-
作者：Cetorelli, Nicola; Goldberg, Linda S.
作者单位：Federal Reserve System - USA; Federal Reserve Bank - New York
摘要：Globalization of banking raises questions about banks liquidity management, their response to liquidity shocks, and the potential for international shock propagation. We conjecture that global banks manage liquidity on a global scale, actively using cross-border internal funding in response to local shocks. Having global operations insulates banks from changes in monetary policy, while banks without global operations are more affected by monetary policy than previously found. We provide direct...
-
作者：Garleanu, Nicolae; Panageas, Stavros; Yu, Jianfeng
作者单位：University of California System; University of California Berkeley; University of Chicago; University of Minnesota System; University of Minnesota Twin Cities
摘要：We study the asset-pricing implications of technological growth in a model with small, disembodied productivity shocks and large, infrequent technological innovations, which are embodied into new capital vintages. The technological-adoption process leads to endogenous cycles in output and asset valuations. This process can help explain stylized asset-valuation patterns around major technological innovations. More importantly, it can help provide a unified, investment-based theory for numerous ...
-
作者：Edmans, Alex; Goldstein, Itay; Jiang, Wei
作者单位：University of Pennsylvania; National Bureau of Economic Research; Columbia University
摘要：Using mutual fund redemptions as an instrument for price changes, we identify a strong effect of market prices on takeover activity (the trigger effect). An interquartile decrease in valuation leads to a seven percentage point increase in acquisition likelihood, relative to a 6% unconditional takeover probability. Instrumentation addresses the fact that prices are endogenous and increase in anticipation of a takeover (the anticipation effect). Our results overturn prior literature that finds a...
-
作者：Favara, Giovanni; Schroth, Enrique; Valta, Philip
作者单位：International Monetary Fund; University of Amsterdam; Hautes Etudes Commerciales (HEC) Paris
摘要：We show that the prospect of a debt renegotiation favorable to shareholders reduces the firms equity risk. Equity beta and return volatility are lower in countries where the bankruptcy code favors debt renegotiations and for firms with more shareholder bargaining power relative to debt holders. These relations weaken as the countrys insolvency procedure favors liquidations over renegotiations. In the limit, when debt contracts cannot be renegotiated, equity risk is independent of shareholders ...
-
作者：Houston, Joel F.; Lin, Chen; Ma, Yue
作者单位：State University System of Florida; University of Florida; Chinese University of Hong Kong; Lingnan University
摘要：We study whether cross-country differences in regulations have affected international bank flows. We find strong evidence that banks have transferred funds to markets with fewer regulations. This form of regulatory arbitrage suggests there may be a destructive race to the bottom in global regulations, which restricts domestic regulators ability to limit bank risk-taking. However, we also find that the links between regulation differences and bank flows are significantly stronger if the recipie...
-
作者：Lambrecht, Bart M.; Myers, Stewart C.
作者单位：Lancaster University; Massachusetts Institute of Technology (MIT)
摘要：We develop a dynamic agency model in which payout, investment, and financing decisions are made by managers who attempt to maximize the rents they take from the firm, subject to a capital market constraint. Managers smooth payout to smooth their flow of rents. Total payout (dividends plus net repurchases) follows Lintners (1956) target adjustment model. Payout smooths out transitory shocks to current income and adjusts gradually to changes in permanent income. Smoothing is accomplished by borr...
-
作者：Edmans, Alex; Gabaix, Xavier; Sadzik, Tomasz; Sannikov, Yuliy
作者单位：University of Pennsylvania; New York University; Princeton University; National Bureau of Economic Research
摘要：We study optimal compensation in a dynamic framework where the CEO consumes in multiple periods, can undo the contract by privately saving, and can temporarily inflate earnings. We obtain a simple closed-form contract that yields clear predictions for how the level and performance sensitivity of pay vary over time and across firms. The contract can be implemented by escrowing the CEOs pay into a Dynamic Incentive Account that comprises cash and the firms equity. The account features state-depe...
-
作者：Bartram, Soehnke M.; Brown, Gregory; Stulz, Rene M.
作者单位：University of Warwick; University of North Carolina; University of North Carolina Chapel Hill; National Bureau of Economic Research; University System of Ohio; Ohio State University; University System of Ohio; Ohio State University
摘要：U.S. stocks are more volatile than stocks of similar foreign firms. A firm's stock return volatility can be higher for reasons that contribute positively (good volatility) or negatively (bad volatility) to shareholder wealth and economic growth. We find that the volatility of U.S. firms is higher mostly because of good volatility. Specifically, stock volatility is higher in the United States because it increases with investor protection, stock market development, new patents, and firm-level in...
-
作者：Morellec, Erwan; Nikolov, Boris; Schuerhoff, Norman
作者单位：Swiss Finance Institute (SFI); Swiss Federal Institutes of Technology Domain; Ecole Polytechnique Federale de Lausanne; University of Rochester; Swiss Finance Institute (SFI); University of Lausanne
摘要：We develop a dynamic tradeoff model to examine the importance of managershareholder conflicts in capital structure choice. In the model, firms face taxation, refinancing costs, and liquidation costs. Managers own a fraction of the firms equity, capture part of the free cash flow to equity as private benefits, and have control over financing decisions. Using data on leverage choices and the models predictions for different statistical moments of leverage, we find that agency costs of 1.5% of eq...
-
作者：Griffin, John M.; Harris, Jeffrey H.; Shu, Tao; Topaloglu, Selim
作者单位：University of Texas System; University of Texas Austin; University of Delaware; University System of Georgia; University of Georgia; Queens University - Canada
摘要：From 1997 to March 2000, as technology stocks rose more than five-fold, institutions bought more new technology supply than individuals. Among institutions, hedge funds were the most aggressive investors, but independent investment advisors and mutual funds (net of flows) actively invested the most capital in the technology sector. The technology stock reversal in March 2000 was accompanied by a broad sell-off from institutional investors but accelerated buying by individuals, particularly dis...
