Entries by Alex Edmans

Profiting from momentum strategies – Part 2

The previous post concerned momentum – a strategy of buying past winners and selling past losers. It discussed how this strategy does well on average, but on rare occasions (recent market downturns and high market volatility) does very poorly. Another reason why momentum may perform poorly is because other investors are chasing the same strategy. One of […]

Profiting from momentum strategies – Part 1

Momentum is arguably the most well-known trading strategy. A simple strategy of buying stocks that have done well over the past 6 months (“winners”), and shorting stocks that have done badly (“losers”), earns a 1%/month return over the next 6 months. While other trading strategies stop being profitable once they have been discovered (because investors start exploiting […]

Does corporate social responsibility improve firm value?

Below is an article I wrote two months ago for the World Economic Forum. Since it’s posted on the password-protected section of the WEF website, I reproduce it here. Does corporate social responsibility (“CSR”) improve firm value? When companies make decisions, should they care only about shareholders or should they take other stakeholders (e.g. employees, […]

Top Ten TED Talks

London is a great city, but one of its downsides is that it takes a long time to get to most places. The TED Talks app has significantly enriched my commutes. Here are my top ten TED talks: 1) The Family I Lost in North Korea, and the Family I Gained (Joseph Kim). Perhaps the most poignant TED […]

Davos in a Nutshell (Part 2)

Here are key takeaways from additional sessions I attended in Davos. The last blog mainly covered sessions that were statements of fact (e.g. current economic indicators); here I cover sessions on which there was an exchange of opinions – in particular, different viewpoints around the world on what economic policies to adopt. Economic Policy Around […]

Davos in a Nutshell

I was very fortunate to have had the opportunity to attend the World Economic Forum in Davos last week, co-leading a session entitled “Making Better Decisions” on behavioral economics. My focus is mainly on microeconomics, and so I was grateful to learn about the current macroeconomic climate from leading policymakers, executives, and commentators. I wanted […]