Yearly Archives: 2015

HBCU Money™ Business Book Feature – Collective Courage: A History of African American Cooperative Economic

collective_courage_hi-res_0

In Collective Courage, Jessica Gordon Nembhard chronicles African American cooperative business ownership and its place in the movements for Black civil rights and economic equality. Not since W. E. B. Du Bois’s 1907 Economic Co-operation Among Negro Americans has there been a full-length, nationwide study of African American cooperatives. Collective Courage extends that story into the twenty-first century. Many of the players are well known in the history of the African American experience: Du Bois, A. Philip Randolph and the Ladies’ Auxiliary to the Brotherhood of Sleeping Car Porters, Nannie Helen Burroughs, Fannie Lou Hamer, Ella Jo Baker, George Schuyler and the Young Negroes’ Co-operative League, the Nation of Islam, and the Black Panther Party. Adding the cooperative movement to Black history results in a retelling of the African American experience, with an increased understanding of African American collective economic agency and grassroots economic organizing.

To tell the story, Gordon Nembhard uses a variety of newspapers, period magazines, and journals; co-ops’ articles of incorporation, minutes from annual meetings, newsletters, budgets, and income statements; and scholarly books, memoirs, and biographies. These sources reveal the achievements and challenges of Black co-ops, collective economic action, and social entrepreneurship. Gordon Nembhard finds that African Americans, as well as other people of color and low-income people, have benefitted greatly from cooperative ownership and democratic economic participation throughout the nation’s history.

HBCU Money™ Dozen 10/26 – 10/30

12

Did you miss HBCU Money™ Dozen via Twitter? No worry. We are now putting them on the site for you to visit at your leisure. We have made some changes here at HBCU Money™ Dozen. We are now solely focused on research and central bank articles from the previous week.

Research

Security tech company employees are stingy in contributing to Presidential race l CIOonline http://trib.al/A4Z2hDE

Scientists call for unified initiative to advance microbiome research l Argonne National Lab http://1.usa.gov/1KHNJUA

The solar suburbs of the future l Renewble Cities http://ow.ly/TUium

CSOs demanding more from cybersecurity tech l CSOonline http://trib.al/8tm6e6a

Deep sea swallowers may be small, but they can swallow much larger fish l Pew Environment http://pew.org/1YkVqKZ

Good news for hackers: People still plug found USB sticks into their computers l Network World http://bit.ly/1Oe4oGY

Federal Reserve, Central Banks, & Financial Departments

3 ways #LatinAmerica is fighting back l World Economic Forum http://wef.ch/1PUbPTZ

4 strategies successful people use to start their day l World Economic Forum http://wef.ch/1GOS1yb

Personal saving rate rose to a five-month high of 4.8 percent in September l St. Louis Fed http://bit.ly/1P1NfQT

Older workers have become a more prominent group among the long-term unemployed population l St. Louis Fed http://bit.ly/1P0Fnza

By 2060 there will be about 2.8bil people in #Africa out of a world #population of 10 bil l World Bank http://wrld.bg/U3tAx

Fed proposes new bailout rules for biggest banks l Housing Wire http://bit.ly/1XFIa29

Thank you as always for joining us on Saturday for HBCU Money™ Dozen. The 12 most important research and finance articles of the week.

The HBCU Money™ Weekly Market Watch

Our Money Matters /\ October 30, 2015

A weekly snapshot of African American owned public companies and HBCU Money™ tracked African stock exchanges.

NAME TICKER PRICE (GAIN/LOSS %)

African American Publicly Traded Companies

Citizens Bancshares Georgia (CZBS) $8.40 (0.00% UNCH)

M&F Bancorp (MFBP) $3.40 (0.59% UP)

Radio One (ROIA) $2.11 (1.86% DN)

African Stock Exchanges

Bourse Regionale des Valeurs Mobilieres (BRVM)  303.31 (0.50% DN)

Botswana Stock Exchange (BSE)  10 567.93 (0.03% UP)

Ghana Stock Exchange (GSE)  2 013.22 (10.96% DN)*

Nairobi Stock Exchange (NSE)  137.28 (N/A)

Johannesburg Stock Exchange (JSE) 53 793.74 (0.73% UP)

International Stock Exchanges

New York Stock Exchange (NYSE) 10 461.38 (0.35% DN)

London Stock Exchange (LSE)  3 484.60 (0.44% DN)

Tokyo Stock Exchange (TOPIX)  1 558.20 (0.72% UP)

Commodities

Screen Shot 2015-10-30 at 3.19.20 PM

Oprah Winfrey Purchases Over 10 Percent Of Weight Watchers International

weight-watchers-logo

In a surprise move to many, Oprah Winfrey, Tennessee State University alum and second wealthiest HBCU graduate, purchased a 6.4 million shares of Weight Watchers International’s 57.3 million outstanding shares giving her an 11.2 percent stake in the company. She also has the option to purchase an additional 3.5 million shares, which would push her stake in the company to 17.3 percent. In either case the deal makes Ms. Winfrey the company’s second largest shareholder behind the Artal Group S.A., which itself is owned by Invus, an European shared family office representing a number of wealthy European families.

Screen Shot 2015-10-28 at 3.14.33 PM

The deal also is going to feature Ms. Winfrey as the new face of Weight Watchers. A move to help the long embattled company turnaround is the hope of Ms. Winfrey’s midas touch, that itself has lost some of its luster the past few years. OWN, Ms. Winfrey’s network that she co-owns in a 50-50 venture with Discovery Communications, has struggled to truly gain traction and take off as many had hoped. However, we can certainly expect Weight Watchers to become featured product on the channel’s programming that targets women 25-54.

Will this deal pay off for Ms. Winfrey and her HARPO, Inc.? After the announcement of Oprah’s investment shares in the company doubled and risen almost 150 percent in a little over a week since the October 16th close. Despite this feverish rise short sellers in the company have increased their borrowing of shares by 25 percent. A sign that Ms. Winfrey’s presence is nothing more than temporary fix to a company that may be permanently broken. One of the key statistics to examine is Weight Watcher’s net income (profits) is down over almost 55 percent over the past three years. However, one must also assume that Ms. Winfrey and her team did their due diligence prior to such an investment and see some light at the end of the tunnel.

If the deal does fail, do not worry. The $43.2 million investment in Weight Watchers International is only 1.4 percent of Ms. Winfrey’s net worth, which currently stands at $3.1 billion.

 

HBCU Money™ Business Book Feature – The Making of Modern Economics: The Lives and Ideas of Great Thinkers

51DKqsV-RkL._AC_UL320_SR242,320_

Here is a bold history of economics – the dramatic story of how the great economic thinkers built today’s rigorous social science. Noted financial writer and economist Mark Skousen has revised and updated this popular work to provide more material on Adam Smith and Karl Marx, and expanded coverage of Joseph Stiglitz, ‘imperfect’ markets, and behavioral economics.This comprehensive, yet accessible introduction to the major economic philosophers of the past 225 years begins with Adam Smith and continues through the present day. The text examines the contributions made by each individual to our understanding of the role of the economist, the science of economics, and economic theory. To make the work more engaging, boxes in each chapter highlight little-known – and often amusing – facts about the economists’ personal lives that affected their work.