like butter and bread.
Some other forms of applications to add to LinkedIn that would help the company become a destination for networking is the integration of instant messaging and interviewing software to allow recruiters to interact with their potential candidates through a central location with a strong community.
I am unsure if LinkedIn is currently looking into this with research and development or are searching for a potential buy out. From speaking to many professionals and interacting on online forums, the most desirable new addition to LinkedIn is an instant messaging application. The fear of this is that it will negatively effect the companies reputation as strictly professional as IM has always been used for social purposes for the most part.
As for now we wait and see as the tech industry tends to change direction daily.
Sunday, April 29, 2012
Men's Wearhouse does not like the way I look
George Zimmer, CEO of Men's Wearhouse says "You're gonna like the way you look," Well if you are not too tall!
On a lovely Sunday afternoon, I voyaged to a Men's Wearhouse to find a shirt and tie for an interview I had the next day. Like his slogan, I do believe looking good and feeling good are just as important knowing the company's operations front and back.
I chose Men's Wearhouse because unlike going to a department store with a large variety of different designs and brands, the warehouse offers well organized shelves by neck size and arm length so you are not searching through piles of shirts on the tables at JCPennys, Macy's, or Nordstroms.
As I walked into the store, I was greeted in a timely manner by a wardrobe specialist. Looking for a couple dress shirts is what I told him. He took my measurements, 16" neck and 38/39'' arm. Took about 30 seconds to look through the merchandise and came back with an underwhelming attitude of I can't help you.
This was a very quick diagnosis. While I was in need of something nice by tomorrow, I suggested maybe I try on a 36/37. With surprise he says "No, it wont look good. Try next door," and walks away. With a bad taste in my mouth, I walk out to look what is next door.
Next door is Casual Male XL. I may be 6'4", but I weigh approximately 175lbs. I will fly away if winds pick up much over 50mph.
Very confused and frustrated by the lack of customer service I received, I will not be going back to Men's Wearhouse again. As my job hunt heats up and considering I am a good candidate for a career in business, I plan on making some serious investments in suits in the near future. Men's Wearhouse will not be a place where I will shop again because of this.
On a lovely Sunday afternoon, I voyaged to a Men's Wearhouse to find a shirt and tie for an interview I had the next day. Like his slogan, I do believe looking good and feeling good are just as important knowing the company's operations front and back.
I chose Men's Wearhouse because unlike going to a department store with a large variety of different designs and brands, the warehouse offers well organized shelves by neck size and arm length so you are not searching through piles of shirts on the tables at JCPennys, Macy's, or Nordstroms.
As I walked into the store, I was greeted in a timely manner by a wardrobe specialist. Looking for a couple dress shirts is what I told him. He took my measurements, 16" neck and 38/39'' arm. Took about 30 seconds to look through the merchandise and came back with an underwhelming attitude of I can't help you.
This was a very quick diagnosis. While I was in need of something nice by tomorrow, I suggested maybe I try on a 36/37. With surprise he says "No, it wont look good. Try next door," and walks away. With a bad taste in my mouth, I walk out to look what is next door.
Next door is Casual Male XL. I may be 6'4", but I weigh approximately 175lbs. I will fly away if winds pick up much over 50mph.
Very confused and frustrated by the lack of customer service I received, I will not be going back to Men's Wearhouse again. As my job hunt heats up and considering I am a good candidate for a career in business, I plan on making some serious investments in suits in the near future. Men's Wearhouse will not be a place where I will shop again because of this.
Monday, April 23, 2012
The Hardest Interview Question
What are your hobbies?
Okay, so maybe not the toughest question, and this should probably be the easiest one for you to answer. Well, in my case, it was the question that I stumbled over more than any other question during my second interview for a commercial real estate investment company in Arizona. Did I get the job? ...
Nope. But why did I have such a difficult time with this simple question? Over the past year, I have been spending the majority of my time neglecting my hobbies such as golfing, spontaneous road trips, visiting family, cycling. All the things I used to do but have set aside to do everything I could that would amp my resume.
But the thing is, employers want well rounded individuals to work for them. Not only do they want you to have good writing, communication, internship, leadership, academic achievement, and community involvement, they want you to have hobbies.
Employers look at hobbies in a few different ways:
1. It gives them a hint to what kind of person you are. i.e. If you like to skydive on the weekends, it shows that you are spontaneous and adventurous. Or it might show that you are more likely to die.
2. It creates a bond with the employer. When interviewing applicants, it can seem that there is no differentiation between candidates, and something that sticks out such as running marathons may be a commonality between the two. The interviewer might even be looking for someone to train with! Running marathons also shows that you can endure long strenuous activity and are highly motivated.
(The most important reason to have hobbies is so you don't say "Uuhhh..." when they ask you that question!)
Okay, so maybe not the toughest question, and this should probably be the easiest one for you to answer. Well, in my case, it was the question that I stumbled over more than any other question during my second interview for a commercial real estate investment company in Arizona. Did I get the job? ...
Nope. But why did I have such a difficult time with this simple question? Over the past year, I have been spending the majority of my time neglecting my hobbies such as golfing, spontaneous road trips, visiting family, cycling. All the things I used to do but have set aside to do everything I could that would amp my resume.
But the thing is, employers want well rounded individuals to work for them. Not only do they want you to have good writing, communication, internship, leadership, academic achievement, and community involvement, they want you to have hobbies.
Employers look at hobbies in a few different ways:
1. It gives them a hint to what kind of person you are. i.e. If you like to skydive on the weekends, it shows that you are spontaneous and adventurous. Or it might show that you are more likely to die.
2. It creates a bond with the employer. When interviewing applicants, it can seem that there is no differentiation between candidates, and something that sticks out such as running marathons may be a commonality between the two. The interviewer might even be looking for someone to train with! Running marathons also shows that you can endure long strenuous activity and are highly motivated.
(The most important reason to have hobbies is so you don't say "Uuhhh..." when they ask you that question!)
Sunday, April 8, 2012
Hunt on the Hunt
My senior year of college is rapidly coming to a close. With a major in business and concentrations in finance and real estate, my hunt for the perfect job is proving to be a daunting task. Coming from a "non-core" business school, my exposure to high finance has been difficult when it comes getting internships that showcase the road I would like to travel.
Don't count me as a pessimist, or someone who has a negative attitude about how I will never be good enough. Besides the first few blurry years of my college life as a fraternity man, I have worked very on average of 3 part time jobs ranging from picking up golf balls on the driving range, serving tables at a restaurant, and valeting cars. All of this hard work to pay off my bills and finance my trips as many financial districts I can.
So with that said, my real core experience in the professional world comes from interning with the Department of Insurance, working as an Analyst for CSU-Sacramento's Student Investment Fund, and competing in the CFA Institute Research Challenge. All of which are free labor.
But even with that, I have only received 3 phone calls back from the over 100 resumes I have already sent out to employers (Currently waiting to hear back from a phone interview)... crossing fingers.
So the question I ask: With the finance industry contracting, and the many new graduates entering the work force, how can one differentiate themselves from the rest of the pack?
I break it down into a few key components every student should keep in mind:
1. Get a internship: Even if it is filing papers at your local state investment office. Employers will see that you were willing to endure the unpaid/or underpaid work, and hopefully get some great recommendations out of it.
Also, work as many internships as you can. Having a summer internship every summer is a great resume booster and you will typically be hired on full time if you do a great job.
2. Extracurricular Activities: Get involved on campus. Join your local Financial Management Association (FMA) or school investment club. If you don't have one, start one! It's a great way to network with students, faculty and professionals. Also the school loves to hand out money to clubs! How do you think I went to New York last week on them?
3. Differentiate Yourself: Figure out what it is that you are good at or really enjoy. For example, if you are fascinated by trends in automobiles, such as electric vehicles, specialize in it. Start researching, follow the auto shows and magazines. Go to investors conferences to see what the new trends are.
It is amazing how many people I have met from doing just that. Also, when people in the industry notice that you are a student with a passion for what ever it is that they do, they are immediately intrigued and are more than willing to speak with you about it.
Once again, just another way to network and differentiate yourself.
4. Take the Bloomberg Assessment Test (BAT): The BAT is a standardized financial aptitude exam that was created by Bloomberg Institute. It is a online 3 hour multiple choice exam that tests individuals on the finance and career skills. Scores are released into a database where thousands of employers look to find candidates to hire into internships and full time positions in the financial service industry.
It is free to take and is offered around the globe to undergraduate and graduate students. Test locations are at Bloomberg LP offices and most universities. To find a location near you, register online at www.bloomberginstitute.com
I took this exam last month at my university and did not score near the highest, but it broke it down into 11 categories and was a great self assessment tool to see what my weaknesses were and how I ranked against over 30,000 students around the globe.
5. Find a mentor: When you decide what you want to specialize in, start looking for a mentor. Mentors provide a wealth of knowledge and experience that is unlike classroom experience.
Start emailing them weekly and meet them once or twice a month for coffee if they are willing to do it. Always have lots of questions ready for them and make sure to thank them for their time.
I am not an expert by any means, but from my time in college, this has been the advice I was given and lessons I've learned. I would recommend this path to new students looking to pursue a future career in finance.
As for now I am signing off so I can stop procrastinating on my business ethics paper that is due in less that 24 hours now.
Don't count me as a pessimist, or someone who has a negative attitude about how I will never be good enough. Besides the first few blurry years of my college life as a fraternity man, I have worked very on average of 3 part time jobs ranging from picking up golf balls on the driving range, serving tables at a restaurant, and valeting cars. All of this hard work to pay off my bills and finance my trips as many financial districts I can.
So with that said, my real core experience in the professional world comes from interning with the Department of Insurance, working as an Analyst for CSU-Sacramento's Student Investment Fund, and competing in the CFA Institute Research Challenge. All of which are free labor.
But even with that, I have only received 3 phone calls back from the over 100 resumes I have already sent out to employers (Currently waiting to hear back from a phone interview)... crossing fingers.
So the question I ask: With the finance industry contracting, and the many new graduates entering the work force, how can one differentiate themselves from the rest of the pack?
I break it down into a few key components every student should keep in mind:
1. Get a internship: Even if it is filing papers at your local state investment office. Employers will see that you were willing to endure the unpaid/or underpaid work, and hopefully get some great recommendations out of it.
Also, work as many internships as you can. Having a summer internship every summer is a great resume booster and you will typically be hired on full time if you do a great job.
2. Extracurricular Activities: Get involved on campus. Join your local Financial Management Association (FMA) or school investment club. If you don't have one, start one! It's a great way to network with students, faculty and professionals. Also the school loves to hand out money to clubs! How do you think I went to New York last week on them?
3. Differentiate Yourself: Figure out what it is that you are good at or really enjoy. For example, if you are fascinated by trends in automobiles, such as electric vehicles, specialize in it. Start researching, follow the auto shows and magazines. Go to investors conferences to see what the new trends are.
It is amazing how many people I have met from doing just that. Also, when people in the industry notice that you are a student with a passion for what ever it is that they do, they are immediately intrigued and are more than willing to speak with you about it.
Once again, just another way to network and differentiate yourself.
4. Take the Bloomberg Assessment Test (BAT): The BAT is a standardized financial aptitude exam that was created by Bloomberg Institute. It is a online 3 hour multiple choice exam that tests individuals on the finance and career skills. Scores are released into a database where thousands of employers look to find candidates to hire into internships and full time positions in the financial service industry.
It is free to take and is offered around the globe to undergraduate and graduate students. Test locations are at Bloomberg LP offices and most universities. To find a location near you, register online at www.bloomberginstitute.com
I took this exam last month at my university and did not score near the highest, but it broke it down into 11 categories and was a great self assessment tool to see what my weaknesses were and how I ranked against over 30,000 students around the globe.
5. Find a mentor: When you decide what you want to specialize in, start looking for a mentor. Mentors provide a wealth of knowledge and experience that is unlike classroom experience.
Start emailing them weekly and meet them once or twice a month for coffee if they are willing to do it. Always have lots of questions ready for them and make sure to thank them for their time.
I am not an expert by any means, but from my time in college, this has been the advice I was given and lessons I've learned. I would recommend this path to new students looking to pursue a future career in finance.
As for now I am signing off so I can stop procrastinating on my business ethics paper that is due in less that 24 hours now.
Tuesday, April 3, 2012
From Main Street to Wall Street
Last week I headed to New York City to the G.A.M.E. II Forum Conference with 9 of my finance undergraduate colleagues. For those of you not acronym savvy, it is the Global Asset Management Education Forum conference hosted by Qunnipiac University.
With over 1,000 finance students attending from over 38 countries, there was no shortage knowledge or monkey suits. With the conference spanning three days, we were exposed to the brightest minds on Wall Street that covered topics from China's questionable growth reporting, U.S. treasuries interest rates eminent increase, and the concerns of gas prices reaching a national average of $4.00.
Moving into our panel discussions, we chose topics that were most relevant and interesting to us. My day consisted of equity analysis, risk mitigation, future of Quant investing, volatility in options, and social media. Wait... hold on a second, social media? Yes, it may be skewed from the mean of the technical distribution, but after sitting in on how social media plays a part in financial markets, it plays a significant role in the way we stay informed.
I had the opportunity to speak one on one with some of the proprietary minds in media. The moderator for the panel Jim Binder, Director of Public Relations at The Options Industry Council, and the four other panelists:
Josh Brown, VP of Investments at Fusion Analytics, and author of Reformed Broker blog,
Dorothy Friedman, Vice President of Marketing at Fidessa,
Ray Pellecchia, VP of Corporate Communications at NYSE Euronext, and
Scott Peterson, Co-Founder of Relay Station Social Media.
The most used social media platforms that these professionals leveraged most were Twitter, LinkedIn and their blogs. The ability to receive information within moments rather than wait until the news arrive on your porch at 5am is changing the way we consume our daily news digest.
Facebook remains a relation based website that is used more as a background check for recruiters than anything else while Twitter remains content-driven. When I asked the pannel where they were positioning themselves with the new fast moving social media companies such as Pinterest? Responses varied, but the overwhelming response was that it is a matter of where their time is greatest utilized, and that being on the more developed platforms.
In my opinion, I believe that every social media platform gives you exposure to a different audience. The more audiences you are exposed to, the more likely you are to recieve referrals and new clients. As in my case, more recruiters looking at me as a potential candidate for their company.
Overall, first trip to New York City was a great experience. Learned a lot and met some extrordinary minds.
With over 1,000 finance students attending from over 38 countries, there was no shortage knowledge or monkey suits. With the conference spanning three days, we were exposed to the brightest minds on Wall Street that covered topics from China's questionable growth reporting, U.S. treasuries interest rates eminent increase, and the concerns of gas prices reaching a national average of $4.00.
Moving into our panel discussions, we chose topics that were most relevant and interesting to us. My day consisted of equity analysis, risk mitigation, future of Quant investing, volatility in options, and social media. Wait... hold on a second, social media? Yes, it may be skewed from the mean of the technical distribution, but after sitting in on how social media plays a part in financial markets, it plays a significant role in the way we stay informed.
I had the opportunity to speak one on one with some of the proprietary minds in media. The moderator for the panel Jim Binder, Director of Public Relations at The Options Industry Council, and the four other panelists:
Josh Brown, VP of Investments at Fusion Analytics, and author of Reformed Broker blog,
Dorothy Friedman, Vice President of Marketing at Fidessa,
Ray Pellecchia, VP of Corporate Communications at NYSE Euronext, and
Scott Peterson, Co-Founder of Relay Station Social Media.
The most used social media platforms that these professionals leveraged most were Twitter, LinkedIn and their blogs. The ability to receive information within moments rather than wait until the news arrive on your porch at 5am is changing the way we consume our daily news digest.
Facebook remains a relation based website that is used more as a background check for recruiters than anything else while Twitter remains content-driven. When I asked the pannel where they were positioning themselves with the new fast moving social media companies such as Pinterest? Responses varied, but the overwhelming response was that it is a matter of where their time is greatest utilized, and that being on the more developed platforms.
In my opinion, I believe that every social media platform gives you exposure to a different audience. The more audiences you are exposed to, the more likely you are to recieve referrals and new clients. As in my case, more recruiters looking at me as a potential candidate for their company.
Overall, first trip to New York City was a great experience. Learned a lot and met some extrordinary minds.
Thursday, February 9, 2012
Beware of another internet Bubble
The dot-com bubble, known as the "internet bubble" or the "Information technology bubble," saw its greatest boom from 1995-2000. The frenzy was created by the companies simply adding the "e-" prefix to their name and or a .com to the end and it would increase the share price dramatically.
The amount of speculation and cash fueled by venture capitalists made the internet stocks soar. While P/E ratios and other technical indicators were ignored.
What can that teach us today? Currently we are seeing a large amount of internet and social media IPO's entering the market such as Angie's List, LinkedIn, Pandora, and many more. The commonality for most of them is that they are over hyped and over speculated.
As we saw earlier last year, companies like Zillow (Z) had a first day increase of 185.4%, LinkedIn saw an IPO debut of an increase of 84.4%, Groupon soared 40%. But how have these companies fared since their initial IPO's?
According to IPO Dashboards, Social and Internet companies this year are trading on average almost 25% down from their offer prices. Compare that to the 2011 class average of down 10%, or even the NASDAQ despite just a slight fall of 1% year-to-date.
I would make the assumption that many investors are playing off they hype of similar to the dot com era in the late 1990's. The numbers show that internet/social IPO's have been decreasing with the apparent drops in stock prices.
Still lurking in the shadows is Mark Zuckerberg, and his behemoth Facebook recently filing for its IPO. Facebook is a latecomer in the internet and social public debuts, but will no doubt be a huge success. The big question investors are facing is whether or not they believe in the social media guru's vision and leadership of the company.
With the corporate structure of the company, Zuckerberg will have a 57% voting power for the company with his class B stock which count for 10 votes per share. An overwhelming majority over any other stakeholder will ultimately lead investors to choose whether they think he can guarantee them a return in the long run
The amount of speculation and cash fueled by venture capitalists made the internet stocks soar. While P/E ratios and other technical indicators were ignored.
What can that teach us today? Currently we are seeing a large amount of internet and social media IPO's entering the market such as Angie's List, LinkedIn, Pandora, and many more. The commonality for most of them is that they are over hyped and over speculated.
As we saw earlier last year, companies like Zillow (Z) had a first day increase of 185.4%, LinkedIn saw an IPO debut of an increase of 84.4%, Groupon soared 40%. But how have these companies fared since their initial IPO's?
According to IPO Dashboards, Social and Internet companies this year are trading on average almost 25% down from their offer prices. Compare that to the 2011 class average of down 10%, or even the NASDAQ despite just a slight fall of 1% year-to-date.
I would make the assumption that many investors are playing off they hype of similar to the dot com era in the late 1990's. The numbers show that internet/social IPO's have been decreasing with the apparent drops in stock prices.
Still lurking in the shadows is Mark Zuckerberg, and his behemoth Facebook recently filing for its IPO. Facebook is a latecomer in the internet and social public debuts, but will no doubt be a huge success. The big question investors are facing is whether or not they believe in the social media guru's vision and leadership of the company.
With the corporate structure of the company, Zuckerberg will have a 57% voting power for the company with his class B stock which count for 10 votes per share. An overwhelming majority over any other stakeholder will ultimately lead investors to choose whether they think he can guarantee them a return in the long run
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