Publications

Educators

11 May 2015
Working Paper Summaries

What Do Private Equity Firms Say They Do?

Keywords: by Paul A. Gompers, Steven N. Kaplan & Vladimir Mukharlyamov; Financial Services

February 2002 (Revised September 2002)
Case

Competition in Japanese Financial Markets, 2002

By: Tarun Khanna and Louis P. DiLorenzo, Jr

In early 2002, Japan, the world's largest economy, had been mired in a decade-long recession. A range of stimulus packages had failed to work their magic. The "Big Bang" financial deregulation reforms announced in 1998 had not quite produced the economic boom that the... View Details

Keywords: Risk and Uncertainty; Competition; Investment Banking; Financial Markets; Globalization; Financial Crisis; Commercial Banking; Banking Industry; Japan

Working Paper

Benchmarking Against the Performance of High Profile 'Scandal' Firms

By: Emre Karaoglu, Tatiana Sandino and Randy Beatty

In recent years, several high profile firms engaged in accounting fraud that resulted in severe investor losses and erosion of trust in the capital markets. We examine high profile accounting "scandals" prosecuted by the Securities and Exchange Commission. Unlike most... View Details

Keywords: Earnings Management; Ethics; Executive Compensation; Performance Evaluation; Financial Services Industry; United States

Research Summary

International Financial Integration and Entrepreneurship (joint with Andrew Charlton)

By: Laura Alfaro

We explore the relation between international financial integration and the level of entrepreneurial activity in a country. Researchers have stressed the role of new firm activity and economic dynamism on growth. Yet, the empirical effects of international capital... View Details

2014
Article

Corporate Governance and the Financial Crisis in Italy

By: Dante Roscini

The financial crisis hit Italy harder than many other Eurozone countries. In part this was due to the fact that the crisis came upon a system that was weakened by years of sub-par economic growth. One of the several endogenous factors that explain the stagnation of the... View Details

Keywords: Corporate Governance; Financial Crisis; Italy

2023
Working Paper

Firm Visibility and Acquisition Likelihood: Evidence from Seeking Alpha Coverage

By: Pu Gu, Benjamin Yost and Yuan Zou

This study investigates whether social media coverage influences a firm’s likelihood of being acquired. Specifically, we hypothesize that coverage of a firm on the Seeking Alpha platform raises its visibility to potential acquirers and M&A advisers (i.e., investment... View Details

Keywords: Social Media; Mergers and Acquisitions; Marketplace Matching; Investment Banking

12 Sep 2023
Research & Ideas

How Can Financial Advisors Thrive in Shifting Markets? Diversify, Diversify, Diversify

broadly for other industries looking to appeal to younger clients or adapt marketing strategies to a fluid business environment. Sizing up a changing investment world Historically speaking, financial advisory View Details

Keywords: by Ben Rand; Financial Services

07 Sep 2010
News

U.S. tech firms shop abroad to avoid taxes

12 Aug 2020
Research & Ideas

Why Investors Often Lose When They Sue Their Financial Adviser

assistant professor of finance at Harvard Business School. When they do find out, they often want to sue, but they can’t. Financial services companies require customers to waive their right to litigate and instead resolve their disputes... View Details

Keywords: by Danielle Kost; Financial Services

2015
Working Paper

Misconduct in Financial Services: Differences across Organizations

By: Jennifer Brown and Dylan Minor

We examine misconduct in financial services. We propose a theory in which experts extract surplus based on the value of their firm's brand and their own skills. Using sales complaint data for insurance agents, we find that agents working exclusively for large branded... View Details

Keywords: Ethics; Insurance; Sales; Financial Services Industry; Financial Services Industry

Read Now

June 2016 (Revised May 2017)
Case

FANUC Corporation: Reassessing the Firm's Governance and Financial Policies

By: Benjamin C. Esty, Nobuo Sato and Akiko Kanno

In February 2015, Daniel Loeb (a U.S.–based activist investor) announced his firm had a large investment in FANUC Corporation, a leading producer of industrial robots and software for machine tools. Loeb was demanding that the Japanese firm change its financial and... View Details

Keywords: Hedge Funds; Economic Policy; Investments; Government Policy; Deregulation; Financial Management; Valuation; Investment Funds; Policy; Corporate Governance; Macroeconomics; Investment Activism; Change Management; Financial Strategy; Cross-Cultural and Cross-Border Issues; Japan; United States

Educators

February 2015 (Revised September 2017)
Supplement

Omar Selim: Building a Values-Based Asset Management Firm (B)

By: George Serafeim, Rebecca Henderson and Shannon Gombos

The case describes the decision of Omar Selim to set up Arabesque as an independent organization and how he organized Arabesque to use both financial and environmental, social and governance (ESG) data in order to deliver performance for its clients. View Details

Keywords: Social Entrepreneurship; Investing; Investment Management; ESG; Sustainability; Investment Banking; Leadership; Leadership & Corporate Accountability; Leadership Style; Business Model; Asset Management; Business Startups; Social Enterprise

February 2014
Article

Accountability of Independent Directors—Evidence from Firms Subject to Securities Litigation

By: Francois Brochet and Suraj Srinivasan

We examine which independent directors are held accountable when investors sue firms for financial- and disclosure-related fraud. Investors can name independent directors as defendants in lawsuits, and they can vote against their re-election to express displeasure over... View Details

Keywords: Independent Directors; Litigation Risk; Class Action Lawsuits; Director Accountability; Reputation; Boards Of Directors; Corporate Governance; Debt Securities; Corporate Accountability; Lawsuits and Litigation

January 2022 (Revised March 2022)
Module Note

Analysis of Financial and Non-Financial Information for Forecasting Performance

By: Charles C.Y. Wang

This note describes the main themes and cases of a teaching module on the analysis of information from, and outside of, financial statements for forecasting firms’ future financial performance. The module’s pedagogical goal is to deepen students’ understanding of the... View Details

Keywords: Financial Reporting; Performance; Analysis; Valuation; Accounting; Finance

26 Sep 2013
Working Paper Summaries

Playing Favorites: How Firms Prevent the Revelation of Bad News

Keywords: by Lauren Cohen, Dong Lou & Christopher Malloy; Financial Services

June 2007
Supplement

Shinsei Bank: Developing an Integrated Firm (B)

By: Thomas J. DeLong and Terence Heymann

Keywords: Banks and Banking; Business Ventures; Integration; Growth and Development; Banking Industry

07 Nov 2012
Working Paper Summaries

Causes and Consequences of Linguistic Complexity in Non-US Firm Conference Calls

Keywords: by Francois Brochet, Patricia Naranjo & Gwen Yu; Accounting

May 2007
Teaching Note

Shinsei Bank: Developing an Integrated Firm (TN)

By: Thomas J. DeLong and Terence Heymann

Keywords: Banks and Banking; Business Ventures; Integration

October 1990
Article

Troubled Debt Restructurings: An Empirical Analysis of Private Reorganization of Firms in Default

By: S. C. Gilson, J. Kose and L. H. P. Kang

This study investigates the incentives of financially distressed firms to restructure their debt privately rather than through formal bankruptcy. In a sample of 169 financially distressed companies, about half successfully restructure their debt outside of Chapter 11.... View Details

Keywords: Theory; Insolvency and Bankruptcy; Restructuring