Is There Investment Value in the Soft-Dollar Arrangement? Evidence from Mutual Funds*

• 成果类型: Article
• 署名作者: Gokkaya, Sinan; Liu, Xi; Pool, Veronika Krepely; Xie, Fei; Zhang, Jinfan
• 署名单位: University System of Ohio; Ohio University; University System of Ohio; Miami University; Vanderbilt University; University of Delaware; European Corporate Governance Institute; The Chinese University of Hong Kong, Shenzhen
• 刊物名称: REVIEW OF FINANCIAL STUDIES
• ISSN/ISSBN: 0893-9454
• DOI: 10.1093/rfs/hhad010
• 发表日期: 2023
• 页码: 3122
• 关键词: SELL-SIDE ANALYSTS; career concerns; INFORMATION; performance; TRADE; liquidity; forecasts; MARKET; stocks; RISK

摘要

Combining novel data on analyst employment history and mutual fund commission payments, we show that client funds generate higher returns on stocks for which they have access to research by industry expert analysts. The outperformance is greater when funds are more important clients and cannot be attributed to tipping. Client funds place modestly higher weights on stocks covered by industry expert analysts and allocate more commissions to brokers providing such coverage. For identification, we exploit exogenous analyst coverage disruptions. Our findings contribute to the debate on whether mutual funds obtain any investment value from access to analysts through the soft-dollar arrangement.