Topic: Investing
A Solution to the Debate over Momentum’s Cause?
Investors may underreact when information arrives in small, continuous bits
What Happens to Pesos When Dollars Go Digital?
As major central banks adopt digital currency, emerging countries will feel mixed effects
Banks Transmit Financial Shocks, Including from Natural Disasters
How a localized flood may result in fewer loans to a far-off community
What Limited Attention Does to Efficient Market Theory
Stocks don’t react to news immediately because, well, we’re human
ESG Investors in China Focused on Profit Potential of Climate Change
Less attention to downside of nation’s carbon-neutral goals
How Much Debt Can the Government Roll Over Forever?
Public bonds compete against other investments; a model of that relationship
The Debt Market’s Indirect Antidote to ESG Greenwashing
Loans that include a sweetener or penalty tied to ESG performance seem to induce more honest reporting
When Individuals Concentrate in a Stock, Earnings Surprises Play Out Differently
Price movements can be more extreme
As Concentrated Shareholder Ownership Rises, Wages and Employment Suffer
Where big investors gather, corporate wealth is reallocated away from workers
How a Stock Analyst’s Face Affects Their Earning Estimates
Trustworthy and dominant-seeming men: access to corporate management. Dominant-seeming women: not so much.
How to Properly Incentivize Your Unicorn Finder
VCs and other investors need a contract with their seeker that blunts conflicts of interest
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
Across 145 Years and 17 Countries, a Common Thread in Risky Credit Booms
Do investors misprice assets, revise their risk appetite or make some other misjudgment?
A Different Way to Evaluate Private Equity Performance
An approach tailored to investor risk appetite and more comparable to stocks
A Simplified Tax Code and Post-Communist Growth
Study suggests flat tax systems boosted GDP in former Soviet republics and satellites
Looming Risk to Financial System: $1 Trillion in Commercial Loan Pools
Known as collateralized loan obligations, their aim is actually to reduce risk