World Class Research Environments

The CBS World Class Research Environments (WCRE) initiative is an important strategic initiative. The strategic initiative will help convert the CBS strategy into a series of specific and practical projects. It links closely to the CBS strategic identity and direction and represents an opportunity for CBS to build on existing strengths. The WCRE should contribute to the strategic development of CBS but also represent an activity which is relevant and significant in itself.


Making the best better
The World‐Class Research Environments (WCRE) Initiative, which started in 2008, is a CBS way of fostering research environments of excellence in defined fields which in turn will add to the overall reputation of CBS. The 2 current WCREs are supported with a total of DKK 5 Mio each over the 5 year period (2014-2019). The purpose of the WCRE initiative is to make the best better and to create role models for research groups of high international standing. General goals for a WCRE are to produce top‐level academic publications, to host world‐class conferences and workshops, to attract external research funding and talent, including admission of high‐level PhD students.

The 2 WCREs are:

Governing Responsible Business (GRB)
Governing Responsible Business (GRB) acts as an umbrella for a group of internationally recognised scholars working at the intersection of (global) governance and responsible business practices. GRB scholars conduct impactful and widely recognised research on questions such as: What governance arrangements can help to address problems such as human rights violations or corruption? What is the relationship between communication and governance in the context of responsible business? What is the responsibility of private actors whenever governments are unwilling or unable to provide basic public goods? GRB is a timely, important, and ambitious research community looking at the changing role of business in global society.

Find more information about Governing Responsbile Business (GRB)

Center for Financial Frictions (FRIC)
The current financial crisis has forcefully demonstrated that market frictions play an essential role in the emergence of financial crises. In the aftermath of the crisis, financial economics and the financial industry are at a crossroad: Academics are struggling to redefine the theory of finance and practitioners and regulators rethink how to structure the industry. Denmark has a unique opportunity to be at the forefront of this new path. This is because several core members are among the world’s leading experts in credit risk, liquidity risk, and herding, and they were among the relatively few focusing on these issues even before the crisis. These areas are now exploding in importance. Denmark, via FRIC, therefore has the opportunity to have a research center that serves as a hub for the academic discussion of financial risk and regulation with a global reach and connections to all the top academics, practitioners, and regulators.

FRIC’s key scientific objective is to contribute to the next generation of asset pricing models which incorporate deviations from neoclassical assumptions of frictionless markets. The center will focus on many different aspects of frictions, including how illiquidity, haircuts and collateral affect asset prices and derivatives pricing, how frictions arise because of asymmetric information, and the potential role of expert analysts, fund managers, and traders in contributing to herding and bubbles in financial markets. Ultimately, the ambition is to impact the way we regulate and design markets, the incentive structures and to improve our understanding and detection of systemic risk thus helping diminish the impact of the next financial crisis.

Contact: Center Director David Lando, Department of Finance

The page was last edited by: Dean's Office, Research // 05/31/2018