We study put option sales undertaken by corporations during their repurchase programs. Put sales' main theoretical motivation is market timing, providing an excellent framework for studying whether security issues reflect managers' ability to identify mispricing. Our evidence is that these bets...

The average dividend yield on the Czech capital market from 1995 to 1999 was 4.8%. Stocks with high dividend yields (5.5%) exhibited non-rational price pressures after their ex-dividend date. The average over-the-period return in the four days following the ex date was negative 4.7% ? stock...

We review the literature on return and cash flow growth predictability form the perspective of the present-value identity. We focus predominantly on recent work. Our emphasis is on U.S. aggregate stock return predictability, but we also discuss evidence from other asset classes and countries.

This paper documents a relation between the shareholder base and payout policy. Consistentwith the idea that the shareholder base is related to the cost of external financing we find thatfirms with small shareholder bases have lower payout levels and maintain higher cash holdingsthan firms with...

We examine the relation between the shareholder base and payout policy. Consistent with the idea that the shareholder base is related to the cost of external financing we find that fi rms with small shareholder bases have lower payout levels and maintain higher cash holdings. We show that...

Taking advantage of the unique Canadian setting where two governance mechanisms coexist, this study empirically examines the impact of the presence of the board of directors, as an internal governance mechanism, on fees and performance of mutual funds. Furthermore, the impact of the board...

This paper investigates the effect of liquidity on the ex-dividend day price premium. It is well documented that prices drop less than the dividend amount on the ex-day; this market inefficiency is generally attributed to the tax-induced clientele effect and various structural frictions. We show...

This paper investigates the informational content of dividend announcements and analyzes the impact of dividend announcements by firm size and dividend growth using a sample from the emerging market of Sri Lanka. Consistent with prior evidence from developed stock markets, we find that dividends...

This paper examines order flows around ex-dividend dates on the Taiwan Stock Exchange. Not only does Taiwan's tax code allow us to separate the tax hypothesis from other explanations, but Taiwan's data also permits us to examine the heterogeneity of investors' behavior around ex-dividend dates....

We examine ex-dividend day behavior on the Copenhagen Stock Exchange. We report price drop ratios of 25%, well below the 70-80% from U.S. data. The tax clientele hypothesis predicts ratios between 57% and 126% based on the Danish tax structure. Our results conflict with tax and tick size models,...