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作者：Wang, Feifei; Yan, Xuemin Sterling; Zheng, Lingling
作者单位：University System of Ohio; Miami University; Lehigh University; Renmin University of China
摘要：Previous studies find mixed evidence on whether institutional investors exploit capital market anomalies. Examining a large sample of accounting-based anomalies, we find that institutions trade in the wrong direction of overreaction anomalies, but in the right direction of underreaction anomalies. These heterogenous trading patterns, rather than reflecting institutions' differential anomaly trading skills, can be simply explained by institutions' tendency to trade in the same direction as the ...
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作者：Feng, Felix Zhiyu; Luo, Robin Yifan; Michaeli, Beatrice
作者单位：University of Washington; University of Washington Seattle; University of California System; University of California Los Angeles
摘要：We study the optimal dynamic contract that provides incentives for an agent (e.g., SPAC sponsor, VC general partner, CTO) to exploit investment opportunities/targets that arrive randomly over time via a costly search process. The agent is privy to the arrival as well as to the quality of the target and can take advantage of this for rent extraction during the search process and the ensuing production. The optimal contract provides the agent with incentives for timely and truthful reporting via...
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作者：Christensen, Theodore E.; Fronk, Karson E.; Lee, Joshua A.; Nelson, Karen K.
作者单位：University System of Georgia; University of Georgia; Texas Christian University; Brigham Young University
摘要：The Securities and Exchange Commission encourages the presentation of information or data in graphical form to improve users' ability to understand financial disclosures. We find a dramatic increase in the disclosure of both qualitative and quantitative infographics in 10-K filings over time and substantial cross-sectional variation in firms' choices regarding image types, data content, and the placement of infographics within 10-Ks. We provide evidence on factors associated with firms' use of...
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作者：Bonsall, Samuel B.; Gillette, Jacquelyn R.; Pundrich, Gabriel; So, Eric
作者单位：Pennsylvania Commonwealth System of Higher Education (PCSHE); Pennsylvania State University; Pennsylvania State University - University Park; Massachusetts Institute of Technology (MIT); State University System of Florida; University of Florida
摘要：We provide the first evidence of systematic bias among an emerging type of credit rating agency that relies on subscriptions from institutional clients as its primary source of revenue. Using data from Egan-Jones Ratings Company (EJR), a representative subscriberpaid rating agency, we show that EJR issues more optimistically biased credit ratings, less timely downgrades, and less accurate ratings for firms held by more EJR clients. Our evidence is consistent with EJR optimistically biasing its...
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作者：Call, Andrew C.; Hribar, Paul; Skinner, Douglas J.; Volant, David
作者单位：University of Southern California; University of Iowa; University of Chicago; Indiana University System; Indiana University Bloomington; IU Kelley School of Business
摘要：We survey corporate managers of both guiding and non-guiding firms. We find that managers of firms that provide guidance say that they: (1) primarily provide guidance to satisfy analyst and investor demands and manage analysts' earnings expectations; (2) are relatively unconcerned about proprietary or litigation costs (managers of non-guiding firms are more likely to see litigation risk as a concern); (3) predominantly issue guidance that is conservative relative to their internal expectations...
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作者：Minnis, Michael; Sutherland, Andrew G.; Vetter, Felix W.
作者单位：University of Chicago; Massachusetts Institute of Technology (MIT); University of Mannheim
摘要：Using a dataset covering 3 million commercial borrower financial statements, we document a substantial, nearly monotonic decline in banks' use of attested financial statements (AFS) in lending over the past two decades. Two market forces help explain this trend. First, technological advances provide lenders with access to a growing array of borrower information sources that can substitute for AFS. Second, banks are increasingly competing with nonbank lenders that rely less on AFS in screening ...
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作者：Choy, Stacey; Jiang, Shushu; Liao, Scott; Wang, Emma
作者单位：University of Toronto; National University of Singapore; Cornell University
摘要：This paper examines whether and how public environmental enforcement affects private lenders' monitoring efforts and the effectiveness of such monitoring. We capture lender monitoring using environmental covenants in loan agreements. Consistent with the prediction that stringent public environmental enforcement increases lenders' monitoring incentives, we find that in the presence of higher environmental regulatory enforcement intensity, lenders are more likely to use environmental covenants w...
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作者：Fiechter, Peter; Landsman, Wayne R.; Peasnell, Kenneth; Renders, Annelies
作者单位：University of Neuchatel; University of North Carolina; University of North Carolina Chapel Hill; University of North Carolina School of Medicine; Lancaster University; BI Norwegian Business School
摘要：This study examines whether the implementation of industry-specific accounting standards helps capital market participants in making decisions about providing capital to firms. We predict and find an, on average, increase in firms' capital growth in years following implementation of the relevant industry standard. The increase in capital growth arises primarily from equity issuances and is attributable to the implementation of the standards rather than industry-specific trends or economic shoc...
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作者：Kitto, Andrew R.
作者单位：University of Massachusetts System; University of Massachusetts Amherst
摘要：This study examines whether recent mergers between small and midsize accounting firms influence competition by increasing the number of firms that can compete with larger rivals in the U.S. public company audit market. I find that in-market mergers generate efficiencies that are reflected in a post-merger reduction in audit hours but not in reduced audit quality. For both in-market and out-of-market mergers, clients switching to postmerger firms are more likely to be accelerated filers and are...
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作者：Abramova, Inna
作者单位：University of London; London Business School
摘要：Using labor supply shocks from the 150-Hour Rule, I find that a reduction in the labor supply of accountants increases audit firms' mergers and acquisitions (M&A) and the audit market concentration. These M&A deals connect audit firms serving clients in the same states and lead to greater industry specialization of the merging firms. Although both small and large auditors generally engage in labor supply-driven M&A deals, large audit firms' engagement in M&A is restricted to markets with a tig...
