Andrea Eisfeldt

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“The thing that’s nice about Anderson is that it’s not a factory for the students. We’re trying to figure out what career they want and then provide them with the tools, confidence and network they need to get there. That’s the spirit of the school.”
 

Laurence D. and Lori W. Fink Endowed Chair in Finance and Professor of Finance

About

 

Biography

Andrea L. Eisfeldt is the Laurence D. and Lori W. Fink Endowed Chair in Finance and a professor of finance at UCLA Anderson, where she’s been teaching since arriving in 2010 as visiting associate professor.

“UCLA has an amazing history and tradition in finance, and I think that’s a huge draw because it’s a foundation we’re always drawing on,” Eisfeldt says about coming to UCLA Anderson from Northwestern University’s Kellogg School of Management, where she was associate professor with tenure.

She returned to UCLA Anderson in 2015 as director of the school’s Fink Center for Finance & Investments after spending two years as chief economist at Structured Portfolio Management, a fixed-income and mortgage-backed securities hedge fund in Connecticut. There, she conducted research on mortgages, interest rates, real estate and volatility strategies. She says taking the two-year leave offered her practical industry experience.

“It’s fun,” says Eisfeldt. “It’s good to get your feet wet in what you’re researching and teaching.”

Eisfeldt’s research over the years has focused on macroeconomics and finance, specifically the dynamics of market liquidity and the effects of financial frictions on investment. Her papers have earned the Smith Breeden Distinguished Paper prize in 2004, the Jensen Prize (second place) in 2008, and the Smith Breeden First Place Paper award in 2013. She has also been awarded research grants by the National Science Foundation and the Banque de France.

Her latest research looks at complex assets and tries to understand why complex securities tend to have higher average returns. “What is it about them that keeps the potential number of people who manage them small, and the returns large?” she asks. Another paper Eisfeldt is currently working on explores why over-the-counter derivatives trading is such a concentrated market and, among other things, why dealers earn such high intermediation profits. Additional ongoing research focuses on measuring credit risk using equity markets.

In her role as director of the Fink Center, Eisfeldt hopes to create more opportunities for engagement and interaction between prestigious alumni and finance students at UCLA Anderson.

Eisfeldt holds editorial roles at the American Economic Journal: Macroeconomics and the Journal of Monetary Economics, is president of the Macro Finance Society, and is a research associate at the National Bureau of Economic Research in its corporate finance, asset pricing and economic fluctuations and growth programs.

 

Education

Ph.D. Economics, 2000, University of Chicago

M.A. Economics, 2000, University of Chicago

B.S. Economics, 1994, University of Illinois, Urbana-Champaign

 

Published Papers

Endogenous Liquidity in Asset Markets Journal of Finance 2004, 59(1): 1-30 (lead article). Smith Breeden Distinguished Paper. Reprinted in Handbook of Liquidity and Crises (2011), edited by Franklin Allen, Elena Carletti, Jan Pieter Krahnen, and Marcel Tyrell.

Capital Reallocation and Liquidity with Adriano Rampini. Journal of Monetary Economics 2006, 53(3): 369-399 (lead article).

Smoothing with Liquid and Illiquid Assets Journal of Monetary Economics 2007, 54(6): 1572-1586.

New or Used? Investment with Credit Constraints with Adriano Rampini. Journal of Monetary Economics 2007, 54(8):2656-2681.

Managerial Incentives, Capital Reallocation, and the Business Cycle with Adriano Rampini. Journal of Financial Economics 2008, 87(1): 177-199. Jensen Prize Second Place.

Leasing, Ability to Repossess, and Debt Capacity with Adriano Rampini. Review of Financial Studies 2009, 22(4): 1621-1657.

CEO Turnover in a Competitive Assignment Framework with Camelia Kuhnen. Journal of Financial Economics 2013, 109(2): 351-372.

Organization Capital and the Cross-Section of Expected Returns with Dimitris Papanikolaou. Journal of Finance 2013, 68(4): 1365-1406. Amundi Smith Breeden First Prize Paper.

The Value and Ownership of Intangible Capital with Dimitris Papanikolaou. American Economic Review Papers & Proceedings, 2014 104(5): 189-94.

Entry and Exit in OTC Derivatives Markets with Andrew Atkeson and Pierre-Olivier Weill. Forthcoming, Econometrica.

 

Submitted Working Papers

Aggregate External Financing and Savings Waves with Tyler Muir.

The Financial Soundness of US Firms 1926-2012 with Andrew Atkeson and Pierre-Olivier Weill.

 

Drafted Working Papers

Risk and Return in Segmented Markets with Expertise with Hanno Lustig and Lei Zhang.

The Returns to Single Family Rental Strategies with Andrew Demers.

The Market for OTC Derivatives with Andrew Atkeson and Pierre-Olivier Weill.

 

Work in Progress

Slow Moving Capital in Segmented Markets with Expertise with Hanno Lustig and Lei Zhang. Slides and paper available upon request.

 

Older Working Papers

Financing Shortfalls and the Value of Aggregate Liquidity with Adriano Rampini.

Colonies with Matthias Doepke.