Gary Joseph Gray

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Professor of Finance

Office Address 330 Business Building
Phone Number 814-863-3564
Email Address gxg2@psu.edu



Before joining the Smeal College, Dr. Gray was an investmentbanker/financial engineer specializing in municipal derivative productsand new financing techniques and programs. He was the principalarchitect of a number of financial products including: tax-exemptzero-coupon bonds, capital appreciation bonds, agricultural revenuebonds, tender option crossover refunding bonds, RIBS/SAVRS, BondPayment Obligations (BPOs), Premium Municipal Bond Receipts, GovernmentDevelopment Receipts, municipal call options (MuniCHOPs), secondarymarket versions of RIBS/SAVRS and tax-exempt bond and preferred stockprograms using various custody and trust arrangements. He assisted inthe sale of derivative products to large institutional investors andpresented Lehman's programs at municipal and derivatives conferences.

Expertise

Stock and Bond Valuation. Investment Banking. Financial Institutions. Municipal Finance.

Education

Ph D, Finance, The Pennsylvania State University, 1984

MBA, The Pennsylvania State University, 1977

BS, Electrical Engineering, The Pennsylvania State University, 1972

Courses Taught

FIN 301 – Corporation Finance (3)
Nature of finance function; risk and return concepts; working capital; dividend policies; mergers; security markets; acquisition and management of corporate capital; analysis of operations, forecasting capital requirements; raising capital; and planning p

FIN 496 – Independent Studies (variable)
Creative projects, including research and design, which are supervised on an individual basis and which fall outside the scope of formal courses.

B A 301 – Finance (2)
Overview of financial manager's role within the organization; investment, financing, and restructuring activities.

FIN 408 – Financial Markets and Institutions (3)
Functional analysis of major credit institutions; sources and uses of funds; impact of government regulation.

Selected Publications

Woolridge J. R., Gray G. J., "Basic Principles of Finance: An Introductory Text." (Kendall Hunt), 2011, pp. 501.
Woolridge J. R., Gray G. J., "Applied Principles of Finance." (Kendall Hunt), 2006, pp. 486.
Woolridge J. R., Gray G. J., "The New Corporate Finance, Capital Markets, and Valuation: An Introductory Text." (Kendall Hunt), 2003, pp. 505.
Gray G. J., Woolridge J. R., Cusatis P. J., "Streetsmart Guide to Valuing a Stock." (McGraw-Hill), 1999, pp. 234.
Gray G. J., Cusatis P. J., "Municipal Derivative Securities: Uses and Valuation." (Dow Jones Irwin), 1995, pp. 285.
Engebretson K., Gray G. J., "An Introduction to Municipal Derivative Products." Government Finance Review, vol. 9, no. 1, 1993, pp. 21-25.
Engebretson K., Gray G. J., "An Introduction to Municipal Derivative Products: Part II." Government Finance Review, vol. 9, no. 2, 1993, pp. 17-20.
Gray G. J., Cusatis P., "Understanding and Valuing Municipal Derivative Securities." Municipal Finance Journal, vol. 14, no. 2, 1993, pp. 1-41.
Gray G. J., Engebretson K., "Residual Interest Bonds (RIBS)." Municipal Finance Journal, vol. 13, no. 1, 1992, pp. 1-29.
Gray G. J., "SEC Rule 415: Benefits and Costs for Equity Issuers." Securities Industry Trends-Securities Industry Association, vol. X, no. 5, 1984, pp. 1-15.
Woolridge J. R., Gray G. J., "Are Original Issue Discount Bonds Here to Stay?." Harvard Business Review, 1982, pp. 54-56.
Gray G. J., Woolridge J. R., Ferrara S., "Competition in Agricultural Lending: Some Recent Developments." Journal of Commercial Bank Lending, vol. 64, no. 12, 1982, pp. 2-17.
Gray G. J., Woolridge J. R., "IDBs - Opportunities and Challenges for Commercial Banks." Municipal Finance Journal, vol. 2, no. 4, 1981, pp. 277-284.
Gouldey B. K., Gray G. J., "Implementing Mean Variance Theory in the Selection of U.S. Government Bond Portfolios." Journal of Bank Research, vol. 2, no. 4, 1981, pp. 161-173.
Gray G. J., Woolridge J. R., "Industrial Development Bonds - Opportunities and Challenges." The Bankers Magazine, vol. 164, no. 4, 1981, pp. 82-87.
Woolridge J. R., Gray G. J., "The CBO Study on Small Issue IRBs: Fact or Fiction?." Municipal Finance Journal, vol. 2, no. 2, 1981, pp. 83-89.