All Outputs (18)

Generalist CEOs and stock price crash risk (2024)
Journal Article
Fang, X., Girardone, C., Li, Y., & Zeng, Y. (2024). Generalist CEOs and stock price crash risk. Journal of Business Finance and Accounting, https://doi.org/10.1111/jbfa.12804

We investigate whether generalist chief executive officers (CEOs), that is, CEOs who gain transferable skills across firms and industries, have less incentive to hoard bad news. To address endogeneity concerns stemming from firm–CEO matching, we depl... Read More about Generalist CEOs and stock price crash risk.

Do young CEOs matter for corporate digital transformation? (2024)
Journal Article
Zou, Z., Fu, J., Zeng, Y., & Huang, Y. (2024). Do young CEOs matter for corporate digital transformation?. Economics Letters, 237, Article 111636. https://doi.org/10.1016/j.econlet.2024.111636

This paper investigates the empirical relation between CEO age and corporate digital transformation. Using a sample of Chinese listed firms between 2007 and 2022, we find that younger CEOs exhibit a higher propensity to engage in di... Read More about Do young CEOs matter for corporate digital transformation?.

Managing liquidity along the supply chain: Supplier-base concentration and corporate cash policy (2024)
Journal Article
Di, L., Jiang, W., Mao, J., & Zeng, Y. (2024). Managing liquidity along the supply chain: Supplier-base concentration and corporate cash policy. European Financial Management, https://doi.org/10.1111/eufm.12479

We find that customer firms with more concentrated supplier bases tend to hold higher levels of cash reserves. The positive relation between supplier-base concentration and cash holdings is more pronounced for firms with non-state ownership, higher m... Read More about Managing liquidity along the supply chain: Supplier-base concentration and corporate cash policy.

Your gender identity is who you are: Female chief executive officers and corporate debt structure (2023)
Journal Article
Huang, Y., Zhu, Q., Yan, C., & Zeng, Y. (2023). Your gender identity is who you are: Female chief executive officers and corporate debt structure. International Journal of Finance and Economics, https://doi.org/10.1002/ijfe.2923

By leveraging sample data from S&P 1500 companies for the 1993–2021 period, we execute an empirical examination of the effects of chief executive officer (CEO) gender on a company’s debt structure. We find that after endogeneity is controlled, compan... Read More about Your gender identity is who you are: Female chief executive officers and corporate debt structure.

Precautionary motive or private benefit motive for holding cash: Evidence from CEO ownership (2023)
Journal Article
Yin, C., Sun, W., & Zeng, Y. (2023). Precautionary motive or private benefit motive for holding cash: Evidence from CEO ownership. International Review of Financial Analysis, 90(November 2023), Article 102820. https://doi.org/10.1016/j.irfa.2023.102820

This study examines how CEO ownership affects the motivation of firms to hold cash. We document a monotonic and positive relationship between CEO ownership and cash holdings. The effect is more pronounced for firms with higher firm-specific risk and... Read More about Precautionary motive or private benefit motive for holding cash: Evidence from CEO ownership.

Flight to Lottery Ahead of FOMC Announcements: Institutional Investors or Retail Investors? (2023)
Journal Article
Guo, H., Hung, C. D., Kontonikas, A., & Zeng, Y. (2023). Flight to Lottery Ahead of FOMC Announcements: Institutional Investors or Retail Investors?. British Journal of Management, https://doi.org/10.1111/1467-8551.12755

This paper studies the pre-Federal Open Market Committee (FOMC) announcement drift at the stock level. We hypothesize that investors have a higher propensity to speculate before the monetary policy announcements by the FOMC, due to the resolution of... Read More about Flight to Lottery Ahead of FOMC Announcements: Institutional Investors or Retail Investors?.

How Does Firm-Specific Investor Sentiment Affect the Value of Corporate Cash Holdings? (2022)
Journal Article
Guo, H., Yin, C., & Zeng, Y. (2023). How Does Firm-Specific Investor Sentiment Affect the Value of Corporate Cash Holdings?. British Journal of Management, 34(1), 410-441. https://doi.org/10.1111/1467-8551.12602

We document a positive relation between firm-specific investor sentiment (FSIS) and the value of cash. We also show that FSIS has a stronger positive effect on the value of cash than the value of other types of assets, suggesting that our finding is... Read More about How Does Firm-Specific Investor Sentiment Affect the Value of Corporate Cash Holdings?.

Abnormal Investment and Firm Performance (2021)
Journal Article
Liu, S., Yin, C., & Zeng, Y. (2021). Abnormal Investment and Firm Performance. International Review of Financial Analysis, 78, Article 101886. https://doi.org/10.1016/j.irfa.2021.101886

We find a negative relation between abnormal investment and future stock performance. Such a negative relation is mainly driven by under-investment, not overinvestment. Our results are robust to various estimation methods and investment models. Both... Read More about Abnormal Investment and Firm Performance.

Financial Hedging, Corporate Cash Policy, and the Value of Cash (2021)
Journal Article
Sun, W., Yin, C., & Zeng, Y. (2022). Financial Hedging, Corporate Cash Policy, and the Value of Cash. British Journal of Management, 33(3), 1271-1303. https://doi.org/10.1111/1467-8551.12520

We study the implications of financial hedging for corporate cash policy and the value of cash holdings. Using a web crawler program to collect data on the use of financial derivatives between 1993 and 2016, we find that US public firms with financia... Read More about Financial Hedging, Corporate Cash Policy, and the Value of Cash.

Financial Hedging and Corporate Investment   (2021)
Journal Article
Alexandridis, G., Chen, Z., & Zeng, Y. (2021). Financial Hedging and Corporate Investment  . Journal of Corporate Finance, 67, Article 101887. https://doi.org/10.1016/j.jcorpfin.2021.101887

Building on the well-documented relationship between corporate financial hedging and firms’ borrowing costs, this study examines the impact of utilizing financial derivative instruments on corporate investment. We document that engaging in financial... Read More about Financial Hedging and Corporate Investment  .

Motivated Monitoring by Institutional Investors and Firm Investment Efficiency (2019)
Journal Article
Ward, C., Yin, C., & Zeng, Y. (2020). Motivated Monitoring by Institutional Investors and Firm Investment Efficiency. European Financial Management, 26(2), 348-385. https://doi.org/10.1111/eufm.12232

We find that motivated monitoring by institutional investors mitigates firm investment inefficiency, estimated by Richardson's (2006) approach. This relation is robust when using the annual reconstitution of the Russell indexes as exogenous shocks to... Read More about Motivated Monitoring by Institutional Investors and Firm Investment Efficiency.

The impact of top executive gender on asset prices: Evidence from stock price crash risk (2019)
Journal Article
Li, Y., & Zeng, Y. (2019). The impact of top executive gender on asset prices: Evidence from stock price crash risk. Journal of Corporate Finance, 58, 528-550. https://doi.org/10.1016/j.jcorpfin.2019.07.005

We examine the implication of executive gender on asset prices. Using a large sample of US public rms during 2006{2015, we nd a negative association between female CFOs and future stock price crash risk. However, the impact of female CEOs on crash ri... Read More about The impact of top executive gender on asset prices: Evidence from stock price crash risk.

Institutional cross-ownership and corporate strategy: The case of mergers and acquisitions (2017)
Journal Article
Brooks, C., Chen, Z., & Zeng, Y. (2018). Institutional cross-ownership and corporate strategy: The case of mergers and acquisitions. Journal of Corporate Finance, 48, 187-216. https://doi.org/10.1016/j.jcorpfin.2017.11.003

This article provides new evidence on the important role of institutional investors in affecting corporate strategy. Institutional cross-ownership between two firms not only increases the probability of them merging, but also affects the outcomes of... Read More about Institutional cross-ownership and corporate strategy: The case of mergers and acquisitions.

Institutional investor monitoring motivation and the marginal value of cash (2017)
Journal Article
Ward, C., Yin, C., & Zeng, Y. (2018). Institutional investor monitoring motivation and the marginal value of cash. Journal of Corporate Finance, 48, 49-75. https://doi.org/10.1016/j.jcorpfin.2017.10.017

This paper examines whether the motivation of institutional investors in monitoring a firm is positively related to the relative importance of the firm's stock in their portfolios. We find that greater motivated monitoring institutional ownership is... Read More about Institutional investor monitoring motivation and the marginal value of cash.

Financial Hedging and Firm Performance: Evidence from Cross-border Mergers and Acquisitions (2016)
Journal Article
Chen, Z., Han, B., & Zeng, Y. (2017). Financial Hedging and Firm Performance: Evidence from Cross-border Mergers and Acquisitions. European Financial Management, 23(3), 415-458. https://doi.org/10.1111/eufm.12103

Using a sample of 1,369 cross‐border acquisitions announced by Standard & Poor's 1500 firms between 2000 and 2014, we find strong evidence that derivatives users experience higher announcement returns than non‐users, which translates into a US$ 193.7... Read More about Financial Hedging and Firm Performance: Evidence from Cross-border Mergers and Acquisitions.

Does access to capital affect cost stickiness? Evidence from China (2016)
Journal Article
Cheng, S., Jiang, W., & Zeng, Y. (2018). Does access to capital affect cost stickiness? Evidence from China. Asia-Pacific Journal of Accounting & Economics, 25(1-2), 177-198. https://doi.org/10.1080/16081625.2016.1253483

We study the effect of limited access to capital on firm cost stickiness, using data from a large sample of Chinese private firms over 1998–2007. Our results show that on average SG&A costs are anti-sticky. For firms in regions with lower levels of f... Read More about Does access to capital affect cost stickiness? Evidence from China.

Institutional investors: Arbitrageurs or rational trend chasers (2016)
Journal Article
Zeng, Y. (2016). Institutional investors: Arbitrageurs or rational trend chasers. International Review of Financial Analysis, 45, 240-262. https://doi.org/10.1016/j.irfa.2016.03.006

This paper studies the relationship between institutional investor holdings and stock misvaluation in the U.S. between 1980 and 2010. I find that institutional investors overweigh overvalued and underweigh undervalued stocks in their portfolio, takin... Read More about Institutional investors: Arbitrageurs or rational trend chasers.

State ownership, bank loans, and corporate investment. (2014)
Journal Article
Jiang, W., & Zeng, Y. (2014). State ownership, bank loans, and corporate investment. International Review of Economics and Finance, 32, 92-116. https://doi.org/10.1016/j.iref.2014.01.009

We study the effect of bank loans on Chinese publicly listed firms' investment decisions based on the underinvestment and overinvestment theories of leverage. Evidence from China is of particular importance because China is the world's largest emergi... Read More about State ownership, bank loans, and corporate investment..