Regretful merger arbitrageurs may rush to sell target stocks for ongoing mergers and acquisitions when they expect a decreasing success rate after the announcement. The resulting selling pressure is likely to cause the target stock price to crash. For ongoing mergers and acquisitions, we find a...

We study the relation between product market competition and convertible debt financing. Competitive threats motivate firms to use convertible debt because the possibility of future conversion enhances financial flexibility. Consistent with this intuition, we find that the intensity of...

We use a representative Internet panel to explore how psychological responses to trauma affect financial risk-taking behavior. Posttraumatic stress disorder (PTSD) symptoms for the individuals, assessed after the traumatic experiences, are used as the psychological responses to the events. We...

We document substantial increases in corporate security offerings since the start of the COVID-19 pandemic. While the rise in seasoned equity offerings (SEOs) is attributable to shifts in macroeconomic conditions, convertible and straight bond offering increases cannot be explained by standard...