Nineteen-seventy-three was a very good year for investment management. That was the year economists Myron S. Scholes and Fischer Black published their paper on options pricing, the world-renowned Black-Scholes model. Their timing was perfect: Traders were getting ready to open the Chicago Board Options Exchange.
Chuck Schwab set up one of the first — and certainly the largest — discount brokerage firms. And brave professionals left steady jobs in a bear market, forming money management shops still going strong today.
These institutions, like Pensions & Investments, are part of the Class of '73.