““CEOs go to their vacation homes just after companies report favorable news, and CEOs return to headquarters right before subsequent news is released. More good news is released when CEOs are back at work, and CEOs appear not to leave headquarters at all if a firm has adverse news to disclose. When CEOs are away from the office, stock prices behave quietly with sharply lower volatility. Volatility increases immediately when CEOs return to work.” —David Yermack, a New York University finance professor, whose recently released study shows a correlation between when CEOs take their private jets on vacation and movements in their companies’ stock price ”
New Technology Helps Travelers Spot Fake Drugs
A new technology can help ensure the safety of medications that sick travelers buy overseas. Mobile Product Authentication, developed by software company Sproxil, allows purchasers to use their mobile devices to send a unique code on the drug packaging to the manufacturer. The traveler receives an almost immediate response indicating whether the drug is real or fake. The company, which has offices in the U.S. and Nigeria, recently received a $1.8 million investment from the nonprofit Acumen Fund, whose goal is to fight poverty in South Asia and East Africa. The investment will be used to build sales teams in the U.S. and Nigeria, begin Sproxil’s expansion into India and Kenya and improve the technology.
Earlier this year, a report published by the United Nations Office of Drug and Crime showed that three in 10 pharmaceutical products found in Africa, Asia and Latin America were counterfeit, while 50 to 60 percent of medications in parts of Asia and Africa had too little or no active ingredients.