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作者：Hauser, S; Lauterbach, B
作者单位：Bar Ilan University; Ben-Gurion University of the Negev; Rutgers University System; Rutgers University New Brunswick
摘要：We study 84 dual-class. stock unifications, where superior vote shareholders gave up their superior voting status (all firm stocks became one share one vote) and received (in most cases) compensation in the form of additional shares. Unifications are essentially intrafirm transactions of voting rights, and afford observation of the intrafirm-assessed price of vote. The price of vote in unifications (1) increases with the percentage vote lost by the majority shareholders, (2) is higher in famil...
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作者：Mendelson, H; Tunca, TI
作者单位：Stanford University
摘要：We study endogenous liquidity trading in a market with long-lived asymmetric information. We distinguish between public information, tractable information that can be acquired, and intractable information that cannot be acquired. Besides information asymmetry and noise, the adverse-selection spread depends on the diffusion of intractable information and on the interest rate. With endogenous liquidity trading, efficiency is lower than that implied by noise-trading models. Liquidity traders bene...
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作者：Berkovitch, E; Israel, R
作者单位：Reichman University
摘要：This article presents a theory of capital allocation that shows how the use of net present value (NPV) as an investment criterion leads to inefficient capital budgeting outcomes and how this criterion may be dominated by other capital budgeting criteria, like the internal rate of return and the profitability index. The essence of our theory is rooted in the mainstream paradigm of corporate finance: while firms use NPV to measure the addition to firm value from prospective projects, classical i...
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作者：Berk, JB; Green, RC; Naik, V
作者单位：University of California System; University of California Berkeley; National Bureau of Economic Research; Carnegie Mellon University
摘要：A dynamic model of a multistage investment project that captures many features of research and development (R&D) ventures and start-up companies is developed. An important feature these problems share is that firms learn about the potential profitability of the project throughout its life, but that technical uncertainty about the R&D effort is only resolved through additional investment. Consequently the risks associated with the ultimate cash flows have a systematic component even while the p...
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作者：Purnanandam, AK; Swaminathan, B
作者单位：Cornell University
摘要：While IPOs have been underpriced by more than 10% during the past two decades, we find that in a sample of more than 2,000 IPOs from 1980 to 1997, the median IPO was significantly overvalued at the offer price relative to valuations based on industry peer price multiples. This overvaluation ranges from 14% to 50% depending on the peer matching criteria. Cross-sectional regressions show that overvalued IPOs provide high first-day returns, but low long-run risk-adjusted returns. These overvalued...
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作者：Goel, AM; Nanda, V; Narayanan, MP
作者单位：University of Michigan System; University of Michigan; New York University
摘要：We investigate resource allocation decisions in conglomerates when managers are motivated by career concerns. When divisional cash flows are differentially informative about managerial ability, we show that it is in the managers' interest to over-allocate unobservable intangible resources to the more informative divisions. Anticipating this bias, it is optimal for the firm's owners to also over-allocate observable capital to the more informative divisions. The model provides rationale for corp...
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作者：Cook, DO; Krigman, L; Leach, JC
作者单位：Babson College; University of Mississippi; University of Colorado System; University of Colorado Boulder
摘要：Little is known about the timing and execution of open market repurchases. U.S. firms are under no obligation to disclose when they are trading, and generally report only quarterly changes in shares outstanding. We use 64 firms' supplementally disclosed repurchase trading data to provide the first examination of repurchase timing and execution. Across the days reported in our sample, firms adopted a variety of execution styles ranging from immediate intense repurchasing to delayed and smoothed...
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作者：Bange, MM; Mazzeo, MA
作者单位：Michigan State University; Michigan State University's Broad College of Business; University of Southern California
摘要：We show that bidding firms consider target board characteristics when deciding takeover offer types and initial offer premiums. We study a sample of 436 proposed negotiated mergers and bypass offers. Firms with individuals holding the titles of both chief executive officer (CEO) and board chair are more likely to receive bypass offers. These offers are more likely to be successful and generate higher target shareholder gains over the takeover offer period. When the target's board is independen...
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作者：Agarwal, V; Naik, NY
作者单位：University System of Georgia; Georgia State University
摘要：This article characterizes the systematic risk exposures of hedge funds using buy-and-hold and option-based strategies. Our results show that a large number of equity-oriented hedge fund strategies exhibit payoffs resembling a short position in a put option on the market index and therefore bear significant left-tail risk, risk that is ignored by the commonly used mean-variance framework. Using a mean-conditional value-at-risk framework, we demonstrate the extent to which the mean-variance fra...
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作者：Kutsuna, K; Smith, R
作者单位：Kobe Gakuin University
摘要：We examine Japan's 1997 introduction of book building as an alternative to a previously required hybrid auction method. Despite higher cost for some issuers, all issuers in Japan now select book building. Book building enables more accurate valuation of firms, but gains from accurate valuation are partly redistributive. Thus book building can drive auction-method offerings from the market even if it yields no aggregate benefit. Compared to the auction regime, book building reduces issue costs ...
