Jürgen Fitschen, a co-chief executive of Deutsche Bank at the time, said in a statement
that Professor Ross’s work was the “foundation for all the risk-factor models we use today.”
Antoinette Schoar, a Sloan professor and the head of the school’s finance department, said in a phone interview
that “all of Steve’s intellectually intricate finance theories were aimed at solving real-world problems.”
His models, Professor Schoar added, “were both extremely elegant and extremely practical.”
The binomial model alone, she noted, is ubiquitous on Wall Street.
Stephen Ross, Economist Who Developed Arbitrage Pricing Theory, Dies at 73 -
By JESSICA SILVER-GREENBERGMARCH 9, 2017
Stephen A. Ross, a seminal theorist whose work over three decades reshaped the
field of financial economics, died on March 3 at his home in Old Lyme, Conn.
Professor Ross’s work was applied across a range of fields, including asset pricing, investment management and corporate finance.
A version of this article appears in print on March 11, 2017, on Page A22 of the New York
edition with the headline: Stephen A. Ross, 73; Developed Arbitrage Pricing Theory.
He wrote more than 100 articles about finance and economics and, as a co-author,
“Corporate Finance,” a textbook used at business schools across the country.