Lu Zhang, the John W. Galbreath Chair in Real Estate,  andhis research have challenged the status quo of traditional finance and have led to a better understanding of how assets are priced. He has also shown that many of the factors that investors rely on may not hold up as well as we think in the real world. He shares why that is and discusses his research into what drives stock returns.

While most literature finds that individuals lose on average from trading, a few studies show that some individuals consistently outperform the benchmarks. Research by Itzhak Ben-David, the Neil Klatskin Chair in Finance and Real Estate, illustrates how much of an advantage familiarity with the stocks and industries can be.

Research by Itzhak Ben-David, the Neil Klatskin Chair in Finance and Real Estate, and his colleagues shows that the asset management industry is getting more concentrated. Share of U.S. stock ownership by institutions has increased from around five percent in 1980 to about 22 percent in 2015.

Itzhak Ben-David, the Neil Klatskin Chair in Finance and Real Estate, and his colleagues share their research into the effectiveness and accuracy of portfolio rankings.

Do investors behave rationally? Itzhak Ben-David, the Neil Klatskin Chair in Finance and Real Estate, and his colleagues examine why, despite three decades of research on mutual funds, it is unclear whether investors in mutual funds display rational behavior. 

Research by Itzhak Ben-David, the Neil Klatskin Chair in Finance and Real Estate, and his colleagues seeks to address whether investors naively look only at raw returns when making asset allocation decisions, or if they adjust returns for risk, using an asset pricing model?