Finance

Most investing success is short lived, but venture capital is an exception, with top VCs beating the average year after year. A new study finds that consistent returns owe as much to a firm’s reputation and early luck as the smarts of its employees.

A study by Yale SOM’s Song Ma shows that companies tend to invest in startups when they are struggling, in order to gain access to innovation and shore up an area of weakness.

On June 18, Facebook announced Libra, a new cryptocurrency intended to make it easy for individuals and companies to exchange payments anywhere in the world. We asked Prof. Vineet Kumar why a company that started by enabling people to share personal news is now building an alternative financial system.

According to Yale SOM’s Matthew Spiegel and Heather Tookes, an IPO is often followed by disappointing returns, not just for the newly public company but its entire industry.

Professor Roger Ibbotson, an influential scholar and practitioner of finance for decades, sat down for a conversation with Professor William Goetzmann about his groundbreaking work on the historical returns of the stock market, his experiences as a teacher, and his current research.

In an analysis of the Great Recession, Yale SOM's Paul Goldsmith-Pinkham and his co-authors found that debt relief increased employment by up to 2% nationwide.

Leverage-induced fire sales contributed to the worst stock market crashes in history. Prof. Kelly Shue studied account-level data from the Chinese market crash in 2015 to illuminate how much leverage matters.

President Trump recently announced his intention to appoint two well-known conservative figures—Stephen Moore and Herman Cain—to the Federal Reserve Board of Governors. We asked Prof. Andrew Metrick about the qualities of an effective Fed governor.

Do activist shareholders choose quick profits over long-term health? Yale SOM’s Song Ma and his collaborators find evidence that their interventions boost innovation.