Bing Liang
Charles P. McQuaid Endowed Professor of Finance
Bing Liang's research focuses on institutional investors, financial risk management, capital market anomalies, and climate finance. Liang studies how mutual funds, hedge funds, and other institutional investors make investment decisions and manage risk. A major area of Liang's work examines operational risks in hedge funds—management and business risks that can lead to substantial investor losses. Liang's research has developed models that help investors, managers, and regulators identify and mitigate these risks. This work received the prestigious Graham and Dodd Award (2009, 2018), was presented before the U.S. House Financial Services Committee, and was discussed at the SEC Roundtable on Hedge Funds.
More recently, Liang has focused on climate finance, examining how investors assess climate-related risks, incorporate environmental information into investment decisions, influence corporate environmental behavior, and promote sustainability through financial markets.
Liang serves on the editorial boards of several academic journals, including the Journal of Banking and Finance.
Education
Professional Experience
Academic Appointments
Awards and Honors
Research Interests
Teaching Interests
- Capital Markets and Institutions
- Investments
- International Finance
- Hedge Funds
- Empirical Asset Pricing
Media, Industry, and Public Impact
Selected Publications
“Are the Hedges of Funds Green?” (with Huan Kuang, Tianyi Qu, and Mila Getmansky Sherman), 2026. Forthcoming in the Journal of Financial and Quantitative Finance.
“Liquidity Characteristics of Market Anomalies and Institutional Trading” (with Charles Cao, Tong Yao, and Andrew Zhang), 2026, Journal of Financial Economics 179. https://doi.org/10.1016/j.jfineco.2026.104254
“Hedge Fund Manager Skills and Style-Shifting" (with George Jiang and Huacheng Zhang), 2021, Management Science 68, No. 3. https://doi.org/10.1287/mnsc.2020.3945
"Liquidity Costs, Return Smoothing, and Investor Flows: Evidence from a Separate Account Platform” (with Charles Cao, Grant Farnsworth, and Andrew Lo), 2016, Management Science 63, 1-18. https://doi.org/10.1287/mnsc.2015.2401
“What Is the Nature of Hedge Fund Manager Skills? Evidence from the Risk Arbitrage Strategy” (with Charles Cao, Bradley Goldie, and Lubomir Petrasek), 2016, Journal of Financial and Ǫuantitative Analysis 51, 929-957. https://doi.org/10.1017/S0022109016000387
“Onshore and Offshore Hedge Funds: Are They Twins?” (With George Aragon and Hyuna Park), 2014. Received the best paper award at the 2007 China International Conference in Finance. Management Science 60, 74-91. http://dx.doi.org/10.1287/mnsc.2013.1729
“Can Hedge Funds Time Market Liquidity?” (With Charles Cao, Yong Chen, and Andrew Lo), 2013. Supported by a grant from the Q-Group. Journal of Financial Economics 109, 493-51. https://doi.org/10.1016/j.jfineco.2013.03.009
“Trust and Delegation” (with Stephen Brown, Will Goetzmann, and Chris Schwarz), 2012, Journal of Financial Economics 103, 221-234. Lead article. https://doi.org/10.1016/j.jfineco.2011.09.004
“Predicting Hedge Fund Failure: A Comparison of Risk Measures” (with Hyuna Park), 2010, Journal of Financial and Ǫuantitative Analysis 45, 199-222. Featured in Risk Management Research Report (RMRR) as one of the most important scholarly articles in risk management published. https://doi.org/10.1017/S0022109009990482
“Mandatory Disclosure and Operational Risk: Evidence from Hedge Fund Registration” (with Stephen Brown, Will Goetzmann, and Chris Schwarz), 2008, Journal of Finance 63, 2785-2815. Part of the testimony given before a Hearing of the U.S. Congress House Financial Services Committee on Hedge Funds and Systemic Risk, March 13, 2007. https://www.jstor.org/stable/20487950