People

Mac McQuown

Mac McQuown

Formal First Name
John (Mac)

Mac McQuown is a well-known environmentalist, amateur astronomer, and producer of wine who has been involved with many entrepreneurial endeavors throughout his long career. He has started over a dozen companies in the financial services, technology, and fine wine sectors. He has also worked with multinational financial institutions in the development and implementation of investment strategies in global markets. Today, McQuown continues to be a leader in the finance world and is regarded as one of the most successful men of Wall Street.

Professional Experience


Academic History

CURRENT APPOINTMENTS

  • Co-Founder and Director of Dimensional Fund Advisors
  • Co-Founder and Director of Diversified Credit Investments
  • Co-Founder and Director Visa Advisors
  • Co-Founder of Stone Edge Farm Estate Vineyards and Winery


PRO BONO

  • Advisory Council, Scripps Institution of Oceanography at UCSD
  • Advisory Council at University of Chicago Booth School of Business
  • TRAC II Affiliate at Esalen Institute


FINANCIAL CAREER

  • McQuown entered Wall Street in 1961 when he worked for Smith Barney & Co.
  • In 1964, he was recruited by Wells Fargo Bank in San Francisco to serve as the director of the company’s internal think tank.
  • In the following decade, he worked with colleagues to pioneer the use of data to analyze the stock market and create the first equity index funds.
  • In 1974, he left Wells Fargo and started consulting for numerous global corporations. He then founded and built several companies in the finance and banking industry. 
  • In 1981, he co-founded and became director of Dimensional Fund Advisors and created second-generation equity funds.
  • In 1989, he co-founded and served as chairman of KMV, which provided corporate credit analytics to global financial companies before being sold to Moody’s in 2002.
  • In 2004, he launched Diversified Credit Investments, an investment firm based in San Francisco, California.


ENVIRONMENTALISM

  • McQuown is a dedicated environmentalist with a desire to combat climate change.
  • He is a firm believer in action by individuals to harness renewable energy resources and protect the environment, a philosophy that he follows in his own innovative actions.
  • He began collecting wine in 1965 and now owns and oversees Stone Edge Vineyard and Stone Edge Farm Winery in Sonoma, California. He is leading his farm toward energy self-sufficiency. 


CAREER HIGHLIGHTS

  • McQuown worked with David G. Booth to develop the first institutional index funds at Wells Fargo in the early 1970s.
  • He was the first chairman of the Wells Fargo Investment Advisors (now Barclays Global Investors).
  • At Dimensional Fund Advisors, he created second-generation passively-managed equity funds, including the first small-cap and value equity investment strategies via registered mutual funds
  • At Diversified Credit Investments, he serves as the investment manager of “super-diversified high Sharpe ratio” portfolios of corporate credit risk for major financial institutions around the globe, utilizing analytics evolved from options pricing and modern portfolio theories.
  • At Visa Advisors, he devised a new form of corporate bond that incorporates the right (but not the obligation) of any investor in the bond to “exchange” the bond for a default-free bond of the same issuer and maturity when combined with a centrally-cleared Credit Default Swap, with markets made in the exchanged bond as well.
  • At Charles Schwab, in conjunction with Dimensional Fund Advisors, he created Schwab 1000 index and related index funds.
  • At Wells Fargo Bank, he had overall responsibility for creating the world’s first equity index funds.


AWARDS AND RECOGNITIONS

  • McQuown was honored with the 13th CME Group Melamed-Arditti Innovation Award for revolutionizing investment management by pioneering index funds in the 1970s. He received the Innovation Award along with John C. "Jack" Bogle, who founded Vanguard in 1975.


MEDIA
  • McQuown has appeared as a guest on Real Vision.