We study the effect of private investor contractual governance on the likelihood of an entrepreneurial firm going public versus being acquired. On one hand, we may expect that the use of strong investor control contracts improves entrepreneurial firm governance and increases the probability of going public. On the other hand, we may expect that founding entrepreneurs generally prefer to maintai...

In this paper, I examine the relation between Integrated Reporting (IR) and the composition of a firm’s investor base. I hypothesize and find that firms that practice IR have a more long-term oriented investor base with more dedicated and fewer transient investors. This result is more pronounced for firms with high growth opportunities, not controlled by a family, operating in ‘sin’ industries,...

This paper examines the differences in accrual-based and real earnings management across countries from the perspective of investor protection. Following prior research (Leuz et al., 2003), we hypothesize that accrual-based earnings management is more constrained by strict discipline in countries with stronger investor protection. For real earnings management in countries with stronger investor...

This paper devotes a first and direct attention on the feedback trading behaviors of one of the largest investor populations in the world. Using a unique data set of historical stock transaction, we examine cross-sectional and time-varying buy-sell activities of Chinese investor as a function of a series of stock returns in past. The time-horizons over which investors trade in response to retur...

Following the COVID-19 breakout, investment in shares, mutual funds, and life insurance are witnessing a growing trend India. Hence, examining determinants of investor preferences is necessary to maintain positive trend. This study analyzes impact motives awareness on using data collected from 753 Indian investors 2020. Factor analysis grouped into six categories, namely Nature investments, Fut...

This paper studies the dynamics of investor overconfidence. Using the deviation from his benchmark index as a proxy for confidence, we show that the average mutual fund manager tends to boost his confidence to a larger extent after receiving confirming public signals than to decrease it after disconfirming public signals. This bias is stronger among inexperienced managers and is largely absent ...

In the wake of corporate transgressions and scandals, how do apologizers’ expressed emotions affect investors’ perceptions of the organization in question? We analyzed the market effects of normative versus deviant facial affect expressed during apologies for corporate wrongdoing. Archival data revealed that the expression of deviant affect was associated with decreased investor confidence in t...

We analyze time series of investor expectations of future stock market returns from six data sources between 1963 and 2011. The six measures of expectations are highly positively correlated with each other, as well as with past stock returns and with the level of the stock market. However, investor expectations are strongly negatively correlated with model-based expected returns. The evidence i...

this research intends to investigate the relationship between financial information transparency and investor behavior in tse, in order to provide safety trade and improve performance of the financial market in iran. in last decade transparency of the financial market has been known as one of the most effective variables in determining investor strategy. this study examines perception of transp...