Paying for Efficient and Effective Markets

Event

Summary
Date: 
March 22nd 2019 to March 23rd 2019
Time: All day  Venue: Stationers' Hall, Ave Maria Lane, London EC4M 7DD United Kingdom
 
OrganisersJon Danielsson (SRC, LSE), Kevin James (FCA, SRC), Dimitri Vayanos (FMG, PWC, LSE)

Speakers: Matteo Aquilina (FCA), Rudi Fahlenbrach (Swiss Institute of Finance), Jill Fisch (U Penn), Mireia Giné (IESE), Kevin James (FCA, SRC), Robert MacKay (Warwick), Daniel Mittendorf (FCA), Emilio Osambela (FRB), Lasse Pedersen (Copenhagen), Robert Stambaugh (Wharton), Vladyslav Sushko (BIS), Dimitri Vayanos (FMG, PWC, LSE)
 

To perform at full potential, the economy requires efficient and effective financial markets that operate at minimum feasible social cost.

Actively managed funds play a crucial role in bringing about market efficiency and effectiveness, but only as a by-product of their costly efforts to out-perform the market. Passive investment funds compete for investors by offering low-cost investment options, but they do so in part by taking market efficiency and effectiveness as given. Consequently, it is unclear if market forces alone will lead to the optimal balance of efficiency, effectiveness, and cost.

In this two-day conference we will explore these issues, focusing upon:

  • The rise of passive investing
  • How market efficiency arises: The role of  active funds, passive funds and benchmarking
  • Do large investment funds affect competition between the firms in which they invest?
  • Manager skill and fund fees in equilibrium
  • The impact of passive funds on corporate governance
  • The implications of passive funds for financial stability

To apply for a place at the conference please visit the FCA event page.

The programme can be viewed here.
 
The conference is co-hosted with the Financial Conduct Authority, Security and Exchange Board of India, Financial Markets Group and the Paul Woolley Centre for the Study of Capital Market Disfunctionality.