The FinanceHub is a community of investment professionals, academics and students in Brazil capable of fostering the research and technology that will help the Brazilian asset management industry cope with its new challenges. Academics from Insper and investment professionals from BWGI were the initial members of this community, but the group now includes participants from many asset managers, banks, pension funds and consulting companies.
Seminars
Participation in the seminars is by invitation only. Please contact us if you would like to attend, but space is limited and we may not be able to welcome you immediately. Each session will have at least two presentations of no more than 45 minutes, including discussion and Q&A. We also welcome original research, but the Seminar coordinator will evaluate whether your research fits the objectives of this Seminar.
Presenter is expected to present the main features of the paper, promote a brief discussion with suggestions for changes or future research and should be able to address questions by all participants. Participants should come prepared for discussion. All are expected to read at least the introduction of all papers. Participants should focus the discussion on the themes related to the paper presentations. The role of the Seminar coordinator is to guide the discussion during the presentations, select topics together with participants and plan sessions. At the end of the session, we welcome general discussions.
Equities (December 2)
- Caio Natividade - Factor Investing
- Anna Catarina Tavella - Tail Risk and Asset Prices in the Short Term (Almeida et al., SSRN, 2023)
Equities Valuation (November 4)
- Pedro Vogt - Dissecting Disagreement in Valuations: Inputs and Outcomes (Décaire et al., Calvacade, 2024)
- Felipe Cesar Diogenes and Guilherme Giannasi - Valuation Fundamentals (Décaire & Graham, SSRN, 2024)
Fixed Income (October 7)
- João Victor Loose - The "hairy" Premium (Corte et al., SSRN, 2024)
- Gustavo Amarante - Shrinking the Term Structure (Filipovic et al., SSRN, 2024)
Macroeconomics (September 2)
- Matheus Patrocío - The Macroeconomic Effects of Oil Supplye News: Evidence of OPEC Announcements (Känzig, American Economic Review, 2021)
- Christiano Lo Bianco - Monetary Policy and Financial Stability (Gomes & Sarkisyan, SSRN, 2024)
Behavior Finance (August 5)
- Matheus Carrijo - Retail Habitat (Laarits and Sammon, SSRN, 2023)
- Gustavo Torigoe - Who Owns What? A Factor Model for Direct Stockholding (Balasubramaniam et al., Journal of Finance, 2023)
Demand Shocks / Derivatives (July 1)
- Mauricio Ferraresi - Correlated Demand Shocks and Asset Pricing (Kim, SSRN, 2024)
- Enrique Quintslr - Exploring the Variance Risk Premium Across Assets (Heston & Todorov, SSRN 2023)
Machine Learning (June 3)
- Derek Poustka - (Almost) 200 Years of News-Based Economic Sentiment (van Binsbergen, Bryzgalova, Mukhopadhay, Sharma, NBER, 2024)
- Patrick Maia - Bond Return Predictability: Macro Factors and Machine Learning Methods (Jiang, Liu, Liu, Zhu, European Financial Management, 2024)
Corporate Bonds (May 6)
- Fernando Tassinari Moraes - The Corporate Bond Factor Zoo (Dickerson, Julliard, Mueller, SSRN, 2023)
- Werley Cordeiro - Duration-Based Valuation of Corporate Bonds (van Binsbergen, Nozawa, Schwert, SSRN, 2023)
Monetary Policy and Asset Prices (April 15)
- Marcelo Sena - Monetary Policy and the Term Structure of Equity Risk Premia
- Guilherme Piantino - Movement in Yields, not the Equity Premium; Bernanke-Kuttner Redux (Nagel, Xu, 2024)
Factors / Monetary Policy (December 5)
- Marcello Paixao - R&D, Expected Profitability, and Expected Returns
- Fernando Barbosa - Caught by Surprise: How Markets Respond to Macroeconomic News (Baltussen & Soebhag)
Oprion Factors (November 28)
- Enrique Quintslr - A Factor Model for Option Returns (Buchner & Kelly, 2022)
- Rosália Kjaer - Beliefs and Portfolios: Causal Evidence (Beutel & Weber, 2023)
Financial Technology (November 21)
- Rafael Rocha - From Man vs. Machine to Man + Machine: the Art and AI of Stock Analyses (Cao et al., 2021)
- Tomás Nóbrega - Corporate Bond Factors: Replication Failures and a New Framework (Dick-Nielsen et al., 2023)
Political Finane / International Finance (November 7)
- Eduardo Oliveira Marinho - What Drives Variation in Investor Portfolios? Estimating the Role of Beliefs and Risk Preferences (Egan et al., 2021)
- Nathan Jardim Teixeira - Does the Market Understand Time Variation in the Equity Risk Premium? (Gandhi et al., 2023)
Political Finance / International Finance (October 31)
- Guilherme Souza - Presidential Economic Approval Rating and the Cross-section of Stock Returns (Chen et al., 2023)
- Pâmela Borges - A Preferred-habitat Model of Term Premia, Exchange Rates, and Monetary Policy Spillovers (Gourinchas et al., 2021)
Expectations and Beliefs (October 17)
- Pedro Vogt - The Inference-Forecast Gap in Belief Updating (Fan et al.)
- Osvaldo Assunção - Common Asset Impact on Default Contagion (Assunção, 2023)
International Finance / Cross-section (October 10)
- Josué Costa - Pricing Currency Risks (Chernov et al., 2022)
- Felipe Boralli - A Stock Return Decomposition Using Observables (Knox & Vissing-Jorgensen, 2022)
Fintech / Demand Based Asset Pricing (September 12)
- Rafael Azevedo - Does Finance Benefit Society? A Language Embedding Approach (Jha et al., 2020)
- Mauricio Ferraresi - On the Estimation of Demand-Based Asset Pricing Models (van der Beck, 2022)
Macrofinance / Monetary Policy (August 29)
- Benjamin Mandel - A Monetary Policy Asset Pricing Model (Caballero & Simskek, 2023)
- Rodrigo Fernandez - Policymakers' Uncertainty (Cieslak et al., 2021)
International Finance / Investment Strategies (August 15)
- Mohammed Mehdi Kaebi - Forest Through the Trees: Building Cross-Section of Stock Returns (Bryzgalova et al., 2021)
- Pâmela Borges - International Yield Curves and Currency Puzzles (Chernov & Creal, 2023)
Volatility / Factor Investing (July 25)
- Igor Martins - What Events Matter for Volatility
- Hugo Stellet - Ensuring Sparsity in a High-dimensional Environment with Correlated Regressors
Momentum / Household Finance (July 18)
- Guilherme Paiva - Risk Momentum: a New Class of Price Patterns (Li et al., 2023)
- Pedro Borges - Asset Demand of U.S. Households (Gabaix et al., 2023)
Macrofinance (July 4)
- Caio Natividade - Global Macro and Intraday Execution
Factor / Individual Assets (June 20)
- Caio Natividade - Private Equity Replication
- Fernando Tassinari Moraes - Time Series Variation in the Factor Zoo (Bessembinder et al., 2023)
Macrofinance / Monetary Policy (June 6)
- Gustavo Soares - The Term Structure of Currency Carry Trade Risk Premia (Lustig et al., 2019)
- Gustavo Amarante - Portfolio Tilts Using Views on Macroeconomic Regimes (Elkamhi et al., 2023)
Machine Learning (November 21)
- Gustavo Amarante - Machine Learning and the Implementable Efficient Frontier (Jensen et al., 2022)
Factors (November 8)
- Marcelo Medeiros - Bridging Factor and Sparse Models (Fan et al., 2022)
FOMC Announcement (October 25)
- Tomasso Baglioni - The FOMC Announcement Reversal
- Tomasso Baglioni - Market Liquidity and the Post-FOMC Announcement Return
Attention (October 4)
- Giordano Bressan - Attention-induced Trading and Returns: Evidence from Robinhood Users (Barber et al., 2021)
Retail Trading (Semptember 19)
- Fabio Lopez - Retail Trading in Options and the Rise of the Big Three Wholesalers (Bryzgalova et al., 2022)
- Fabio Lopez - Retail Investors' Contrarian Behavior Around News, Attention, and the Momentum Effect (Luo et al., 2022)
Factor Momentum and Correlated Factors (Semptember 5)
- Tomás Nobrega - Factor Momentum and the Momentum Factor (Ehsani & Linnainmaa, 2022)
- Hugo Stellet - The Cross Section of Asset Returns with Correlated Factors (Sun, 2022)
Portfolio Optimization and Short Term Reversals (August 22)
- Gustavo Amarante - Dynamic Portfolio Optimization with Inverse Covariance Clustering (Wang & Aste, 2022)
- Conrado Garcia - Short Term Reversals and the Negative Impact of Factor Momentum
Network Diversification / Cryptocurrencies (June 22)
- Helder Palaro - Network Diversification for a Robust Portfolio Allocation (Jaeger & Marinelli, 2022)
- Rafael Alves - Common Risk Factors in Cryptocurrencies (Liu et al., 2022)
Monetary Policy Surprises (June 6)
- Victor Bluhu - A Reassessment of Monetary Policy Surprises and High-Frequency Identification (Bauer & Swanson, 2022)
Options (May 23)
- Caio Natividade - Going Naked: Investing with Delta Unhedged Options
Currency Momentum (April 25)
- Tommaso Baglioni - Dissecting Currency Momentum (Zhang, 2022)
Behavior Bias (April 4)
- Guilherme Souza - Smoking Hot Portfolios? Trading Behavior, Investment Biases, and Self-control Failure (Uhr et al, 2021)
Stock Selection (December 13)
- Helder Palaro - Aplicação de modelos alternativos para seleção deações no mercado brasileiro (Palaro, 2021)
Deep Learning (November 22)
- Rafael Alves - Deep Learning in Asset Pricing (Chen, 2021)
Liquidity Crisis (November 8)
- Tommaso Baglioni - Anatomy of a liquidity crisis: Corporate bonds in the COVID-19 crisis (O'Hara & Zhou, 2021)
Dynamic Asset Allocation (October 18)
- Gustavo Soares - Liquidity Regimes and Optimal Dynamic Asset Allocation ((Collin-Dufresne et al., 2018))
Trends / Monetary Policy (October 18)
- Helder Palaro - Breaking Bad Trends (Garg et al., 2021)
- Pâmela Borges - Monetary Policy and Asset Pricing Overshooting: A Rationale for the Wall/Main Street Disconnect (Caballero & Simsek, 2021)
Beliefs and Portfolios (August 23)
- Guilherme Paiva - Five Facts about Beliefs and Portfolios (Giglio et al., 2021)
Interest Rates (August 9)
- Emanuel Fernandes - Interest Rates under Falling Stars (Bauer & Rudebusch, 2020)
Inflation / Past Returns (July 26)
- Pâmela Borges - The Term Structure and Inflation Uncertainty (Breach et al., 2020)
- Marcelo Marques - Understanding Momentum and Reversal (Kelly et al., 2021)
Business Cycles / Bubbles (July 12)
- Brenno Sá - Tradability of Output, Business Cycles, and Asset Prices (Tian, 2018)
- Emanuel Fernandes - Bubbles for Fama (Greenwood et al., 2019)
Volatility / Bubbles (June 28)
- Leonardo Ladalardo - News Implied Volatility and Disaster Concerns (Manela & Moreira, 2017)
- Thales Guimarães - Extrapolation and Bubbles (Barberis et al., 2018)
Low Risk Anomalies / Quality (June 14)
- Rafael Porsani - What Is Quality? (Hsu et al., 2019)
- Igor Martins - Low‐Risk Anomalies? (Schneider et al., 2020)
Corporate Bonds & Currency Returns (May 3)
- Guilherme Souza - Implied Volatility Changes and Corporate Bond Returns (Cao et. al., 2020)
- Igor Martins - Business Cycles and Currency Returns (Colacito, 2020)
Presidential Cycles & Factor Demand (April 19)
- Victor Bluhu - U.S. Presidential Cycles and the Foreign Exchange Market (Ashour et al., 2019)
- Guilherme Paiva - Factor Demand and Factor Returns (Peng & Wang, 2021)
ESG & Earnings Seasonality (April 5)
- Luiz Claudio Sacramento - Being Surprised by the Unsurprising: Earnings Seasonality and Stock Returns (Chang et al., 2016)
- Lucas Macoris - The Esg-Innovation Disconnect: Evidence from Green Patenting (Cohen et al., 2021)
Mutual Funds & Momentum (March 22)
- Fernando Tassinari - Text-Based Mutual Fund Peer Groups (Abis & Lines, 2021)
- Raphael Vasconcelos - Option Momentum (Heston & Li, 2021)
Factors & News (March 8)
- Tommaso Baglioni - What Drives the Size and Value Factors? (Li, 2019)
- Hugo Stellet- Front Page News: The Effect of News Positioning on Financial Markets (Fedyk, 2020)
Currency & Factor Investing (February 22)
- Pâmela Borges - Currency Anomalies (Bartram et al., 2018)
- Rafael Alves - What Alleviates Crowding in Factor Investing? (DeMiguel, 2019)
Factors (February 8)
- Felipe Boralli - Time-Series Efficient Factors (Ehsani & Linnainmaa, 2020)
Core Earnings & Harm (December 14)
- Walter Mascarenhas - Harm: hidden autoregressive Markov models ()
- Marcello Paixão - Core Earnings: New Data and Evidence (Rouen et al., 2019)
CIP Violations & Entrepreneurship (November 30)
- Igor Martins - Deviations from covered interest rate parity (Du et al., 2018)
- Lucas Macoris - Financing entrepreneurship: Tax incentives for early-stage investors (Denes et al., 2019)
Cross-Sectional Patterns and Economic Momentum in Currencies (November 16)
- Gustavo Amarante - Economic Momentum and Currency Returns (Dahlquist & Hasseltoft, 2020)
- Helder Palaro - Characteristics Are Covariances: A Unified Model of Risk and Return (Kelly et al., 2019)
Underreaction (November 9)
- Guilherme Paiva - Pervasive underreaction: Evidence from high-frequency data (Jiang et al., 2020)
One-Day Factor Momentum (October 19)
- Conrado Garcia - Factor-based Lead-Lag Effects and One-Day Factor Momentum (Garcia et al., 2020)
- Tommaso Baglioni - Mood beta and seasonalities in stock returns (Hirshleifer et al., 2020)
Demand Systems (October 5)
- Gustavo Soares - Which Investors Matter for Equity Valuations and Expected Returns? (Koijen, 2020)
Return Predictability and Exchange Rates (August 24)
- Gustavo Amarante - Principal Portfolios (Kelly et al., 2020)
- Igor Martins - Forward and spot exchange rates in a multi-currency world (Hassan & Mano, 2019)
International Finance (August 10)
- Pâmela Borges - Exchange Rate Reconnect (Lilley et al.)
- Victor Hugo Alexandrino - Home currency issuance in international bond markets (Hale et al., 2020)
Venture Capital (July 27)
- Juliano Faria - The effects of business accelerators on venture performance: Evidence from Start-Up Chile (Gonzalez-Uribe & Leatherbee, 2018)
- Discussion with Entrepreneurs. Invited speakers: Andre Narciso (Quero Educação), Marcelo Abritta (Buser), Thiago Matias (Guichê Virtual) e Tiago Serrano (SoluCX)
Systemic Risk and Equity-Bond Risk-Return Trade Offs (July 13)
- Guilherme Souza - A macroeconomic framework for quantifying systemic risk (He & Krishnamurthy, 2019)
- Leonardo Siqueira - Nonlinearity and Flight-to-Safety in the Risk-Return Trade-Off for Stocks and Bonds (Adrian et al., 2019)
Accounting Information and Term Structure (June 29)
- Victor Monteiro - Lazy Prices (Cohen et al., 2019)
- Fernando Cardoso - Expectation Hypothesis Holds. At times. (Cardoso et al., 2020)
Anomalies (June 15)
- Tommaso Baglioni - Turning alphas into betas: Arbitrage and endogenous risk (Cho, 2020)
- Igor Martins - What drives anomaly returns? (Lochstoer & Tetlock, 2016)
Intermediary Asset Pricing and Informed Investors (June 1)
- Felipe Tomkowski - Intermediary asset pricing: New evidence from many asset classes (He et al., 2017)
- Luís Otávio Pinto - Individual investor trading and return patterns around earnings announcements (Kaniel et al., 2012)
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- Guilherme Paiva - A demand system approach to asset pricing (Kojien & Yogo, 2019)
- Bruno Levy - Sparse signals in the cross‐section of returns (Chinco et al., 2019)
Ph.D Student Session (January 27)
- Raphael Gondo - Let's work together? The workers' network effect in funds' performances (Gondo, 2020)
- Fernando Morae - Risk Factor Centrality and The Cross-section of Expected Returns (Moraes, 2020)
Value Creation in Funds & Robo-advising (December 2)
- Fernando Moraes - Skill and Value Creation in the mutual fund industry (Barras et al., 2019)
- Antônio Daniel Caluz - The promisse and pitfalls of robo-advising (D'Acunto et al., 2019)
Equity Risk Premia (November 11)
- Rafael Porsani - Agnostic fundamental analysis works (Bartram & Grinblatt, 2018)
- Guilherme Paiva The Cross-Section of Risk and Returns (Daniel et al., 2019)
Forecasting with Text Data (October 14)
- Axel Simonsen - Predicting Returns with Text Data (Ke et al., 2019)
- Gustavo Amarante - The Structure of Economic News (Bybee et al., 2019)
Sovereign Funding Markets (September 23)
- Gustavo Soares - Default Risk and the Pricing of U.S. Sovereign Bonds (Dittmar et al., 2019)
- Lucas Pires - Mind the (Convergence) Gap: Forward Rates Strike Back! (Berardi et al., 2019)
Risk Parity (September 9)
- Gustavo Amarante - Risk Parity Is Not Short Volatility (Hood et al., 2019)
- Luis Abrahão - Least-squares approach to risk parity in portfolio selection (Bai et al., 2016)
Paycheck Frequency & Households’ Decisions (August 19)
- Filipe Correia - Does Paycheck Frequency Matter for Households’ Decisions? Evidence from Financial Account Data (Baugh et al, 2019)
ML and the Factor Zoo (August 12)
- Alexandre Rubesam - Searching the Factor Zoo (Hwang & Rubesam, 2019)
- Alexandre Rubesam - Empirical Asset Pricing via Machine Learning (Gu et al., 2019)
Interest Rate Slope (June 24)
- Claudia Bruschi - Monetary Policy Communication, Policy Slope, and the Stock Market (Neuhier & Weber, 2019)
- Pedro Castro - Currency Returns and Interest Rate Slopes (Castro & Ribeiro, 2019)
Portfolio Construction (June 3)
- Gustavo Soares - Dynamic trading with predictable returns and transaction costs (Gârleanu & Pedersen, 2013)
- Fernando Moraes - Strategic Rebalancing (Granger et al., 2019)
Factors (May 20)
- Gustavo Soares - Factor risk premiums and invested capital: calculations with stochastic discount factors (Ang et al., 2016)
- Raphael Gondo - Factor Timing with Cross-Sectional and Time-Series Predictors (Hodges et al., 2017)
Liquidity (May 6)
- Marcio Prado - Slow-Moving Liquidity Provision and Flow-Driven Common Factors in Stock Returns (Li, 2018)
- Guilherme Paiva - Brokers and Order Flow Leakage: Evidence from Fire Sales (Barbon et al., 2017)
Financial Intermediaries (April 22)
- Claudia Bruschi - Financial Intermediaries and the Cross-Section of Asset Returns (Adrian et al., 2014)
- Bruno Lund - Financial Amplification of Foreign Exchange Risk Premia (Adrian et al., 2011)
Machine Learning (April 8)
- Fernando Moraes - Shrinking the cross section (Kozak et al., 2017)
- Marcello Paixão - Empirical Asset Pricing via Machine Learning (Gu et al., 2018)
Fixed Income (March 11)
- Rafael Porsani - The TIPS‐Treasury Bond Puzzle (Fleckenstein et al., 2013)
- Fernando Moraes - Expected Returns in Treasury Bonds (Cieslak & Povala, 2015)
Yield Curve (February 25)
- Gustavo Amarante - Yield Curve Premia (Brooks & Moskowitz, 2017)
- Gustavo Amarante - Pricing the Term Structure with Linear Regressions (Adrian et al., 2013)
Macro Announcements and Returns (February 12)
- Marcelo Paixão - The Pre‐FOMC Announcement Drift (Lucca & Moench, 2015)
- Diogo Duarte - Monetary Momentum (Neuhierl & Weber, 2018)
Crowded Trades, Momentum and Carry (January 29)
- Rafael Rocha - Comomentum (Lu & Polk)
- Claudia Bruschi - Crowds, Crashes, and the Carry Trade (Sokolovski, 2018)
Momentum and Financial Institutions (January 15)
- Raphael Gondo - An Institutional Theory of Momentum and Reversal (Vayanos & Woolley, 2013)
- Apinyapon Seingyai - Flow-Based Explanation for Return Predictability (Lou, 2012)
Low Beta & Risk Parity (December 4)
- Fernando Moraes - Betting Against Beta (Frazzini & Pedersen, 2014)
- Guido Chagas - Benchmarks as Limits to Arbitrage: Understanding the Low-Volatility Anomaly (Baker et al., 2011)
ERP and Options (November 21)
- Ruy Ribeiro - What is the Expected Return on the Market? (Martin & Wagner)
- Ruy Ribeiro - What is the Expected Return on a Stock? (Martin & Wagner)
Premia (October 23)
- Gustavo Soares - Common Factors in Corporate Bond Returns (Israel et al.)
- Paulo Costa - Short- and Long-Horizon Behavioral Factors (Daniel et al.)
Background
There has been an explosion of interest in systematic strategies. Varying in complexity, quantitative ideas are now mainstream and part of any large institutional portfolio.
Top investment firms in the world have moved away from the “secret-sauce” mindset and now co-author research with academics, dedicate resources to education, create new technologies, construct publicly available data sets, and run labs in markets, data science, and technology. They are even bringing open source technology to investing itself. The Brazilian asset management industry is late in this process with very few teams fully dedicated to a systematic approach to investing.
Brazilian portfolios are becoming more international, multi-dimensional and complex. Systematization is a transparent and efficient way of institutional investors to deal with complexity and lack familiarity with certain markets. Our professionals need to be trained in the sciences and technologies of this new approach. We need to start building a more symbiotic relationship with academia. The FinanceHub is an attempt to create a community of investment professionals and academics in Brazil capable of doing just that, fostering the research and technology that will help the Brazilian asset management industry cope with its new challenges.
What We Do
We built a GitHub Repository with codes to support research in finance. Some code helps easily access raw and treated data stored in our servers. Some code implements models used on the analysis of that data. The objective of this branch is to build tools for research which will reduce the cost of data acquisition as well as model set up.
We have lectures on Python programming for finance and financial theory. All of the material is available in our repository in the format of slides and jupyter notebooks, so that everyone can learn python and help build up the community and push the project forward.
We actively discuss and promote research in finance. Among our activities, we organize regular academic seminars on a wide range of finance topics. We also encourage our participants to circulate interesting academic and practitioner research to all members and circulate information on finance seminars at Insper and other institutions.
Where to Find Finance Research
Journal of Accounting and Economics
Journal of Banking and Finance
Journal of Financial and Quantitative Analysis
Journal of Financial Economics
Journal of International Financial Markets, Institutions & Money
Journal of International Money and Finance
Journal of Portfolio Management
Projects
Tracker Building: Build tracker for all asset classes
Portfolio Construction: Tools for combining assets into a portfolio
Performance Evaluation: Create a library to evaluate the performance of trackers
Factor Building: Build classes that compute factors for all asset classes