August 29

Whom Do You Trust? A Brewing Crisis in Investment Management

The CFA Institute is out with its Investor Trust Study and the results are not good for investment managers everywhere. Whom Do You Trust? Only a bit more than 60% of institutional investors trust investment managers. Of course, this could be a bit like the surveys that tell us the US Congress is liked by.

August 24

Summers or Yellen for Fed Chair: The Battle of the Chromosomes?

While many of us contemplate or are currently enjoying our summer vacation, the financial press still has a job to do.  Staring at that empty white computer screen, they must kindle our interest in an “important story” whether or not it really deserves our immediate attention. One of the best “breaking news” stories of the.

August 13

Was the NBER Correct on RMBS/CMBS Ratings?

A rather fascinating, detailed mathematical treatise is out from the National Bureau of Economic Research.  Its basic conclusions are: (1)    Using PIMCO/Blackrock methodology for RMBS/CMBS ratings resulted in a huge decrease in required risk capital (over $15B less as an industry, including $3B combined for Met and TIAA). (2)    This new system only considers current.

July 24

Does Your Manager Follow the CFA Asset Manager Code of Professional Conduct?

Before we answer that question, let’s start with what the Asset Manager Code of Professional Conduct is. According to the CFA Institute: “The Asset Manager Code of Professional Conduct outlines the ethical and professional responsibilities of firms (“Managers”) that manage assets on behalf of clients. By adopting and enforcing a code of conduct for their.