We posit that presence of informed directors, by enhancing the board's information and ability to advise and monitor management, will affect the nature of incentive contracts offered to CEOs. In particular, we study the effect of directors from related industries (DRIs) i.e., downstream or...

We argue gender-diverse boards are associated with distinct preferences that reassure investors about their commitment to moderate risk and boost long-term corporate survival. Results suggest a strong relation between gender-diverse boards and bondholder-aligned CEO compensation components,...

We analyze risk shifting by poorly performing hedge funds - and test predictions on the extent to which risk choices are related to the fund's incentive contract, investment horizon and dissemination of performance information. Consistent with theoretical arguments we find that the propensity...