Upcoming FTG Events

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33rd Meeting at UT Austin (Fall 2025)

03

Oct

33rd Meeting at UT Austin (Fall 2025)


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From: October 3, 2025 - To: October 4, 2025

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University of Texas at Austin

The University of Texas at Austin is hosting the 33rd meeting of the FTG on October 3-4, 2025. 

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2nd Asian FTG Conference

09

Dec

2nd Asian FTG Conference


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From: December 9, 2025 - To: December 10, 2025

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Singapore Management University

The Singapore Management University is hosting the 2nd Asian Finance Theory Group (FTG) meeting on December 9-10, 2025.

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34th Meeting at the University of Colorado at Boulder (Spring 2026)

08

May

34th Meeting at the University of Colorado at Boulder (Spring 2026)


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From: May 8, 2026 - To: May 9, 2026

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University of Colorado Boulder

The University of Colorado Boulder is hosting the 34th meeting of the FTG on May 8-9, 2026.

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Finance Theory Insights

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Issue 7 (June 2025)

Finance Theory Insights

Issue 7 (June 2025)

Surprising implications of regulations and technological advancement

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This issue of FTG Insights highlights some surprising equilibrium implications of regulations and technological advancement, which are at odds with what some would argue is common wisdom. “From Market Making to Matchmaking: Does Bank Regulation Harm Market Liquidity?” demonstrates that raising capital requirements for banks can, in the presence of competition from nonbank liquidity providers, lead to lower average trading costs for customers. The higher capital requirements lead banks to switch their activity towards matching buyers and sellers, rather than directly participating in trades, which can enhance investor welfare. “Disclosing to Informed Traders” illustrates the downside of policymakers adopting one-size-fits-all disclosure rules. It shows that equilibrium outcomes of disclosure requirements depend crucially on whether investors are also privately informed and how they interpret silence. More stringent disclosure requirements can lead some firms to conceal more, but at the same time can lead others to reveal more information voluntarily. “Technological Progress and Rent Seeking” shows that while technological improvements make inputs more productive, they also make it easier for firms to appropriate the higher production of others. As technologies improve, they disproportionally prompt more rent extraction, decoupling economic growth from technological progress. Finally, modern financial institutions have access to an array of sophisticated risk management tools that allow them to bundle risks in creative ways to enhance diversification, suggesting banks should have become more resilient over time. “Booms, busts, and common risk exposures” challenges this perceived wisdom by showing that superior risk management technologies can increase the overlap between banks’ portfolios and thereby make the system more rather than less fragile. 

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May 18, 2025

2025 Best Job Market Paper in Finance Theory


Congratulations to the winner of our annual prize for the best job market paper in finance theory: First...

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May 17, 2025

2025 New Fellows and Members


The FTG would like to welcome our new members and fellows: • Fellows: Nobuhiro Kiyotaki, Thomas Philippon, Raghuram Rajan,...

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April 15, 2025

"The Role of Theory in Finance Research" by Itay Goldstein


Itay Goldstein has published a piece in The Financial Review's “Future Directions” series, based on his opening lecture...

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Featured Papers

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Jul 8, 2018

Paul Povel | Working Paper No. 00041-00

Apr 26, 2023

Markus Baldauf, Bart Yueshen Zhou | Working Paper No. 00094-00

Nov 14, 2022

Ing-Haw Cheng, Alice Hsiaw | Working Paper No. 00047-01