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Dr. John D. Finnerty is a Managing Director in the Financial Advisory Services Group at AlixPartners, LLP and a Managing Principal of Finnerty Economic Consulting, LLC. He specializes in securities class actions, business valuation, securities valuation, derivatives valuation, solvency analysis, calculation of damages, statistical analysis, and litigation support for matters involving valuation disputes, securities fraud, solvency, fairness, breach of contract, breach of fiduciary duty, broker raiding, commercial disputes, and employment disputes involving the valuation of employee stock options. He has testified as an expert in valuation, broker raiding, and securities and other financial matters in federal and state court and in arbitration and mediation proceedings. He has also testified as an expert in bankruptcy court concerning valuation, debt-for-debt exchange offers, and the fairness of proposed plans of reorganization.
Dr. Finnerty is also a Professor of Finance at Fordham Universitys Gabelli School of Business where he was the founding Director of the Master of Science in Quantitative Finance Program. He has taught for more than 28 years, including courses in corporate finance, investment banking, fixed income analysis, fixed income securities, fixed income portfolio management, principles of finance, securities innovation, and bankruptcy and reorganization. His teaching and research interests include hedge fund and private equity fund management, structure, and performance.
Dr. Finnerty has published 15 books, including Corporate Financial Management, 4th ed., Project Financing: Asset-Based Financial Engineering, 3rd ed., Principles of Financial Management, and Debt Management, and more than 100 articles and professional papers in corporate finance, business and securities valuation, and other areas of finance. His published papers include 10 articles in law reviews and other legal publications, which mainly address damages calculation methodologies and derivatives litigation. His writings and teaching have focused on the analysis and valuation of securities, especially fixed income instruments and complex derivative products, and mortgage-backed and other asset-backed securities. Dr. Finnerty is a former editor of Financial Management, one of the leading academic finance journals, and a former editor of FMA Online. He is a member of the editorial advisory boards of the Journal of Portfolio Management and the International Journal of Portfolio Analysis & Management and a former associate editor of the Journal of Applied Finance.
Two of Dr. Finnertys articles, “An Average-Strike Put Option Model of the Marketability Discount,” which was published in the Journal of Derivatives in 2012, and “The Impact of Stock Transfer Restrictions on the Private Placement Discount,” which was published in Financial Management in 2013, develop the average-strike put option model of the discount for lack of marketability and validate the model by testing it on a sample of common stock private placements. The model is widely used by stock appraisers, and it has been recommended on the SECs website as a useful resource for calculating marketability discounts. Dr. Finnerty has developed innovative models for valuing convertible bonds, employee stock options, venture capital preferred stock, tuition prepayment certificates, restricted stock, and private equity carried interests.
Dr. Finnerty worked for more than 20 years as an investment banker. He worked on more than 50 public and private financings, and served as financial advisor in connection with several mergers and several project financings. He performed numerous valuations for gift, estate, and other tax purposes.
Dr. Finnerty is a Trustee and a former Chair of the Trustees and a former President and Director of the Eastern Finance Association, a former Director of the Financial Management Association, and a former President and Director of the Fixed Income Analysts Society. He served as a member of FASBs Option Valuation Group in connection with the revision of FAS 123. He was inducted into the Fixed Income Analysts Society Hall of Fame in 2011.
Disclaimer: The biographical information is as of the date of posting.
