NEW YORK — Three finance professors — Robert M. Dammon, Chester S. Spatt, and Harold H. Zhang — will share in the ninth annual Paul A. Samuelson Award for Outstanding Scholarly Writing on Lifelong Financial Security.
They will split the $10,000 prize.
They won for their published in the June 2004 issue of The Journal of Finance. It analyzes optimal asset allocation for investors and how much to invest through taxable and tax-deferred accounts.
"Because bonds incur a higher tax burden than equities, the authors recommend that investors hold taxable bonds in tax-deferred accounts and hold equities in taxable accounts to the extent possible," according to a statement about the award. For young investors, the optimal placement between tax-deferred and taxable accounts can increase accumulated after-tax wealth by nearly 15% over their lifetimes, the statement noted.
The award is administered by the TIAA-CREF Institute, the educational arm of TIAA-CREF, New York, which finances the prize, and it is named for the Nobel economics prize laureate and former TIAA-CREF director.