Finance is a featured research topic at Harvard Business School.
Our intellectual roots are based in a long line of scholars from Robert Merton
whose collaborative work on risk management and option pricing
won him the Nobel Prize in Economics in 1997, to John Lintner who co-created the Capital Asset Pricing Model
and made significant contributions to dividend policy
, and Gordon Donaldson whose work helped shape the field of corporate finance
. We strive to understand how managers and firms make value-enhancing decisions; and how financial institutions, markets, and instruments contribute to this process. Our approach to research is distinguished by its unique combination of theory, empirical analysis, mathematical modeling, and field observations at companies.