Area: Finance
Fed Policy Helped Distressed Homeowners But Wasn’t a Cure-All
Modifications curtailed foreclosures during 2008-09 crisis, but borrowers remained at high risk of delinquency
Financial Constraints on Intermediaries Cause Asset Mispricing
Real-world bond data reveals how the capital positions and liquidity of middlemen affect prices of securities they broker
GameStop Aside, Retail Investors Might be Terrible at Momentum Investing
Using Chinese A and B shares, institutional players outperform individuals
Heading for a Divorce? Might Want to Go Easy on Stock Picking
Active traders lose their edge as a marital breakup approaches
How an Excess of Stock Analyst Optimism Lands on Companies Least Deserving of It
Results of financially weak firms are difficult to forecast; in uncertainty, Wall Street’s views are overly generous
How Commodity Price Swings Destabilize Bank Relationships
Small firms in Peru shop nationwide for cheap credit, but loyalty runs two ways
How ETFs Muffle Stock Market Feedback to Managers
The rise of passive investing leaves companies mistrusting market signals on how best to deploy capital
How Life Insurers Insulate the Markets from Turmoil
Valentin Haddad’s research finds that insurers’ patient investing shields risky assets — and those who hold them — from steeper declines
How Much Debt Can the Government Roll Over Forever?
Public bonds compete against other investments; a model of that relationship
How Tech’s Disruption Alters Investors’ Appetite for Risk
New technology’s upending of the old creates demand for alternative assets to offset risk
How Will You Spend Your IPO Windfall?
“Uh, I already bought a house”: Tech workers spend ahead of actual stock sales
Ignorance — About One’s Investments, Anyway — Isn’t Always Bliss
Valentin Haddad’s research looks at the phenomenon of “information aversion,” when individual investors stop tracking their portfolios for fear of bad news
In a Crisis, Solvent Borrowers are Overcharged, Subsidizing Troubled Bank Clients
An unusual data trove from Greece’s economic collapse reveals the practice
In China, Big Investors Have Brilliant Timing ― Or Do They Know Someone?
A scan of a million brokerage accounts finds the wealthy trade ahead of market-moving news
Inclusion in an ETF Can Improve the Pricing of Underlying Stocks
It can also help management make capital expenditure decisions
It’s a Startup — and Almost Certainly a Future Acquisition by a Tech Giant
Patent histories show entrepreneurs focused on exit strategy