Find us on Facebook Find us on LinkedIn Follow us on Twitter Subscribe to our YouTube channel

Finance Seminars

The Discipline of Finance seminar organiser is Elvis Jarnecic.

Seminars will typically be held 11:30am - 12:30pm on Fridays in Room 214/215 of the Economics and Business Building.

Upcoming Seminars

Mon 13th April - 11:30 am Rm 214/215 Economics and Business Building (H69)

Speaker:

Prof Henri Servaes, London Business School

Title:

Social Capital, Trust, and Firm Performance during the Financial Crisis

Description:

We study the extent to which a firm’s social capital, as measured by the intensity of a firm’s corporate social responsibility (CSR) activities, affects firm performance during the 2008-2009 financial crisis. We find that high-CSR firms have crisis-period stock returns that are four to five percentage points higher than low-CSR firms, all else equal. In contrast, we find no difference in returns between high- and low-CSR firms either before or after the crisis. During the crisis, high-CSR firms also experience higher profitability, sales growth, and sales per employee and a decline in their accounts receivable relative to low-CSR firms. This evidence is consistent with the view that the trust between the firm and its stakeholders and investors, built through investments in social capital, pays off when the overall level of trust in corporations and markets suffers a negative shock.

Fri 17th April - 11:30 am Rm 214/215 Economics and Business Building (H69)

Speaker:

Professor Jens Jackwerth, Department of Economics, University Of Konstanz

Title:

Libor manipulation: cui bono?

Description:

Using data on Libor submissions from 1999 to 2012, we find weak support for the hypothesis that banks manipulate submissions to appear less risky and strong support for the hypothesis that banks manipulate Libor to generate higher cash flows. Our results are stronger for the manipulation period as identified by regulators (January 2005 to May 2009), for currencies and maturities with substantial notional amounts of interest-rate derivatives outstanding, for European banks, and for banks that have already paid fines related to manipulation. We calculate the cumulative gains in bank market capitalization due to manipulation to be $16 to $19 billion.

Thu 23rd April - 11:30 am Rm 214/215 Economics and Business Building (H69)

Speaker:

Professor Patrik Sandas, McIntire School of Commerce, University Of Virginia

Title:

Does trading anonymously enhance liquidity?

Description:

Anonymous trading is the norm in today's financial markets but there are a few exceptions. We study one such case, the OMX Nordic Exchanges (Stockholm, Helsinki, Copenhagen, and Reykjavik) that have traditionally been more transparent than most other markets. On June 2, 2008 OMX Nordic switched to making post-trade reporting anonymous for some of their markets. We exploit this quasi--natural experiment to investigate the impact this change had on liquidity and trading behavior. Our difference-in-difference method reveals an economically and statistically significant tightening of the quoted spread by 16 basis points for large stocks (top third of market capitalization). For the medium and small stocks we find no significant change. The change in the quoted spread is both economically and statistically significant and corresponds to an approximately 20% average improvement in the quoted spread for large stocks.