Financial Management articles from June 1998

Financial Management archives from June 1998

Market efficiency and the returns to technical analysis. (includes appendix)
June 22, 1998... Most academic studies of technical analysis, including Fama and Blume (1966) and Jensen and Benington (1970), conclude that technical analysis is not useful. In contrast, a more recent study by Brock, Lakonishok, and LeBaron (1992) demonstrates...

The January effect in the corporate bond market: a systematic examination.
June 22, 1998... The January or turn-of-the-year effect is defined in the literature as a positive risk-adjusted premium for holding a security in January. It is a pervasive, well-documented anomaly in the financial markets. The anomaly has been established in...

The information content of corporate offerings of seasoned securities: an empirical analysis.
June 22, 1998... US corporations raised an average of $287.84 billion annually in public sales of debt and equity securities between 1980 and 1993 (Investment Dealers' Digest, 1994). In general, the market reacts unfavorably to the announcements of these security...

The performance of white-knight management.
June 22, 1998... In September 1987, the Tonka Corporation, a toy manufacturer, entered the control contest for Kenner Parker Toys as a "white knight" to save Kenner Parker from New World Entertainment Ltd. As a result of the bid, Tonka's shareholders lost $13.5...

Streamlining the bankruptcy process.
June 22, 1998... The current Chapter 11 bankruptcy process suffers from two major problems: 1) it is quite costly (Altman, 1984; John, 1993; Betker, 1997; and Branch, 1997), and 2) nonviable firms are often reorganized (Hotchkiss, 1996). In this paper, I propose...

Insider trading liability and enforcement strategy. (includes appendix)
June 22, 1998... On the grounds that insider trading undermines investor confidence in the fairness and integrity of the securities markets, the Securities and Exchange Commission (SEC) has made the detection and prosecution of illegal insider trading one of its...

Full-information industry betas. (includes appendix)
June 22, 1998... A cost of capital estimate is a critical input into the capital-budgeting process of corporations, the valuation of privately held companies, the assessment of property value for tax purposes, and the pricing of services in regulated industries....