This paper examines the agency conflicts between shareholders and bondholders of multinational and non-multinational firms and provides an explanation for the puzzle that multinational firms use less long-term debt but more short-term debt than domestic firms. Using a sample of 6,951 firm-year...

Several portfolio managers and stock analysts subscribe to the view that value (high book-to-market) investment strategies yield superior returns relative to glamour (low book-to-market) strategies. Empirical studies confirm that value investment strategies yield higher returns. However, the...

In this paper we examine the monitoring activity of security analysis from the manager-shareholder conflict perspective. Using a unique data set of more than 400 UK firms tracked by security analysts over the 1999-2000 period, our preliminary evidence supports the view that security analysis...

Unlike previous research, this study examines the relation between the reputation of investment bankers and the long-term performance of IPOs in a framework that simultaneously controls for the influence of venture capital. Using 456 IPO transactions over the 1989-1994 period, our analysis...

Using a large international equity market database that has not been previously used for such a purpose, this paper documents that value (i.e., high book-to-market ) stocks outperform growth (i.e., low book-to-market ) stocks, on average, in most countries during the January 1975 - December 1995...

This study documents that high book-to-market (value) and low book-to-market (glamour) stock prices react asymmetrically to both common and firm-specific information. Specifically, we find that value stock prices exhibit a considerably slow adjustment to both common and firm-specific information...

This paper examines the relation between short selling and returns and the impact of arbitrage costs on short sellers' behavior. Using daily UK short selling data, we find that stocks with low short interest levels experience significant positive returns on both an equal- and value-weighted...

Previous work on the exposure of firms to exchange-rate risk has primarily focused on U.S. firms and, surprisingly, found stock returns were not significantly affected by exchange-rate fluctuations. In this paper we conduct a comprehensive analysis that examines the relation between Japanese...