ABSTRACT
This chapter profiles Professor Charles Lee, who teaches accounting at the Stanford Graduate School of Business. An interview with Professor Lee reveals his teaching strategies, such as sharing his learning philosophy with students and using a learning contract. His advice to new faculty members is based on three elements derived from Aristotle: logos, pathos, and ethos. This chapter also describes Professor Lee’s award-winning course, “Alphanomics: Active Investing in Equity Markets.” The course, based on the investment philosophy that the conventional wisdom that the stock market is efficient is incorrect, is designed to develop the students’ ability to use quantitative stock screens to identify attractive investment opportunities and manage a stock portfolio. Using a flipped classroom set-up, Professor Lee teaches students how to use risk analysis and an information ratio, and how to understand the differences between the alpha approach and the beta approach used by institutional investors. He also describes a student-run hedge fund that he developed. His work beyond the classroom includes a leadership role in the Veritas Forum, which is designed to help students address the most difficult questions in life, such as those relating to justice, morality, and faith.
