Market Returns to Acquirers of Substantial Assets

Age Distributions and Returns of Financial Assets

This paper explores the relationship between age distribution and asset returns impled by an overlapping-generations asset pricing model. The model predicts that as more individuals reach the age when the increment to their wealth reaches its maximum, asset returns fall. Cross-sectional evidence from the Survey of Financial Characteristics of Consumers and the Surveys of Consumer Finances indic...

Agency, Ownership, and Returns on Real Assets

Institutions commonly purchase fully utilized, prime properties of “institutional quality,” while other investors buy both underutilized and subprime properties. Managers of institutions with well diversified, liquid portfolios claim to be averse to the additional risk and illiquidity of noninstitutional assets. This behavior and its puzzling explanation are predicted by this dynamic model of c...

Earnings management, lawsuits, and stock-for-stock acquirers’ market performance

There is a positive association between stock-for-stock acquirers’ pre-merger abnormal accruals and post-merger announcement lawsuits. The market only partially anticipates the effects of post-merger announcement lawsuits at the merger announcement and the post-merger announcement long-term market underperformance is largely limited to litigated acquisitions. Overall, the evidence suggests that...

Comparative Study of Capital Assets Pricing Models (CAPM) with Extrapolating Capital Assets Pricing Models (X-CAPM) in Tehran Exchange Market

The main objective of this article is to present a comparative study of capital assets pricing models (CAPM) with extrapolating capital assets pricing models (X-CAPM) of companies admitted in Tehran Exchange Market which is accomplished for the first time by investigators of this research in Iran. Accordingly, the statistical population under study of this research includes all companies admitt...

The Estimation of Psychic Returns for Cultural Assets