What’s the single, the most astonishing thing that you have witnessed in finance?
Mine’s this. I sat in a valuation committee meeting and there was a typo in the ppt presentation. The discount rate was like 15% instead of 1,5%. So the valuation was also way off. The guy giving the presentation noticed it and gave a little chuckle and said that he’ll fix it right after the meeting. That’s when I heard a junior asset manager whisper to another junior AM sitting next to him “what’s the impact of the discount rate? Does the value of the asset go up or down when discount rate decreases?” He was dead serious. I still don’t understand how he had ever gotten the job.