Lasse Heje Pedersen is a finance professor and principal at AQR Capital Management, known for research on market microstructure, liquidity, and leverage constraints in asset pricing.

Key contributions

  • Betting Against Beta (2014, with Frazzini): developed the leverage-constraint model explaining the flat security market line
  • Liquidity risk and asset pricing: contributions to understanding how funding and market liquidity affect asset prices (with Brunnermeier, “Market Liquidity and Funding Liquidity,” 2009)
  • Efficiently Inefficient (2015): book synthesizing how active management, market microstructure, and equilibrium interact
  • Quality Minus Junk (2019, with Asness and Frazzini): co-developed the QMJ factor

Affiliations

  • Copenhagen Business School (Professor of Finance)
  • New York University Stern School of Business
  • AQR Capital Management (Principal)
  • NBER, CEPR

Sources