Download or read book The Effect of Exchange listing on a Firm s Cost of Equity Capital written by Dan S. Dhaliwal and published by . This book was released on 1980 with total page 34 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Impact of Exchange Listing on the Cost of Equity Capital written by Harold Kent Baker and published by . This book was released on 1982* with total page 21 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Exchange Listing and the Cost of Equity Capital written by Susan M. Phillips and published by . This book was released on 1982 with total page 31 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Cost of Equity and Exchange Listing written by Michel Dubois and published by . This book was released on 1997 with total page 28 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Impact of Cross listing on the Cost of Equity Capital written by Oksana Kim and published by . This book was released on 2011 with total page 394 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Cost of Equity and Exchange Listing written by Michel Dubois and published by . This book was released on 1997 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Impact of Exchange traded Options on the Market for New Issues of Common Stock of Small Companies written by and published by . This book was released on 1977 with total page 180 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Globalization of Equity Markets and the Cost of Capital written by René M. Stulz and published by . This book was released on 1999 with total page 82 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper examines the impact of globalization on the cost of equity capital. We argue that the cost of equity capital decreases because of globalization for two important reasons. First, the expected return that investors require to invest in equity to compensate them for the risk they bear generally falls. Second, the agency costs which make it harder and more expensive for firms to raise funds become less important. The existing empirical evidence is consistent with the theoretical prediction that globalization decreases the cost of capital, but the documented effects are lower than theory leads us to expect. We discuss various reasons for why this is the case.
Download or read book The Impact of Options Listing and Trading on the Cost of Debt Capital written by Mehdi khedmati and published by . This book was released on 2015 with total page 478 pages. Available in PDF, EPUB and Kindle. Book excerpt: The existing literature on options listing and trading volume has focused on the benefits of trading in options to shareholders only, arguing that stock options listing and subsequent trading volume improve the informational environment of equity market. While debt capital is a major part of firms' capital structure, the cost of debt capital implications of options listing and trading volume has been overlooked in the literature. Again, the extant literature shows that much of the benefits that shareholders might receive from options listing and trading volume stems from the informational advantage arising from increased trading by informed investors who possess private information in optioned firms compared to firms without listed options and increased activities of information intermediaries. This informational advantage should also benefit the lenders of the firms because options listing and trading volume facilitate access to more and higher quality information and also increase stock liquidity. Therefore, informational advantage of optioned firms should allow lenders to better assess the risk of default and facilitate more effective monitoring of debt agreements, which in return, lowers the rates of returns demanded by the lenders. Further, this informational advantage of options listing and options trading may be far more beneficial to lenders of young firms than old firms because young firms have shorter credit history in the market, thus, exposing their lenders to higher information asymmetry costs. This suggests that lenders could consider the age of borrowing firms as a risk factor when reacting to the informational advantages from options trading and deciding on the rate of return they demand on their lending. To empirically examine the above conjectures, I use three proxies of cost of debt capital comprising credit rating, interest rate on debt, and offering yield spread on new bond issues. My thesis documents the following main findings. First, the results show that all the three proxies used for cost of debt capital are negatively and statistically significantly associated with options listing. Second, the results from further tests on a restricted sample of firm-year observations with listed options show that all three proxies of cost of debt capital are negatively and statistically significantly associated with options trading volume. Third, the results of the analysis based on credit rating and interest rate proxies of cost of debt capital show that the reducing effect of options listing on the cost of debt capital gradually subsides over time, as firms accumulate a credit history in the capital market. Finally, the results of the analysis based on a restricted sample of firm-year observations with listed options and all three proxies of cost of debt capital show that that the reducing effect of options trading volume on the cost of debt capital gradually diminishes over time. The above results remain robust in most of the additional and robustness tests. My thesis contributes to the stream of literature that examines the effect of options listing and trading volume on the cost of capital by providing empirical evidence on the decreasing effect of options listing and options trading volume on the cost of debt capital. It also contributes to the extant literature on the determinants of the cost of debt capital by documenting that increased information quality stemming from options listing and trading volume is priced by lenders, i.e., they demand lower rate of return. Also, my thesis improves our understanding of the moderating influence of firm's age on the ex ante effect of information asymmetry and quality, proxied by options listing and trading volume, on the cost of debt capital. The findings of this thesis would inform firm managers that they may be able to access cheaper debt if they can influence options exchanges to select their firm for options listing, and also would be insightful for options exchanges so as to understand the critical implications their selection decisions may have in terms of influencing the firms' cost of debt capital.
Download or read book The Cost of Capital written by and published by . This book was released on 2006 with total page 78 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book What Happens to Stocks that List Shares Abroad written by G. Andrew Karolyi and published by London : Richard Ivey School of Business, University of Western Ontario. This book was released on 1996 with total page 68 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Impact of a New York Exchange Listing on the Capital Structure and Financial Reporting of Telefonica de Espa a written by Maria Antonia Garcia Benau and published by . This book was released on 1998 with total page 21 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Law and Finance written by Thorsten Beck and published by World Bank Publications. This book was released on 2002 with total page 52 pages. Available in PDF, EPUB and Kindle. Book excerpt: New research suggests that cross-country differences in legal origin help explain differences in financial development. This paper empirically assesses two theories of why legal origin influences financial development. First, the political' channel stresses that (i) legal traditions differ in the priority they give to the rights of individual investors vis- ...-vis the state and (ii) this has repercussions for the development of property rights and financial markets. Second, the adaptability' channel holds that (i) legal traditions differ in their ability to adjust to changing commercial circumstances and (ii) legal systems that adapt quickly to minimize the gap between the contracting needs of the economy and the legal system's capabilities will foster financial development more effectively than would more rigid legal traditions. We use historical comparisons and cross-country regressions to assess the validity of these two channels. We find that legal origin matters for financial development because legal traditions differ in their ability to adapt efficiently to evolving economic conditions.
Download or read book The Impact of Improved Financial Disclosure on the Cost of Equity Capital written by Dan Singh Dhaliwal and published by . This book was released on 1980 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Cost of Capital Effects and Changes in Growth Expectations Around U S Cross Listings written by Luzi Hail and published by . This book was released on 2011 with total page 63 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper examines whether cross-listing in the U.S. reduces foreign firms' costs of capital. While prior studies show that U.S. cross-listings are associated with substantial increases in firm value, the sources of these valuation effects are not well understood. We estimate cost of capital effects implied by market prices and analyst forecasts, which accounts for changes in growth expectations around cross-listings. We find strong evidence that firms with cross-listings on U.S. exchanges experience a significant decrease in their cost of capital between 70 to 120 basis points. These effects are sustained and still present after the passage of the Sarbanes-Oxley Act. Consistent with the bonding hypothesis, we find smaller cost of capital reductions for firms that cross-list in the over-the-counter market and for exchange-listed firms from countries with stronger home-country institutions. For exchange-traded cross-listings, the reduction in cost of capital accounts for more than half of the increase in value around cross-listings, whereas for the other types of cross-listings the valuation effects are primarily attributable to contemporaneous revisions in growth expectations.
Download or read book The international diversification effect on the cost of equity capital written by and published by . This book was released on 1997 with total page 50 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book NASDAQ Fact Book written by and published by . This book was released on 1983 with total page 120 pages. Available in PDF, EPUB and Kindle. Book excerpt:
