Harry M. Markowitz
Harry M. Markowitz | |
---|---|
Born | August 24, 1927 Chicago, Illinois |
Nationality | American |
Alma mater | University of Chicago |
Occupation | Academic |
Known for | Modern portfolio theory, efficient frontier |
Notable work | Markowitz, H.M. (March 1952). "Portfolio Selection". The Journal of Finance. pp. 77–91. Markowitz, H.M. (1959). Portfolio Selection: Efficient Diversification of Investments. New York: John Wiley & Sons. |
Awards | John von Neumann Theory Prize (1989) Nobel Memorial Prize in Economics (1990) |
Website | Rady School: Faculty |
Harry M. Markowitz is the father of Modern Portfolio Theory (MPT)[1] and the concept of the efficient frontier.[2].
Markowitz laid the foundation for what is now termed portfolio theory in his 1952 paper, Portfolio Selection.[3] While working for the Cowles Commission, Markowitz developed his ideas in his book, Portfolio Selection: Efficient Diversification of Investment, published in 1959.[4]
A good portfolio is more than a long list of good stocks and bonds. It is a balanced whole, providing the investor with protections and opportunities with respect to a wide range of contingencies. To reduce risk it is necessary to avoid a portfolio whose securities are all highly correlated with each other. One hundred securities whose returns rise and fall in near unison afford little protection than the uncertain return of a single security.
— Harry Markowitz[5]
Currently, Markowitz is on the faculty of the Rady School of Management at UC San Diego, where he also does consulting work.[6]
Awards
In 1989, Markowitz was awarded the John von Neumann Theory Prize. The prize is "awarded annually to a scholar (or scholars in the case of joint work) who has made fundamental, sustained contributions to theory in operations research and the management sciences." [7]
In 1990, Markowitz was awarded the Nobel Memorial Prize in Economics.[8]
References
- ↑ Modern Portfolio Theory,investopedia
- ↑ Efficient Frontier, investopedia
- ↑ Markowitz, H.M. (March 1952). "Portfolio Selection". The Journal of Finance. pp. 77–91.
- ↑ Biogaphical,Nobelprize.org, The Official Web Site of the Nobel Prize
- ↑ Harry Markowitz Quotes
- ↑ Rady School: Faculty
- ↑ The Institute for Operations Research and the Management Sciences, official site
- ↑ Nobelprize.org, The Official Web Site of the Nobel Prize
External links
- Author page, Academic search (beta)
- Harry M. Markowitz : Citation Profile, CitEc
- RePEc/IDEAS