Investing is a difficult and challenging process. There are many ways for institutional and high net worth individual investors to perform poorly, either through mistakes or simple bad luck. Fortunately for investors, progress has been made in both the theory and the practice of investment management. A science of portfolio theory has evolved over the last 50 years a science that looks to both quantify the returns and risks associated with investment decisions. Thanks to the refinement of this science, investors can now get a much better understanding of the forces that drive markets toward equilibrium conditions, and the unexpected factors that shock markets and create investment opportunities. Today, investors can create portfolios using modern investment management techniques that will deliver consistent, high quality returns. This book outlines the modern investment theory used by Goldman Sachs Asset Management to achieve superior investment returns.
Book Details:
- Author: Bob Litterman
- ISBN: 9780470347164
- Year Published: 2003
- Pages: 648
- BISAC: BUS036000, BUSINESS & ECONOMICS/Investments & Securities / General
About the Book and Topic:
Investing is a difficult and challenging process. There are many ways for institutional and high net worth individual investors to perform poorly, either through mistakes or simple bad luck. Fortunately for investors, progress has been made in both the theory and the practice of investment management. A science of portfolio theory has evolved over the last 50 years a science that looks to both quantify the returns and risks associated with investment decisions. Thanks to the refinement of this science, investors can now get a much better understanding of the forces that drive markets toward equilibrium conditions, and the unexpected factors that shock markets and create investment opportunities. Today, investors can create portfolios using modern investment management techniques that will deliver consistent, high quality returns. This book outlines the modern investment theory used by Goldman Sachs Asset Management to achieve superior investment returns.
This book fills an existing informational void, explaining and demystifying modern investment theory as applied by one of Wall Street’s elite investment banks, Goldman Sachs. The book travels from modern portfolio theory and capital asset pricing to more contemporary issues such as strategic asset allocation, risk budgeting, and active portfolio management.
* Outlines the modern investment techniques and theories used by Goldman Sachs Asset Management to achieve superior investment returns. * Discusses topics such as: modern portfolio theory, risk measurement, institutional applications, and much more. * Author Bob Litterman helped create the Black-Litterman asset allocation model-one of the most widely respected and used asset allocation models deployed by institutional investors.
About the Author
BOB LITTERMAN is Managing Director and Head of Goldman Sachs Asset Management’s Quantitative Resources Group. Bob is the codeveloper, along with the late Fischer Black, of the Black-Litterman Global Asset Allocation Model. As the head of the Quantitative Resources Group, Bob oversees two portfolio management teams, Quantitative Equities and Quantitative Strategies, a research and strategy team, Global Investment Strategies, and a risk modeling group called PACE (Portfolio Analysis and Construction Environment). Together, these groups include over ninety professionals and manage over $45 billion in assets as of December 31, 2002.