“As we put organisations together we want to leave intact the quant risk activities but create a firm wide oversight on top of that. At worst it will be duplicative, at best collaborative and it adds another perspective, a firm-wide control,” he says. “History has shown us that portfolio problems don’t arise solely because of bad formulas, people drive quant processes so we believe strongly in an independent risk management team.” In 1988 when BlackRock was formed the aim of the eight partners was to be the best fixedincome manager in the US. “Now we are saying we want to be the best manager in the world.” And for Golub, risk management is crucial to that.

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