Bank capital is an important determinant of secondary market liquidity of loans that a bank originates and syndicates. Higher bank capital is associated with significantly narrower loan bid-ask spreads. This effect is stronger when banks are subject to more external financing frictions and...

Using a new dataset on syndicated loan primary market pricing adjustments, we examine whether relationship banks' information advantage facilitates price discovery in loan issuances. We find that the lead bank makes fewer adjustments to the initial pricing terms of a syndicated loan and shortens...

Using NASDAQ reported individual stock level trading volume, we find that analyst research coverage on a stock increases an affiliated broker's market share of trading volume in that stock by 0.8 percent, on average, which corresponds to an additional annual volume of about one million shares in...