This paper surveys and investigates Swedish firms' use of capital budgeting techniques for Foreign Direct Investments. We document that the use of the theoretically correct net present value (NPV) method decreases with the political risk in the host country, and that the use of the Payback...

We investigate whether the use of dual class shares affect the financial policy within firms. We distinguish between firms that are controlled by owners with poor portfolio diversification (families) and those controlled by owners with diversified portfolios (institutions). Our findings suggest...

Some studies have provided evidence that hedging increases firm value. Other studies have shown that managerial incentives may influence firm hedging. In this paper we provide evidence that hedging increases firm value, however, when hedging is based upon incentives caused by managers' options,...

We investigate whether the use of dual-class shares affects the financial policy of Swedish public corporations. Specifically, we distinguish between firms that are controlled by owners with poor portfolio diversification (families) and those controlled by owners with diversified portfolios...