FT Soapbox - (Bschool) Financial models create a false sense of security

www.ft.com/soapbox

Financial models create a false sense of security, September 5, 2011

....Given the tremendous changes in financial systems, these theories must be scrutinised and then abandoned as models for the future. As business schools and institutions continue to preach these principles, they perpetuate a fundamentally flawed system of thinking. Now more than ever, it is as important to teach the flaws as it is to teach the basis that presents them.

Didier Cossin is professor of finance and governance at IMD, director of the IMD Global Board Center and programme director for High Performance Boards

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