The investor composition in the US stock market has been undergoing a dramatic shift towards greater institutional ownership. In this paper, we show that the increase in the stock ownership by institutions over time, especially those with focus on short-term performance, is positively related to...

By employing two alternative measures of fundamental value, we re-examine the value relevance of accounting information over time. Consistent with some recent studies (e.g. Dontoh et al. 2007), we do not find evidence on the temporal decline in R-squares of conventional value-relevance...