123 - Complexity Theory & Systemic Risk in Financial Markets

In this episode, Angie talked with Francesco Filia, CEO of Fasanara Capital, an unconventional, boutique asset management company which focuses on niche investment strategies and researches systemic risk. Filia shared his perspective on the way financial markets are conventionally analyzed saying, “analysis that is typically performed on financial markets, in my opinion, is quite outdated. It has not evolved and could learn so much from nearby fields such as complexity theory.” He described financial markets as ecosystems and continued to bring many different insights from complexity into the conversation, including how feedback loops in financial markets can create instability and lead to tipping points.