This paper analyzes the trading activity of Taiwanese open-end equity mutual fund herding behaviour over the period of 1996 to 2008. We employ the herding measure suggested by Wermers (1999) and find strong evidence of both directional and directionless herding activities, and also of positive...

This paper analyzes the trading activity of Taiwanese open-end equity mutual fund herding behaviour over the period of 1996 to 2008. We find evidence of both directional and directionless herding. We also find that sell-side fund herding leads to price stabilization whereas buy side herding...

The role of credit rating agencies has been questioned in the recent years. Existing empirical studies provide mixed evidence on the informational value of bond ratings for financial investors. In this study we examine the relationship between bond ratings and credit spreads for US corporate...

This paper investigates the impact on corporate performance of UK firms from adopting the Cadbury Committee's Code of Best Practice. The findings show improved corporate performance for companies adopting the code. Regarding the specific recommendations of the Code, splitting the positions of...

We examine shareholder wealth effects in a heterogeneous sample of 115 European leveraged going private transactions from 1997 to 2005. Average abnormal returns as reaction to the LBO announcement amount to 24.20%. In cross-sectional regressions, we find that these value gains can largely be...

This paper addresses the issue of the relationship between financial analysts' forecasts and key governance mechanisms. We test the extent that the presence and structure of a firm's audit, remuneration and nomination committee affects both analysts' forecast errors and the dispersion of the...

The purpose of this paper is to examine the extent to which analyst's earnings forecasts are influenced by brokerage house reputations in a UK setting. We use an I/B/E/S detail earnings estimate history file, an SDC dataset for providing data on IPO underwriting activities (proceeds,...

This paper analyses the board composition and ownership structures of a sample of companies that have been acquired and those of a control sample that have not. We find significant governance differences between acquired firms and the control sample. Firms with the following characteristics were...

This paper analyses the relationship between internal and external corporate governance mechanisms and the performance of UK companies within the context of the Cadbury Committee's Code of Best Practice. The results show, first, that the market for corporate control is an effective governance...