Author name: Patricia Ponce

Optimal Capital Structure with Stock Market Feedback
Caio Machado, Ana Elisa Pereira
Review of Finance, Volume 27, Issue 4, July 2023, Pages 1329–1371, https://doi.org/10.1093/rof/rfac056

By aggregating the views of many investors, asset prices convey information that guides firm managers in their investment decisions.… Read more...

Social Interaction in the Family: Evidence from Investors’ Security Holdings
Samuli Knüpfer, Elias Rantapuska, Matti Sarvimäki
Review of Finance, Volume 27, Issue 4, July 2023, Pages 1297–1327, https://doi.org/10.1093/rof/rfac060

Investors tend to hold the same securities as their parents. Figure I illustrates this fact using register-based data that cover the entire investor population in Finland in 2004–2008.… Read more...

Precious Neighbors: The Value of Co-Locating with the Government
Jörg R Stahl
Review of Finance, Volume 27, Issue 4, July 2023, Pages 1269–1296, https://doi.org/10.1093/rof/rfac063

Firm headquarters are overwhelmingly concentrated in capital cities, more so than the rest of economic activity.… Read more...

Expanding Footprints: The Impact of Passenger Transportation on Corporate Locations
Yatang Lin, Yu Qin, Johan Sulaeman, Jubo Yan, Jialiang Zhang
Review of Finance, Volume 27, Issue 3, May 2023, Pages 1119–1154, https://doi.org/10.1093/rof/rfac049

Corporate expansions of geographic footprints may reduce its exposure to local economic shocks and allow firms to exploit potential investment opportunities, but face substantial challenges, such as higher monitoring cost and more difficult access to information.… Read more...

The Value of Employee Satisfaction in Disastrous Times: Evidence from COVID-19
Chenyu Shan, Dragon Yongjun Tang
Review of Finance, Volume 27, Issue 3, May 2023, Pages 1027–1076, https://doi.org/10.1093/rof/rfac055

We examine stock price performance during the COVID-19 to understand the value of employee satisfaction.… Read more...

Mobile Apps and Financial Decision Making
Bruce Carlin, Arna Olafsson, Michaela Pagel
Review of Finance, Volume 27, Issue 3, May 2023, Pages 977–996, https://doi.org/10.1093/rof/rfac040

Does the availability of new technology equip consumers to make better financial decisions? Ostensibly yes, if people have easier access to information, they should be able to avoid mistakes.… Read more...

A New Wolf in Town? Pump-and-Dump Manipulation in Cryptocurrency Markets
Anirudh Dhawan, Talis J Putnins
Review of Finance, Volume 27, Issue 3, May 2023, Pages 935–975, https://doi.org/10.1093/rof/rfac051

Cryptocurrency markets witness a unique form of pump-and-dump manipulation. Manipulators use social media platforms such as Telegram to run open chat groups in which they publicly declare that they are pumping a given cryptocurrency (or “coin”) and urge others to join.… Read more...

The Real Effects of Judicial Enforcement
Vincenzo Pezone
Review of Finance, Volume 27, Issue 3, May 2023, Pages 889–933, https://doi.org/10.1093/rof/rfac050

Well-functioning legal institutions are crucial for enforcing contracts and facilitating transactions. For this reason, improving judicial enforcement, and in particular speeding up trial resolution by courts, has been a priority for many judicial systems.… Read more...

Gate Fees: The Pervasive Effect of IPO Restrictions on Chinese Equity Markets
Charles M C Lee, Yuanyu Qu, Tao Shen
Review of Finance, Volume 27, Issue 3, May 2023, Pages 809–849, https://doi.org/10.1093/rof/rfac044

Due to tight IPO regulations, unlisted firms seeking access to public equity markets in China face substantial costs.… Read more...

Do IPO Firms Become Myopic?
Vojislav Maksimovic, Gordon Phillips, Liu Yang
Review of Finance, Volume 27, Issue 3, March 2023, Pages 765–807, https://doi.org/10.1093/rof/rfac054

Do short-term pressures to meet earnings expectations cause myopic investment distortions, whereby public firms under-respond to market opportunities?… Read more...