reduces agency costs because it aligns the interests of managers and investors. In fact, the dirty little secret of executive … pay is that stock options and other performance-based measures provide no penalty for managers who take on excessive risk … extremely large rewards for managers who produce tangible profits, but and essentially nothing for managers for whom profits …

We establish that the labor market helps discipline asset managers via the impact of fund liquidations on their careers …. Using hand-collected data on 1,948 professionals, we find that top managers working for funds liquidated after persistently … a model with moral hazard and adverse selection, these scarring effects can be ascribed to a drop in asset managers …

We establish that the labor market helps discipline asset managers via the impact of fund liquidations on their careers …. Using hand-collected data on 1,948 professionals, we find that top managers working for funds liquidated after persistently … a model with moral hazard and adverse selection, these scarring effects can be ascribed to a drop in asset managers …

We establish that the labor market helps discipline asset managers via the impact of fund liquidations on their careers …. Using hand-collected data on 1,948 professionals, we find that top managers working for funds liquidated after persistently …