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Published papers:

  1. Internalizing Governance Externalities: The Role of Institutional Cross-ownership,” with Jie (Jack) He and Shan Zhao, 2018, accepted for publication at the Journal of Financial Economics. [Download]
    - Featured in Columbia Law School Blue Sky Blog and Bloomberg View by Matt Levin.
    An institution’s holdings in the peers of a focal firm increase the likelihood that the institution votes against management in shareholder-sponsored governance proposals at the focal firm.
  2. The Customer Knows Best: The Investment Value of Consumer Opinions,” Journal of Financial Economics 128 (2018), 164–182. [Download] [Internet Appendix]
    - Featured in the Wall Street Journal, Oxford Business Law Blog, and HFM Week.
    Abnormal customer ratings positively predict subsequent stock returns as well as revenues and earnings surprises.
  3. Product Market Competition in a World of Cross-ownership: Evidence from Institutional Blockholdings,” with Jie (Jack) He, Review of Financial Studies 30 (2017), 2674–2718. [Download]
    Cross-ownership by institutional blockholders improves firms’ product market performance by fostering product market coordination.
  4. Capitalizing on Capitol Hill: Informed Trading by Hedge Fund Managers,” with Meng Gao, Journal of Financial Economics 121 (2016), 521545. [Download] [Internet Appendix]
    Hedge funds connected to lobbyists tend to trade more heavily in politically sensitive stocks, and they perform significantly better on politically sensitive positions than non-political positions.
  5. Institutional Investors and the Information Production Theory of Stock Splits,” with Thomas Chemmanur and Gang Hu, Journal of Financial and Quantitative Analysis 50 (2015), 413445. [Download]
    Stock splits are followed by an increase in institutional brokerage commissions, an increase in information production by brokerage houses, and an increase in the trade informativeness of institutional investors.
  6. Gender and Corporate Finance: Are Male Executives Overconfident Relative to Female Executives?” with Darren Kisgen, Journal of Financial Economics 108 (2013), 822839. [Download]
    Male executives make more acquisitions and issue more debt than female executives, but male executives’ corporate decisions are associated with lower announcement returns.
  7. The Role of Institutional Investors in Initial Public Offerings,” with Thomas Chemmanur and Gang Hu, Review of Financial Studies 23 (2010), 44964540. [Download]
    Institutional investors appear to possess an informational advantage over retail investors in IPOs.


Working papers:

  1. All the President’s Friends: Political Access and Firm Value,” with Jeffrey Brown, April 2017. [NBER Working Paper No. 23356]
    - WRDS Award for Best Paper on Empirical Finance at the 2018 WFA.

    - Featured in The Economist, Wall Street Journal, Financial Times, NPR, Politico, Fortune, CNBC, Washington Examiner, The New Yorker, Harvard Business Review, and Bloomberg (1, 2).
    - Presented at the 2017 Political Economy of Finance conference (Stigler Center at Chicago Booth) and the 2018 WFA (Coronado, CA).
    Corporate executives’ meetings with key policymakers are associated with positive abnormal stock returns and are follwed by more government contracts and higher likelihood of receiving  regulatory relief.
  2. Informing the Market: The Effect of Modern Information Technologies on Information Production,” with Meng Gao, May 2018. [Download]
    - Revise and Resubmit at the Review of Financial Studies.
    - Presented at the the 2019 AFA (Atlanta, GA), 2017 CICF (Hangzhou, China), 2018 SFS Cavalcade (New Haven, CT), 2018 FIRS (Barcelona, Spain).
    The staggered implementation of the EDGAR system leads to increased information production by individual investors and sell-side financial analysts.
  3. Pollution and Performance: Do Investors Make Worse Trades on Hazy Days?” with Nianhang Xu and Honghai Yu, June 2017. [Download]
    - Revise and Resubmit at Management Science.
    - Presented at the 2018 EFA (Warsaw, Poland).

    Air pollution negatively affects trade performance due to exacerbated investment biases such as the disposition effect and attention-driven purchase behavior.
  4. Shareholder Coordination and the Market for Corporate Control,” September 2015. [Download]
    - Presented at the 2012 WFA (Las Vegas), the 2011 Financial Intermediation Research Society (FIRS) Annual Conference (Sydney, Australia), the 2011 China International Conference in Finance (CICF), and the CGIO Academic Conference (Singapore).
    The ease of coordination, proxied using geographic proximity and social ties among institutional investors, enables institutions to play a more effective monitoring role in corporate control transactions.
  5. Dynamic Liquidity Preferences of Mutual Funds,” April 2013. [Download]
    - Presented at the 2009 AFA (San Francisco), 2008 EFA (Athens, Greece), and 2008 Singapore International Conference on Finance.
    Mutual fund managers tilt their portfolios more heavily towards liquid assets during times when expected market volatility is high.
  6. Shareholder Coordination, Corporate Governance, and Firm Value,” October 2015. [Download]
    - Presented at the 2012 Rothschild Caesarea Center Annual Academic Conference (Herzliya, Israel) and the 2012 Financial Intermediation Research Society (FIRS) Annual Conference (Minneapolis), and the 2012 EFA (Copenhagen).
    The ease of coordination among institutional shareholders is positively associated with firm value.