This paper studies the effect of stock liquidity on blockholders' choice of governance mechanisms. We focus on hedge … measure governance intent rather than only studying instances of actual governance. We find that liquidity increases the … likelihood that a hedge fund acquires a block in a firm. Conditional upon acquiring a stake, liquidity reduces the likelihood …

We examine whether the drastic improvement in liquidity in the US stock market after 2003 has impacted the systematic … time-varying long bias in US-stock market exposure. The reversal of the relationship points towards liquidity timing by …

theory of funding liquidity by Brunnermeier and Pedersen (2009) …. The return impact of fund flows is stronger when funds embrace liquidity risk, when market liquidity is low, and when … funding liquidity, as measured by the Treasury-Eurodollar spread, aggregate hedge fund flows, and prime broker stock returns …