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Quantitative Finance Club @ UCF
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MeetingBusiness Administration I, Room 0221

When Models Fail: Quant Finance Case Studies

Examine notable quantitative finance failures, identify which assumptions broke down, and consider how better research and risk controls could have changed the outcome.

Prerequisites: None

  • Long-Term Capital Management: leverage and disappearing liquidity
  • The August 2007 quant meltdown: crowded strategies and forced deleveraging
  • Knight Capital: software deployment and automated risk controls
  • JPMorgan’s London Whale: risk models, incentives, and governance
  • The 2022 UK liability-driven investment crisis: leverage, collateral calls, and fire-sale dynamics