Finance professors at the Yale School of Management have devised a new method to measure the active management of mutual funds. This new measure, known as Active Share, reveals that nearly one third of the U.S. mutual fund industry is comprised of "closet indexers" – funds that claim to be actively managed but passively invest most of their assets in the benchmark index – while truly active funds account for only about a quarter of the market.
Indra K. Nooyi, a member of the Yale SOM Class of 1980, has been elected chief executive officer of PepsiCo by the company's board of directors, effective October 1, 2006. Nooyi will lead one of the world's largest convenient foods and beverages companies, with $33 billion in annual revenues.
New Haven, Conn., August 9, 2006—Shyam Sunder, the James L. Frank Professor of Accounting, Economics and Finance at the Yale School of Management, today begins his term as the 2006-2007 president of the American Accounting Association.
New Haven, Conn., August 1, 2006—People often rely on their intuitions when making choices – whether they are deciding which sports team to bet on, politician to vote for, or job candidate to hire. A new study published in the August issue of the Journal of Experimental Psychology: General explains why people are predisposed to trusting their intuitions even when presented with information that suggests that their intuition may be wrong.
New Haven, Conn., July 25, 2006 - Defined pension systems are broken says Professor Barry Nalebuff, the Milton Steinbach Professor of Management, but a new type of private insurance could help fix them. Listen to Professor Nalebuff's commentary "Private Insurance Can Cure Pension Problems" from the July 25, 2006 edition of Marketplace.