Currency
A Guide to Equity Index Construction (2nd edition)
£99.00
Daniel Broby returns with a fully updated second edition of his 2007 book, A Guide to Equity Index Construction. Drawing on years of practical fund-management experience as a CEO, CIO and chief portfolio manager and combining his academic knowledge Broby bridges the gap for readers in both camps in the field of index construction.
This new edition is a must-read for anyone working with investment funds, from fund managers to analysts. Readers will be equipped to construct an equity index from both a Wall Street perspective and a Main Street perspective – and crucially – readers will better understand the nature of an underlying return series. Reading Broby’s new book will teach you to construct an optimal index with the skill to outperform a suboptimal index as an active asset manager.
Availability:
In stock
ISBN
9781782724483
Daniel Broby returns with a fully updated second edition of his 2007 book, A Guide to Equity Index Construction. Drawing on years of practical fund-management experience as a CEO, CIO and chief portfolio manager and combining his academic knowledge Broby bridges the gap for readers in both camps in the field of index construction.
This new edition is a must-read for anyone working with investment funds, from fund managers to analysts. Readers will be equipped to construct an equity index from both a Wall Street perspective and a Main Street perspective – and crucially – readers will better understand the nature of an underlying return series. Reading Broby’s new book will teach you to construct an optimal index with the skill to outperform a suboptimal index as an active asset manager.
Unlock the complexities of index construction with this comprehensive guide that tackles two critical challenges in benchmarking: selecting the right stocks for inclusion and determining their optimal weights. This book demystifies the “zero–one integer problem” and “quadratic optimization,” offering practical insights into creating accurate and efficient market portfolios.
Through a structured exploration, readers will delve into the fundamentals of benchmarking, modern portfolio theory, sampling, and asset selection. The book also covers the intricacies of making an index investable, handling data, and managing industry, country, and currency exposures. With a focus on practical application rather than complex maths, this guide equips both students and practitioners with the tools needed to build effective, relevant indices.
By the end of Broby’s book, readers will have a holistic understanding of benchmarking practices and the confidence to construct and maintain indices that meet the demands of modern financial markets. Whether you’re a student or a practitioner, this is your essential resource for mastering the art of index construction.
| ISBN | 9781782724483 |
|---|---|
| Navision code | MGEI2 |
| Publication date | 29/11/2024 |
Write Your Own Review
Dr. Daniel Broby
Professor Daniel Broby is an internationally recognised finance academic and formerly a senior figure in the fund management industry. He is a Professor of Financial Technology at the Asian Institute of Management, and formerly Chair of Financial Technology at Ulster University. In addition to being a thought leader and influencer, Professor Broby conducts research into capital markets and digital technologies. He is a recognised expert on the financial applications of blockchain and distributed ledgers. Professor Broby has held several executive-level positions in the fund management industry, including chief executive officer, chief investment officer and chief portfolio manager. He has written numerous books and peer-reviewed papers. His books include A Guide to Fund Management, The Changing Face of European Fund Management, The Future of the UK Fund Management Industry and A Guide to Equity Index Construction. Professor Broby has held numerous board positions in regulated companies, including a leading asset manager and several collective investment vehicles. He has also had board experience as a non-executive director at a large pension administrator and as an independent director at the family office of an ultra-high-net-worth individual. He has served on the boards of several financial-sector professional bodies and was awarded the CFA Institute Society Leader Award in recognition of this. Professor Broby has a PhD in accounting and finance, an economics MPhil, and an investment analysis MSc. He was elected an individual member of the London Stock Exchange in 1990, is a Chartered Fellow of the Chartered Institute for Securities & Investment (CISI), a Fellow of CFA (UK) and a Senior Fellow of the Higher Education Academy (HEA).
- Introduction
- Which benchmark?
- Modern portfolio theory and the benchmark index
- Sampling and selection
- Construction method
- Making the index investable
- Collection and processing of data
- Servicing and maintenance
- How to handle industries
- How to handle countries and currencies
- Factor indices and smart beta
- Innovative indices
- The commercial indices
- Indexation and exchange-traded funds
- Bespoke “custom-made” indices
- Tying it all together