Ludwig Chincarini, CFA, PhD, is an Associate Professor of Finance at the University of San Francisco. Chincarini is the author of The Crisis of Crowding: Quant Copycats, Ugly Models, and the New Crash Normal (and co-author of Quantitative Equity Portfolio Management). Chincarini is also on the academic board of IndexIQ and previously worked with FOLIOfn and Rydex Global Advisors.

1. Which FCIC View best represents the causes of the Financial Crisis?

None of the three views. However, Wallison's was the most eloquently written piece. The other pieces were scattered all over the place.

2. Which narrative presented by Douglas Elliott and Martin Baily of the Brookings Institute in Telling the Narrative of the Financial Crisis: Not Just a Housing Bubble best represents the causes of the Financial Crisis?

“Everyone” was at fault: Wall Street, the government, and our wider society

3. I believe the crisis is ongoing and I project the Global Financial Crisis will end in the year

2013 or beyond. It really depends on what you classify as related to just the financial crisis. The worst of it was over in 2009. After that, it is hard to decipher what was due to the crisis, what was due to policy action, and what was due to a realignment to a normal state of growth. Bubbles are particularly bad, because they misalign resources which are then difficult to adjust post bubble. This adjustment has continued into 2013.

4. What were the primary causes of the Global Financial Crisis?
5. What still should change as a result of the crisis?

Read my new book The Crisis of Crowding: Quant Copycats, Ugly Models, and the New Crash Normal

For other commentary: www.ludwigbc.com.

Compiled by Gary Karz, CFA
Host of InvestorHome

Global Financial Crisis Survey

Please send suggestions and comments to Investor Home

Last update 12/31/2012. Copyright © 2012 Investor Home. All rights reserved. Disclaimer