We analyze the impact of expected (targeted) capital structure decisions on information asymmetries. We measure information asymmetry from equity liquidity through the use of an information asymmetry index that is based on six measures that capture trading activity, trading costs, and the price...

A market driven innovation-financing approach has been developed, which approach is based on evaluating capital flow opportunities between individual business lines and economic sectors in general. The problem is solved using the stochastic dominance algorithm, arbitrage technologies and...

While uncovered interest parity (UIP) fails unconditionally, UIP conditional on monetary policy actions remains a cornerstone of macroeconomic models used for monetary policy analysis. We posit that monetary policy actions are partially revealed by FOMC statements and propose a new...

This paper examines how individual investors' participation in short sale affects the efficiency of stock pricing using a unique regulatory change in Korea. The change enables individual investors to sell short some -- but not all -- domestic stocks, without affecting the short-selling ability...

We construct a sentiment index with the incorporation of representative proxies in the Taiwan Stock Market and investigate the application of a cross-section of stock returns. The major contribution of the study is that the huge Chinese financial news related to each listed stock is collected...

A common misconception in finance is that investors who believe in an efficient market will not invest with an active fund manager. In this paper I develop a model of active money management in which both the investor and the fund manager believe that the market is efficient and that all assets...

The cryptocurrency market has recently gained a lot of interest from investors worldwide but is also much more volatile than the stock market. Volatility is a significant characteristic of both exchange markets and has a great influence on investment behavior. However, there is little research...

This paper examines the roles of information differences among informed investors (information asymmetry) in the determination of a firm's cost of capital and price informativeness when the risky asset payoff contains a non-learnable component. The existence of non-learnable payoff...

Uniswap is a decentralized exchange (DEX) and was first launched on November 2, 2018 on the Ethereum mainnet [1] and is part of an Ecosystem of products in Decentralized Finance (DeFi). It replaces a traditional order book type of trading common on centralized exchanges (CEX) with a...

We propose an improved formulation for the widely used active share metric. The new definition is derived analytically and then tested by empirical analysis. We explain why the active share metric, in its current form, gives ambiguous results. The improved formulation is consistent across...