B9277-001: Macro Investing: Macroeconomics, Investment Strategies & Public Policy (Master Class)
W Full Term, 04:00PM to 07:15PM
Instructor: stephen zeldes; charles himmelberg
In this course, we use the tools of macroeconomics to analyze a selection of themes of interest to “macro” hedge funds and institutional money managers. We examine macroeconomics-based investment strategies, the development of new financial securities and products, and a variety of public-policy issues.
The course is part of the School’s new Master Class program and as such is oriented around group projects with private-sector firms (there also are lectures, guest lectures from industry, case analyses and class discussions). A number of major hedge funds and institutional money managers have expressed interest in working with student teams. Each team will focus on either (a) a “macro” investment strategy or (b) the development of a new financial product (or market) related to the topics covered in the course.
The specific topics we plan to cover in the course include
- global capital market “imbalances” and asset prices (including the housing market)
- the aging of the baby boom generation and the implication for financial markets
- Social Security privatization
- new financial products and markets for improving private pensions
- macroeconomic fundamentals behind the rise of structured finance
- macroeconomic policy and the evaluation of risk in emerging markets
The course draws heavily on the material covered in the core macro course (B6005: Global economic environment).
