QIC's Matthew Peter looks to economic models in an unpredictable world
Strong intuition is hugely important in the financial industry. But in a world of increasing unpredictability, modelling might just have an edge.
To be a great forecaster and thinker requires a blend of analytical and intuitive thinking.
This is one of the insights gleaned from a discussion with Matthew Peter, chief economist of Queensland Investment Corporation (one of the nation’s biggest institutional fund managers), in an interview about his career. Peter is Brisbane-based and holds a PhD from Monash University.
“What I've found is that as you pull that time horizon of decision making closer and closer to the instantaneous, intuition is important,” he says. This matters for quick market movements. But in the longer-term, modelling is much more beneficial."
Today, he says he has a good balance between intuition and analysis. But he readily admits that on a spectrum from “intuitive” at zero to “analytical” at 10 he’d have been 9.99 when he first entered the finance industry.
