We investigate whether investor sentiment affects the research quality of sell-side analysts. As institutional investors regard industry knowledge as the most important element of sell-side service, we use it to proxy for sell-side research quality. Using textual analysis to measure the industry...

Using textual analysis to measure financial analysts’ industry knowledge for A-share healthcare reports issued during 2012-2019, we find that unqualified analysts exist in the Chinese stock market. These unqualified analysts concentrate in state-owned (SOE) brokerages. They tend to plagiarize...

We examine the impact of social ties between mutual fund managers and auditors of public firms on mutual fund stockholdings. We find that mutual funds whose managers are socially connected with firm auditors hold more shares of these firms. In cross-sectional results consistent with...

Using terrorist attacks as exogenous shocks to investor sentiment, we study the impact of investor sentiment on initial public offering (IPO) pricing. IPOs listed within the 30-day period following terrorist attacks, on average, experience lower first-day returns. The documented impact of...