Category Archives: Risk Management

Underestimating liquidity risks: How investors can suffer

Posted on January 28, 2014 by Nupur Bang

by Nupur Pavan Bang[1] and Vikram Kuriyan[2]   This article was first published by Moneylife on January 27, 2014 http://www.moneylife.in/article/underestimating-liquidity-risks-how-investors-can-suffer/36141.html   Risk management models used by professional investors often assume that securities can be traded infinitely. When liquidity dries up, … Continue reading →

Posted in Investment, Risk Management | Tagged , , , , | Leave a comment

Concentration: the case for putting all your eggs in one basket

Posted on September 30, 2013 by Nupur Bang

by Nupur Pavan Bang[1] and Khemchand H Sakaldeepi[2]   This article was first published in the Financial Times, FTfm, on September 30, 2013 http://www.ft.com/cms/s/0/d4e511fc-250f-11e3-bcf7-00144feab7de.html#axzz2gLgr9ACE   Is diversification the best way to invest in the market today? Not really. The portfolios … Continue reading →

Posted in Asset Allocation, Investment, Risk Management | Tagged , , , , | Leave a comment

Islamic Banking: A Central Banker Looks Back

Posted on July 3, 2013 by Nupur Bang

Ishrat Husain on Pakistan’s reforms, global banking risks and emerging-market prospects by Nupur Pavan Bang and Vikram Kuriyan The interview was first published by the Global Association for Risk Professionals on July 2, 2013 http://www.garp.org/risk-news-and-resources/2013/july/islamic-banking-a-central-banker-looks-back.aspx?altTemplate=PrintStory For six years starting in … Continue reading →

Posted in Interview, Regulations, Risk Management | Leave a comment

Fat tails have a tale to tell

Posted on March 12, 2013 by Nupur Bang

This article was first published in Moneylife on March 11th, 2013. Co-author: Khemchand H. Sakaldeepi http://www.moneylife.in/article/fat-tails-have-a-tale-to-tell/31529.html Between 1998-2013, out of a total of 3,785 days, movement in the CNX 500 was outside 3 sigma on 60 occasions, that is 1.59% … Continue reading →

Posted in Investment, Risk Management | Leave a comment

A Simple Solution for Tail Risk

Posted on October 16, 2012 by Nupur Bang

FFTW’s Thomas Philips on an enhancement to mean-variance optimization The interview was first published by the Global Association for Risk Professionals on October 16th 2012 http://www.garp.org/risk-news-and-resources/2012/october/a-simple-solution-for-tail-risk.aspx?altTemplate=PrintStory In scenarios that are simply not accounted for in classical theories of finance, how … Continue reading →

Posted in Asset Allocation, Interview, Risk Management | Leave a comment

Corruption and Money Laundering

Posted on September 20, 2012 by Nupur Bang

This article was first published in Moneylife on September 20th, 2012; Co-Author: Khemchand H Sakaldeepi, Centre for Investment, ISB http://www.moneylife.in/article/corruption-and-money-laundering/28564.html First the Gandhian, Anna Hazare and then the yoga guru, turned social activist, Baba Ramdev; India has witnessed two major … Continue reading →

Posted in Risk Management | Leave a comment