Asset Management: Tools And Issues

Modern asset management relies on a diverse range of fields beyond financial theory, including economics, financial accounting, econometrics, management science, operations research, and data science. This book provides a comprehensive overview of the tools and techniques used in asset management, including financial econometrics, Monte Carlo simulation, optimization models, and machine learning. It also covers specialized topics such as alternative risk measures, securities finance, quantitative research, quantitative equity strategies, transaction costs, multifactor models, and backtesting methodologies. The interdisciplinary nature of asset management requires managers to have a strong understanding of these tools in order to extract profits from data and processes.

\n Format: Hardback
\n Length: 516 pages
\n Publication date: 07 January 2021
\n Publisher: World Scientific Publishing Co Pte Ltd
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Long gone are the days when investors could rely solely on intuition to make decisions. In the modern world of asset management, a diverse array of fields beyond financial theory is employed to guide investment strategies and analyze securities. These fields encompass economics, financial accounting, econometrics/statistics, management science, operations research (optimization and Monte Carlo simulation), and more recently, data science (Big Data, machine learning, and artificial intelligence).

The challenge in writing an institutional asset management book lies in the fact that when tools from these various fields are integrated into an investment strategy or analytical framework for valuing securities, it is assumed that the reader possesses a solid foundation in these fields. Attempting to explain strategies and analytical concepts while simultaneously providing a primer on the tools from other domains is not the most effective approach to describing the asset management process. Moreover, while an increasing number of investment models have been proposed in the asset management literature, there are challenges and issues associated with their implementation.

To address these challenges, this book serves as a comprehensive resource. It provides a detailed description of the tools used in asset management, along with a more in-depth exploration of specialized topics and issues covered in the companion book, Fundamentals of Institutional Asset Management. The topics covered in this book span a wide range, including the asset management business and its unique challenges, the fundamentals of financial accounting, securitization technology, analytical tools such as financial econometrics, Monte Carlo simulation, optimization models, and machine learning, alternative risk measures for asset allocation, securities finance, implementing quantitative research, quantitative equity strategies, transaction costs, multifactor models applied to equity and bond portfolio management, and backtesting methodologies.

This pedagogical approach aims to expose the reader to a comprehensive understanding of the asset management landscape, equipping them with the knowledge and tools necessary to navigate the complex world of investment decision-making. By integrating a diverse range of fields and perspectives, institutional asset management has become an increasingly sophisticated and data-driven discipline, enabling investors to make informed and effective choices in today's dynamic financial markets.

\n Weight: 888g\n
Dimension: 160 x 236 x 35 (mm)\n
ISBN-13: 9789811222931\n \n