The GUTMANN CENTER FOR PORTFOLIO MANAGEMENT at the University of Vienna http://www.gutmann-center.at is pleased to announce the following two PUBLIC LECTURES: - Apologies for any cross-listings!! - Date: May 23rd, 2005 - 5.00 p.m. Speaker: Prof. Dr. Suresh SUNDARESAN, Columbia University http://www0.gsb.columbia.edu/faculty/ssundaresan/ Title: DISINTERMEDIATION OF CREDIT RISK - OPPORTUNITIES & CHALLENGES Abstract: Over the last three decades capital markets have become the repository of credit risk of households, corporations and governments. At the level of households, residential mortgages, home equity loans, credit card loans, auto loans, and student loans have been securitized and sold to the secondary markets. At the corporate level, bank loans [including leveraged loans] are traded in secondary markets, and more bank loans are placed into collateralized loan obligations or CLOs. More recently, a growing market has developed for buying and selling protection on corporate names: Single Name Credit Default Swaps or CDS. A similar market has also developed for credit default swaps on portfolio of names. These innovations have enabled asset management firms to short a portfolio of corporate names in a way that was not possible before. Finally, there is a growing trend in which sovereign loan markets are being supplanted by sovereign bond markets. CDS markets are developing in some sovereign names as well. The presentation will survey these developments and explore the challenges and opportunities that have arisen as a consequence of these developments. Implications for asset management, regulatory oversights, and contract design will be discussed. **************************************************************** ******************** Date: May 30th, 2005 - 5.00 p.m.: Speaker: Prof. Dr. Hayne E. LELAND, Berkeley http://www.haas.berkeley.edu/faculty/leland.html Title: OPTIMAL PORTFOLIO IMPLEMENTATION with Transactions Costs and Taxes Abstract: Traditional portfolio theory, developed by Markowitz and others, helps to determine an "ideal" set of asset proportions. But it ignores the costs of implementation, including trading costs and taxes. How does one take these factors into account when selecting and managing a portfolio? We provide some answers to these questions. Location both talks: Bank Gutmann AG (http://www.gutmann.at), Schwarzenbergplatz 16, A - 1010 Vienna, Austria Registration: brigitte.juchelka(a)gutmann.at phone: +43-1-50220-357 Further information at: www.gutmann-center.at Contact: gutmann.bwl(a)univie.ac.at phone: 43-1-4277-38186