This paper assesses the impact of the geographic diversification of bank holding company (BHC) assets across the United … States on their market valuations. Using two novel identification strategies based on the dynamic process of interstate bank …

valuations. We find that there is a diversification discount: The marketvalues financial conglomerates that engage in multiple … indicate that economies of scope arenot sufficiently large to produce a diversification premium …

We assess the impact of the geographic expansion of bank assets on the cost of banks' interest-bearing liabilities … diversification that decreases funding costs. Using a newly developed identification strategy, we discover that the geographic … large risk diversification opportunities that reduce funding costs …

Lifecycle theories of mergers and diversification predict that firms make acquisitions and diversify when their …

Does corporate diversification reduce shareholder value? Since firms endogenously choose to diversify, exogenous … variation in diversification is necessary in order to draw inferences about the causal effect. We examine changes in the within … investment, are negatively related to firm value. Thus diversification destroys value, consistent with the inefficient internal …

team composition, firm diversification, and IT investments--which arguably alter returns to exploiting synergies through …

Investors can access foreign diversification opportunities through either foreign portfolio investment (FPI) or foreign …

In this paper, we show that Tobin's q and firm diversification are negatively related. This negative relation holds for … different diversification measures and when we control for other known determinants of q. We show further that diversified firms … number of segment constant. Our evidence is consistent with the view that firms seek growth through diversification when they …

One possible explanation for home bias is that investors may obtain indirect international diversification benefits by … tests to examine the diversification potential of multinational firms and foreign market indices for investors domiciled in … multinational stocks. However, there is weak evidence that U.S. multinationals provided global diversification benefits in the full …