Jung Hoon Lee, Saurin Patel, and Shyam Sunder Venkatesan ♦ Mutual fund families increasingly outsource the portfolio management task to external advisors. The high-powered incentive contract offered to external advisors, presumably an optimal outcome, implicitly creates convexity in their payoff.…
Charles W. Calomiris, Harry Mamaysky, and Ruoke Yang ♦ We derive a measure of firm-level regulatory exposure from corporate earnings calls text and study its effects on growth, leverage, profitability, and equity returns. Higher regulatory exposure results in slower sales…
Roel Beetsma, Svend Erik Hougaard Jensen, David Pinkus, and Dario Pozzoli ♦ This paper examines how domestic pension fund equity investment relates to productivity in unlisted firms, using detailed ownership data linked to Danish administrative registers. Pension fund entry is…
Ke Na, Terry Shevlin, Youan Wang, and Zigan Wang ♦ We find that the effect of political connections on tax planning depends on firms’ financial conditions. After increased political connections, financially unconstrained firms increase tax planning and spending on tax services,…
Jiajie Xu ♦ This paper examines how place-based tax incentives impact local private investments and entrepreneurship by studying the U.S. Opportunity Zone program targeting economically disadvantaged neighborhoods. Using a difference-in-differences approach across census tracts, I find that while the policy…
Hao Jiang, Christopher A. Parsons, Lin Sun, and Sheridan Titman ♦ Firms employing more H-1B visa holders realize abnormally high stock returns, particularly on earnings announcement dates. Excess returns are higher in talent clusters: doubling the number of H-1B workers…
