-
作者：Berger, Dave; Pukthuanthong, Kuntara; Yang, J. Jimmy
作者单位：Oregon State University; California State University System; San Diego State University
摘要：We provide an analysis of frontier market equities with respect to world market integration and diversification. Principal component results reveal that frontier markets exhibit low levels of integration. In contrast with developed and emerging markets, frontier markets offer no indication of increasing integration through time. Furthermore, individual frontier market countries do not exhibit consistent rates of changing integration. Structural break tests identify breakpoints in integration, ...
-
作者：Massoud, Nadia; Nandy, Debarshi; Saunders, Anthony; Song, Keke
作者单位：York University - Canada; New York University; Dalhousie University
摘要：This paper investigates an important contemporary issue relating to the involvement of hedge funds in the syndicated loan market. In particular, we investigate the potential conflicts of interest that arise when hedge funds make syndicated loans and take short positions in the equity of borrowing firms. We find evidence consistent with the short-selling of the equity of the hedge fund borrowers prior to public announcements of both loan originations and loan amendments. We also find that hedge...
-
作者：Liu, Xiaoding; Ritter, Jay R.
作者单位：State University System of Florida; University of Florida
摘要：We develop a theory of initial public offering (IPO) underpricing based on differentiated underwriting services and localized competition. Even though a large number of investment banks compete for IPOs, if issuers care about non-price dimensions of underwriting, then the industry structure is best characterized as a series of local oligopolies. We test our model implications on all-star analyst coverage, industry expertise, and other non-price dimensions. Furthermore, we posit that venture ca...
-
作者：Li, Feng; Srinivasan, Suraj
作者单位：University of Michigan System; University of Michigan; Harvard University
摘要：We examine chief executive officer (CEO) compensation, CEO retention policies, and mergers and acquisition (M&A) decisions in firms in which founders serve as a director with a nonfounder CEO (founder-director firms). We find that founder-director firms offer a different mix of incentives to their CEOs than other firms. Pay-for-performance sensitivity for nonfounder CEOs in founder-director firms is higher and the level of pay is lower than that of other CEOs. CEO turnover sensitivity to firm ...
-
作者：Morck, Randall; Yavuz, M. Deniz; Yeung, Bernard
作者单位：Purdue University System; Purdue University; University of Alberta; National University of Singapore; Washington University (WUSTL); Arizona State University; Arizona State University-Tempe
摘要：We observe less efficient capital allocation in countries whose banking systems are more thoroughly controlled by tycoons or families. The magnitude of this effect is similar to that of state control over banking. Unlike state control, tycoon or family control also correlates with slower economic and productivity growth, greater financial instability, and worse income inequality. These findings are consistent with theories that elite-capture of a country's financial system can embed crony capi...
-
作者：de Jong, Abe; Dutordoir, Marie; Verwijmeren, Patrick
作者单位：Erasmus University Rotterdam; Erasmus University Rotterdam - Excl Erasmus MC; University of Groningen; University of Manchester; University of Melbourne
摘要：Over recent years, a substantial fraction of US convertible bond issues have been combined with a stock repurchase. This paper explores the motivations for these combined transactions. We argue that convertible debt issuers repurchase their stock to facilitate arbitrage-related short selling. In line with this prediction, we show that convertibles combined with a stock repurchase are associated with lower offering discounts, lower stock price pressure, higher expected hedging demand, and lower...
-
作者：Lustig, Hanno; Syverson, Chad; Van Nieuwerburgh, Stijn
作者单位：University of California System; University of California Los Angeles; University of Chicago; New York University
摘要：Three of the most fundamental changes in US corporations since the early 1970s have been (1) the increased importance of organizational capital in production, (2) the increase in managerial income inequality and pay-performance sensitivity, and (3) the secular decrease in labor market reallocation. Our paper develops a simple explanation for these changes: a shift in the composition of productivity growth away from vintage-specific to general growth. This shift has stimulated the accumulation ...
-
作者：Ibragimov, Rustam; Jaffee, Dwight; Walden, Johan
作者单位：University of California System; University of California Berkeley; Harvard University
摘要：The recent financial crisis has revealed significant externalities and systemic risks that arise from the interconnectedness of financial intermediaries' risk portfolios. We develop a model in which the negative externality arises because intermediaries' actions to diversify that are optimal for individual intermediaries may prove to be suboptimal for society. We show that the externality depends critically on the distributional properties of the risks. The optimal social outcome involves less...
-
作者：Almeida, Heitor; Campello, Murillo; Hackbarth, Dirk
作者单位：University of Illinois System; University of Illinois Urbana-Champaign; National Bureau of Economic Research; Cornell University
摘要：We study the interplay between corporate liquidity and asset reallocation. Our model shows that financially distressed firms are acquired by liquid firms in their industries even in the absence of operational synergies. We call these transactions liquidity mergers, since their purpose is to reallocate liquidity to firms that are otherwise inefficiently terminated. We show that liquidity mergers are more likely to occur when industry-level asset-specificity is high and firm-level asset-specific...
-
作者：Tian, Xuan
作者单位：Indiana University System; IU Kelley School of Business; Indiana University Bloomington
摘要：This paper examines the causes and consequences of venture capital (VC) stage financing. Using information about the physical location of an entrepreneurial firm and the geographic distance between the VC investor and the firm, I show that VC investors located farther away from an entrepreneurial firm tend to finance the firm using a larger number of financing rounds, shorter durations between successive rounds, and investing a smaller amount in each round. However, VC investors' propensity to...
