We provide evidence that firms with weak investment opportunities (those whose current earnings justify a greater valuation than firms with strong investment opportunities) signal their permanent earnings level through their dividends. In the cross-section, we show that both dividend levels and...

Investors increasingly rely on digital infrastructure to acquire information and we study how a large, unexpected server outage of the SEC’s EDGAR system affects liquidity to characterize the resilience and capital market effect of information acquisition in the digital age. The SEC’s EDGAR...