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Future of Money Management

This video, recorded at the Chicago Booth 2010 Management Conference, features Eugene Fama and David Booth providing insights into what lies ahead for active and passive money management. (View the video)

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Should Investors Fear the "New Normal"?

In this video, Kenneth French explains why lower economic growth may not hinder future stock returns. In fact, history shows that average returns tend to be higher during periods of economic...

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Hedging Inflation: Do TIPS Beat T-Bills?

Rising government spending around the world has many investors considering ways to hedge potential inflation, which may include holding TIPS or rolling over short-term Treasury securities. Ken French...

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Principal-Guaranteed Products: Paying Others to Bear Risk

Can principal-guaranteed products help an investor better manage portfolio risk? Ken French explains that principal protection would certainly be attractive if it were free. Unfortunately for...

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Diversification by Omission

Can investors build a better portfolio by combining asset classes that have low correlations? It is possible, explains Ken French, but not in the way that most investors attempt it. Some think they can...

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How Can Retirees Determine a Sustainable Withdrawal Rate?

Ken French says the simplest answer is found in the rate offered on a long-term Treasury Inflation Protected Security (TIPS). You can go beyond the TIPS rate if you don't plan to live forever. Retirees...

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Homemade Dividends

Should retirees limit their spending to the interest and dividends they receive? Ken French says investors should be indifferent to how they raise cash, whether through dividends and interest, or...

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Home Bias

Investors tend to overweight their equity portfolios with stocks from their home country market. Ken French says that, while home bias is still the norm, investors have significantly increased their...

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Q&A with Fama at the Fiduciary Investors Symposium

Fama speaks candidly about academic progress, smart beta, and the efficient markets hypothesis. (View the video)

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Fama: American Enterprise Institute Award and Interview

EFF: I was honored to be the recipient of the American Enterprise Institute's 2014 Irving Kristol Award at their annual dinner May 6. The institute has posted a video of the dinner, which includes...

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IGM Website

EFF/KRF: The IGM (Initiative on Global Markets of the University of Chicago Booth School of Business) web site has lots of good stuff from op eds to links to serious academic papers of the business...

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The Becker-Posner Blog

EFF/KRF: Gary Becker (University of Chicago faculty member in economics and business and a Nobel Prize winner in economics) and Richard Posner (University of Chicago Law School professor and a US...

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Working Papers

EFF/KRF: There is often a two or three year gap between the first draft of a paper and publication in a top finance journal. Most financial economists post their working papers on SSRN.com and,...

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Economist Podcasts

EFF/KRF: The Economist provides unusually clear and accurate analysis of economic and financial issues. You can download podcasts from The Economist on iTunes.

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Historical Returns

KRF: If you are looking for historical returns on our three factors and many other interesting portfolios, you can find them on my web site.

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Performance of Mutual Funds

EFF/KRF: Our new paper, Luck versus Skill in the Cross Section of Mutual Fund Alpha Estimates, takes another look at the performance of mutual funds. Bootstrap simulations produce no evidence that any...

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Cliff Asness on the U.S. Healthcare Bill

EFF/KRF: For an interesting and colorful economic analysis of the proposed U.S. Healthcare Bill we recommend "Health Care Mythology" by Cliff Asness, a Chicago Booth Ph.D.

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Robert Lucas in The Economist

KRF: Professor Robert Lucas of the University of Chicago has an interesting guest article in The Economist, "In defense of the dismal science."

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The Squam Lake Group

KRF: The Squam Lake Group recently published "The Squam Lake Report: Fixing the Financial System". We launched the book with a conference in New York.

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Q&A: Three-Factor Model and Recent Returns

How well has the three-factor model explained the recent behavior of stock returns?   EFF/KRF: For diversified portfolios, quite well. For example, the model's market, size, and value-growth factor...

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