The impact of specialist firm acquisitions on market quality

• 成果类型: Article
• 署名作者: Hatch, BC; Johnson, SA
• 署名单位: Louisiana State University System; Louisiana State University; University System of Ohio; University of Cincinnati
• 刊物名称: JOURNAL OF FINANCIAL ECONOMICS
• ISSN/ISSBN: 0304-405X
• DOI: 10.1016/S0304-405X(02)00153-8
• 发表日期: 2002
• 页码: 139-167
• 关键词: specialists; mergers; acquisitions; market quality; trading costs

摘要

Acquisitions among New York Stock Exchange specialist firms can increase specialist firm size, capitalization, and market concentration, and thereby affect the market quality of the stocks they trade. We find that while traded stocks show significant improvement in several market quality measures following acquisitions, similar changes are evident in matched control stocks not involved in acquisitions. We conclude that specialist firm acquisitions either do not improve market quality, or improve market quality, but competitive and other pressures (resulting partly from the acquisitions themselves) force improvements in market quality for control stocks also. Either interpretation implies that specialist acquisitions have not had deleterious effects on market quality. (C) 2002 Elsevier Science B.V. All rights reserved.