Apparently spurred by allegations of collusive pricing, dealers in the NASDAQ stocks Apple, Amgen, Cisco, and Microsoft began offering odd-eighth quotes in May 1994. Intel dealers followed shortly thereafter. If the associated dramatic reduction in quoted spreads represented a move to...

This paper examines whether and how differences in investors' information environment are related to cross-country differences in the market risk premium volatility. We use the vector-autoregressive and implied cost of capital methods to extract time variation in risk premiums for 41 developed...

Theoretical arguments suggest that as the degree of a country's home bias increases, the global risk sharing between domestic and foreign investors will reduce and thereby increase the country's cost of capital. Consistent with this prediction, we find international differences in the cost of...

We hypothesize that managers can learn about a firm's investment uncertainty from the equity options market. Using a US sample of 1,865 merger and acquisition attempts during 1996–2015, we show that the volatility implied from an acquiring firm's equity options around an acquisition...

Studies of cross-listings show home markets dominate price discovery and point to informational advantages of local investors. However, we show price discovery gravitates to markets with better order execution quality and find home markets do not dominate price discovery. Instead, price...

We examine the role of competing exchanges to restore price parity following currency shocks during 2008, a year characterized by dramatic currency volatility. Burdens on the NYSE and home market to restore price parity for cross-listed stocks are more dynamic than previously thought....

We examine the role of internal and external certification mechanisms in the issuance choice of SEOs between accelerated offers and fully marketed offers. Our empirical work supports the view that a firm's internal corporate governance structure and audit fee are associated with the issuance...

We examine the role of internal and external certification mechanisms in the issuance choice of SEOs between accelerated offers and fully marketed offers. Our empirical work supports the view that a firm's internal corporate governance structure and audit fee are associated with the issuance...

This paper examines how the information flow and trading activity of the Jardine group of companies are affected after they are delisted from Hong Kong. An interesting aspect is that while the trading activity of the five companies in the Group is moved to Singapore, the core business remains in...

Using a new and unique dataset on mutual fund stockholdings, we identify several interesting similarities and differences in the stock preferences of domestic and foreign fund managers from 11 developed countries. Our results show that both groups of fund managers consider basic stock...