Despite a general wave of pessimism following the COVID-19 stock crash in March, few investors made significant changes to their portfolios, according to new research from Yale SOM’s Stefano Giglio.
Markets could be a huge part of mitigating climate risk. A proposal from Yale finance faculty seeks to make that a reality.
Conventional wisdom says that uncertainty is bad for markets. But Yale SOM’s Stefano Giglio and his co-authors found that investors are willing to pay a premium to protect themselves only against actual market volatility, not mere uncertainty.