This paper provides an empirical link between the expected cost of equity and firms' Seasoned Equity Offerings activities, using a novel measure of forward-looking cost of equity. There is a negative impact of expected cost equity on SEO likelihood and amount of proceeds, exists on both market...

We report on an experiment studying how traders react to stock splits and reverse splits. In the first environment, two assets have increasing fundamental values, and one asset is subject to a 2-for-1 share split while the other is not. In the second environment, the fundamental values of both...

We investigate the effect of shocks to firms’ cost of capital on firms’ disclosure decisions. Specifically, we examine the extent to which firms issue Form 8-Ks and/or press releases following unexpected changes to the Fed funds rate. We find consistent evidence that unexpected decreases in...