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Harald Hau
SFI Senior Chair
Professor of Finance
  +41 22 379 95 81
Harald Hau is Professor of Finance at the University of Geneva, where he has held an SFI Senior Chair since 2011 and is Director of the Geneva Finance Research Institute. He obtained his PhD in Economics from Princeton University. Prof. Hau has several ongoing collaborations with colleagues at the European Central Bank, where he was the Wim Duisenberg Research Fellow in 2011. His work has been published in top academic journals and has featured in the international press.
Research Interests:
His research focuses on international finance, financial stability, asset pricing, and asset management.
Recent Research:
One of Prof. Hau’s latest coauthored studies uses comprehensive transaction records on over-the-counter (OTC) forex (FX) derivatives. Focusing on the determinants of transaction costs for nonfinancial firms, the researchers evaluate the relative importance of firms’ sophistication, counterparty credit risk, contract customization, and credit relationships outside the OTC market. They find that unsophisticated firms face highly discriminatory transaction costs and this affect is amplified for firms that use, as dealer banks, their main credit provider. By contrast, credit risk and contract customization play almost no role for transaction costs. Moreover, discriminatory pricing is shown to severely limit OTC market participation and hampers the corporates’ desire to hedge FX exposure. These findings underscore the need to reform OTC derivative markets.