Journal Detail

Journal 27 – Rebuilding

November 2009

This issue of the journal examines some of the criticisms that financial services firms, and the finance discipline in general, have faced in recent years and appraises some of the suggestions made about how the credibility of some of the models used and the industry as a whole could be rebuilt.

Page 2: Smarter sourcing in a post-crisis environment
Suresh Gupta, Partner, Capco
Carmina Venditti, Director, Capco

Page 7: What executives should know about structural credit risk models and their limitations, a primer with examples
Samuel Malone, Assistant Professor of Finance, School of Management, University of the Andes
Abel Rodriguez, Assistant Professor, Department of Applied Mathematics and Statistics, University of California, Santa Cruz
Enrique ter Horst, Associate Professor, Euromed Managment, and IESA

Page 12: From crunch to crisis in the interbank lending market
John Robert Stinespring, Assistant Professor of Economics, University of Tampa
Brian T. Kench, Associate Professor of Economics, University of Tampa

Page 18: Rethinking channel and product optimization in the global financial services industry
Nick Jackson, Partner, Capco

Page 22: Quantifying reputational effects for publicly traded financial institutions
Giuseppina Cannas, Ph. D. Student, Faculty of Economics, University of Cagliari
Giovanni Masala, Researcher of Financial Mathematics, Faculty of Economics, University of Cagliari
Marco Micocci, Full Professor of Financial and Actuarial Mathematics, Faculty of Economics, University of Cagliari

Page 28: Can risk modeling work
Elizabeth Sheedy, Associate Professor, Macquarie Applied Finance Centre, Macquarie University

Page 34: Borrow from people
William Flatau, Founder, First Funding

Page 37: The world needs to begin planning now for a single global currency - and save the world trillions
Morrison Bonpasse, President, Single Global Currency Association

Page 40: The importance of customer experience in a challenging financial environment
Alex Forbes-Smith, Group Strategist, Nationwide
Tony Prestedge, Executive Director, Group Development, Nationwide

Page 43: The dog that did not bark
John Trundle, Managing Director and Head of Risk Management, Euroclear

Page 46: The financial crisis as a symbol of the failure of academic finance. (A methodological digression)
Hans J. Blommestein, PwC Professor of Finance, Tilburg University

Page 52: Private equity and captive insurance companies
Stef Roosenbeek, Senior Consultant, Aon Limited

Page 55: Estimating expected loss given default in an emerging market, the case of Czech Republic
Jakub Seidler, Economist, Czech National Bank, and Institute of Economic Studies, Charles University
Roman Horvath, Adviser to the Board and Head of Research Unit, Czech National Bank, and Institute of Economic Studies, Charles University
Petr Jakubik, Senior Economist, Czech National Bank, and Institute of Economic Studies, Charles University

Page 60: Economists hubris, the case of asset pricing
Shahin Shojai, Global Head of Strategic Research, Capco
George Feiger, Chief Executive Officer, Contango Capital Advisors

Page 65: The equity premium in 150 textbooks
Pablo Fernandez, Professor of Corporate Finance, IESE Business School

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