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Events / Thalesians Series

About The Series

The IAQF's Thalesians Seminar Series is a joint effort on the part of the IAQF (www.iaqf.org) and the Thalesians (www.thalesians.com).  The goal of the series is to provide a forum for the exchange of new ideas and results related to the field of quantitative finance.  This goal is accomplished by hosting seminars where leading practitioners and academics present new work, and following the seminars with a reception to facilitate further interaction and discussion.

Call For Speakers

If you are interested in speaking at one of the upcoming seminars, please email info@iaqf.org

Past Seminars

About The Organizer

Harvey Stein is a senior VP in the Labs group at Two Sigma. From 1993 to 2022, Dr. Stein was at Bloomberg, where he served as the head of several departments including Quantitative Risk Analytics, Counterparty and Credit Risk, Interest Rates Derivatives, and Quantitative Finance R&D. Harvey is well known in the industry, having published and lectured on credit risk modeling, financial regulation, interest rate and FX modeling, CVA calculations, mortgage backed security valuation, COVID-19 data analysis, and other subjects.

Dr. Stein is on the board of directors of the IAQF, a board member of the Rutgers University Mathematical Finance program, an adjunct professor at Columbia University, and organizer of the IAQF/Thalesians financial seminar series. He's also worked as a quant researcher on the Bloomberg for President campaign.

Dr. Stein holds a Ph.D. in Mathematics from the University of California, Berkeley (1991) and a B.S. in Mathematics from Worcester Polytechnic Institute (1982).

 



Upcoming Seminars

    • 06 May 2025
    • 6:00 PM
    • Fordham University McNally Amphitheater 140 West 62nd Street New York, NY 10023
    Register


    6:00 PM Seminar Begins

    7:30 PM Reception


    Hybrid Event:

    Fordham University

    McNally Amphitheater

    140 West 62nd Street

    New York, NY 10023


    Free Registration!


    For Virtual Attendees: Please select virtual instead of member type upon registration.

    Abstract:

    The collapse of Silicon Valley Bank (SVB) highlights the growing transformation of deposit-taking institutions into synthetic hedge funds, blending private equity-style banking with hedge fund-like trading strategies. This paper provides a conceptual framework to examine SVB’s hybrid model, which combined on-balance-sheet activities--such as venture capital credit lines and subscription facilities--with off-balance-sheet speculative strategies, including swap spread arbitrage.


    These innovations positioned SVB as a synthetic hedge fund, leveraging financial engineering to enhance returns while operating within a regulatory framework designed for traditional banks. SVB’s failure underscores the tension between speculative risk-taking and the stability imperatives of deposit-taking institutions. The reliance on rigid financial models and misinterpreted macroeconomic signals led to premature hedging exits, exposing the bank to rising interest rates and liquidity stress.

    The paper explores how the evolution of bank-driven synthetic hedge funds reshapes banking risk management, particularly through synthetic risk transfer (SRT), which allows institutions to redistribute risk while maintaining exposure. However, these strategies heighten systemic interconnectedness, amplifying liquidity mismatches and market fragility. Finally, the paper considers whether central banks must adapt as synthetic hedge funds of last resort, stabilizing a financial system increasingly shaped by hybrid institutions that blur the lines between banking and investment fund strategies.

    Bio:

    Elham Saeidinezhad is a Term Assistant Professor of Economics at Barnard College, Columbia University, where she teaches finance courses. She also teaches at NYU Stern.


    Her research explores the intersection of market microstructure, industrial organization, and financial stability. She leads the Market Microstructure Project, an independent initiative surveying market dynamics to explore changes in financial market infrastructures and their implications for the broader financial system.


    Previously, she was a Lecturer at UCLA’s Economics Department, teaching courses in Money and Banking and Monetary Economics. She also worked as a research economist in the International Finance and Macroeconomics Group at the Milken Institute, studying post-crisis structural shifts in capital markets. As a postdoctoral fellow at the Institute for New Economic Thinking (INET), she collaborated with Prof. Perry Mehrling on the Money View framework. She holds a Ph.D. in Empirical Macroeconomics from the University of Sheffield and a bachelor’s degree from Shiraz University.

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