Talk: Myron Scholes and the future of asset management

Listen to Myron Scholes talk about Asset Management when he visits campus on October 25. A light reception will follow his talk where you will have the opportunity to chat with him one-on-one. More information on what Mryon will discuss is below.

The Future of Asset Management: What the future holds

Risk management is far more important than is stock selection in enhancing terminal wealth. Compound returns result in terminal wealth, what the investor consumes, not average returns or measuring performance success relative to a benchmark, and, as a result, the factors that influence compound returns should become our major focus. Risk management entails mitigating large draw down or tail losses and participating in upside tail gains. And this is so each period of time regardless of the investment horizon. Interestingly, the static asset allocation models currently in vogue will give way to dynamic risk models because the options market (and other risk markets) provide valuable market information across a broad cross-section of assets about the risk of next period’s potential gains and losses. Risk management technologies lend themselves to digital platforms employing broader-based market portfolios tailoring risks to client demands.

Register for the event here.