In this study, we investigate whether and to what extent institutional shareholders' political values influence their investees' environmental disclosure and performance. Using employees' political donation data, we construct institutional investors' political ideology score, which higher...

We examine the effect of institutional ownership on corporate disclosure policy using a regression discontinuity design. Using novel data that encompasses every 8-K filing between 1996 and 2006, we find that positive shocks to institutional ownership around Russell index reconstitutions...

We find that transient institutions, characterized by diversified portfolios with high turnover, are attracted by the larger liquidity and increase their holdings in firms with higher quality of financial statements and thus boost these stock prices during market downturns. Therefore, transient...

We investigate the link between mandated disclosure and investor preferences using a regulatory change that required the disclosure of patent applications 18 months after filing. This change allows us to separate the disciplinary effect provided by disclosure from the information effect....

We examine the impact of foreign institutional investors on firms' voluntary disclosure practices measured by management forecasts. In a sample of 32 non-U.S. countries, we find that, on average, foreign institutional investments lead to improved voluntary disclosure and their impact is larger...

Worldwide, primary corporate bond markets have become an increasingly important source of financing for non-financial companies. This trend is coupled with a relative decrease in traditional bank lending to non-financial companies and low levels of bond interest rates. Just as shareholders,...