Blockholder monitoring is central to corporate governance, but blockholders large enough to exercise significant unilateral influence are rare. Mechanisms that enable small blockholders to exert collective influence are therefore important. We present a model in which one or more sizeable lead...

I survey recent papers that connect firms’ policies to their expected returns. Policies such as hiring, investment, inventory, and innovation all predict stock returns. However, most of these anomalies are explained by the Q-factor model. This finding supports conditional model...