Call it the Class of 2006: Barclays Global Investors has added 10 new researchers from the ranks of academia and industry.
BGI, which manages more than $1.6 trillion in assets, now spends more than $120 million a year on its research budget.
Topping the newcomers list in BGI's San Francisco office are Paul Harrison, previously chief of the capital markets section of the board of governors of the Federal Reserve System, and Richard Sloan, a well-known accounting expert at the University of Michigan's Stephen M. Ross School of Business.
Mr. Harrison is a co-author of a 2005 Federal Reserve paper that found the Bush administration's 2003 dividend and capital gains tax cuts failed to give a boost to the U.S. stock market. He also has done a lot of research on risk premiums across stock and bond markets, something that ties in well with BGI's efforts at linking insights between the two asset classes.
As a research officer at BGI, Mr. Harrison will work on sovereign bond research in BGI's macrostrategies group. He will seek insights on which countries will outperform and which will underperform, based on macroeconomic signals. He also will move the group into emerging-market debt. In addition, his group also plans to better understand the shape of the yield curve and ultimately will look at credit markets.
Mr. Harrison stressed he's not in BGI's fixed-income group, which focuses on bottom-up securities selection. But his group will work hand-in-hand with fixed-income researchers, forging insights on both macro and micro levels.