Thomas Schelling won the Nobel Prize in Economics in 2005 together with Robert Aumann for work on game theory. Aumann’s work is in the traditionally mathematical area of game theory. Schelling’s is much more accessible and his main insights are … Continued
As I’m making personal book recommendations I’ll make a detour into my favourite fiction. At the risk of this deteriorating into a sort of sub-Facebook page, here are a few of my favourite authors: Tolstoy, Turgenev, Bulgakov, Chekhov and Bunin … Continued
I read very few books owing to a lack of time. I read a great many articles and blog posts, which has possibly made me impatient when I think of reading a whole book. And many books are too long, … Continued
I don’t advise students to do much preparation ahead of starting the MFin. It’s a very full course and it’s better to get some rest rather than try to learn early what you’ll be covering in the degree. But I … Continued
Two forces fuel the growth of financial services. First, the growth of household income leads to demand for basic banking then saving and pension products. This in turn drives the growth of commercial banks and institutional savings businesses like pension … Continued
The University of Cambridge is a brand. To an economist, a brand is a piece of information that helps consumers by overcoming asymmetric information. In the commercial world, a good brand allows the producer to charge more than for for … Continued
Since the MFin began two and a half years ago, we have been steadily reducing student choice. Not in the sense of cutting out electives – on the contrary, there are more options than ever. But in the sense of … Continued
For at least a year there have been investors and commentators concerned about a resurgence of inflation in the US and Europe. Inflation has already risen in some other economies, including China, but that is partly to be expected in … Continued
There has been a discussion in the Financial Times recently on the theme that business schools ignore business. A professor at London Business School, Freek Vermeulen, argued that most of what is taught at business schools is not based on … Continued
There is an amusing FedEx TV commercial available on YouTube which has the slogan “Even an MBA can do it.” Perhaps this shows there is a gentle backlash against the pretentions of MBAs in the US, the numbers of which … Continued
The Cambridge MBA uses GMAT as one criteria for selection, the MFin does not. Why? GMAT is a standardised test aimed at management students. It is supposed to test a range of skills or aptitudes suitable for the varied course … Continued
A common question is whether someone should apply for a master of finance degree or an MBA. In the US, the conventional two year MBA allows time to cover the same modules as a one year finance masters. In that … Continued
I just read another attack on the use of “naked” CDS (credit default swaps). This use of the word is potentially misleading – maybe deliberately so, in order to tarnish CDS by association with naked shorting of ordinary securities. Naked … Continued
How do you sum up the future of finance in 10 minutes? Well I’ve been asked to do just that for an event in Cambridge on 22 October, which is part of the annual Festival of Ideas (http://www.admin.cam.ac.uk/whatson/ideasfestival/). The Festival … Continued
On Saturday I accompanied a group of MFin students to see the belated “Wall Street” sequel. This was strictly for entertainment – not part of the syllabus. The consensus was it was pretty average. Moderately entertaining, with some good attention … Continued