Faculty Spotlight: Welcoming Snehal Banerjee
Snehal Banerjee is a new associate professor of Finance at the Rady School. Prior to coming to the Rady School, Banerjee was an associate professor of Finance at Northwestern University's Kellogg School of Management. He received his Ph.D. in Finance from Stanford University.
Banerjee was inspired to get into finance to understand why people disagree. "Disagreement is pervasive: people disagree about politics, religion, social norms and customs, and economics," said Banerjee. "But why people disagree is unclear. Financial markets provide a clean setting to study disagreement - not only do investors disagree, but they do so with their wallets."
Banerjee's research focuses on the intersection of asset pricing and information economics, with a particular interest in what investors choose to learn about, why they disagree and how this drives prices and trading volume in financial markets. Banerjee believes such research will lead to the understanding of how financial markets function and how regulatory changes affect disclosure and transparency in financial markets.
As an associate professor, Banerjee's goal is to provide students with the basic tools and models with which to think about financial decisions. "I would like to instill in them an appreciation for the use of models," said Banerjee. "By design, models are often too simple and incomplete. When used blindly, they can sometimes lead to incorrect predictions and absurd conclusions. However, if applied carefully and appropriately, they provide a useful framework in which to analyze the relevant tradeoffs for a given decision."
In his spare time, Banerjee enjoys spending time with his family, reading and learning to cook.