Professor Emeritus of Accounting
David Aboody’s focus on empirical financial accounting can be organized into two separate areas: hedge fund strategies and the interaction between executive compensation and firm decisions or actions. He examines the effects of accounting discretion on the value of a firm and the behavior of its managers. In providing such discretion, a central tradeoff occurs between communication to capital markets and opportunism by managers.
Less sophisticated investors reveal their sentiment in certain trades, and a 20-year study measures it company by company
Research might give pause to corporate boards changing compensation models