Professor Charlie Cai PhD

Research Overview

Thanks for being interested in my research. My main research interests are in asset pricing and investment research. The overarching research question is what drives expected returns. My approach to the problem is empirical while I have significant interests in testing theoretical propositions to further my understanding of the potential working of the capital market. Technology and social changes play essential roles in the evolution of markets. Studying how information (data and technique) affects wealth accumulation and management is my ongoing pursuit (e.g., data-driven quantitative investment). Equally important is to explore alternative risk and preference that traditionally ignored or cannot measures in dirving investment decisions (such as ambiguity or preference for social good). Both rational expectation and behavioural theories help shape my thinking, and I am hoping to be able to connect them more through studying the empirical data with an open mind.