Download or read book Tournaments and Tail Risk Taking written by Jerchern Lin and published by . This book was released on 2016 with total page 46 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper studies how fund managers take skewed bets in tournaments in the investment management industry, assuming that a given fund manager constantly reexamines fund performance relative to her peers and takes a position with respect to skewness risk. I show that when a fund manager underperforms peers, she will gamble on trades with lottery-like returns. On the other hand, when a fund outperforms peer funds, its fund manager will take negatively skewed trades. Such skewness risk-shifting behavior is most pronounced in funds that face the most convexity in their payoffs. Moreover, younger and larger funds are less incentivized to adopt asymmetric investment strategies.
Download or read book Convex Incentives and Tail Risk Taking written by Jerchern Lin and published by . This book was released on 2016 with total page 54 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper examines how convexity in incentives affects tail risks across and within different types of investment funds. The literature has documented different forms of convexity that a fund manager faces: discounts in closed-end funds, tournaments and fund flow-performance relation in open-end funds, and high-water mark provisions in hedge funds. Sorting funds by the degree of convexity and comparing skewness between the group with the most convexity and the group with the least convexity, we conclude that convexity affects fund tail risks. This result suggests that both implicit and explicit convexities provide incentives for fund managers to take systematic and idiosyncratic bets with tail risks.
Download or read book Leading Effect Vs Risk Taking in Dynamic Tournaments written by Frank Mueller-Langer and published by . This book was released on 2014 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: Two “order effects” may emerge in dynamic tournaments with information feedback. First, participants adjust effort across stages, which could advantage the leading participant who faces a larger “effective prize” after an initial victory (leading-effect). Second, participants lagging behind may increase risk at the final stage as they have “nothing to lose” (risk-taking). We use a randomized natural experiment in professional two-game soccer tournaments where the treatment (order of a stage-specific advantage) and team characteristics, e.g. ability, are independent. We develop an identification strategy to test for leading-effects controlling for risk-taking. We find no evidence of leading-effects and negligible risk-taking effects.
Download or read book Risk Taking in Asymmetric Tournaments written by Matthias Kräkel and published by . This book was released on 2001 with total page 10 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Risk Taking Tournaments written by Petra Nieken and published by . This book was released on 2008 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Prize and Risk Taking Strategy in Tournaments written by Jungmin Lee and published by . This book was released on 2004 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Financial Engineering written by Tanya S. Beder and published by John Wiley & Sons. This book was released on 2011-06-07 with total page 616 pages. Available in PDF, EPUB and Kindle. Book excerpt: FINANCIAL ENGINEERING Financial engineering is poised for a great shift in the years ahead. Everyone from investors and borrowers to regulators and legislators will need to determine what works, what doesn't, and where to go from here. Financial Engineering—part of the Robert W. Kolb Series in Finance—has been designed to help you do just this. Comprised of contributed chapters by distinguished experts from industry and academia, this reliable resource will help you focus on established activities in the field, developing trends and changes, as well as areas of opportunity. Divided into five comprehensive parts, Financial Engineering begins with an informative overview of the discipline, chronicling its complete history and profiling potential career paths. From here, Part II quickly moves on to discuss the evolution of financial engineering in major markets—fixed income, foreign exchange, equities, commodities and credit—and offers important commentary on what has worked and what will change. Part III then examines a number of recent innovative applications of financial engineering that have made news over the past decade—such as the advent of securitized and structured products and highly quantitative trading strategies for both equities and fixed income. Thoughts on how risk management might be retooled to reflect what has been learned as a result of the recent financial crisis are also included. Part IV of the book is devoted entirely to case studies that present valuable lessons for active practitioners and academics. Several of the cases explore the risk that has instigated losses across multiple markets, including the global credit crisis. You'll gain in-depth insights from cases such as Countrywide, Société Générale, Barings, Long-Term Capital Management, the Florida Local Government Investment Pool, AIG, Merrill Lynch, and many more. The demand for specific and enterprise risk managers who can think outside the box will be substantial during this decade. Much of Part V presents new ways to be successful in an era that demands innovation on both sides of the balance sheet. Chapters that touch upon this essential topic include Musings About Hedging; Operational Risk; and The No-Arbitrage Condition in Financial Engineering: Its Use and Mis-Use. This book is complemented by a companion website that includes details from the editors' survey of financial engineering programs around the globe, along with a glossary of key terms from the book. This practical guide puts financial engineering in perspective, and will give you a better idea of how it can be effectively utilized in real- world situations.
Download or read book Risk Preference Correlation Choice Sabotage and the Design of Promotion Tournaments written by Yuji Yumoto and published by . This book was released on 2003 with total page 143 pages. Available in PDF, EPUB and Kindle. Book excerpt: Keywords: promotion, tournament, risk taking, correlation choice, sabotage, contest.
Download or read book The Adaptive Markets Hypothesis written by Andrew W. Lo and published by Oxford University Press. This book was released on 2024-02-22 with total page 801 pages. Available in PDF, EPUB and Kindle. Book excerpt: The Adaptive Markets Hypothesis (AMH) presents a formal and systematic exposition of a new narrative about financial markets that reconciles rational investor behaviour with periods of temporary financial insanity. In this narrative, intelligent but fallible investors learn from and adapt to randomly shifting environments. Financial markets may not always be efficient, but they are highly competitive, innovative, and adaptive, varying in their degree of efficiency as investor populations and the financial landscape change over time. Andrew Lo and Ruixun Zhang develop the mathematical foundations of the AMH—a simple yet surprisingly powerful set of evolutionary models of behaviour—and then apply these foundations to show how the most fundamental economic behaviours that we take for granted can arise solely through natural selection. Drawing on recent advances in cognitive neuroscience and artificial intelligence, the book also explores how our brain affects economic and financial decision making. The AMH can be applied in many contexts, ranging from designing trading strategies, to managing risk and understanding financial crises, to formulating macroprudential policies to promote financial stability. This volume is a must read for anyone who has ever been puzzled and concerned by the behaviour of financial markets and the implications for their personal wealth, and seeks to learn how best to respond to such behaviour.
Download or read book Risk Management for Events written by Julia Rutherford Silvers and published by Routledge. This book was released on 2020-12-27 with total page 460 pages. Available in PDF, EPUB and Kindle. Book excerpt: Risk Management for Events is a comprehensive and practical guide that supports academic and professional development programs to prepare individuals for entering or advancement in the international events industry. Events of all types are produced every day for all manner of purposes, attracting all sorts of people. Creating and managing the environment in which these people will gather carries with it awesome responsibilities — legal, ethical, and financial. To provide a safe and secure setting and to operate in a manner that ensures that the hosting organizations or individuals achieve their objectives in a proper and profitable way, event risk management must be fully integrated into all event plans and throughout the event management process. This new edition has been revised and updated to include: New case studies and examples from a wide range of international destinations and different types of events. Updated statistics and data throughout. New content on emergent risk, on-site decision-making, terrorism, and public health, including the COVID-19 pandemic, and corruption within events. Updated online material, including a case study archive and weblinks to useful resources. This will be an invaluable resource for all those studying events management.
Download or read book Tournament Poker and the Art of War written by David Apostolico and published by Lyle Stuart. This book was released on 2005 with total page 180 pages. Available in PDF, EPUB and Kindle. Book excerpt: Apostolico teaches poker enthusiasts strategies of Sun Tzu Can, including how to act in accordance with a plan only after full consideration of the consequences, to weaken the enemy before engaging him, to strike always with their own fullest strength against the enemy's weakest points, and more.
Download or read book Tournament Rewards and Risk Taking written by Hans K. Hvide and published by . This book was released on 2001 with total page 19 pages. Available in PDF, EPUB and Kindle. Book excerpt: I consider two seemingly unrelated puzzles. 1.Why is relative performance evaluation (RPE) used less in CEO compensation than agency theory suggests? 2.Why is sometimes, e.g., for fund managers, a 'modest' performance more highly rewarded than 'very high' performances? I consider a simple tournament model where agents can influence the spread of output in addition to its mean. I show that standard tournament rewards induce risky and lazy behavior from the agents. This finding sheds light on Puzzle 1. Second, I consider a scheme that ranks agents according to their relative closeness to a benchmark k. I show that there exists intermediate values of k such that the risky-lazy problem of the standard tournament can be mitigated, and first best level of effort can be implemented. This result sheds light on Puzzle 2.
Download or read book On the Edge written by Nate Silver and published by Penguin. This book was released on 2024-08-13 with total page 577 pages. Available in PDF, EPUB and Kindle. Book excerpt: The Instant New York Times Bestseller “Engaging and entertaining… a glimpse of the economy of the future.” —Tim Wu, New York Times Book Review From the New York Times bestselling author of The Signal and the Noise, the definitive guide to our era of risk—and the players raising the stakes In the bestselling The Signal and the Noise, Nate Silver showed how forecasting would define the age of Big Data. Now, in this timely and riveting new book, Silver investigates “the River,” the community of like-minded people whose mastery of risk allows them to shape—and dominate—so much of modern life. These professional risk-takers—poker players and hedge fund managers, crypto true believers and blue-chip art collectors—can teach us much about navigating the uncertainty of the twenty-first century. By immersing himself in the worlds of Doyle Brunson, Peter Thiel, Sam Bankman-Fried, Sam Altman, and many others, Silver offers insight into a range of issues that affect us all, from the frontiers of finance to the future of AI. Most of us don’t have traits commonly found in the River: high tolerance for risk, appreciation of uncertainty, affinity for numbers—paired with an instinctive distrust of conventional wisdom and a competitive drive so intense it can border on irrational. For those in the River, complexity is baked in, and the work is how to navigate it. People in the River have increasing amounts of wealth and power in our society, and understanding their mindset—and the flaws in their thinking— is key to understanding what drives technology and the global economy today. Taking us behind the scenes from casinos to venture capital firms, and from the FTX inner sanctum to meetings of the effective altruism movement, On the Edge is a deeply reported, all-access journey into a hidden world of power brokers and risk-takers.
Download or read book Managing Extreme Technological Risk written by Catherine Rhodes and published by World Scientific. This book was released on 2024-05-21 with total page 260 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book reflects on work done through the Managing Extreme Technological Risk (METR) project, a pioneering research programme within the Centre for the Study of Existential Risk, University of Cambridge. METR has been both an exercise in 'academic engineering' to address major global challenges, and a research programme that extends beyond traditional academic outputs into methodological development and innovative forms of expert engagement and outreach.Managing Extreme Technological Risk explores how the METR programme developed a model that is needed to effectively understand risks to the survival of humanity, as well as their management and mitigation. It reflects on the challenges faced and lessons learned in the process of building a research community focused on this aim. This book brings together findings and future considerations from a key formative phase, not just for the Centre, but for the field of existential risk and aligned areas of research as a whole. It relates the story of this journey and outlines some of the programme's specific findings. There is an overall focus on what has been learnt for approaching the study of existential risk and how this can, and must, be taken forward by others, urgently and at scale.
Download or read book Harrington on Modern Tournament Poker written by Dan Harrington and published by Two Plus Two Publishing LLC. This book was released on 2014-05-08 with total page 556 pages. Available in PDF, EPUB and Kindle. Book excerpt: Over the last ten years, the enormous growth of interest in poker and poker tournaments has led to an intense focus on the theory of tournament poker. The result was a re-examination of old ideas and the introduction of many new ones. The fundamentals of no-limit hold em did not change, but the game was revealed to have more depth than many older players could have anticipated. As a result, no-limit hold em tournament play has evolved into a newer, tougher, faster game, and good players have had to evolve to keep up. In Harrington on Modern Tournament Poker, Dan Harrington takes a fresh look at the world of no-limit hold em tournaments. He explains how the game is currently played, and what you ll have to do to be a successful tournament player in 2013 and beyond. The topics examined include how to play different hand types preflop, when to 3-bet and 4-bet, how to analyze the flop, turn, and river, and how to size your bets. Dan also explains how to adjust your strategy as your stack size grows and shrinks, and how to handle the new breed of super-aggressive players that you ll meet at the table (and, if you want, how to play that way yourself). Dan Harrington won the Gold Bracelet and the World Champion Title at the Main Event of the 1995 World Series of Poker. And he was the only player in recent history to make the final table in back-to-back years 2003 and 2004 considered by cognoscenti to be the greatest accomplishment in WSOP history.
Download or read book The Risk Takers written by Renee Martin and published by Vanguard. This book was released on 2010-04-06 with total page 290 pages. Available in PDF, EPUB and Kindle. Book excerpt: The Risk Takers is about ordinary people, all with good ideas, who faced daunting challenges, but took a leap of faith and started their own business. The book tells the stories of the personal and professional journeys of sixteen fascinating men and women who built hugely successful, multimillion dollar companies. They started with very little, opted to strike out on their own, and struggled with disappointment and failure. Yet, they overcame adversity and through persistence and resiliency determined their own destiny. You’ll meet the founders of companies familiar to most Americans: Geek Squad, Curves, Liz Lange Maternity, Kinko’s, Paul Mitchell, Spanx, Amy’s Kitchen, along with nine others. Don and Renee Martin, successful entrepreneurs in their own right, personally interviewed these men and women whose inspiring stories demonstrate it’s never been easy to start your own business and navigate it through all the inevitable storms to ultimate success—in any economy, in any era. But can be done. The personal stories in this volume remind us of what is possible when you combine an inspired business idea with faith and tenacity. It’s the right book at the right time—it’s time to resurrect The American Dream.
Download or read book The Tournament Trilogy written by B. B. Griffith and published by Griffith Publishing LLC. This book was released on 2014-01-17 with total page 1057 pages. Available in PDF, EPUB and Kindle. Book excerpt: The Tournament Trilogy follows the rise of the Tournament, a secretive, state-sponsored war game...and the stakes couldn't be higher. This collection contains the first three books in the series and is over 1000 pages of conspiracy, warfare, and murder! _____ Blue Fall (Book 1) If you knew about The Tournament, you'd know why they want it kept secret. People don't like to hear that state-sponsored war games are going on under their noses, in their cities, and on their streets. The world isn't ready to know that the most powerful among us can shape the future by wagering on these fights. People wouldn't understand if they learned that teams in The Tournament have the freedom to do almost anything, anywhere, to win. The Tournament was supposed to be the perfect game, and the perfect secret. Frank Youngsmith, a hapless insurance agent, was supposed to be a nobody, none the wiser. But sometimes things just don't work out like they're supposed to. When Frank stumbles into the dark world of The Tournament when the game is on, it's up to him to expose the secret...or die trying. Grey Winter (Book 2) Two players have been murdered. Two killers are on the loose. Nothing is what it seems. The world is awake now. The Tournament has captivated everyone, but no winner can be declared until the mystery of what happened to Team Blue is solved. Meanwhile, three new players are chosen to rebuild the fallen team, but they are young and inexperienced, and instantly targeted. Their survival is dependent upon their existence remaining a secret. But in the Tournament, secrets are hard to keep. New alliances are formed, old enemies are confronted, and the truth is finally revealed in Grey Winter. Black Spring (Book 3) The Black House gathers power and the remaining teams are divided. The Tournament will fall into the hands of Eddie Mazaryk and Team Black unless Ellie Willmore and Team Blue can stop them. But to stop Black, Ellie needs to pull off a miracle: unite sworn enemies to beat the best of the best. The stakes have never been higher. The winners own the Tournament. The losers forfeit everything...even their lives. Ties of friendship, love, and hate are put to the test under a hail of gunfire in Black Spring, the spectacular conclusion to The Tournament Trilogy.
