Yale School of Management - Faculty

Professor of Finance

Andrew Metrick joined the Yale School of Management from the Wharton School of the University of Pennsylvania, where he served on the faculty from 1999 to 2007. Prior to Wharton, he spent five years teaching economics in the Harvard Faculty of Arts and Sciences. His research and teaching have focused on venture capital, private equity, corporate governance, and decision-making under uncertainty.

In his most recent research, Metrick created a method that makes it easier for venture capitalists to calculate realistic valuations of start-ups, high-growth companies, and IPOs. The model is outlined in his book Venture Capital and the Finance of Innovation (John Wiley & Sons, 2006), which is the foundation of the course of the same title that he taught at Wharton. It has received attention in the popular press including the New York Times, Forbes, and Red Herring. Other research has examined the relationship between shareholder rights and company performance; the economics of private equity funds; how the structure of employers’ retirement plans affect employee participation; and the relationship between insider ownership and firm value.

Metrick has been honored with more than a dozen teaching awards and distinctions, including two years (2003 and 2007) as the highest-rated professor in the Wharton MBA program. In 1998, he received the highest teaching honor at Harvard College, the Joseph R. Levenson Memorial Teaching Award, and in 2005, he received the highest teaching honor at the University of Pennsylvania, the Lindback Award.

Selected Books
Venture Capital and the Finance of Innovation, John Wiley & Sons, 2007

Selected Articles
"Institutional Investors and Equity Prices" (with P.A. Gompers), The Quarterly Journal of Economics, Vol. 116, No. 1, 229-259, February, 2001

"Should Investors Avoid All Actively-Managed Mutual Funds? A Study in Bayesian Performance Evaluation" (with K. Baks and J. Wachter), The Journal of Finance, Vol. 56, No. 1, 45-86, February, 2001

"How Does the Internet Affect Trading? Evidence from Investor Behavior in 401(k) Plans" (with J.J. Choi and D. Laibson), Journal of Financial Economics, Vol. 64, No. 3, 397-421, June, 2002

"Defined Contribution Pensions: Plan Rules, Participant Decisions, and the Path of Least Resistance" (with J.J. Choi, D. Laibson, and B.C. Madrian), in Tax Policy and
the Economy, James Poterba, ed., Vol. 16, 67 -113, MIT Press, 2002

"Corporate Governance and Equity Prices" (with P.A. Gompers and J.L. Ishii), The Quarterly Journal of Economics, Vol. 118, No. 1, 107-155,February, 2003

"Estimating the Returns to Insider Trading: A Performance-Evaluation Perspective" (with L.A. Jeng and R. Zeckhauser), The Review of Economics and Statistics, 453-471, May, 2003

"Large Blocks of Stock: Prevalence, Size, and Measurement" (with J. Dlugosz, R. Fahlenbrach, and P.A. Gompers), Journal of Corporate Finance, 594-618, June, 2006

Working Papers
"Extreme Governance: An Analysis of Dual-Class Companies in the United States" (with P.A. Gompers and J.L. Ishii)

"Active Decisions" (with J.J. Choi, D. Laibson, and B.C. Madrian)

"A Revealed Preference Ranking of U.S. Colleges and Universities" (with C. Avery, M. Glickman, and C. Minter Hoxby)

"Reinforcement Learning and Investor Behavior" (with J.J. Choi, D. Laibson, and B.C. Madrian)

"The Economics of Private Equity Funds" (with A. Yasuda)

Education
MA Yale University 1989
AM Harvard University 1991
PhD Harvard University 1994