Publications

2017
Book

The Wisdom of Finance: Discovering Humanity in the World of Risk and Return

By: Mihir Desai

The Wisdom of Finance takes well-known financial concepts and applies them to our most pressing life issues. The book is philosophical in its approach, but Desai's thesis is peppered with real-life examples of how financial types can and should see the world... View Details

Keywords: Finance; Financial Institutions; Ethics; Values and Beliefs

16 Jun 2015
News

Huge growth in China’s money funds poses risk

April 22, 2021
Article

Shareholders Are Pressing for Climate Risk Disclosures. That's Good for Everyone

By: Caroline Flammer, Michael W. Toffel and Kala Viswanathan

Does shareholder activism induce firms to voluntarily disclose climate change risks? And how do markets respond to these disclosures? New research finds that the extent of climate-risk disclosure increases by approximately 4.6% for each environment-related proposal... View Details

Keywords: Reporting; Transparency; Activism; Shareholder Activism; Shareholder Engagement; Climate Change; Corporate Disclosure; Investment Activism; Business and Shareholder Relations

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Article

Scenario Generation for Long Run Interest Rate Risk Assessment

By: Robert F. Engle, Guillaume Roussellet and Emil N. Siriwardane

We propose a statistical model of the term structure of U.S. treasury yields tailored for long-term probability-based scenario generation and forecasts. Our model is easy to estimate and is able to simultaneously reproduce the positivity, persistence, and factor... View Details

Keywords: Forecasting; Stress Testing; Interest Rates; Forecasting and Prediction; Risk Management; United States

June 2009
Case

Midland Energy Resources, Inc.: Cost of Capital

By: Timothy A. Luehrman and Joel L. Heilprin

The senior vice president of project finance for a global oil and gas company must determine the weighted average cost of capital for the company as a whole and each of its divisions as part of the annual capital budgeting process. The case uses comparable companies to... View Details

Keywords: Risk Assessment; Risk and Uncertainty; Risk Management; Cost of Capital; Cash Flow; Capital Structure; Valuation; Capital Budgeting; Energy Industry

23 Dec 2019
Blog Post

Taking the Risk to Start a Company at Business School

“For me, attending HBS was about choosing a time to take a risk on myself. It sets you up to take a chance and start a company,” says Julie Johnson, Co-Founder and CEO Armored Things, HBS 2017. When Julie Johnson applied to Harvard... View Details

02 Dec 2018
News

An Investor’s Guide to Climate Change: Risks and Opportunities

as well as land-use and climate-resilient infrastructure, which will require massive injections of capital in order to remain sustainable. Alumni were urged to be the change agents and ask the tough questions; now more than ever taking that extra bit of View Details

Keywords: Allison Webster; Electric Power Generation, Transmission, Distribution; Utilities; Management, Scientific, and Technical Consulting Services; Professional Services

January 2023
Case

Cleave Therapeutics: Taking a Risk on Oncology Drug Discovery

By: Regina Herzlinger and Brian Walker

What should a successful executive (HBS Baker Scholar) assess as her next move as the CEO of a firm with a promising and yet uncertain new drug? Amy Burroughs’ mandate to successfully commercialize Cleave Therapeutics’ drug for a cancer with no current successful... View Details

Keywords: Product Development; Leadership; Health Testing and Trials; Research and Development; Risk and Uncertainty; Financial Condition; Partners and Partnerships; Pharmaceutical Industry

23 Sep 2008
Working Paper Summaries

New Framework for Measuring and Managing Macrofinancial Risk and Financial Stability

Keywords: by Dale F. Gray, Robert C. Merton & Zvi Bodie

16 Sep 2016
News

The Morning Risk Report: Better Performance Follows ESG Proposals

Article

Forward Discount Bias: Is It an Exchange Risk Premium?

By: K. A. Froot and J. Frankel

Keywords: Currencies; Exchange Rates; International Macroeconomics; Monetary Policy; Currency Controls; Fixed Exchange Rates; Floating Exchange Rates; Currency Bands; Currency Zones; Currency Areas; Rational Expectations; Asset Pricing

01 Dec 1999
News

New Jakurski Chair Supports Research in Global Finance

Director of Research and teaches courses in capital markets, international finance, and risk management. He received a BA from Stanford in 1980 and a Ph.D. in 1986 from the University of California at Berkeley, where he studied... View Details

February 2019 (Revised March 2019)
Case

Banorte and the Capital Call Facility: Infrastructure Finance in Mexico

By: John D. Macomber, Carla Larangeira and Fernanda Miguel

As a result of Mexico´s pension industry deregulation, pension funds were able to invest in energy and infrastructure projects through a variety of financial instruments, particularly through Capital Development Certificates (CKDs), an asset class that served as a... View Details

Keywords: Financial Products; Fund Management; Capital Call Facility; Pension Funds; Infrastructure; Energy; Finance; Decision Making; Investment Funds; Financial Instruments; North America; Mexico

Web

Bank Summary Sheets - Behavioral Finance & Financial Stability

Banking System Bank Summary Sheets JPMorgan Chase & CO. JPMorgan Chase & CO. Bank of America Corporation Wells Fargo & Co. Citigroup Inc. 5 6 7 8 9 10 JPMORGAN CHASE & CO Balance Sheet Risk & Return View Details

03 May 2011
Working Paper Summaries

How Do Risk Managers Become Influential? A Field Study of Toolmaking and Expertise in Two Financial Institutions

Keywords: by Matthew Hall, Anette Mikes & Yuval Millo; Banking

June 2018 (Revised November 2020)
Course Overview Note

Investing in the 21st Century: Return, Risk and Impact

By: Shawn Cole, Vikram S. Gandhi and Caitlin Reimers Brumme