Using multiple discriminant analysis, we construct an index that measures firms' external financial constraints in an Australian setting. We form portfolios of firms based on our financial constraints index and find that financially constrained firms earn lower return than their unconstrained...

Focussing on earnings-related rather than different classes of corporate announcements as in Chae (2005), we examine trading volume behaviour and the role played by informed and uninformed investors around routine and nonroutine announcements. Prior to preliminary final earnings announcements,...

Purpose – This study aims to test the effects of forecast specificity on the asymmetric short‐window share market response to management earnings forecasts (MEF). Design/methodology/approach – The paper examines a large sample of hand‐checked Australian data over the period 1994 to 2001....

Purpose – This study aims to test the effects of forecast specificity on the asymmetric short-window share market response to management earnings forecasts (MEF). Design/methodology/approach – The paper examines a large sample of hand-checked Australian data over the period 1994 to 2001....