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作者：Fich, Eliezer M.; Starks, Laura T.; Yore, Adam S.
作者单位：Drexel University; University of Texas System; University of Texas Austin; Northern Illinois University
摘要：Using transactions generally overlooked in the compensation literature joint ventures, strategic alliances, seasoned equity offerings (SEOs), and spin-offs we find that, beyond compensation for increases in firm size or complexity, chief executive officers (CEOs) are rewarded for their deal-making activities. Boards pay CEOs for the core motivation of the deal, as well as for deal volume. We find that compensating for volume instead of core value creation occurs under weak board monitoring and...
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作者：Jurek, Jakub W.
作者单位：Princeton University
摘要：Currency carry trades exploiting violations of uncovered interest rate parity in G10 currencies deliver significant excess returns with annualized Sharpe ratios equal to or greater than those of equity market factors (1990-2012). Using data on out-of-the-money foreign exchange options, I compute returns to crash-hedged portfolios and demonstrate that the high returns to carry trades are not due to peso problems. A comparison of the returns to hedged and unhedged trades indicates crash risk pre...
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作者：Bonaparte, Yosef; Korniotis, George M.; Kumar, Alok
作者单位：University of Colorado System; University of Colorado Denver; University of Miami
摘要：We examine whether the decision to participate in the stock market and other related portfolio decisions are influenced by income hedging motives. Economic theory predicts that the market participation propensity should increase as the correlation between income growth and stock market returns decreases. Surprisingly, empirical studies find limited support for the income hedging motive. Using a rich, unique Dutch data set and the National Longitudinal Survey of the Youth (NLSY) from the United...
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作者：Baldenius, Tim; Melumad, Nahum; Meng, Xiaojing
作者单位：Columbia University
摘要：We study the optimal composition of corporate boards. Directors can be either monitoring or advisory types. Monitoring constrains the empire-building tendency of chief executive officers (CEOs). If shareholders control the board nomination process, a non-monotonic relation ensues between agency problems and board composition. To preempt CEO entrenchment, shareholders may assemble an adviser-heavy board. If a powerful CEO influences the nomination process, this may result in a more monitor-heav...
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作者：Loon, Yee Cheng; Zhong, Zhaodong Ken
作者单位：State University of New York (SUNY) System; Binghamton University, SUNY; Rutgers University System; Rutgers University New Brunswick
摘要：This paper examines the impact of central clearing on the credit default swap (CDS) market using a sample of voluntarily cleared single-name contracts. Consistent with central clearing reducing counterparty risk, CDS spreads increase around the commencement of central clearing and are lower than settlement spreads published by the central clearinghouse. Furthermore, the relation between CDS spreads and dealer credit risk weakens after central clearing begins, suggesting a lowering of systemic ...
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作者：Masulis, Ronald W.; Mobbs, Shawn
作者单位：University of New South Wales Sydney; University of Alabama System; University of Alabama Tuscaloosa
摘要：We study reputation incentives in the director labor market and find that directors with multiple directorships distribute their effort unequally based on the directorship's relative prestige. When directors experience an exogenous increase in a directorship's relative ranking, their board attendance rate increases and subsequent firm performance improves. Also, directors are less willing to relinquish their relatively more prestigious directorships, even when firm performance declines. Finall...
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作者：Deng, Xin; Kang, Jun-koo; Low, Buen Sin
作者单位：Shanghai University of Finance & Economics; Nanyang Technological University
摘要：Using a large sample of mergers in the US, we examine whether corporate social responsibility (CSR) creates value for acquiring firms' shareholders. We find that compared with low CSR acquirers, high CSR acquirers realize higher merger announcement returns, higher announcement returns on the value-weighted portfolio of the acquirer and the target, and larger increases in post-merger long-term operating performance. They also realize positive long-term stock returns, suggesting that the market ...
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作者：Edelman, Daniel; Fung, William; Hsieh, David A.
作者单位：University of London; London Business School; Duke University
摘要：This paper investigates mega hedge fund management companies that collectively manage over 50% of the industry's assets, incorporating previously unavailable data from those that do not report to commercial databases. We find similarities among mega firms that report performance to commercial databases compared with those that do not. We show that the largest divergences between the performance of reporting and nonreporting mega firms can be traced to differential exposure to credit markets. T...
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作者：Goldstein, Itay; Ozdenoren, Emre; Yuan, Kathy
作者单位：University of Pennsylvania; University of London; London Business School; University of London; London School Economics & Political Science
摘要：We study a model in which a capital provider learns from the price of a firm's security in deciding how much capital to provide for new investment. This feedback effect from the financial market to the investment decision gives rise to trading frenzies, in which speculators all wish to trade like others, generating large pressure on prices. Coordination among speculators is sometimes desirable for price informativeness and investment efficiency, but speculators' incentives push in the opposite...
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作者：Novy-Marx, Robert
作者单位：University of Rochester
摘要：Profitability, measured by gross profits-to-assets, has roughly the same power as book-to-market predicting the cross section of average returns. Profitable firms generate significantly higher returns than unprofitable firms, despite having significantly higher valuation ratios. Controlling for profitability also dramatically increases the performance of value strategies, especially among the largest, most liquid stocks. These results are difficult to reconcile with popular explanations of the...
