104 Finance Dauphine: A Deep Dive

104 Finance, a prominent research laboratory within PSL University's Dauphine campus in Paris, stands as a hub for cutting-edge research in finance. Its primary mission is to foster innovative thinking and contribute significantly to the advancement of financial knowledge through rigorous academic research and practical application.

Research Focus

The laboratory's research spans a wide spectrum of financial topics, including but not limited to:

• Asset Pricing: Investigating models that explain the determination of asset prices, including equities, bonds, and derivatives, and understanding risk premia.
• Corporate Finance: Examining the financial decisions of firms, such as investment, financing, and dividend policies. Understanding corporate governance and its impact on firm value is a key aspect.
• Market Microstructure: Analyzing the dynamics of financial markets at a granular level, focusing on order flow, price formation, and the behavior of market participants.
• Financial Risk Management: Developing models and techniques for measuring and managing financial risks, including market risk, credit risk, and operational risk.
• Behavioral Finance: Incorporating psychological insights into financial decision-making, exploring how cognitive biases and emotions affect investor behavior and market outcomes.
• Sustainable Finance: Exploring the integration of environmental, social, and governance (ESG) factors into financial decision-making, analyzing the impact of sustainable investing on asset returns and corporate performance.

Research Methods and Impact

104 Finance embraces a diverse range of research methodologies, from theoretical modeling and econometric analysis to empirical studies using large datasets. Researchers leverage advanced statistical techniques, machine learning algorithms, and computational methods to address complex financial questions. Their findings are published in leading academic journals and presented at international conferences, contributing to the broader financial community. The laboratory actively seeks to translate its research into practical applications, working with industry partners to develop innovative financial products and services.

Education and Training

Beyond research, 104 Finance plays a crucial role in training the next generation of financial professionals. The laboratory supports graduate students and postdoctoral researchers, providing them with a rigorous academic environment and access to cutting-edge research tools. It also collaborates with other academic institutions and industry partners to offer specialized training programs in areas such as quantitative finance, risk management, and sustainable investing. This commitment to education ensures a continuous supply of skilled professionals who can contribute to the advancement of the financial industry.

Collaborations and Partnerships

104 Finance fosters strong collaborations with other research institutions, both nationally and internationally. These partnerships facilitate the exchange of ideas, expertise, and resources, enabling researchers to tackle complex financial problems more effectively. The laboratory also actively engages with industry partners, including financial institutions, asset management firms, and regulatory agencies, to ensure that its research is relevant and impactful. These collaborations provide valuable insights into real-world financial challenges and help to translate academic findings into practical solutions.