The Crisis of Crowding
Tales from the Financial Crisis of 2008
Thursday, February 21st, 2013
Ludwig Chincarini CFA, PhD,
University of San Francisco
Chairs: Don Steinmann and Henry To, CFA
This event is sponsored by the Applied Behavioral Finance and CFALA Book Club groups
The failure of Long Term Capital Management in 1998, the 2008 financial meltdown, the 2010 ‘flash crash’, and the ongoing financial crisis in Europe, all have a common thread. Crowd behavior.
Ludwig Chincarini will discuss elements in his book, The Crisis of Crowding: Quant Copycats, Ugly Models, and the New Crash Normal, related to how traders and risk managers frequently mismeasure risk by not considering the saturation of a trading place and the types of holders. He also will highlight how this affects which types of securities may be more risky to hold than others and when hedges do not work.
If you want to understand how crowding creates these risks and how to have a chance of minimizing the impact of the next crisis, please come and join Dr. Chincarini for his presentation.
A limited number of copies of his book will be available for sale, and Dr. Chincarini will be available to sign them after his talk.
Ludwig B. Chincarini, CFA, PhD, is an Associate Professor of Finance in the School of Management at the University of San Francisco and a member of the academic council of Index IQ, with over fifteen years of experience in the financial industry specializing in portfolio management, quantitative equity management, and derivatives. He was Director of Research at Rydex Global Advisors, where he co-developed the S&P 500 equal-weight index and helped launch the Rydex ETF program. He helped build an internet brokerage firm, FOLIOfn, designing its innovative basket trading and portfolio management platform. He holds a PhD from the Massachusetts Institute of Technology and an BA from the University of California at Berkeley.
As a participant in the CFA Institute Approved-Provider Program, the
CFA Society of Los Angeles has determined that this program qualifies
for 1 credit hours. If you are a CFA Institute member, CE credit for
your participation in this program will be automatically recorded in your CE Diary.
CFALA Members: $20.00(place cursor on amount for link)
Student Discount: $30.00 (Valid Student ID with current year shown - required at the event)
Non-members: $50.00 (place cursor on amount for link)
Time: 12:00 pm - 1:30 pm, Lunch
Location: Millennium Biltmore Hotel Los Angeles
506 South Grand Avenue
Los Angeles, CA 90071-2607
Parking: Hotel Valet Parking: $20.00
Self-Parking at Pershing Square (located directly across the street on Olive St.): $10.00
Dress Code: Business Casual
Methods of payment accepted: Visa/Mastercard, American Express and Discover. If you prefer to pay by check please register online and select "purchase order" as your payment option and enter your last name as the purchase order number. Mail check to: CFA Society of Los Angeles, 520 S. Grand Ave, Suite 370, Los Angeles CA 90071.
*Credit card payments will only be accepted through the secure online registration, and not by phone or email.