Financial economics is a multifaceted area; in addition to core subjects like asset pricing, risk management, and corporate governance, it encompasses the legal, regulatory, tax, and governance frameworks surrounding the financial system.
The department of Economics at LUSEM has a well-established group of researchers in financial economics. The finance group is part of The Knut Wicksell Centre for Financial Studies, that aims to conducts high-quality research in the finance area and to engage in mutually beneficial collaboration with practitioners. The group has built a strong research network and maintains active collaborations with major universities within as well as outside the Nordic countries. It regularly attracts external research funding from government agencies such as Formas and Vinnova as well as from private foundations including Jan Wallanders and Tom Hedelius foundation, The Söderberg foundation, The Crafoord foundation, and the Marianne and Marcus Wallenberg foundation.
The research addresses issues on measuring and managing financial risks, asset pricing, portfolio choice, credit and commodity derivatives and the functioning of financial markets in general. Examples of ongoing research include an interdisciplinary project on the risks and uncertainties associated with investments to decarbonize energy-intensive and natural resource-based industries, a project on transmission of climate actions in the global supply chain, and a project on cross-border banking.