Journal ArticleDOI
The impact of international cross listings on risk and return
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In this article, the authors examined the impact of the listing of American Depository Receipts (ADRs) on the risk and return of the underlying stocks and found that ADRs are associated with positive abnormal returns to the underlying stock on the listing day.Abstract:
This paper examines the impact of the listing of American Depository Receipts (ADRs) on the risk and return of the underlying stocks. We find that the listing of ADRs is associated with positive abnormal returns to the underlying stock on the listing day. In addition, our results suggest that the listing of ADRs are associated with permanent increases in the return volatilities of the underlying stocks. We interpret this evidence as consistent with the existence of informed traders in the markets in which the ADRs and the underlying stocks trade.read more
Citations
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Journal ArticleDOI
Why are Foreign Firms Listed in the U.S. Worth More
TL;DR: This article showed that growth opportunities are more highly valued for firms that choose to cross-list in the U.S., particularly those from countries with poorer investor rights, even after controlling for a number of firm and country characteristics.
Journal ArticleDOI
The Effects of Market Segmentation and Investor Recognition on Asset Prices: Evidence from Foreign Stocks Listing in the United States
TL;DR: In this article, the authors show that share price changes are robust to changing market risk exposures and are related to an expansion of the shareholder base and to the amount of capital raised at the time of listing.
Journal ArticleDOI
The market reaction to international cross-listings:: evidence from Depositary Receipts
TL;DR: In this article, the authors examined the stock price impact of international dual listings and found that the market reaction to a Depositary Receipt program is larger in magnitude and more pervasive than previously reported.
Journal ArticleDOI
Protection of Minority Shareholder Interests, Cross-listings in the United States, and Subsequent Equity Offerings
TL;DR: In this article, the authors examined the hypothesis that non-US firms cross-list in the United States to increase protection of their minority shareholders, and they found evidence consistent with each of these predictions.
Journal ArticleDOI
Why Do Companies List Shares Abroad?: A Survey of the Evidence and Its Managerial Implications
TL;DR: In this paper, the authors survey the academic literature on the economic implications of the corporate decision to list shares on an overseas stock exchange, focusing on the valuation and liquidity effects of the listing decision, and the impact of listing on the company's global risk exposure and its cost of equity capital.
References
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Book
Practical Nonparametric Statistics
TL;DR: Probability Theory. Statistical Inference. Contingency Tables. Appendix Tables. Answers to Odd-Numbered Exercises and Answers to Answers to Answer Questions as discussed by the authors.
Journal ArticleDOI
A Theory of Intraday Patterns: Volume and Price Variability
Anat R. Admati,Paul Pfleiderer +1 more
TL;DR: In this paper, the authors developed a theory that concentrated trading patterns arise endogenously as a result of the strategic behavior of liquidity traders and informed traders and provided a partial explanation for some of the recent empitical findings concerning the patterns of volume and price variability in intraday transaction data.
Journal ArticleDOI
Stock return variances: The arrival of information and the reaction of traders
TL;DR: In this paper, the authors consider three explanations for the volatility of asset prices during exchange trading hours than during non-trading hours: public information which is more likely to arrive during normal business hours, private information which affects prices when informed investors trade, and pricing errors that occur during trading.
Journal ArticleDOI
On corporate governance: A study of proxy contests
Peter Dodd,Jerold B. Warner +1 more
TL;DR: In this paper, the authors examined a sample of firms experiencing proxy contests for seats on their board of directors and found that regardless of proxy contest outcome, positive and statistically significant share price performance was associated with the contest.
Related Papers (5)
The market reaction to international cross-listings:: evidence from Depositary Receipts
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Vihang R. Errunza,Etienne Losq +1 more