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作者：He, Shuoyuan; Narayanamoorthy, Ganapathi (Gans)
作者单位：Tulane University; California State University System; San Francisco State University
摘要：We document that earnings acceleration, defined as the quarter-over-quarter change in earnings growth, has significant explanatory power for future excess returns. These excess returns are robust to a wide range of previously documented anomalies and a battery of risk controls. The future return predictability appears to be consistent with investors assuming a seasonal random walk model for quarterly earnings and missing predictable implications of earnings acceleration for future earnings gro...
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作者：Chordia, Tarun; Miao, Bin
作者单位：Emory University; The Chinese University of Hong Kong, Shenzhen
摘要：The literature has used small samples to show that fast trading or low latency trading (LLT) improves efficiency at extremely high frequencies. However, it is not clear whether LLT driven high frequency improvements in efficiency can impact corporate decision making and investor risk sharing or hedging, which are low frequency processes. This paper uses a comprehensive cross-sectional and time-series sample to provide evidence that LLT enhances efficiency around earnings announcements. Low lat...
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作者：Christensen, Hans B.; Liu, Lisa Yao; Maffett, Mark
作者单位：University of Chicago
摘要：Within the UK's proactive financial-reporting enforcement regime, we examine the effect of increased regulatory scrutiny on equity values. We find that a fourfold increase in the likelihood of regulator-initiated reviews of financial reports reduces equity values by 1.3% on average. Reductions in equity values are largest for firms with strong private oversight that likely ensures that they are closer to their equity-value-maximizing level of transparency. Additional evidence suggests that com...
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作者：Silvers, Roger
作者单位：Utah System of Higher Education; University of Utah
摘要：The events of September 11, 2001, prompted sweeping cross-border coordination efforts for securities regulators around the globe. After 9/11, the International Organization of Securities Commissions (IOSCO) forged a nonbinding arrangement-the Multilateral Memorandum of Understanding Concerning Consultation and Cooperation and the Exchange of Information (MMoU)-that standardized the protocol for information sharing among participating securities regulators. Because regulators from different cou...
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作者：Gong, Guojin; Li, Laura Yue; Yin, Huifang
作者单位：Pennsylvania Commonwealth System of Higher Education (PCSHE); Pennsylvania State University; Pennsylvania State University - University Park; University of Illinois System; University of Illinois Urbana-Champaign; Shanghai University of Finance & Economics
摘要：Relative performance evaluation (RPE) compensates managers on their relative performance against a peer group. Since observing more peers' performance allows managers to better estimate the performance level required to achieve RPE targets, we conjecture that releasing earnings later than peers facilitates managers to achieve targets by exploiting last-minute reporting discretion. Empirical evidence is consistent with our conjecture. Further, managers tend to select peers that release earnings...
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作者：Vashishtha, Rahul
作者单位：Duke University
摘要：Campbell, Loumioti, and Wittenberg-Moerman (2018), henceforth CLW, provide evidence on the effect of human cognitive limitations on the processing of soft information in a Credit Union. Their results suggest that cognitive limitations constitute an important barrier to financial markets' ability to extract soft information. In this discussion, I delineate CLW's contribution and implications of their results, highlight key features of the empirical analyses that address interpretational difficu...
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作者：Beatty, Anne; Liao, Scott; Zhang, Haiwen (Helen)
作者单位：University System of Ohio; Ohio State University; University of Toronto; University of Minnesota System; University of Minnesota Twin Cities
摘要：We explore how an accounting measure of information asymmetry between lead and participating lenders influences syndication structures by examining whether lead lenders' commercial and industrial (CM) loan-loss provision validity affects the fraction of loans they retain. We first conduct multiple tests showing that C&I provision validity reflects banks' underlying screening and monitoring effectiveness. We then find lead lenders' loan share decreases with C&I provision validity, but not with ...
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作者：Bird, Andrew; Karolyi, Stephen A.; Ruchti, Thomas G.
作者单位：Carnegie Mellon University
摘要：Two well-known stylized facts on earnings management are that the earnings surprise distribution has a discontinuity at zero, and that positive earnings surprises are associated with positive abnormal returns. We link these two facts in a model of the earnings management decision in which the manager trades off the capital market benefits of meeting earnings benchmarks against the costs of manipulation. We develop a new structural methodology to estimate the model and uncover the unobserved co...
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作者：Roychowdhury, Sugata; Shroff, Nemit; Verdi, Rodrigo S.
作者单位：Boston College; Massachusetts Institute of Technology (MIT)
摘要：A fundamental question in accounting is whether and to what extent financial reporting facilitates the allocation of capital to the right investment projects. Over the last two decades, a large and growing body of literature has contributed to our understanding of whether and why financial reporting affects investment decision-making. We review the empirical literature on this topic, provide a framework to organize this literature, and highlight opportunities for future research. (C) 2019 Else...
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作者：Holthausen, Robert W.; Core, John E.; Hanlon, Michelle; Guay, Wayne; Wu, Joanna; Lang, Mark
