The future of finance : a new model for banking and investment

New banking and investment business models to navigate thepost-financial crisis environment The financial crisis of 2007-2008 has discredited businessmodels in the banking and fund management industries. In TheFuture of Finance, Moorad Choudhry and Gino Landuyt argue thatbanks must realign their business models, implying a lowerreturn-on-equity; diversifying their funding sources; andincreasing liquidity reserves. On the investment side, the authorsdiscuss how diversification did not reduce risk, but ratheramplified it, and failed to stabilize returns. The authors concludethat the clear lesson from the crisis is to know one's risk. Alesson that is best served by concentrating on assets and sectorsthat you understand. Examines the weaknesses in the business models of manyinstitutions, as well as the theoretical foundation forprofessionals in the field of financeIdentifies the shortcomings of Modern Portfolio TheoryAddresses how investment managers can find new strategies forcreating "alpha" and why they need to re-vamp their feestructures Filled with in-depth insights and practical advice, TheFuture of Finance will provide bankers and investment managerswith a guide to realigning their businesses in order to prosper inthe post-crisis financial markets.