Working Paper

The Information Content of Municipal Financial Statements: Large-sample Evidence

The usefulness of financial disclosures is a source of considerable debate in the municipal setting, given their lack of timeliness. This paper empirically examines the extent to which municipal financial disclosures have information content. Using …

Board Diversity and Shareholder Voting

The lack of board diversity across gender and race has been one of the most controversial topics in corporate board governance in recent years. Given the central role that shareholders have in approving director appointments, we investigate whether …

Disclosure Processing Costs and Market Feedback Around the World

We study how changes in disclosure processing costs affect managers’ ability to learn from their own firms’ stock prices. To provide evidence on this issue, we examine country-level adoptions of centralized electronic disclosure systems (CEDS). These …

Retail Bond Investors and Credit Ratings

Using comprehensive data on U.S. corporate bond trades since 2002, we find evidence that retail bond investors appear to over-rely on untimely credit ratings, neglect firm fundamentals, and misunderstand the trade-off between bond risk and yields. …