Financial Economist & Researcher

Mauro.

Investment Strategy, Mathematical Finance & Macroeconomic Theory

I work at the intersection of general equilibrium asset pricing, fiscal-monetary theory, and applied investment research. My work spans inflation dynamics and price level determination, optimal IPO timing, liability-driven investing for central banks and individuals, and quantitative tools that bring rigorous economic models into practice.

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About me

I am a financial economist working at the intersection of general equilibrium theory, macroeconomic policy, and applied investment research. My research addresses foundational questions in asset pricing and monetary economics — including how markets endogenously complete through IPO activity, and how the price level is determined as a market-clearing condition between fiscal obligations and aggregate consumption claims.

On the institutional side, I have worked on strategic asset allocation and ALM frameworks for central bank reserves, applying risk factor decomposition and dynamic portfolio insurance to real-world constraints. On the applied side, I build quantitative tools for portfolio optimization, asset allocation, and personal financial planning.

I believe the best financial research is not only mathematically honest but genuinely useful — ideas that can be translated into better policy, better portfolios, or clearer thinking about risk, value, and monetary stability.

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Research & Papers

2025
Under Review
The Price Level in a General Equilibrium Valuation Framework
Mauro Villalón
Proposes a valuation framework that endogenizes the price level as the market-clearing variable between the settlement base and claims on aggregate consumption. Using a continuous-time setting, the paper characterizes the joint dynamics of inflation, output, and fiscal risk — formally distinguishing expected inflation (anchored by the nominal rate) from unexpected inflation arising from real, valuation, and fiscal shocks. A structural fiscal monetization capacity integrates Ricardian and Non-Ricardian regimes, delivering closed-form solutions for asset prices and inflation volatility. As an application, the framework differentiates the transmission of balance sheet operations: zero-net-supply operations are monetarily neutral, whereas valuation shocks — such as pension fund liquidations — may generate inflationary adjustments by steepening the economy's stochastic discount factor.
View on SSRN →
2024
Working Paper
Endogenous Market Completion and Optimal IPO Timing in General Equilibrium
with J. Casassus & D. Villalón
Develops a general equilibrium model in which firms choose optimally when to go public, endogenously completing financial markets. The model links IPO timing to aggregate risk, market incompleteness, and investor welfare, generating novel predictions about listing cycles and the cost of capital.
Draft available on request →
2017
Working Paper
Asset Liability Management Investment Strategy for International Reserves: A Risk Factors and Contingent Capital Preservation Approach
with N. Goldberger — Central Bank of Chile
Proposes a methodology for optimal asset allocation of the international reserves of the Central Bank of Chile. The approach optimizes exposures at the level of global systematic risk factors — reducing dimensionality and improving economic interpretability — and introduces a structural rebalancing rule that replicates a protective put option, ensuring contingent capital preservation and liquidity for the reserves portfolio.
Draft available on request →
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Projects & Tools

Personal Finance · ALM
Personal ALM Application
An asset-liability management tool for individuals. Models future income streams, liabilities, and savings targets under stochastic market conditions — bringing institutional-grade ALM thinking to personal financial planning.
Quantitative Modeling Stochastic Simulation Interactive UI
Portfolio Theory · Quant
Asset Allocation Models
A suite of quantitative models for strategic and tactical asset allocation. Covers mean-variance optimization, factor models, and regime-aware rebalancing strategies grounded in equilibrium theory.
Mean-Variance Factor Models Regime Detection
Research Tools · Computation
Welfare & Equilibrium Analysis Scripts
Numerical solvers and simulation scripts supporting general equilibrium research. Handles welfare analysis, market completion diagnostics, and comparative statics for asset pricing models.
Numerical Methods Equilibrium Solving Python / MATLAB
Coming Soon
More tools in development
Additional quantitative tools and research artifacts will be published here as they mature. Ideas at the intersection of mathematical finance and practical investment management.
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Writing & Notes

Occasional writing on financial economics, quantitative methods, and ideas worth thinking through carefully.

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Get in touch

I'm open to conversations about research collaboration, quantitative finance, investment strategy, and applied projects. The best way to reach me is by email.

Email [email protected]
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SSRN ssrn.com/author/yourprofile