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A Revolution For Small Investors
MSN Money ^ | 30 April 2008 | Michael Brush

Posted on 04/30/2008 9:11:54 PM PDT by zeestephen

"Soon all companies will report financials in a programming language called XBRL that will allow you and me to slice and dice numbers like never before." -SNIP- "The idea behind XBRL, short for eXtensible Business Reporting Language, is simple: Instead of treating numbers in financial reports like dumb text on a page, it assigns a "bar code" tag to each number. So no matter what company you are looking at, the same tag will flag the figures for sales or gross margins in a master database at the SEC." -SNIP- ""For the first time, instantly, you'll be able to compare any item of financial information from thousands of companies around the world," SEC Chairman Christopher Cox said in a prepared statement to MSN Money. "The light that this will shed on stocks, bonds, and mutual funds will make investing choices far more understandable for every American. Interactive data is to financial reporting what Gutenberg's moveable type was to printing."

(Excerpt) Read more at articles.moneycentral.msn.com ...


TOPICS: News/Current Events
KEYWORDS: extensible; xbrl
Wonderful news for day traders, like me. However, in my opinion, most small investors should invest for the long term; they should rarely or never time the market; they should diversify risk and rarely or never invest in individual stocks; they should buy broad based ETFs or Index Funds; and, they should begin to concentrate hard on capital preservation after age sixty.
1 posted on 04/30/2008 9:11:54 PM PDT by zeestephen
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To: zeestephen
Now if only we could get Congress to do this with their budget...

I know. I know. I owe you a keyboard.

2 posted on 04/30/2008 9:24:28 PM PDT by SeeSharp
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To: zeestephen

You think this will work?


3 posted on 04/30/2008 9:32:09 PM PDT by allmost
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To: SeeSharp
SeeSharp - wonderful idea - in other posts I've advocated a Sarbanes-Oxley Bill for Congress, including comparable prison sentences and fines for elected officials who massage the budget numbers - I've also advocated for real time disclosure of all Federal deposits and withdrawals, including full, real time disclosure on EVERY Federal check written - don't worry about the keyboard - John McCain owes me three of them, plus a computer monitor, plus a TV screen
4 posted on 04/30/2008 9:44:32 PM PDT by zeestephen
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To: zeestephen
Just to clarify/correct this non-technical article from a business oriented source - XBRL is NOT a "programming language". It's actually an XML-based language for reporting financial information. Big difference, from a computer science perspective. Standard programs can and have been written in actual mainstream programming languages to ingest XBRL documents and validate them against XBRL schema to manipulate them in standardized ways, but XBRL is not a programming language in and of itself. It's really just a standard document reporting format that is computer friendly, allowing computers to read and manipulate the information in them in standardized ways. Very nice, but again not a "programming language".
5 posted on 04/30/2008 9:55:47 PM PDT by MCH
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To: zeestephen

>>>”The light that this will shed on stocks, bonds, and mutual funds will make investing choices far more understandable for every American. Interactive data is to financial reporting what Gutenberg’s moveable type was to printing.”

...
[start off-balance-sheet-items hidden=true location=cayman]
[start cdo]
$5,000,000,000
[end cdo]
...

I don’t think the transparency will increase using this method. H***, we can’t get cash flow reporting or net earnings consistent between companies.


6 posted on 04/30/2008 10:07:21 PM PDT by Hop A Long Cassidy
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To: zeestephen

Wonderful news for all of us who do our own taxes, even if we’re not day trading. I position/swing trade and even that creates a huge amount of paperwork come tax time.

The worst things to deal with are the MLP’s for gas & oil pipelines and their K-1s. It would be be a huge boon for those of us who invest in MLP’s and have to spent time sorting through the K-1’s and matching up the numbers with the IRS forms...


7 posted on 04/30/2008 10:17:29 PM PDT by NVDave
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To: MCH
Pretty nit-picky! Is Perl a programming language? RPG? Basic? Lisp? Forth? APL? All these languages are defined syntax sequences implementing operations on a machine, not for (normal) human consumption until so processed - hence a programming language, vs. a natural language. Geeze, Extensible Business Reporting Language is not a programming language? Give me (and the rest of the world) a break. It certainly is not a human language.
8 posted on 05/03/2008 6:07:20 AM PDT by GregoryFul
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To: GregoryFul
Pretty nit-picky! Is Perl a programming language? RPG? Basic? Lisp? Forth? APL? All these languages are defined syntax sequences implementing operations on a machine, not for (normal) human consumption until so processed - hence a programming language, vs. a natural language. Geeze, Extensible Business Reporting Language is not a programming language? Give me (and the rest of the world) a break. It certainly is not a human language.

Yes, all the examples you noted are "programming" languages. You can write "programs" with all of them which are capable of being executed on a computer, because they provide the syntax & semantics necessary to represent both a sequence of operations, as well as data.

XBRL however, is not a "programming" language. It's a taxonomy & schema, a way of representing data/information only. XBRL does not define operations. Unlike the examples you cite, you cannot write a program in XBRL. All you can do is represent data in a common way that is mutually understandable within a well defined [business oriented] community of practice.

Just because something is not a human language, or even if it's meant for consumption by computers, does not automatically make it a "programming" language. Think "data" language, or schema instead.

9 posted on 05/03/2008 1:37:59 PM PDT by MCH
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To: MCH

Thanks.


10 posted on 05/16/2008 7:49:43 AM PDT by Ernest_at_the_Beach (No Burkas for my Grandaughters!)
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