Markowitz, Harry Max [key], 1927–, American economist, Ph.D. Univ. of Chicago, 1954. In the 1950s he developed a theory of “portfolio choice,” which allows investors to analyze risk as well as their expected return, and he has subsequently continued his work on portfolio theory and optimizing investment returns. For his work on portfolio choice Markowitz shared the 1990 Nobel Memorial Prize in Economic Sciences with William Sharpe and Merton Miller; the pioneering work of the three led to the development of financial economics. Markowitz, who has alternated between working in the private sector and academia, has taught at several universities including Baruch College, City Univ. of New York (1982–93, subsequently emeritus) and the Rady School of Management, Univ. of California San Diego (2007–), and was director of research (1990–2000) at Daiwa Securities Trust Company; he also has worked as a consultant since the 1980s.
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