Peter M DeMarzo

Mizuho Financial Group Professor of Finance
Senior Associate Dean for Academic Affairs

Phone: (650) 736-1082

Email: [email protected]

Personal Homepage: https://faculty-gsb.stanford.edu/demarzo/

Academic Areas: Finance

Professor Peter DeMarzo’s research is in the area of corporate finance, asset securitization, and contracting, as well as market structure and regulation. Recent work has examined issues of the optimal design of securities, the regulation of insider trading and broker-dealers, and the influence of information asymmetries on corporate investment.

Bio

Peter DeMarzo is the Mizuho Financial Group Professor of Finance at the Stanford Graduate School of Business. He earned his BA in cognitive science and applied mathematics from the University of California, San Diego, and his MS in operations research and PhD in economics from Stanford University. In addition to his experience at the Stanford Graduate School of Business, he has taught at the Haas School of Business and the Kellogg Graduate School of Management and was a visiting scholar at the Hoover Institution. His research is in the area of corporate finance, asset securitization, and contracting, as well as market structure and regulation. Recent work has examined issues of the optimal design of securities, the regulation of insider trading and broker-dealers, and the influence of information asymmetries on corporate investment. His research has received awards including the Barclays Global Investors/Michael Brennan best paper award from the Review of Financial Studies, and the Western Finance Association Corporate Finance Award. He won the Sloan Teaching Excellence award in 2004 and 2006, and the Cheit Outstanding Teaching Award in 1998. He currently teaches MBA and PhD courses in Corporate Finance and Financial Modeling.

Academic Degrees

Natl. Fellow, Hoover Institution, 1992-93; PhD, 1989; MS, Stanford Univ., 1985; BA, Univ. of California, San Diego, 1984.

Professional Experience

At Stanford 1995-97 and since 2000.

Prof., 1999-2000; Assoc. Prof., Haas School of Business, Univ. of California, Berkeley, 1997-99; Visiting Assoc. Prof., Stanford Graduate School of Business, 1995-97; Assoc. Prof., 1992-97; Asst. Prof., Kellogg Graduate School of Management, Northwestern Univ., 1989-92.

Selected Publications

  • Optimal Long-Term Financial Contracting with Privately Observed Cash Flows: Review of Financial Studies, forthcoming, 2007
  • Optimal Security Design and Dynamic Capital Structure in a Continuous-Time Agency Model: Journal of Finance, vol. 61, 2681-2724, 2006
  • Technological Innovation and Real Investment Booms and Busts: Journal of Financial Economics, vol. 85, 735-754, 2007
  • Optimal Trading and Asset Pricing with a Large Shareholder: Journal of Political Economy, vol. 114, 774-815, 2006
  • Corporate Finance: Addison-Wesley, 2007
  • Relative Wealth Concerns and Financial Bubbles: Review of Financial Studies, forthcoming, 2007

Working Papers

  • 1719: Persuasion Bias, Social Influence, and Uni-Dimensional Opinions
  • 1872: Bidding with Securities: Auctions and Security Design
  • 2065R: Fallacies, Irrelevant Facts, and Myths in the Discussion of Capital Regulation: Why Bank Equity is Not Expensive

Awards and Honors

  • Review of Financial Studies Best Paper Award, 2006, Barclays Global Investors/Michael Brennan
  • Corporate Finance Award, 2001, Western Finance Association
  • Sloan Teaching Excellence award, 2006, Stanford Graduate School of Business
  • Sloan Teaching Excellence award, 2004, Stanford Graduate School of Business
  • Cheit Outstanding Teaching Award, 1998, Haas School of Business

Courses Taught

Affiliations

  • Member: National Bureau of Economic Research (2003 - present)
  • Assoc. Editor: Review of Financial Studies, Financial Management (2000 - present)