Editing Harry Markowitz (section)

==Biography==
Harry Markowitz was born to a [[American Jews|Jewish]] family, the son of Morris and Mildred Markowitz.<ref name="autobiography">Harry M. Markowitz&nbsp;– [http://nobelprize.org/nobel_prizes/economics/laureates/1990/markowitz-autobio.html Autobiography], The Nobel Prizes 1990, Editor Tore Frängsmyr, [Nobel Foundation], Stockholm, 1991</ref> During high school, Markowitz developed an interest in physics and philosophy, in particular the ideas of [[David Hume]], an interest he continued to follow during his undergraduate years at the [[University of Chicago]]. After receiving his [[Bachelor of Philosophy|Ph.B.]] in Liberal Arts,<ref name=cv>{{cite web|title=Curriculum Vitae (Harry M. Markowitz)|url=http://hmarkowitz.com/cv/|website=hmarkowitz.com|access-date=December 12, 2017|archive-date=August 3, 2020|archive-url=https://web.archive.org/web/20200803103917/http://hmarkowitz.com/cv/|url-status=dead}}</ref> Markowitz decided to continue his studies at the University of Chicago, choosing to specialize in economics. There he had the opportunity to study under important economists, including [[Milton Friedman]], [[Tjalling Koopmans]], [[Jacob Marschak]] and [[Leonard Savage]]. While still a student, he was invited to become a member of the [[Cowles Commission for Research in Economics]], which was in Chicago at the time. He completed his A.M. in Economics from the university in 1950.<ref name=cv/>

Markowitz chose to apply mathematics to the analysis of the [[stock market]] as the topic for his dissertation. Jacob Marschak, who was the thesis advisor, encouraged him to pursue the topic, noting that it had also been a favorite interest of [[Alfred Cowles]], the founder of the Cowles Commission. While researching the then current understanding of stock prices, which at the time consisted in the [[present value]] model of [[John Burr Williams]], Markowitz realized that the theory lacks an analysis of the impact of risk. This insight led to the development of his seminal theory of [[Portfolio (finance)|portfolio]] allocation under uncertainty, published in 1952 by ''the [[Journal of Finance]]''.<ref name="publications1952">{{cite journal |author=Markowitz, H.M. |title=Portfolio Selection |journal=[[The Journal of Finance]] |date=March 1952 |volume=7 |issue=1 |pages=77–91 |doi=10.2307/2975974 |jstor=2975974}}</ref>

In 1952, Harry Markowitz went to work for the [[RAND Corporation]], where he met [[George Dantzig]]. With Dantzig's help, Markowitz continued to research [[Optimization (mathematics)|optimization]] techniques, further developing the [[Critical line method|critical line algorithm]] for the identification of the optimal mean-variance portfolios, relying on what was later named the [[Modern portfolio theory|Markowitz frontier]]. It was also in 1952 that Markowitz published ''Portfolio Selection'', his first paper dissecting investment portfolio strategy.<ref name="publications1952" />

In 1954, he received a PhD in economics from the University of Chicago<ref name="cv" /> with a thesis on the portfolio theory. The topic was so novel that, while Markowitz was defending his dissertation, Milton Friedman argued his contribution was not economics.<ref name="nobellecture">Harry M. Markowitz&nbsp;– [http://nobelprize.org/nobel_prizes/economics/laureates/1990/markowitz-lecture.html Nobel Prize Lecture: Foundations of Portfolio Theory], December 7, 1990 ([https://www.nobelprize.org/uploads/2018/06/markowitz-lecture.pdf PDF format])</ref> During 1955–1956 Markowitz spent a year at the Cowles Foundation,<ref name="autobiography" /> which had moved to [[Yale University]], at the invitation of [[James Tobin]]. He published the critical line algorithm in a 1956 paper and used this time at the foundation to write a book on portfolio allocation which was published in 1959.<ref name="publications1959">{{cite book |author=Markowitz, H.M. |title=Portfolio Selection: Efficient Diversification of Investments |year=1959 |publisher=John Wiley & Sons |location=New York |url=http://cowles.econ.yale.edu/P/cm/m16/index.htm}} (reprinted by Yale University Press, 1970, {{ISBN|978-0-300-01372-6}}; 2nd ed. Basil Blackwell, 1991, {{ISBN|978-1-55786-108-5}})</ref>

Markowitz won the [[Nobel Memorial Prize in Economic Sciences]] in 1990 while a professor of finance at [[Baruch College]] of the [[City University of New York]].  In the preceding year, he received the John von Neumann Theory Prize from the [[Operations Research Society of America]] (now [[Institute for Operations Research and the Management Sciences]], [[INFORMS]]) for his contributions in the theory of three fields: portfolio theory; sparse matrix methods; and simulation language programming ([[SIMSCRIPT]]). Sparse matrix methods are now widely used to solve very large systems of simultaneous equations whose coefficients are mostly zero. SIMSCRIPT has been widely used to program computer simulations of manufacturing, transportation, and computer systems as well as war games. SIMSCRIPT (I) included the [[Buddy memory allocation]] method, which was also developed by Markowitz.
He was elected to the 2002 class of [[Fellow]]s of the [[Institute for Operations Research and the Management Sciences]].<ref>{{citation|url=https://www.informs.org/Recognizing-Excellence/Fellows/Fellows-Alphabetical-List|title=Fellows: Alphabetical List|publisher=[[Institute for Operations Research and the Management Sciences]]|access-date=October 9, 2019|archive-url=https://web.archive.org/web/20190510220119/https://www.informs.org/Recognizing-Excellence/Fellows/Fellows-Alphabetical-List|archive-date=May 10, 2019|url-status=dead}}</ref>

===CACI===
The company that would become [[CACI International]] was founded by Herb Karr and Harry Markowitz on July 17, 1962, as California Analysis Center, Inc.  They helped develop [[SIMSCRIPT]], the first simulation programming language, at RAND and after it was released to the public domain, CACI was founded to provide support and training for SIMSCRIPT.<ref name=PC1988>{{cite magazine  |magazine=PC Computing   |date=September 1988 |pages=150–157
|title=Market Value - PCs on Wall Street |author=William G. Shepherd Jr.}}</ref>

In 1968, Markowitz joined Arbitrage Management company founded by [[Michael Goodkin]]. Working with [[Paul Samuelson]] and [[Robert C. Merton|Robert Merton]] he created a hedge fund that represents one of the first known attempts at computerized arbitrage trading. He took over as chief executive in 1970. After a successful run as a private hedge fund, AMC was sold to Stuart & Co. in 1971. A year later, Markowitz left the company.<ref>Goodkin, Michael. ''The Wrong Answer Faster: The Inside Story of Making the Machine that Trades Trillions''. John Wiley & Sons, 2012</ref>

Years later, he was involved with CACI's [[SIMSCRIPT]] addition of [[Object-oriented]] features.<ref>{{cite book |author=Harry M. Markowitz |title=Selected Works |page=152  |date=2009
|publisher=World Scientific |url=https://books.google.com/books?isbn=981447021X  |isbn=978-9814470216
|quote=I told Ana Marjanski, who headed the SIMSCRIPT III project, that SIMSCRIPT already has entities, attributes plus sets. She explained that the clients want object ...}}</ref>

===Post-CACI===
Markowitz divided his time between teaching (he was an adjunct professor at the Rady School of Management at the University of California at San Diego, UCSD); video casting lectures; and consulting (out of his Harry Markowitz Company offices). He served on the advisory board of SkyView Investment Advisors, a traditional and alternative investment advisory firm.<ref>{{Cite web|date=2023-07-11 |title=Harry Markowitz: An Appreciation Part II |url=https://wilmott.com/harry-markowitz-an-appreciation-part-ii/ |access-date=2023-09-07 |language=en-GB}}</ref> Markowitz also served on the Investment Committee of LWI Financial Inc. ("[[Loring Ward]]"), a San Jose, California-based investment advisor; on the advisory panel of [[Robert D. Arnott]]'s [[Newport Beach, California]] based investment management firm, [[Research Affiliates]]; on the advisory board of Mark T. Hebner's Irvine, California and internet based wealth management and taxes firm, Index Fund Advisors; and as an advisor to the Investment Committee of [[1st Global]], a Dallas, Texas-based wealth management and investment advisory firm. Markowitz advised and served on the board of ProbabilityManagement.org, a 501(c)(3) non-profit that aims "to reshape the communication and calculation of uncertainty."<ref>{{Cite web | url=http://www.ProbabilityManagement.org | title=Probability Management}}</ref>

Markowitz was co-founder and Chief Architect of [[GuidedChoice]], a 401(k) managed accounts provider and investment advisor.<ref>GuidedChoice, [https://www.guidedchoice.com/video/dr-harry-markowitz-father-of-modern-portfolio-theory/ "Harry Markowitz's Modern Portfolio Theory: The Efficient Frontier"]</ref> Markowitz's more recent work included designing the backbone software analytics for the GuidedChoice investment solution and heading the GuidedChoice Investment Committee. He was actively involved in designing the next step in the retirement process: assisting retirees with wealth distribution through GuidedSpending.

Markowitz died on June 22, 2023, at the age of 95. He died in a hospital in [[San Diego, California]] due to complications from pneumonia and sepsis.<ref>{{Cite news|url=https://www.nytimes.com/2023/06/25/obituaries/harry-m-markowitz-dead.html|title=Harry Markowitz, Nobel-Winning Pioneer of Modern Portfolio Theory, Dies at 95|first=Robert D. Hershey|last=Jr|work=The New York Times |date=June 25, 2023|via=NYTimes.com}}</ref>