{{Short description|American economist (1944–2019)}} <!-- {{notability|date=August 2016}} {{morerefs|date=August 2016}} --> '''Mark Edward Rubinstein''' (June 8, 1944<ref>{{Cite book | url=https://books.google.com/books?id=9xUyTfz6S6gC&q=Mark+Rubinstein+June+8%2C+1944&pg=PT182 |title = A History of the Theory of Investments: My Annotated Bibliography|isbn = 9781118161098|last1 = Rubinstein|first1 = Mark|date = 2011-09-02}}</ref> – May 9, 2019) was a leading financial economist and financial engineer. He was Paul Stephens Professor of Applied Investment Analysis at the Haas School of Business of the University of California, Berkeley.<ref>{{Cite web |url=http://newsroom.haas.berkeley.edu/prof-emeritus-mark-rubinstein-financial-engineering-pioneer-passes-away/ |title=Prof. Emeritus Mark Rubinstein, financial engineering pioneer, passes away |date=2019-05-15 |website=Berkeley Haas |language=en-US |access-date=2019-05-17}}</ref><ref name="CV"/> He held various other professional offices, directing the American Finance Association, amongst others, <ref name="CV">[https://haas.berkeley.edu/wp-content/uploads/rubinstein_mark.pdf Mark Rubinstein CV], at berkeley.edu</ref> and was editor of several first-tier academic journals including both the ''Journal of Financial Economics'' and the ''Journal of Finance''. He was the author of numerous papers <ref>[https://econpapers.repec.org/scripts/search.pf?ft=Mark%20Rubinstein;iframes=no "Mark Rubinstein"] on Research Papers in Economics site.</ref> and four books.
Rubinstein was a senior and pioneering academic in the field of finance, focusing on derivatives, particularly options, and was known for his contributions to both theory and practice,<ref name="Taleb">Nassim Taleb's [https://www.fooledbyrandomness.com/rubinste.htm Review of ''Derivatives'', by Mark Rubinstein]</ref> especially portfolio insurance and the binomial options pricing model (also known as the Cox-Ross-Rubinstein model), as well as his work on discrete time stochastic calculus more generally. His book ''Option Markets'', <ref>{{cite book| url=https://afajof.org/wp-content/uploads/files/historical-texts/cox-rubinstein-ocr-1985.pdf | author= John Cox and Mark Rubinstein | title=Options Markets | publisher=Pearson | year=1985| isbn=978-0136382058 }}</ref> was "the first work that popularized probabilistic and scientific methods in options, helping inaugurate the derivatives revolution."<ref name="Taleb"/> Along with fellow Berkeley finance professor Hayne E. Leland and adjunct professor John O'Brien, Rubinstein developed the portfolio insurance financial product in 1976.<ref>[http://www.happywednesday.org/portal/files/Leland-Rubinstein1983.pdf "The Evolution of Portfolio Insurance"] {{webarchive|url=https://web.archive.org/web/20110726140928/http://www.happywednesday.org/portal/files/Leland-Rubinstein1983.pdf |date=2011-07-26 }}</ref> (This strategy later became associated with the October 19, 1987, Stock Market Crash; see {{slink|Black Monday (1987)#Causes}}). With Leland and O'Brien he also introduced the first exchange-traded fund (ETF) in the United States. Rubinstein popularized the term "exotic option" in 1990/92 working paper [https://ideas.repec.org/p/ucb/calbrf/rpf-220.html "Exotic Options"] (with Eric Reiner), with the term based either on "exotic wagers" in Horse racing, or due to the use of international terms such as "Asian option", suggesting the "exotic Orient".<ref>{{cite web | url = http://www.slate.com/id/2260463/ | title = Why Do We Call Financial Instruments 'Exotic'? Because some of them are from Japan. | first = Brian | last = Palmer | date = July 14, 2010 | publisher = Slate }}</ref>
Rubinstein had been on the Haas faculty since 1972. He was instrumental in building the Haas-Berkeley Master of Financial Engineering (MFE) Program,<ref>[http://mfe.haas.berkeley.edu Master of Financial Engineering Program], mfe.haas.berkeley.edu</ref> focused on equipping candidates with skills in financial engineering for careers as quants; he was also involved in teaching courses on the program; and previously various other finance courses, both on the Haas-MBA and at Berkeley. The Berkeley-MFE was considered by many as the number one financial engineering program in the US.<ref>The Berkeley MFE Program has been ranked #1 by Global Derivatives and named one of the top 10 quant schools by ''Advanced Trading'' magazine.</ref>
He held a BA in economics from Harvard University ''magna cum laude '', an MBA in finance from Stanford University, and a PhD in finance from the University of California, Los Angeles. <!-- He died on May 9, 2019 at the age of 74. -->
==See also== *Compound option *Edgeworth binomial tree *Implied binomial tree *Lattice model (finance) *Rainbow option
==References== {{reflist}}
==External links== * [http://www.haas.berkeley.edu/faculty/rubinstein.html Faculty Profile] * [https://web.archive.org/web/20080516162703/http://www.in-the-money.com/ Personal Homepage] (Archived) * [https://papers.ssrn.com/sol3/cf_dev/AbsByAuth.cfm?per_id=16123 SSRN Author Page] {{Authority control}}
{{DEFAULTSORT:Rubinstein, Mark}} Category:Haas School of Business faculty Category:Harvard University alumni Category:Stanford Graduate School of Business alumni Category:University of California, Los Angeles alumni Category:American financial economists Category:Jewish American scientists Category:1944 births Category:2019 deaths Category:Presidents of the American Finance Association Category:21st-century American Jews