Intangible Finance Standards (eBook)

COVER 1
TABLE OF CONTENTS 5
DEDICATION 13
ACKNOWLEDGMENTS 15
TERMS & DISCLAIMERS
PREFACE 19
CHAPTER 1: Advances in Fundamental Analysis 20
CHAPTER 2: Competitive Advantage Valuation 26
STOCK PRICES MEASURE COMPETITIVE ADVANTAGE 26
UNDERSTANDING PRICE FLUCTUATIONS 27
COMPETITIVE ADVANTAGE COSTS 27
OTHER COMPETITIVE COSTS 28
Competitive Costs: Not Wage Costs 29
Benefiting from Flawed Valuation Approaches 29
Exploiting Flawed Management Thinking 33
Hard vs. Soft Intangibles 33
ROBUST INTANGIBLE VALUATION SYSTEMS 36
BRAND AS AN INTANGIBLE 37
ROBUST INTANGIBLE MANAGEMENT SYSTEMS 38
15 KEY ISSUES IGNORED 39
17 PROBLEMATIC VALUATION ISSUES 40
Issue #1: Strategy Based (intMgtOS® 6001.I05) 40
Issue #2: Incorrect Formation (intMgtOS® 6001.I1) 40
Issue #3: Comparability (intMgtOS® 6001.I2) 41
Issue #4: Underlying Component Changes (intMgtOS® 6001.I3) 41
Issue #5: Strategy Linked (intMgtOS® 6001.I4) 41
Issue #6: Limited Scope (intMgtOS® 6001.I5) 42
Issue #7: Ownership Based (intMgtOS® 6001.I6) 42
Issue #8: Wage Costs as a Proxy (intMgtOS® 6001.I7) 42
Issue #9: Productivity Not Linked to Brand (intMgtOS® 6001.I8) 43
Issue #10: Expense Productivity Ignored (intMgtOS® 6001.I9) 43
Issue #11: Revenue Potential Ignored (intMgtOS® 6001.I10) 43
Issue #12: Employee Motivation Ignored (intMgtOS® 6001.I11) 44
Issue #13: Daily Brand Value (intMgtOS® 6001.I12) 45
Issue #14: Competitive Advantage Ignored (intMgtOS® 6001.I13) 45
Issue #15: Daily Competitive Advantage Valuation (intMgtOS® 6001.I14) 47
Issue #16: Confusion Regarding the Term Intangible (intMgtOS® 6001.I15) 48
Issue #17: Linking Intangibles to Financial Performance (intMgtOS® 6001.I16) 49
18 NEW VALUATION LAWS 49
Intangible Laws 52
FINANCIAL PERFORMANCE AND INTANGIBLES 54
PROFIT AND INTANGIBLE ASSET CAPITALIZATION 54
INTANGIBLE ECONOMICS AND PROFIT 55
Intangible Demand and Conventional Demand 56
Expenses and Intangible Demand 57
The intMgtOS® Profit Equation 58
INTANGIBLE FINANCIAL STATEMENTS 60
THE INTANGIBLE CLASSIFICATION SYSTEM 60
Intangible Assets 61
Intangible Liabilities 61
Intangible Capital 61
Other Intangible Transactions 61
INTMGTOS STATEMENTS 62
CONCLUSION AND SUMMARY 63
CHAPTER 3: Foundations of Intangible Financial Statements 64
LEVEL 1 TIME ANALYSIS 64
LEVEL 2 TIME ANALYSIS 65
LEVEL 3 TIME ANALYSIS 66
NANOTIME MANUFACTURING 67
An Example 68
Nanotime Value Transactions 69
NANOTIME AND VALUE 74
CHAPTER 4: Benchmarking Intangible Performance 76
INTANGIBLE FINANCE STATEMENTS 76
PROPOSITION 1 77
Optimal Employment Levels 77
Linking Revenue and Employees 78
PROPOSITION 2 80
Intangible Transactions 80
What Makes Intangible Value a Leading Sentiment Indicator 82
PROPOSITION 3: HOW AN EXPENSES„ONLY FOCUS DESTROYS VALUE 84
INTANGIBLE FINANCIAL STATEMENTS 84
CHAPTER 5: Intangible Management Economy Fundamental Analysis 86
THE ACCOUNTING CRISIS 86
THE ROLE OF INTANGIBLE MANAGEMENT STANDARDS (INTMGTOS®) 87
ACCOUNTING PROBLEMS 90
WHY ACCOUNTING PROBLEMS EXIST 91
SOLVING FUNDAMENTAL PROBLEMS 93
ACCOUNTING OR INTANGIBLE MANAGEMENT? 95
APPLYING INTANGIBLE MANAGEMENT STANDARDS (INTMGTOS®) 96
Intangible Finance Asset Classes 98
FOUR APPROACHES TO INTANGIBLE VALUATION 100
TRUE & FAIR VALUE CERTIFICATION
CASE STUDY: MICROSOFT (NASDAQ: MSFT) 102
STEP 1: INTMGTOS® PHYSICAL AVAILABILITY REPORT 102
STEP 2: INTMGTOS® DAILY TIME REPORT 106
STEP 3: INTMGTOS® REAL REVENUE REPORT 107
Notes to the Revenue Statement 107
STEP 4: INTMGTOS® APPORTIONMENT STATEMENT 107
Artificial Employment 110
intMgtOS®5001.iR4 and the Apportionment Statement 114
Notes to the Apportionment Statement 114
Interpreting intMgtOS®5001.iR4 116
STEP 5: INTMGTOS® INTANGIBLE BALANCE SHEET 117
STEP 6: INTMGTOS® NANOTIME PRODUCTIVITY 120
Determining Nanotime Productivity 121
STEP 7: INTMGTOS® INCOME STATEMENT 124
Organizational Potential 128
Notes on the Size of Potential Productivity Savings 130
STEP 8: INTMGTOS® SUSTAINABILITY STATEMENT (intMgtOS®5003.iR8) 133
STEP 9: INTMGTOS® ARTIFICIAL EMPLOYMENT STATEMENT (INTMGTOS®5003.IR9) 134
STEP 10: INTMGTOS® ROI STATEMENT (INTMGTOS®5003.IR10) 135
STEP 11: INTMGTOS® DAILY VALUE STATEMENT (INTMGTOS®5003.IR11) 136
STEP 12: INTMGTOS® MARKET VALUE STATEMENT (INTMGTOS®5003.IR12) 137
CHAPTER 6: intMgtOS® and Other Standards 140
INTMGTOS® STANDARDS 141
INTANGIBLE STANDARDS 141
ISO® STANDARDS 143
ISO9000 (QMS) AND ISO14000 (EMS) 143
ISO Certification and Registration 145
ISO Accreditation 145
COMPARING ISO® AND INTMGTOS® 146
ISO® COSTS 147
INTMGTOS® ENTERPRISE CERTIFICATION 147
intMgtOS® Real Time Reporting 149
intMgtOS® eLearning Certification 152
intMgtOS® Membership 155
ANSI® STANDARDS 157
ANSI® COSTS 158
ANSI® BENEFITS 158
CHAPTER 7: Advances in Technical Analysis 160
VALUE TYPES 161
POSITIVE INTANGIBLE VALUE 161
NEGATIVE INTANGIBLE VALUE 161
RETURNS & RISK
CHAPTER 8: Intangible Analysis of Sectors and Industries 170
SECTOR ANALYSIS 170
ANALYZING LARGE CAPS 170
HIGHEST ABSOLUTE RETURN 174
HIGHEST RELATIVE RETURN 174
LOWEST RELATIVE RETURN 174
ANALYZING MEDIUM CAPS 174
HIGHEST RELATIVE RETURN 176
LOWEST RELATIVE RETURN 176
Comparison with Strongest Large Cap Results 176
Comparison with Weakest Large Cap Results 177
ANALYZING SMALL CAPS 177
HIGHEST RELATIVE RETURN 178
LOWEST RELATIVE RETURN 179
Comparison with Strongest Large Cap Results 179
Comparison with Weakest Large Cap Results 179
ANALYZING MICRO CAPS 180
STRONGEST RELATIVE RETURNS 181
WEAKEST RELATIVE RETURNS 181
INTANGIBLE ANALYSIS OF THE MARKET 182
THE ROLE OF -IV 182
THE ROLE OF +IV 182
+IV AND -IV FOR LARGE CAPS 183
intMgtOS® Value Factors 183
By Sector: ±IV for Large Caps 184
By Industry: ±IV% for Large Caps 184
By Industry: ±IV% for Medium Caps 190
By Industry: ±IV% for Small Caps 205
By Industry: ±IV% for Micro Caps 208
CONCLUSION 216
CALCULATIONS 224
CHAPTER 9: The intMgtOS® Economy Statement 226
WHAT THE STATEMENT MEASURES 226
INTMGTOS®6001.D110: GROSS TIME CAPITAL (GTC) 226
INTMGTOS®6001.D120: REV:MV GEARING 227
INTMGTOS®6001.D130: BV:MV GEARING 229
INTMGTOS®6001.D140„MV:EMP 230
INTMGTOS®6001.D160„OPINC% 232
INTMGTOS®6001.D170„IAT% 232
STANDFIELD FACTOR 232
intMgtOS®6001.D180„SSP 233
intMgtOS®6001.D185„SBV/S 234
intMgtOS®6001.D190„SIV/S 234
intMgtOS®6001.D190„Standfield Factor 234
CHAPTER 10: The IntMgtOS® Standfield Statement 236
THE INTMGTOS® STANDFIELD STATEMENT ANALYSIS 236
STAGE 1 ANALYSIS 242
STAGE 2 ANALYSIS 242
STAGE 3 ANALYSIS 243
STAGE 4 ANALYSIS 243
STAGE 5 ANALYSIS 243
STANDFIELD EXCHANGE ANALYSIS 243
NASDAQ ANALYSIS 244
AMEX ANALYSIS 244
OTC ANALYSIS 244
NYSE ANALYSIS 249
CONCLUSION 249
CHAPTER 11: The IntMgtOS® Smart Money Statement 266
WHY SMART MONEY? 266
SPECIFIC EXCHANGE SMART MONEY STATEMENTS 268
NYSE ANALYSIS 268
NASDAQ ANALYSIS 268
AMEX ANALYSIS 283
CONCLUSIONS 283
CHAPTER 12: Pattern Return Analysis 288
L1 PATTERN-BASED ANALYSIS 289
CAPITAL CREATION (CC) ANALYSIS 289
Negative Share Price Movements 289
Positive Share Price Movements 290
LARGE CAP ANALYSIS 290
Large Cap +IV Pattern Return Analysis 292
Conclusions 309
MEDIUM CAP ANALYSIS 311
Relative Pattern Return (±IV) Analysis 311
Average Return on Investment (±IV) Analysis 312
Relative Return on Sector Investment ( ±IV) Analysis 318
Absolute Return on Sector Investment ( ±IV) Analysis 318
Conclusions 323
SMALL CAP ANALYSIS 323
+IV & -IV Ratios
Sector Return on Investment Analysis 326
MICRO CAP ANALYSIS 333
+IV & -IV Ratios
SECTOR RETURN ON INVESTMENT ANALYSIS 337
RETURN BY SECTOR ANALYSIS 337
SUMMARY 344
+IV Summary 345
-IV Summary 348
Cross-Sectional IV Analysis 349
IV MARKET COMPOSITION INDICATORS 349
IV RELATIVE PERFORMANCE INDICATORS 353
IV RETURN COMPOSITION INDICATORS 355
CHAPTER 13: Conclusion 360
INDEX 364