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作者：Izhakian, Yehuda; Yermack, David
作者单位：City University of New York (CUNY) System; Baruch College (CUNY); New York University; National Bureau of Economic Research
摘要：We investigate the importance of ambiguity, or Knightian uncertainty, in executives' stock option exercise decisions. We develop an empirical estimate of ambiguity and include it in regression models alongside the traditional measure of risk, equity volatility. We show that each variable has a significant effect on the timing of option exercises, with volatility causing executives to hold options longer to preserve option value, and ambiguity increasing the tendency for executives to exercise ...
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作者：Borochin, Paul; Yang, Jie
作者单位：University of Connecticut; Federal Reserve System - USA; Federal Reserve System Board of Governors
摘要：We find that ownership by different types of institutional investors has varying implications for future firm misvaluation and governance characteristics. Dedicated institutional investors decrease future firm misvaluation, in both direction and magnitude, relative to fundamentals. In contrast, transient institutional investors have the opposite effect. Using the U.S. Securities and Exchange Commission (SEC) Regulation FD as an exogenous shock to information dissemination, we find evidence con...
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作者：Barber, Brad M.; Yasuda, Ayako
作者单位：University of California System; University of California Davis
摘要：General partners (GPs) in private equity (PE) report the performance of an existing fund while raising capital for a follow-on fund. Interim performance has large effects on fundraising outcomes. The impact is greatest when backed by exits and for low reputation GPs. Faced with these incentives, GPs time their fundraising to coincide with periods of peak performance through two strategies: (1) exit and fundraise and (2) net asset value (NAV) management. Consistent with the former, performance ...
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作者：Acharya, Viral V.; Fleming, Michael J.; Hrung, Warren B.; Sarkar, Asani
作者单位：New York University; Centre for Economic Policy Research - UK; National Bureau of Economic Research; Federal Reserve System - USA; Federal Reserve Bank - New York
摘要：We examine the financial conditions of dealers that participated in two of the Federal Reserve's lender-of-last-resort (LOLR) facilities the Term Securities Lending Facility (TSLF) and the Primary Dealer Credit Facility (PDCF) that provided liquidity against a range of assets during 2008-2009. Dealers with lower equity returns and greater leverage prior to borrowing from the facilities were more likely to participate in the programs, borrow more, and, in the case of the TSLF, at higher bidding...
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作者：Favara, Giovanni; Morellec, Erwan; Schroth, Enrique; Valta, Philip
作者单位：Federal Reserve System - USA; Federal Reserve System Board of Governors; Swiss Federal Institutes of Technology Domain; Ecole Polytechnique Federale de Lausanne; City St Georges, University of London; University of Bern; University of Geneva; University of Geneva; Centre for Economic Policy Research - UK
摘要：We argue that the prospect of an imperfect enforcement of debt contracts in default reduces shareholder-debtholder conflicts and induces leveraged firms to invest more and take on less risk as they approach financial distress. To test these predictions, we use a large panel of firms in 41 countries with heterogeneous debt enforcement characteristics. Consistent with our model, we find that the relation between debt enforcement and firms' investment and risk depends on the firm-specific probabi...
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作者：Mukherjee, Abhiroop; Singh, Manpreet; Zaldokas, Alminas
作者单位：University System of Georgia; Georgia Institute of Technology
摘要：We exploit staggered changes in state-level corporate tax rates to show that an increase in taxes reduces future innovation. A variety of tests, including those based on policy discontinuity at contiguous counties straddling borders of politically similar states, show that local economic conditions do not drive our results. The effect we document is consistent across the innovation spectrum: taxes affect not only patenting and R&D investment but also new product introductions, which we measure...
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作者：Shi, Zhen
作者单位：University System of Georgia; Georgia State University
摘要：Consistent with the argument that portfolio disclosure reveals trade secrets, a difference in-differences estimation suggests a drop in fund performance after a hedge fund begins filing Form 13F as well as an increase in return correlations with other funds in the same investment style. The drop in performance is concentrated among funds with larger expected proprietary costs of disclosure, for instance, funds that disclose a greater fraction of their assets or hold more illiquid stocks. The d...
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作者：Jiang, George J.; Zhu, Kevin X.
作者单位：Washington State University; Xi'an Jiaotong-Liverpool University; Hong Kong Polytechnic University
摘要：Using jumps in stock prices as a proxy for large information shocks, we provide evidence consistent with short-term underreaction in the US equity market. Strategies long (short) stocks with positive (negative) lagged jump returns earn significantly positive returns over the next one-to three-month horizons. The results based on intraday jumps, especially overnight jumps, provide further evidence consistent with underreaction. The underreaction is robust to controlling for other firm character...
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作者：Sunder, Jayanthi; Sunder, Shyam V.; Zhang, Jingjing
作者单位：University of Arizona; McGill University
摘要：We find evidence that chief executive officers' (CEOs') hobby of flying airplanes is associated with significantly better innovation outcomes, measured by patents and citations, greater innovation effectiveness, and more diverse and original patents. We rule out alternative explanations, leading us to conclude that CEO pilot credentials capture the personality trait of sensation seeking. Sensation seeking combines risk taking with a desire to pursue novel experiences and has been associated wi...
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作者：Campello, Murillo; Gao, Janet
作者单位：Cornell University; National Bureau of Economic Research; Indiana University System; Indiana University Bloomington
摘要：We study pricing and non-pricing features of loan contracts to gauge how the credit market evaluates a firm's customer-base profile and supply-chain relations. Higher customer concentration increases interest rate spreads and the number of restrictive covenants featured in newly initiated as well as renegotiated bank loans. Customer concentration also abbreviates the maturity of those loans as well as the relationship between firms and their banks. These effects are intensified by customers' f...
