Insights_New_Company_MetricBarbara Gray, CFA – May 6, 2013 Excerpt from the Financial Post Barry Critchley – For about two decades, Barbara Gray was a sell side analyst/associate who covered a variety of sectors including industrial products, consumer discretionary and consumer staples. For the past three years the founder of Brady Capital Research has been trying to create a different way of evaluating companies, a way that focuses on a new form of equity called social capital. In her previous career, Gray limited her analysis to financial capital.

And in a recent paper, titled Why Companies With a Greater Purpose Will Thrive in the New Social Era, Brady, along with co-author Atlanta-based Bright House, predicted that social capital will “appreciate in value,” in part because of growth in the “density of connections within and between the different social networks.” It follows that positive social value will lead to a decrease in risk while negative social capital will lead to an increase in risk… More