Distinguished Professor of Finance, MIT Sloan School & Nobel Laureate — Economics 1997
Merton, along with collaborator Myron Scholes, was awarded the Nobel Memorial Prize in Economic Sciences in 1997 for the development of a new method to determine the value of derivatives. In collaboration with the late Fischer Black, Merton and Scholes developed a pioneering formula—the Black-Scholes-Merton options pricing model—for the valuation of stock options.
Retirement Security Bond (RSB) Work
An RSB is a single, liquid, low-cost, full faith and credit government-issued bond that mimics the accumulation and payout patterns of a deferred annuity or pension with inflation and standard of living adjustments, making it suitable for even the most financially unsophisticated individual to save for retirement. The Brazilian government, was the first to adopt this concept in 2023 with its RENDA+ bond.
