Practical analysis for investment professionals

risk management


Book Review: Risk Management Competency Development in Banks

Risk management at banks — especially in a post-financial-crisis world — is a topic of critical importance to investors and regulators.

The Bezzle and the Central Banks

In today's bull market, the bezzle, or "inventory of undiscovered embezzlements," isn't stocked with Ponzi schemes and the like. Rather it is built on the notion that risky assets have become practically risk-free.

Howard Marks, CFA: Getting the Odds on Your Side

What are two of the most important things an investor needs to do to succeed? Howard Marks, CFA, offered his perspective.

Ensemble Active Management (EAM): Taming Toxic Tails

What is Ensemble Active Management (EAM) and how can it help active managers outperform their benchmarks after fees?

Book Review: The End of Theory

The End of Theory by Richard Bookstaber is relevant to anyone working in the financial industry.

Book Review: Gaining Currency

This work is effectively two books in one: (1) an account of the rise and internationalization of the renminbi and of its prospects for continued ascendancy over the near term and the medium term and (2) a concise description of the various vehicles for investing in Chinese assets.

The Adaptive Markets Hypothesis: A Financial Ecosystems Survival Guide

“We need to make investment plans that adapt to market conditions and also take into account our own personal frailties,” says Andrew W. Lo.

Book Review: Behavioral Risk Management

The author proposes debiasing techniques that can improve the practice of operational risk management by countering behavioral biases.

Top Five Articles from November: Equity Valuations, Amazon, Palm Oil

Eleven rules for equity valuations from James J. Valentine, CFA, as described by Paul McCaffrey; suggestions for evidence-based thinking in retirement plans by Isaac Presley, CFA; and Sloane Ortel's examination of how Amazon fits into the active vs. passive debate are among the top EI posts from November.

In Practice Summary: Managing Sequence Risk to Optimize Retirement Income

You arrive at your retirement day with a sizeable retirement fund. But then what? Some theorize that this is the point when there is the greatest risk of failure in your lifelong savings strategy. This edition of In Practice summarizes an innovative solution to this dilemma curated from new research from Cass Business School, London.