Topic: Investing
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 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
Is Post-Earnings Announcement Drift a Thing? Again?
Considered dead, the phenomenon resurfaces in two studies — which are critiqued in a third paper
Lack of Urgency Can Undermine a Popular Behavioral Nudge
Encouraging pre-commitment to a future behavior helps people do hard things — but it can backfire
Largest Firms’ Stock Gains Skew Big Picture on Worker-Owner Income Division
Wage earners get larger (relative) share at smaller companies, not at giants like Apple, Alphabet and Amazon
Lending to Startups: Not as Risky as You’d Think
Entrepreneurs borrow between equity funding rounds with a strong record of repaying debts
Looming Risk to Financial System: $1 Trillion in Commercial Loan Pools
Known as collateralized loan obligations, their aim is actually to reduce risk
Low-Quality Earnings: The Uncoupling of Stock Price from Fundamentals
Studying Chinese A and B shares reveals investor uncertainty
Market Bubbles Aren’t Entirely Irrational Exuberance
A model examines the relationships between innovation, speculation and market values
Momentum Investing: It Works, But Why?
After a quarter century of sprawling study, it’s time to narrow the focus and settle on an explanation
More Money Into Stock Index Funds Suggests Lower Future Returns
As index fees decline, will funds draw big money away from bonds?
Nursing Home Industry Profits Obscured by Related-Party Transactions
Management and real estate deals to owners’ firms siphon off most profits
Often Reviled, Short Sellers Are Newly Vulnerable to the Meme Mob
A short squeeze can ripple across short sellers’ positions
One Data Set That Warns Against Margin Trading
As a group, Chinese futures traders more likely to suffer margin call than to profit
One Way the Stock Market Sends Signals to Bond Traders
Thin stock trading, amid both price volatility and a period of potential economic change, leads bond investors to seek a higher yield