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Asset Allocation / Jessica Wachter.

NBER Working papers Available online

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Format:
Book
Author/Creator:
Wachter, Jessica.
Contributor:
National Bureau of Economic Research.
Series:
Working Paper Series (National Bureau of Economic Research) no. w16255.
NBER working paper series no. w16255
Language:
English
Physical Description:
1 online resource: illustrations (black and white);
Place of Publication:
Cambridge, Mass. National Bureau of Economic Research 2010.
Summary:
This review article describes recent literature on asset allocation, covering both static and dynamic models. The article focuses on the bond--stock decision and on the implications of return predictability. In the static setting, investors are assumed to be Bayesian, and the role of various prior beliefs and specifications of the likelihood are explored. In the dynamic setting, recursive utility is assumed, and attention is paid to obtaining analytical results when possible. Results under both full and limited-information assumptions are discussed.
Notes:
Print version record
August 2010.

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