LSV Asset Management (LSV) is an American

quantitative Quantitative may refer to: * Quantitative research, scientific investigation of quantitative properties * Quantitative analysis (disambiguation) * Quantitative verse, a metrical system in poetry * Statistics, also known as quantitative analysis ...

investment management Investment management (sometimes referred to more generally as financial asset management) is the professional asset management of various Security (finance), securities, including shareholdings, Bond (finance), bonds, and other assets, such as r ...

firm headquartered in

Chicago Chicago is the List of municipalities in Illinois, most populous city in the U.S. state of Illinois and in the Midwestern United States. With a population of 2,746,388, as of the 2020 United States census, 2020 census, it is the List of Unite ...

. The firm provides equity management services for

institutional investor An institutional investor is an entity that pools money to purchase securities, real property, and other investment assets or originate loans. Institutional investors include commercial banks, central banks, credit unions, government-linked ...

Background

LSV was founded in 1994 by Josef Lakonishok,

Andrei Shleifer Andrei Shleifer ( ; born February 20, 1961) is a Russian-American economist and Professor of Economics at Harvard University, where he has taught since 1991. Shleifer was awarded the biennial John Bates Clark Medal in 1999 for his seminal works ...

and Robert W. Vishny. The three of them were working in

academia An academy (Attic Greek: Ἀκαδήμεια; Koine Greek Ἀκαδημία) is an institution of tertiary education. The name traces back to Plato's school of philosophy, founded approximately 386 BC at Akademia, a sanctuary of Athena, the go ...

where they were

Professor Professor (commonly abbreviated as Prof.) is an Academy, academic rank at university, universities and other tertiary education, post-secondary education and research institutions in most countries. Literally, ''professor'' derives from Latin ...

s in the fields of Economics and Finance. Lakonishok is a professor (now retired) at

University of Illinois at Urbana-Champaign The University of Illinois Urbana-Champaign (UIUC, U of I, Illinois, or University of Illinois) is a public land-grant research university in the Champaign–Urbana metropolitan area, Illinois, United States. Established in 1867, it is the f ...

while Shleifer and Vishny are professors at

Harvard University Harvard University is a Private university, private Ivy League research university in Cambridge, Massachusetts, United States. Founded in 1636 and named for its first benefactor, the History of the Puritans in North America, Puritan clergyma ...

and

University of Chicago The University of Chicago (UChicago, Chicago, or UChi) is a Private university, private research university in Chicago, Illinois, United States. Its main campus is in the Hyde Park, Chicago, Hyde Park neighborhood on Chicago's South Side, Chic ...

respectively. They focused on the field of

Behavioral Finance Behavioral economics is the study of the psychological (e.g. cognitive, behavioral, affective, social) factors involved in the decisions of individuals or institutions, and how these decisions deviate from those implied by traditional economi ...

. LSV is the first letter of each co-founders surname. SEI Investments Company backed the firm in exchange for a 51% stake. In 2003, Shleifer sold his entire ownership of the firm and retired from firm to focus on his academic career. In 2006, Vishny reduced his ownership of the firm to 6% and retired from the firm at the end of 2007. LSV is an active manager that uses a quantitative approach to value investing in the

stock market A stock market, equity market, or share market is the aggregation of buyers and sellers of stocks (also called shares), which represent ownership claims on businesses; these may include ''securities'' listed on a public stock exchange a ...

. In October 2024, four former executives sued LSV  who claim they were deprived of more than $100 million in LSV equity when the firm forced them to sell their equity at a significantly reduced price. The majority of the firm is owned by current and former employees while a minority stake is held by SEI Investments Company.

References

External links

* {{authority control 1994 establishments in Illinois Financial services companies established in 1994 Investment management companies of the United States Privately held companies based in Illinois Asset management companies