Heisler Jeffrey - Portfolio management : theory and practice

1. Chapter 2
2. Chapter 3
3. Chapter 4
4. Chapter 5
5. Chapter 6
6. Chapter 7
7. Chapter 8
8. Chapter 9
9. Chapter 10
10. Chapter 11
11. Chapter 12
12. Chapter 13
13. Chapter 14
14. Chapter 15
15. Chapter 16

1. Chapter 1
2. Chapter 2
3. Chapter 3
4. Chapter 4
5. Chapter 5
6. Chapter 6
7. Chapter 7
8. Chapter 8
9. Chapter 9
10. Chapter 10
11. Chapter 11
12. Chapter 12
13. Chapter 13
14. Chapter 15
15. Chapter 16

Second Edition

SCOTT D. STEWART

CHRISTOPHER D. PIROS

JEFFREY C. HEISLER

Copyright 2019 by Scott D. Stewart, Christopher D. Piros, and Jeffrey C. Heisler. All rights reserved.

Published by John Wiley & Sons, Inc., Hoboken, New Jersey.
1e (2011, McGraw-Hill Education).

Published simultaneously in Canada.

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Library of Congress Cataloging-in-Publication Data

Names: Stewart, Scott Dudley, 1958 author. | Piros, Christopher Dixon, author. | Heisler, Jeffrey, 1959 author.

Title: Portfolio management / Scott D. Stewart, Christopher D. Piros, Jeffrey C. Heisler.

Other titles: Running money

Description: Second edition. | Hoboken, New Jersey: John Wiley & Sons, Inc., [2019] | Earlier edition published as: Running money : professional portfolio management. | Includes bibliographical references and index. | Identifiers: LCCN 2018060331 (print) | LCCN 2019001679 (ebook) | ISBN 9781119397434 (ePub) | ISBN 9781119397441 (ePDF) | ISBN 9781119397410 (hardcover)

Subjects: LCSH: Portfolio management. | Investments.

Classification: LCC HG4529.5 (ebook) | LCC HG4529.5 .S72 2019 (print) | DDC 332.6dc23

LC record available at https://lccn.loc.gov/2018060331

Cover Image: Enrique Ramos Lpez/EyeEm/Getty Images
Cover Design: Wiley

To my wife, Pam, and our children, John, Chris, Kate, and Anne.

SDS

To my wife, Chris, and our sons, Matt, Drew, and Daniel.

CDP

To Kaisa, Linda, Charles, Philip, Thomas, Peter, Jillian, and Michael.

JCH

Scott Stewart is a clinical professor of Finance and Accounting at Cornell University's S. C. Johnson Graduate School of Management and is faculty co-director of Cornell's Parker Center for Investment Research. Prior to that, he was a research associate professor at Boston University's School of Management and faculty director of its graduate program in Investment Management. From 1985 to 2001, Dr. Stewart managed global long and long-short equity, fixed-income, and asset allocation portfolios for Fidelity Investments and State Street Asset Management (now State Street Global Advisors). As a fund manager, he earned recognition for superior investment performance by Micropal, The Wall Street Journal, and Barron's. At Fidelity, he founded the $45 billion Structured Investments Group, managed varied funds including the Fidelity Freedom Funds, and was senior advisor to equity research. Dr. Stewart's research interests include portfolio management, institutional investors, equity valuation, and investment technology. His work has been published in The Financial Analysts Journal and The Journal of Portfolio Management and he authored Manager Selection. He earned his MBA and PhD in Finance at Cornell University, and is a CFA charterholder.

Christopher Piros has been an investment practitioner and educator for more than 30 years. As managing director of investment strategy for Hawthorn, PNC Family Wealth, and PNC Institutional Asset Management he led overall strategic and tactical guidance of client portfolios and oversaw the evolution of investment processes. At CFA Institute he was jointly responsible for developing the curriculum underlying the Chartered Financial Analyst designation. Previously, he established and led the discretionary portfolio management activities of Prudential Investments LLC, the wealth management services arm of Prudential Financial. Earlier he was a global fixed income portfolio manager and head of fixed income quantitative analysis at MFS Investment Management. Dr. Piros began his career on the finance faculty of Duke University's Fuqua School of Business. More recently he has been an adjunct faculty member at Boston University and Reykjavik University. He co-edited Economics for Investment Decision-Makers. His research has been published in academic and practitioner journals and books. Dr. Piros, a CFA charterholder, earned his PhD in Economics at Harvard University.

Jeffrey Heisler is a managing director at TwinFocus Capital Partners, a boutique multifamily office for global ultra-high-net-worth families, entrepreneurs, and professional investors. Previously, he was the market strategist at The Colony Group, an independent wealth management firm. In previous roles he served as the chief risk officer at Venus Capital Management, an investment advisor that specialized in relative value trading strategies in emerging markets, and as a portfolio manager and senior analyst for Gottex Fund Management, a fund-of-hedge-funds manager. He started his professional career as an engineer in multiple capacities with IBM. Dr. Heisler was an assistant professor in the Finance and Economics Department at Boston University Questrom School of Management, and the founding faculty director of its graduate program in investment management. His research on the behavior of individual and institutional investors has been published in both academic and practitioner journals. He earned his MBA at the University of Chicago and his PhD in finance at New York University. He is also a CFA charterholder.