INVESTMENTS & PORTFOLIO PERFORMANCE

“In 1999, Elton and Gruber published a monumental two-volume collection of their publications on diverse financial subjects. In the decade since, this remarkable team has continued to publish papers that are noteworthy for their quantity, quality and scope. Sixteen of these are presented in the current volume.”

“To say that Elton and Gruber have been prolific is an understatement. Their work over many decades provides much of the key empirical evidence relied upon by financial economists and professional investors. This book contains key contributions from the last decade and some foundation papers as well. Included are detailed and creative empirical analyses of mutual funds, stock price behavior, bond pricing and the use (and misuse) of defined contribution plans. Appropriately, both authors have been elected Presidents of the American Finance Association — the highest honor the profession bestows. Their presidential addresses, included here, provide ample evidence of the reasons for their selection.”

“The current volume highlights the most recent work of the Elton and Gruber team that has, over a span of several decades, continually advanced our understanding of the key issues facing both institutional and retail investors. Also included are their important Presidential Addresses to the American Finance Association, one showing that active alphas can exist and the second warning against the common practice of conflating realized returns with expectations. Anyone interested in the literature of finance will find this volume to be invaluable today, and — quite unlike most books on these topics — they will also find that it remains invaluable over the years to come.”

“The problems addressed by the research contained in this text are relevant to a wide cross-section of asset management. Accordingly, this volume of work is a valuable addition to any bookshelf … These two eminent scholars have shown a new generation of empiricists how to conduct high-quality empirical and theoretical work in asset pricing (as well as other areas of finance). Most notably, they have brought some sage advice to future acdemics: keep theory simple, and make empirical work relevant!”