With the U.S. economy in shaky territory, two University of Wisconsin-Madison graduate students say there’s one examination every stock should undergo: the stress test.
The subprime mortgage mess and subsequent paralysis in U.S. credit markets have made banks hesitant to lend and investors skittish about stocks. It’s unclear how much longer the situation will last, and how much blood will be left on Wall Street when it ends.
That’s why John Poehling Jr. and Jason Schultz say stress testing your stocks is so important.