Investment-based asset pricing research highlights the role of irreversibility as a determinant of firms' risk and … flexibility (i.e., contraction and expansion options) is to determine the relation between risk and operating leverage: risk … these characteristics in stock returns and risk …

asset prices reflect both covariance risk and misperceptions of firmsapos prospects, and in which arbitrageurs trade against … mispricing. In equilibrium, expected returns are linearly related to both risk and mispricing measures (e.g., fundamental …

This study empirically examines the role of risk sharing between taxable investors and the government on the relation … weaker or even reverses when (i) a firm's systematic risk is high, (ii) the market risk premium is high, or (iii) the risk … around substantive increases and decreases in the risk parameters. We corroborate our findings in a single country setting …

This study empirically examines the role of risk sharing between taxable investors and the government on the relation … weaker or even reverses when (i) a firm's systematic risk is high, (ii) the market risk premium is high, or (iii) the risk … around substantive increases and decreases in the risk parameters. We corroborate our findings in a single country setting …

This study empirically examines the role of risk sharing between taxable investors and the government on the relation … weaker or even reverses when (i) a firm’s systematic risk is high, (ii) the market risk premium is high, or (iii) the risk … around substantive increases and decreases in the risk parameters. We corroborate our findings in a single country setting …

The “low risk anomaly” refers to the empirical pattern that apparently high-risk equities do not earn commensurately … high returns. In this paper, we consider the possibility that the risk anomaly represents mispricing, not a … misspecification of risk, and develop the implications for corporate capital structure. The risk anomaly generates a simple tradeoff …

crash risk and the relationship is robust for various asset, liability, and equity components of the balance sheet …. Consistent with the managerial empire-building incentive, agency problems tend to accentuate the asset growth-crash risk …

We explore the effects of tax avoidance and tax risk on stock return volatilities of U.S. firms. We find that firms … with very low and very high levels of tax avoidance and firms with high levels of tax risk have more volatile stock returns … expectations; in contrast, tax risk seems to affect stock returns through cash flow and discount rate channels. Furthermore, we …

risk can explain this regularity …