We examine a potential path to value-creation by cybersecurity investments: a reduction in a firm's cost of capital. Building on the existing literature on corporate finance, we suggest that given the business-ending threats of cybersecurity incidents and the importance of cybersecurity...

Retail investors, on average, are known to be less informed. The democratized access to big financial data enabled by recent technological advances has the potential to make them better informed. At the same time, behavioral finance and economic theories postulate that such unprecedented access...

We analyze whether cybersecurity, as an associated cost attached to digitization, slows down the digital economy. Our identification strategy exploits the staggered adoption of security breach notification laws (SBNLs) in 47 US states, which require companies to publicly disclose data breaches....

Do the firm's investments in information technology (IT) within a business unit (BU) influence the performance of other BUs? While there is evidence of cross-entity IT synergies in the inter-firm and inter-industry contexts, the evidence is scarce about the IT synergies that may lead to added...