Monday, 3 August 2009

MBA & Investment bank

That crazy !!!

"The results also suggest that risk-averse MBA students, especially those interested in Wall Street careers, may want to take actions to insure themselves against the random wealth effects imposed by stock returns while they study. These students should short the stock market upon entering school so that their portfolios hedge their expected labor income."

Sometimes, "mad scientists" is a good phrase. Hedge future uncertain expected income by shorting an uncertain market. Let see if these two correlate for a short period. The shorting student will be dumped!

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