Enterprising Investor

In episode #270, Dr. Yoshiko Takayama, former board governor of International Corporate Governance Network and a current member of Japan Corporate Governance Forum, shared her perspectives on the subject with us. Many changes have taken place in Japan's corporate governance in recent years. Last year the Stewardship Code was approved with much fanfare and now the corporate governance code. What's really happening on the ground? What can foreign investors expect and what to watch for in the future?

In episode #269, Erika James, dean of Goizueta Business School at Emory University, is well-known for her research in the areas of crisis leadership and workplace diversity. She has written that crises are inevitable and every organization will experience a crisis of some magnitude. In this interview, Dean James discusses how leaders can prepare for a crisis and then take the experience and use it to take the organization to the next level once the crisis ends. She also talks about the business case for diversity and the importance of corporate culture.

In episode #268, Will Ortel and Melissa Cook, CFA, discuss why it's critical for companies and investors to pay attention to the continent, where they can fruitfully devote their attention, and how it is emerging as a battleground for a new category of company.

In episode #267, Clare Flynn Levy is founder and CEO at Essentia Analytics, a software firm that allows fund managers to capture data about their own behavior so they can improve their investment processes. In this interview, she discusses a fundamental problem that investment professionals share: they sell skill, but get paid for performance, and yet the two are not the same. Ms. Levy explains how and why it's important for fund managers to keep track of their investment processes so they can learn to avoid, or minimize, behavioral biases in the future.

In episode #266, Carla Harris, a managing director and vice chairman of global wealth management at Morgan Stanley and author of Expect to Win, explains the business case for diversity in the business world. She also shares career advice, or what she calls "pearls of wisdom," acquired over a nearly three-decade career on Wall Street, and talks about how she hires and how her leadership style has evolved over time.

In episode #265, John Coates, research fellow in neuroscience and finance at the University of Cambridge, researches the biology of risk taking and stress. Previously, he traded derivatives for Goldman Sachs and ran a trading desk for Deutsche Bank. Dr. Coates's book, The Hour between Dog and Wolf, was short-listed for both the Financial Times/Goldman Sachs Book of the Year Award and the UK Wellcome Trust Science Writing Prize. His research on risk taking has attracted interest from business, medicine, the military, and elite sports teams. Foreign Policy named Dr. Coates one of the most influential thinkers of the year. He holds an MPhil and a PhD from the University of Cambridge.

In episode #264, Andreas J. Sauer, CFA, shares key characteristics of his approach to macro investing, which infers market expectations for both real growth and monetary policy. Sauer also discusses how he developed trading strategies based on this approach.

In episode #263, James Clunie, CFA, ASIP, a fund management director at Jupiter Asset Management, manages an absolute return fund with a global long/short investment mandate. In this brief interview, he discusses the role of shorting in the price discovery process, what makes a stock an attractive candidate for shorting, and the risks associated with the practice.

In episode #262, Martin Wolf joins Robert Stammers, CFA, to discuss his newest book and his presentation at the 68th CFA Institute Annual Conference in Frankfurt, Germany. Wolf discusses the causes of the financial crisis and what options are available to investment professionals and policy makers to strengthen the financial system and to potentially avoid additional financial calamities. Martin Wolf also explains the need to change the role and focus of central banks in relation to their part in the crisis, and what they can do to reduce the risk of continued financial insecurity. Wolf concludes the interview with practical insights for investment professionals.

In episode #261, Philippa Malmgren makes the case for an emerging world order that is quite different from what we've known since the end of World War II. In particular, she highlights developments in Asia, such as the Asian Infrastructure Bank and BRICS bank as being significant symbols of a desired shift away from US hegemony.

In episode #260, Patrick O'Shaughnessy, CFA, principal and portfolio manager at O'Shaughnessy Asset Management and author of Millennial Money, discusses how millennial investors are different from prior generations, including the events that shaped their outlook and risk tolerance, and offers some advice for traditional wealth managers who want to work with millennials.

In episode #259, Thomas D. Giachetti, chair of the securities practice at Stark & Stark, is a frequent speaker on the topic of cyber risk in financial services. Here he talks about potential exposures and consequences of a cybersecurity breach; duty to clients; and steps that financial advisers and firms should take to protect their practices.

In episode #258, Michael Finke, professor and director of retirement planning at Texas Tech University, discusses a number of new trends in longevity and why this is such an important part of retirement planning. He also reviews what the research tells us about what makes retirees happy and talks about the implications of cognitive decline on wealth and well-being.

In episode #257, Jim Walker, a leading economist and Founder of Asianomics Group Limited, evaluates the global economy from the perspective of investors with a focus on Asia and emerging markets.

In episode #256, Abdulaziz B. Al Loughani explains the role of the state in development of small and medium-size enterprises in the Gulf Cooperation Council (GCC) countries.

In episode #255, Nouriel Roubini explains why six years after the global financial crisis, reality has continued to defy the expectations from unconventional monetary policies, with neither a robust global economic recovery nor fears of hyperinflation being realized. He also shares his views on potential causes of economic inequality and going forward, what could be a better set of policies.

In episode #254, Kim Shannon, CFA, president and chief investment officer at Sionna Investment Managers and an experienced value investor, discusses the lessons she learned in starting her own asset management firm, as well as the need for greater gender diversity in corporate governance. Shannon also shares insights on the discipline of value investing and the principal challenges facing investors today.

In episode #253, Laura Rittenhouse, CEO of Rittenhouse Rankings, conducts annual benchmark surveys of corporate communications, and has identified a link between the authenticity and transparency of executive communications and a firm's stock price performance. Rittenhouse explains how investors can detect a lack of candor on the part of a firm's CEO.

In episode #252, Founder and CEO of the Climate Bonds Initiative, Sean Kidney, provides a primer about climate bonds. This includes: what they are; how they are helping change the climate story in investing; and what the future of the business might be.

In episode #251, Elroy Dimson discusses his research on John Maynard Keynes, collectables, and indices, and draws out some investment lessons from the past.

In episode #250, Rob Arnott discusses the many demographic headwinds confronted by the global economy and how they explain much of the post-Great Recession economic malaise.

In episode #249, Jerome Booth argues that 80% of financial theory is not fit for purpose and describes how investors in the developed world cannot afford to ignore emerging markets. Proper asset allocation requires a strategic view about macro-economic forces, like funds flows, and geopolitical factors rather than traditional optimization models.

In episode #248, There has been significant wealth accumulation in Asia in recent years. Vineet Vohra, CFA, of HSBC discusses trends and developments that are taking place across the region, including asset allocation, fees, and ETFs.

In episode #247, John P. Meier, CFA, discusses the newly released Guidance Statement on the Applicability of the GIPS Standards for Asset Owners, including the reasons behind issuing the guidance statement and how claiming compliance with the GIPS standards can benefit these asset owners.

In episode #246, Ann Putallaz provides an update on the pooled funds guidance project, highlighting key issues for consideration during the guidance drafting process and discusses why such guidance is needed in the industry.

In episode #245, Justin Wolfers challenges the prevailing view that there is a limit to the happiness that money can buy.

In episode #244, Thomas R. Schneeweis questions the relevancy of modern portfolio theory and addresses common misconceptions associated with alternative investments.

In episode #243, Dr. Katsunari Yamaguchi, CFA, president of Ibbotson Associates, Japan, has developed a new approach to estimating the equity risk premium that conveniently addresses its variations over time.

In episode #242, We live in an era where we are deluged with data, what many refer to as the 'era of big data'.

In episode #241, Tomas Sedlacek examines the Old and New Testaments as well as ancient Greek and Roman myths that contain archetypal stories that he believes inform modern economic thinking.

In episode #240, Divya Narendra, CEO of SumZero, discusses the impact of online collaboration and crowdsourcing on the investment research process.

In episode #239, The bond fund managed by Kathleen C. Gaffney, CFA, has an unconstrained mandate, allowing her to invest across asset classes and geographies. She discusses how she manages the risks inherent in investing in such a diverse mix of assets, as well as where she currently sees the most attractive investment opportunities.

In episode #238, Ron Rimkus, CFA, talks with Sheila C. Bair about her perspective on the financial crisis and the state of the financial system in 2014.

In episode #237, Paul Mills questions the conventional wisdom on debt.

In episode #236, Professor Adrian R. Bell is an expert in financial history. Listen to him discuss the origins of finance, its Medieval evolution, and, compare and contrast ancient and modern finance.

In episode #235, Kishore Mahbubani explains why he believes that Asia will dominate the 21st century.

In episode #234, Bernard Krooks, founding partner of the law firm Littman Krooks LLP and Chair of its Elder Law and Special Needs Department, explains what long-term care is, how it can be covered, and why it's important for clients to have an advance directive.

In episode #232, William Reichenstein, CFA, explains the key concepts of tax-efficient investing and how it affects an investment decision. He also suggests easy adjustments that a wealth manager can make that would have a big impact on the client.

In episode #231, Kai A. Konrad, Director at the Max Planck Institute for Tax Law and Public Finance, shares his views on the Eurozone including why Germany may not have the economic force necessary to save the Eurozone.

In episode #229, Dylan Grice, Director of Research at Edelweiss Holdings, explains the unintended consequences and implications of three decades of financial engineering by central bankers.

In episode #228, Scott M. Black explains his style of value investing, skills needed for success, what the future may hold for active management and tips on finding value in the art market.

In episode #227, Tendai Musikavanhu, CFA, shares his views on the obstacles to investing in Africa such as insufficient information, illiquid markets, limited investor protection, and a poor perception.

In episode #226, Thomas H. Atteberry, CFA, reveals solutions to some of the problems being faced by fixed income investors due to yield curve distortions caused by central banks.

In episode #225, Globally recognized alternative investments expert discusses their importance for portfolio managers.

In episode #224, Cristina Daverio shares her insights into the risk associated with stress at work and what companies can do to help employees manage stress.

In episode #222, CFA Institute Managing director Kurt Schacht, CFA, talks with Greenwich Roundtable President Stephen McMenamin on the current state of the hedge fund industry.

In episode #223, Leigh Drogen, founder and CEO of Estimize, explains how Estimize uses cutting edge technology to improve earnings estimates by ensuring the estimates are based on merit and not pedigree.

In episode #221, Steve Waygood explains European Commission's adoption of a proposal in April 2013 to enhance business transparency on environmental and social issues and the implications for long term investing.

In episode #220, Anthony Neoh, SC, former chief advisor to the China Securities Regulatory Commission and ex-chairman of the Hong Kong Securities and Futures Commission, discusses the progress of financial sector reforms and capital market liberalizations in China.

In episode #217, Dr. Joseph P. H. Fan has spent many years studying, researching and consulting with family-controlled business groups in Asia.