Description
Book SynopsisA lot has happened in the financial markets since 1992, when Peter Bernstein wrote his seminal Capital Ideas. Happily, Peter has taken up his facile pen again to describe these changes, a virtual revolution in the practice of investing that relies heavily on complex mathematics, derivatives, hedging, and hyperactive trading.
Table of ContentsPreface.
A Note on Usage.
PART I: THE BEHAVIORAL ATTACK.
1. Who Could Design a Brain . . . .
2. The Strange Paradox of Behavioral Finance: “Neoclassical Theory Is a Theory of Sharks”,
PART II: THE THEORETICIANS,
3. Paul A. Samuelson: The Worldly Philosopher.
The Institutionalists.
4. Robert C. Merton: “Risk Is Not an Add-On”.
5. Andrew Lo: “The Only Part of Economics That Really Works”.
6. Robert Shiller: The People’s Risk Manager.
The Engineers.
7. Bill Sharpe: “It’s Dangerous to Think of Risk as a Number”.
8. Harry Markowitz: “You Have a Little World”.
9. Myron Scholes: “Omega Has a Nice Ring to It”.
PART III: THE PRACTITIONERS.
10. Barclays Global Investors: “It Was an Evangelical Undertaking”.
11. The Yale Endowment Fund: Uninstitutional Behavior.
12. CAPM II: The Great Alpha Dream Machine: We Don’t See Expected Returns.
13. Making Alpha Portable: “That’s Become the New Mantra”.
14. Martin Leibowitz: CAPM in a New Suit of Clothes.
15. Goldman Sachs Asset Management: “I Know the Invisible Hand Is Still There”.
PART IV: CAPITAL IDEAS TOMORROW.
16. Nothing Stands Still.
Notes.
Bibliography.
Acknowledgments.
Index.
