Motivated by the current discussion to reform the election process of directors to the board, this paper presents a model that shows that when shareholders have direct access to proxy the quality of the board improves. This is so, because more independent directors – regarded as better...

In response to the economic crisis of 2008 and the debt crises of some Eurozone countries, central banks began expansionary monetary policies, which became a massive injection of resources through the purchase of assets known as Quantitative Easing. The European Central Bank (ECB) took a step...

We examine the impact of the enactment of the Market Abuse Directive (MAD) and the Prospectus Directive (PD) across 18 EU countries on seasoned equity offerings (SEOs). Using a difference-in-differences methodology, we document a significant reduction in earnings management, improved post-SEO...

We study the motives and impact of $1 CEO salaries on firm performance and CEO compensation. We find that on average $1 CEO firms earn lower stock market returns relative to their peers after the adoption of $1 salaries. The underperformance is especially pronounced for firms that adopt $1 CEO...

Using a sample of 469 banks from 39 countries between 2008 and 2017 and a generalized difference-in-differences methodology, we show that board gender quota laws lead to increased female board representation. We find an increase in risk taking and systemic risk and worse long-run operating...

We investigate the impact of cross-delisting on firms' financial constraints. We find that firms that cross-delisted from a U.S. stock exchange face stronger post-delisting financial constraints than their cross-listed counterparts, as measured by investment-to-cash flow and cash-to-cash flow...

We examine whether and how an exogenous shock to the information environment enhances insiders' ability to learn from outsiders using the mandatory adoption of IFRS as our information shock. We find an increase in investment-to-price sensitivity post-IFRS that is concentrated in firms that...

In the spirit of the Bonding Hypothesis proposed by Stulz (1999) and Coffee (1999, 2002), I find that foreign firms that cross-list in the U.S. and undertake IPOs are more likely to employ reputable underwriters if the firms come from countries with poor shareholder protection. The additional...

We put forward a novel methodological approach to estimate the effect of separation of ownership and control by dominant shareholders on firm value. The approach offers three major innovations. First, it uses the Shapley Value (SV) of the voting rights of the dominant shareholder rather than the...

We examine whether and how an exogenous shock to the information environment enhances insiders' ability to learn from outsiders using the mandatory adoption of IFRS as our information shock. We find an increase in investment-to-price sensitivity post-IFRS that is concentrated in firms that...