Diagramming the Financial Value Chain
Figure 4-1 is of the Financial Value Chain—the group of specialized companies that together cause the capital market to function and which translate the economic value of a firm into financial value.
Figure 4-1. The Financial Value Chain.
The chain begins with start-up firms and the entrepreneurs who run them. Next are the venture firms and/or angels who finance early-stage firms in return for an ownership stake (usually in the form of preferred stock) and who also have contacts to the investment banks. Accountants play a crucial role because they verify the honesty of the information upon which transactions ...
Get Buy, Lie, and Sell High: How Investors Lost Out on Enron and the Internet Bubble now with the O’Reilly learning platform.
O’Reilly members experience books, live events, courses curated by job role, and more from O’Reilly and nearly 200 top publishers.
