Sterling Capital Researcher Wins Prestigious Peter L. Bernstein Award

CHARLOTTE, N.C., Nov. 20, 2014 /PRNewswire/ -- Sterling Capital Management announced today that Kevin J. Stoll, executive director and head of Quantitative Research with the firm, has been named the winner of the 2014 Peter L. Bernstein Award for his article, "A Stochastic U.S. House Price Model for Valuing Residential Mortgages and Other House Price-Dependent Assets." The article appeared in the Winter 2013 issue of The Journal of Fixed Income (www.iijfi.com), published by Institutional Investor Journals (www.iijournals.com).

The Peter L. Bernstein Award honors extraordinary and compelling research published in any of Institutional Investor's 11 market-leading journals during the previous 12 months. The award is named for Peter L. Bernstein, the celebrated economic historian, consultant and founding editor of The Journal of Portfolio Management. He is the author of seminal works, such as Against the Gods: The Remarkable Story of Risk and Capital Ideas: The Improbable Origins of Modern Wall Street.

The winning paper, which can be found online at www.iijpm.com, was chosen through a blind review process by an independent committee comprised of Gary Gastineau (ETF Consultants LLC), William Goetzmann (Yale School of Management) and Ronald Kahn (BlackRock).

Gastineau summed up the committee's feedback: "One of the greatest problems in dealing with the recent housing finance crisis was the absence of a useful model for housing prices and values. This paper develops a dynamic model that can help housing consumers, financial markets and policy makers deal with future housing market issues."

"Since joining Sterling, Kevin's research has made significant contributions in asset allocation and risk modeling that has benefited our clients," said Richard T. LaCoff, senior managing director with Sterling Capital Management. "This award certainly echoes our unwavering support of independent and critical thinking and an overarching belief that the caliber of our associates is second to none."

Robert Arnott, chairman and CEO of Research Affiliates LLC, said Stoll's paper exemplifies the reason this award was established. 

"Consider the vast role that home values play in the net worth of the macroeconomy," Arnott said. "Now consider the minimal serious research on the valuation linkages of home prices with interest rates, rental rates and macroeconomic conditions. Stoll's paper bridges theory and practical reality, with a powerful model for the behavior of housing prices, which nicely captures the behavior and uncertainties in housing prices in the aftermath of the financial crisis. Well done."

As a long-time reader and beneficiary of the Institutional Investor Journals, and particularly The Journal of Fixed Income, Stoll said he is honored and grateful to receive the award.

"I wrote the paper simply in hopes of contributing to the exceptional and practical research the journals consistently produce, so to be recognized in this way is particularly gratifying," Stoll said. "Thank you to Institutional Investor Journals and Research Affiliates, and to the many current and former colleagues who have influenced my work through the years."

About Sterling Capital Management

Sterling Capital Management LLC is a registered investment adviser founded in 1970. An investment firm, Sterling is an independently operated subsidiary of BB&T Corporation, one of the nation's largest financial services holding companies. Sterling is headquartered in Charlotte, N.C., with offices in Raleigh, N.C., Atlanta, Ga., Washington, D.C., San Francisco, Calif., Richmond, Va., and Virginia Beach, Va. As of Sept. 30, 2014, Sterling has more than $46 billion in assets under management overseen by 106 investment and client service professionals.

About Institutional Investor Journals 

Institutional Investor Journals offer in-depth, original, and practical research in key areas of investment management and finance, including fixed income, index investing, derivatives, trading, private equity, portfolio management, structured finance, and wealth management. Written and edited by world-renowned practitioners and academics, the journals are extensively read and highly regarded in the industry.

About Research Affiliates, LLC                     

Research Affiliates, LLC, is a global leader in innovative indexing and asset allocation strategies. Dedicated to solving complex investment issues, Research Affiliates creates innovative strategies that respond to the current needs of the market. Approximately $113 billion in assets are managed worldwide using investment strategies developed by Research Affiliates.

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SOURCE Sterling Capital Management