convexity results in a 21% increase in a firm's crash risk after controlling for managerial price-increasing incentives. In … positive jump risk. We exploit an exogenous shock to compensation convexity, arising from a change in the expensing treatment … suggest that managerial equity compensation portfolios do not augment a firm's future idiosyncratic crash risk because they …

stock price crash risk. In contrast, we find only weak evidence of the positive impact of chief executive officer option … sensitivity on crash risk. Finally, we find that the link between CFO option sensitivity and crash risk is more pronounced for …

The informativeness of risk factor disclosures is a subject of debate. We predict and find that risk factor disclosures … in 10-K filings reduce the chance of a large negative movement in stock prices—stock price crash risk. This effect is … with higher information asymmetry, litigation risk, short interest, or better corporate governance. Overall, our findings …

risk of a sector that is caused not by a direct change in that sector but by a change in another sector that affects the … composition of the stock market. In the paper we investigate the pre and during crisis market risk of the industrial, banking and … market risk of industrials during the crisis and both the pre-crisis market risk of the banking sector and the scale of the …

excessive risk-taking. Legislators around the globe decided to regulate remuneration structures of the fat cats in the financial … industry with a view to better align their compensation with effective risk management practices. Since 2010, several …

taxes on risk taking and managerial compensation. In contrast to existing literature, we assume financial institutions to be … equilibrium where they collectively incentivize higher risk-taking. A bonus tax can prevent this market failure, even if it is … implemented unilaterally: proper bonus taxation reduces risk-taking of the taxed bank and, consequentially, rules out the …