Description
Book SynopsisLinks theory and practice for investment professionals and portfolio managers, demonstrating why some portfolios consistently perform better than others
Investing well, like any other business, depends on competitive advantage. Some portfolios reliably generate greater returns than others because they simply are better positioned to benefit from strengths and avoid weaknesses. Building and using competitive advantage becomes central to the daily work of the best mutual funds, hedge funds, banks, insurers and virtually every other type of portfolio. But competitive advantage commonly is overlooked in most written work for investment professionals. The literature often varies between abstract formal treatments and pragmatic workbooks with little in between. Competitive Advantage in Investing fills the gap by integrating modern portfolio theory with actual practice in one comprehensive volume.
This innovative book guides investment professionals on building
Table of Contents
Preface ix
Acknowledgments xiii
Part I Theory 1
1 Welcome, Harry Markowitz 3
2 A Sharpe Line 17
3 The Counsel of Critics 27
4 Toward a New Capital Asset Pricing Model 35
5 The Local Capital Asset Pricing Model 41
6 Creating Competitive Advantage 53
7 Building a Portfolio on Competitive Advantage 65
Part II Practice 73
8 Investing for Total Return: Mutual Funds 75
9 Investing for Total Return: Hedge Funds 99
10 Investing for Banks, Thrifts, and Credit Unions 121
11 Investing for Property/Casualty and Life Insurers 159
12 Investing for Broker/Dealers 187
13 Investing for Real Estate Investment Trusts 203
14 Investing for Sovereign Wealth Funds 213
15 Investing for Individuals 229
Part III Markets 243
16 Turning the Tables: Investor Impact on Asset Values 245
References 255
About the Author 265
Index 267
