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作者：Hertzel, Michael G.; Huson, Mark R.; Parrino, Robert
作者单位：University of Texas System; University of Texas Austin; Arizona State University; Arizona State University-Tempe; University of Alberta
摘要：We examine financing activities of newly public firms for evidence on capital staging in the public equity market. Staging (sequential financing) can increase issuance costs but can limit costs associated with overinvestment. We find evidence consistent with the hypothesis that staging is employed to help control the overinvestment problem in public firms. Initial public offering (IPO) proceeds, relative to external financing requirements, are smaller for firms with more intangible assets and ...
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作者：Da, Zhi; Guo, Re-Jin; Jagannathan, Ravi
作者单位：Northwestern University; University of Notre Dame; University of Illinois System; University of Illinois Chicago; University of Illinois Chicago Hospital; National Bureau of Economic Research
摘要：We argue that the empirical evidence against the capital asset pricing model (CAPM) based on stock returns does not invalidate its use for estimating the cost of capital for projects in making capital budgeting decisions. Because stocks are backed not only by projects in place, but also by the options to modify current projects and undertake new ones, the expected returns on stocks need not satisfy the CAPM even when expected returns of projects do. We provide empirical support for our argumen...
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作者：Hong, Harrison; Kostovetsky, Leonard
作者单位：University of Rochester; Princeton University
摘要：Using data on the political contributions and stock holdings of U.S. investment managers, we find that mutual fund managers who make campaign donations to Democrats hold less of their portfolios (relative to non-donors or Republican donors) in companies that are deemed socially irresponsible (e.g., tobacco, guns, or defense firms or companies with bad employee relations or diversity records). Although explicit socially responsible investing (SRI) funds are more likely to be managed by Democrat...
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作者：Baker, Malcolm; Pan, Xin; Wurgler, Jeffrey
作者单位：National Bureau of Economic Research; Harvard University
摘要：Prior stock price peaks of targets affect several aspects of merger and acquisition activity. Offer prices are biased toward recent peak prices although they are economically unremarkable. An offer's probability of acceptance jumps discontinuously when it exceeds a peak price. Conversely, bidder shareholders react more negatively as the offer price is influenced upward toward a peak. Merger waves occur when high returns on the market and likely targets make it easier for bidders to offer a pea...
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作者：Armstrong, Christopher S.; Vashishtha, Rahul
作者单位：University of Pennsylvania
摘要：The sensitivity of stock options' payoff to return volatility, or vega, provides risk-averse CEOs with an incentive to increase their firms' risk more by increasing systematic rather than idiosyncratic risk. This effect manifests because any increase in the firm's systematic risk can be hedged by a CEO who can trade the market portfolio. Consistent with this prediction, we find that vega gives CEOs incentives to increase their firms' total risk by increasing systematic risk but not idiosyncrat...
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作者：Coles, Jeffrey L.; Lemmon, Michael L.; Meschke, J. Felix
作者单位：Arizona State University; Arizona State University-Tempe; Utah System of Higher Education; University of Utah; University of Kansas
摘要：This paper presents a parsimonious, structural model that isolates primary economic determinants of the level and dispersion of managerial ownership, firm scale, and performance and the empirical associations among them. In particular, variation across firms and through time of estimated productivity parameters for physical assets and managerial input and corresponding variation in optimal compensation contract and firm size combine to deliver the well-known hump-shaped relation between Tobin'...
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作者：Bakshi, Gurdip; Chabi-Yo, Fousseni
作者单位：University System of Ohio; Ohio State University; University System of Maryland; University of Maryland College Park
摘要：In this paper, we develop lower bounds on the variance of the permanent component and the transitory component, and on the variance of the ratio of the permanent to the transitory components of SDFs. Exactly solved eigenfunction problems are then used to study the empirical attributes of asset pricing models that incorporate long-run risk, external habit persistence, and rare disasters. Specific quantitative implications are developed for the variance of the permanent and the transitory compon...
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作者：Hayes, Rachel M.; Lemmon, Michael; Qiu, Mingming
作者单位：Utah System of Higher Education; University of Utah
摘要：We provide new evidence on the relation between option-based compensation and risk-taking behavior by exploiting the change in the accounting treatment of stock options following the adoption of FAS 123R in 2005. The implementation of FAS 123R represents an exogenous change in the accounting benefits of stock options that has no effect on the economic costs and benefits of options for providing managerial incentives. Our results do not support the view that the convexity inherent in option-bas...
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作者：Dimmock, Stephen G.; Gerken, William C.
作者单位：Nanyang Technological University; Auburn University System; Auburn University
摘要：We test the predictability of investment fraud using a panel of mandatory disclosures filed with the SEC. We find that disclosures related to past regulatory and legal violations, conflicts of interest, and monitoring have significant power to predict fraud. Avoiding the 5% of firms with the highest ex ante predicted fraud risk would allow an investor to avoid 29% of fraud cases and over 40% of the total dollar losses from fraud. We find no evidence that investors receive compensation for frau...
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作者：Cronqvist, Henrik; Makhija, Anil K.; Yonker, Scott E.
作者单位：University System of Ohio; Ohio State University; Claremont Colleges; Claremont Graduate University; Claremont McKenna College; Indiana University System; Indiana University Bloomington; IU Kelley School of Business
摘要：We find that firms behave consistently with how their CEOs behave personally in the context of leverage choices. Analyzing data on CEOs' leverage in their most recent primary home purchases, we find a positive, economically relevant, robust relation between corporate and personal leverage in the cross-section and when examining CEO turnovers. The results are consistent with an endogenous matching of CEOs to firms based on preferences, as well as with CEOs imprinting their personal preferences ...
