The Experts below are selected from a list of 428865 Experts worldwide ranked by ideXlab platform
James Weston - One of the best experts on this subject based on the ideXlab platform.
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corporate financing decisions managerial Market timing and real investment
Journal of Financial Economics, 2011Co-Authors: Alexander W Butler, Jess Cornaggia, Gustavo Grullon, James WestonAbstract:Abstract Both Market timing and investment-based theories of corporate financing predict under-performance after firms raise capital, but only Market timing predicts that the composition of financing (equity compared with debt) should also forecast returns. In cross-sectional tests, we find that the amount of net financing is more important than its composition in explaining Future stock returns. In the time series, investment-based factor models explain abnormal stock performance following a variety of corporate financing events that previous studies link to Market timing. At the aggregate level, the amount of new financing is also more important for Future Market returns than its composition. Overall, our joint tests reveal that measures of real investment are correlated with Future returns and measures of managerial Market timing are not.
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corporate financing decisions managerial Market timing and real investment
2010Co-Authors: Alexander W Butler, Jess Cornaggia, Gustavo Grullon, James WestonAbstract:Both Market timing and investment-based theories of corporate financing predict underperformance after firms raise capital, but only Market timing predicts that the composition of financing (equity compared to debt) should also forecast returns. In cross-sectional tests, we find that the amount of net financing is more important than its composition in explaining Future stock returns. In the time-series, investment-based factor models explain abnormal stock performance following a variety of corporate financing events that previous studies link to Market timing. At the aggregate level, the amount of new financing is also more important for Future Market returns than its composition. Overall, our joint tests reveal that measures of real investment are correlated with Future returns while measures of managerial Market timing are not.
Alexander W Butler - One of the best experts on this subject based on the ideXlab platform.
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corporate financing decisions managerial Market timing and real investment
Journal of Financial Economics, 2011Co-Authors: Alexander W Butler, Jess Cornaggia, Gustavo Grullon, James WestonAbstract:Abstract Both Market timing and investment-based theories of corporate financing predict under-performance after firms raise capital, but only Market timing predicts that the composition of financing (equity compared with debt) should also forecast returns. In cross-sectional tests, we find that the amount of net financing is more important than its composition in explaining Future stock returns. In the time series, investment-based factor models explain abnormal stock performance following a variety of corporate financing events that previous studies link to Market timing. At the aggregate level, the amount of new financing is also more important for Future Market returns than its composition. Overall, our joint tests reveal that measures of real investment are correlated with Future returns and measures of managerial Market timing are not.
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corporate financing decisions managerial Market timing and real investment
2010Co-Authors: Alexander W Butler, Jess Cornaggia, Gustavo Grullon, James WestonAbstract:Both Market timing and investment-based theories of corporate financing predict underperformance after firms raise capital, but only Market timing predicts that the composition of financing (equity compared to debt) should also forecast returns. In cross-sectional tests, we find that the amount of net financing is more important than its composition in explaining Future stock returns. In the time-series, investment-based factor models explain abnormal stock performance following a variety of corporate financing events that previous studies link to Market timing. At the aggregate level, the amount of new financing is also more important for Future Market returns than its composition. Overall, our joint tests reveal that measures of real investment are correlated with Future returns while measures of managerial Market timing are not.
Laurent Fresard - One of the best experts on this subject based on the ideXlab platform.
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Financial Strength and Product Market Behavior: The Real Effects of Corporate Cash Holdings
The Journal of Finance, 2010Co-Authors: Laurent FresardAbstract:This paper shows that large cash reserves lead to systematic Future Market share gains at the expense of industry rivals. Using shifts in import tariffs to identify exogenous intensification of competition, difference-in-difference estimations support the causal impact of cash on product Market performance. Moreover, the analysis reveals that the "competitive" effect of cash is markedly distinct from the strategic effect of debt on product Market outcomes. This effect is stronger when rivals face tighter financing constraints and when the number of interactions between competitors is large. Overall, the results suggest that cash policy encompasses a substantial strategic dimension.
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financial strength and product Market behavior the real effects of corporate cash holdings
Social Science Research Network, 2009Co-Authors: Laurent FresardAbstract:This paper shows that corporate cash holdings is a key driver of product Market performance. In particular, I provide evidence that larger relative-to-rivals cash reserves lead to systematic Future Market-share gains at the expense of industry rivals. Importantly, this “competitive” effect of cash turns out to be magnified when rivals face tighter financing constraints and when the amount of strategic interactions between competitors is substantial. Overall, the results suggest that corporate cash policy comprises a substantial strategic dimension.
Gustavo Grullon - One of the best experts on this subject based on the ideXlab platform.
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corporate financing decisions managerial Market timing and real investment
Journal of Financial Economics, 2011Co-Authors: Alexander W Butler, Jess Cornaggia, Gustavo Grullon, James WestonAbstract:Abstract Both Market timing and investment-based theories of corporate financing predict under-performance after firms raise capital, but only Market timing predicts that the composition of financing (equity compared with debt) should also forecast returns. In cross-sectional tests, we find that the amount of net financing is more important than its composition in explaining Future stock returns. In the time series, investment-based factor models explain abnormal stock performance following a variety of corporate financing events that previous studies link to Market timing. At the aggregate level, the amount of new financing is also more important for Future Market returns than its composition. Overall, our joint tests reveal that measures of real investment are correlated with Future returns and measures of managerial Market timing are not.
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corporate financing decisions managerial Market timing and real investment
2010Co-Authors: Alexander W Butler, Jess Cornaggia, Gustavo Grullon, James WestonAbstract:Both Market timing and investment-based theories of corporate financing predict underperformance after firms raise capital, but only Market timing predicts that the composition of financing (equity compared to debt) should also forecast returns. In cross-sectional tests, we find that the amount of net financing is more important than its composition in explaining Future stock returns. In the time-series, investment-based factor models explain abnormal stock performance following a variety of corporate financing events that previous studies link to Market timing. At the aggregate level, the amount of new financing is also more important for Future Market returns than its composition. Overall, our joint tests reveal that measures of real investment are correlated with Future returns while measures of managerial Market timing are not.
Jess Cornaggia - One of the best experts on this subject based on the ideXlab platform.
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corporate financing decisions managerial Market timing and real investment
Journal of Financial Economics, 2011Co-Authors: Alexander W Butler, Jess Cornaggia, Gustavo Grullon, James WestonAbstract:Abstract Both Market timing and investment-based theories of corporate financing predict under-performance after firms raise capital, but only Market timing predicts that the composition of financing (equity compared with debt) should also forecast returns. In cross-sectional tests, we find that the amount of net financing is more important than its composition in explaining Future stock returns. In the time series, investment-based factor models explain abnormal stock performance following a variety of corporate financing events that previous studies link to Market timing. At the aggregate level, the amount of new financing is also more important for Future Market returns than its composition. Overall, our joint tests reveal that measures of real investment are correlated with Future returns and measures of managerial Market timing are not.
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corporate financing decisions managerial Market timing and real investment
2010Co-Authors: Alexander W Butler, Jess Cornaggia, Gustavo Grullon, James WestonAbstract:Both Market timing and investment-based theories of corporate financing predict underperformance after firms raise capital, but only Market timing predicts that the composition of financing (equity compared to debt) should also forecast returns. In cross-sectional tests, we find that the amount of net financing is more important than its composition in explaining Future stock returns. In the time-series, investment-based factor models explain abnormal stock performance following a variety of corporate financing events that previous studies link to Market timing. At the aggregate level, the amount of new financing is also more important for Future Market returns than its composition. Overall, our joint tests reveal that measures of real investment are correlated with Future returns while measures of managerial Market timing are not.
