Anurag A Mehrotra, Adam D Nowak, and Patrick S Smith
Review of Finance, Volume 29, Issue 5, September 2025, Pages 1369–1395, https://doi.org/10.1093/rof/rfaf038
This paper tests for a principal-agent conflict in mortgage markets by examining the effect of securitization on servicers’ choice of asset liquidation channels: short sale versus real estate owned (REO).… Read more...
The effect of mortgage securitization on asset liquidation decisions Read More »
Tarun Ramadorai, Antoine Uettwiller, and Ansgar Walther
Review of Finance, Volume 29, Issue 5, September 2025, Pages 1337–1367, https://doi.org/10.1093/rof/rfaf017
In this paper, we examine the heterogeneity in firms’ data extraction practices and privacy policies using a comprehensive dataset covering over 5,000 U.S.… Read more...
Privacy policies and consumer data extraction: evidence from US firms Read More »
Lin William Cong, Yuanyu Qu, and Guojun Wang
Review of Finance, Volume 29, Issue 5, September 2025, Pages 1303–1336, https://doi.org/10.1093/rof/rfaf033
Environmental monitoring faces data manipulation issues, undermining protection efforts. Blockchain technology offers a solution with its tamper-proof nature, enhancing data reliability.… Read more...
Blockchains for environmental monitoring: theory and empirical evidence from China Read More »
We are pleased to announce that Issue 5 of Volume 29 of the Review of Finance is now available.
To access the complete issue, please click here.… Read more...
Issue 5 of Volume 29 of the Review of Finance is now available! Read More »
Tu Nguyen, Sandy Suardi, Jing Zhao
Review of Finance, Volume 29, Issue 4, July 2025, Pages 1259–1302, https://doi.org/10.1093/rof/rfaf026
This study investigates the systemic implications of industry tournament incentives—the external pay disparities among CEOs across similar firms—for financial stability. Motivated by Coles, Li, and Wang (2020), who argue that industry tournament incentives increase managerial risk-seeking behavior, we extend their insight to assess whether these incentives contribute to systemic risk in the financial sector.… Read more...
Industry Tournament Incentives and the U.S. Financial Systemic Risk Read More »
Bastian von Beschwitz , Pekka Honkanen , Daniel Schmidt
Review of Finance, Volume 29, Issue 4, July 2025, Pages 1137–1188, https://doi.org/10.1093/rof/rfaf023
Over the past two decades, passive investment has transformed financial markets, with passive funds surpassing active funds in assets under management in 2019.… Read more...
Passive Ownership and Short Selling Read More »
Marta Cota
Review of Finance, Volume 29, Issue 4, July 2025, Pages 1105–1136, https://doi.org/10.1093/rof/rfaf021
Biased income expectations shape retirement savings in ways that traditional policy models often overlook. In this paper, I outline a mechanism under which low-income workers, typically pessimistic about future earnings, delay retirement contributions, prioritizing liquidity as a buffer against uncertainty.… Read more...
Extrapolative Income Expectations and Retirement Savings Read More »
Lykourgos Alexiou, Amit Goyal, Alexandros Kostakis, Leonidas Rompolis
Review of Finance, Volume 29, Issue 4, July 2025, Pages 963–1007, https://doi.org/10.1093/rof/rfaf016
We document that the implied volatility (IV) curves of equity options frequently exhibit concavity prior to the earnings announcement dates (EAD).… Read more...
Pricing Event Risk: Evidence from Concave Implied Volatility Curves Read More »
Hao Liang and Cara Vansteenkiste
Review of Finance, Volume 29, Issue 3, May 2025, Pages 851–886, https://doi.org/10.1093/rof/rfaf007
Corporate philanthropy often sparks debate about its impact on shareholder value, particularly in response to natural disasters. Is it a strategic move to enhance reputation, or does it reflect managerial agency problems?… Read more...
Disaster Relief, Inc.: When Is Corporate Philanthropy Good or Bad for Shareholders Read More »
Giorgia Simion and Ugo Rigoni
Review of Finance, Volume 29, Issue 3, May 2025, Pages 819–850, https://doi.org/10.1093/rof/rfaf014
As retail bond issuance can serve as an important funding source for banks during periods of market stress, it raises concerns about potential conflicts of interest between banks and their clients.… Read more...
Understanding Households’ Bank Bond Holdings Read More »