Return of the Active Manager
29 October 2019Synopsis
Emotional behavior and biases run throughout financial markets. This is the diagnosis of behavioral finance.
But it is not enough to know that investors make biased decisions. What do we do about it? How do we move beyond diagnosis, to prescription?
In this groundbreaking new book, investing and behavioural finance experts Thomas Howard and Jason A. Voss plug this void and show the new way ahead for investment managers and advisors. Return of the Active Manager provides a set of tools for investment professionals to overcome and take advantage of behavioral biases.
Across seven compelling chapters, Return of the Active Manager details actionable advice on topics such as behaviourally-enhanced fundamental analysis, active equity fund evaluation and selection, harnessing big data, and investment firm structure. You learn how to exploit behavioural price distortions, how to recognise and avoid behavioural biases (in both yourself and clients), how to extract behavioral insights from the executives of prospective investments, and how manager behaviour can be used to predict future fund performance.
An indispensable tool, Return of the Active Manager rationalises the financial markets and prescribes actionable strategies that build on the lessons of behavioural finance.
Details
29 October 2019
9780857197634Reviews
Wow! I expected a terrific book from Howard and Voss, but ROAM knocked me back. It’s a once-a-decade genre-defining must-have-on-every-investor’s-bookshelf type of book. Read this and your wealth (and life!) will be wiser and smoother for it.Richard L. Peterson M.D., author of 'Inside the Investor’s Brain' (Wiley, 2007) and CEO of MarketPsych
Advisors – drop everything and read this book!Barbara Stewart, CFA, Barbara Stewart, Author of the Rich Thinking series of white papers on women and finance
Voss and Howard shine a practical light on the massive opportunity that exists for truly active fund managers in this day and age – if they are willing to focus on identifying and mitigating their own behavioral biases, in addition to exploiting those of other market participants. It's a must-read for all next-generation fund managers.Clare Flynn Levy, Founder & CEO, Essentia Analytics
The book offers a convincing alternate view to look at active investment management and is a must for asset owners, irrespective of asset class, and wealth professionals.Biharilal Deora, FCA, CFA, CIPM, Director, Abakkus Asset Manager
