BROWSE

Badwill

What is 'Badwill'

The negative effect felt by a company when shareholders and the investment community find out that is has done something that is not in accordance with good business practices. Although typically not expressed in a dollar amount, badwill can play out in the form of decreased revenue, loss of clients or suppliers, loss of market share and federal indictments for any crimes committed.

Explaining 'Badwill'

There are several cases in which badwill caused a severe downturn in company stock, such as Tyco, Adelphia, Martha Stewart, Enron and Worldcom. In each new bull market, we are likely to see the same offenses committed by new people. This phenomenon has caused a rise in "socially conscious" investing, where companies promoting badwill are excluded as a matter of policy.


Further Reading


How bad will the potential economic disasters be? Evidences from S&P 500 index options data
papers.ssrn.com [PDF]
… How Bad Will the Potential Economic Disasters Be … JEL code: G10, G12 Key words: economic disasters, habit formation, volatility smirk, equity premium 1 Page 2 … key programs in finance, since asset prices are ultimately driven by the real, macroeco& nomic risks1 …

How bad will Brexit really be for the UK?How bad will Brexit really be for the UK?
eprints.lse.ac.uk [PDF]
… How Bad Will the Potential Economic Disasters Be … JEL code: G10, G12 Key words: economic disasters, habit formation, volatility smirk, equity premium 1 Page 2 … key programs in finance, since asset prices are ultimately driven by the real, macroeco& nomic risks1 …

Problems of Sub-Branches under Secondary Branches in Economic Capital Management and Countermeasures <span style=[J]' src='/thumbnails/?img=http%3A%2F%2Fen.cnki.com.cn%2FArticle_en%2FCJFDTotal-CSJR200610009.htm' />Problems of Sub-Branches under Secondary Branches in Economic Capital Management and Countermeasures [J]
en.cnki.com.cn [[J]' href='https:/api.miniature.io/pdf?url=en.cnki.com.cn%2FArticle_en%2FCJFDTotal-CSJR200610009.htm'>PDF]
… How Bad Will the Potential Economic Disasters Be … JEL code: G10, G12 Key words: economic disasters, habit formation, volatility smirk, equity premium 1 Page 2 … key programs in finance, since asset prices are ultimately driven by the real, macroeco& nomic risks1 …

Goodwill and Criteria for its Recognition in Financial StatementsGoodwill and Criteria for its Recognition in Financial Statements
www.zurnalai.vu.lt [PDF]
… How Bad Will the Potential Economic Disasters Be … JEL code: G10, G12 Key words: economic disasters, habit formation, volatility smirk, equity premium 1 Page 2 … key programs in finance, since asset prices are ultimately driven by the real, macroeco& nomic risks1 …

Arthur Andersen: How bad will it get?Arthur Andersen: How bad will it get?
elibrary.ru [PDF]
… How Bad Will the Potential Economic Disasters Be … JEL code: G10, G12 Key words: economic disasters, habit formation, volatility smirk, equity premium 1 Page 2 … key programs in finance, since asset prices are ultimately driven by the real, macroeco& nomic risks1 …



Q&A About Badwill


Why does socially conscious investing exist?

Socially conscious investing exists because companies promoting bad will are excluded as a matter of policy.

How do you express badwill in dollars?

You cannot express badwill in dollars.

Is there a way to quantify badwill?

No, there is no way to quantify it.

What is badwill?

Badwill is the negative effect felt by a company when shareholders and the investment community find out that it has done something that is not in accordance with good business practices.

When does badwill occur most often?

Bad will occurs when companies are found doing things that are not in accordance with good business practices.

Who commits acts of bad will most often?

New bull markets bring new people who commit acts of bad will.